Secret Irving power deal???
{Via CBC New Brunswick}
I can understand NB Power buying power from Irving when the demand is high, and extra power is needed. My question is, why are they buying the power no matter what the price, and whether they actually need it or not?? Oh and NB POwer pays Irving $29 million a year for a "capacity charge" for the plant. So why are they obligated to buy power from Irving in the first place if that's the case???
Quotes from this article:
"Irving Oil owns a natural gas generating station that produces electricity, which is bought by NB Power no matter the price.
NB Power says it has an arrangement with Irving to buy all the power produced by the plant each winter between November and March. It doesn't matter if NB Power needs the electricity, or if the utility could produce the power more cheaply at one of its own plants."
"The Irving power deal has become an issue at the rate hearing because early this winter natural gas got so expensive, power from the Irving plant cost much more than NB Power's own production at Coleson Cove. Despite that, NB Power spent millions on the Irving electricity."
Boy, all i'll say is something sure smells funny in this one. No question what Irving gains in the deal. My question is, what is in it for NB Power??? Why would they even sign a deal like this??
Well, at least the PUB hearings are showing average Joe & Jane Citizen how NB Power wastes its money, and the real reasons we need to pay bigger rates. Total incompetence. Someone should fry. Not holding my breath though.
I can understand NB Power buying power from Irving when the demand is high, and extra power is needed. My question is, why are they buying the power no matter what the price, and whether they actually need it or not?? Oh and NB POwer pays Irving $29 million a year for a "capacity charge" for the plant. So why are they obligated to buy power from Irving in the first place if that's the case???
Quotes from this article:
"Irving Oil owns a natural gas generating station that produces electricity, which is bought by NB Power no matter the price.
NB Power says it has an arrangement with Irving to buy all the power produced by the plant each winter between November and March. It doesn't matter if NB Power needs the electricity, or if the utility could produce the power more cheaply at one of its own plants."
"The Irving power deal has become an issue at the rate hearing because early this winter natural gas got so expensive, power from the Irving plant cost much more than NB Power's own production at Coleson Cove. Despite that, NB Power spent millions on the Irving electricity."
Boy, all i'll say is something sure smells funny in this one. No question what Irving gains in the deal. My question is, what is in it for NB Power??? Why would they even sign a deal like this??
Well, at least the PUB hearings are showing average Joe & Jane Citizen how NB Power wastes its money, and the real reasons we need to pay bigger rates. Total incompetence. Someone should fry. Not holding my breath though.
