Is Celgar abusing its power?

Support for the Fortis position that Celgar must be required to use the free on site electrical power they produce.

The subscribers to your paper should all be backing the Fortis position that Celgar must be required to use the free on site electrical power they produce at no extra cost from grant money provided them by the federal government.

The federal government provided Celgar with a $95 million grant as a result of the wood industry pleading for financial help for the inefficient mills in Canada.

If Celgar produces 1600 tons of pulp a day at today’s internet price of $860 per ton that makes daily production worth about $1.5 million dollars.

The power upgrade consumed about $50 million of the $95 million grant to complete.

Celgar applied to the Public Utilities Commission for a confidential sales agreement with BC Hydro that would enable Celgar to sell electrical power produced from the project for 25 million dollars per year at inflated green power rates.

The above information I acquired from Mercer’s reports filed by the American parent company of Celgar with American government agencies, that by law they are required to do.

To replace the sold power Celgar would then apply to Fortis for their operating power needs.

Fortis does not have sufficient self-generated power to meet their present customer demands. Fortis would be forced to buy power, from Hydro, that Celgar sold to BC Hydro, to meet demands for Celgar’s operating needs.

It is beyond my imagination how any Government bureaucrat we are paying, could sleep at night making decisions like this, never mind getting a pension for life.

I urge all to write Fortis expressing your feelings on the unfairness of the Celgar position, to not use their onsite self-generated power for their needs. If the above scenario is allowed to proceed it will force Fortis to buy back power that Celgar sold Hydro at very inflated rates that we as rate payers, would be subsidizing with increased electrical bills.

Please write to Fortis at 1975 Springfield Road, Kelowna B. C.   V1Y 7V7

Norman Gabana


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