Wellington North Power discussions are causing some static for councillors here.
Councillor John Matusinec has concerns with ongoing discussions regarding a potential sale of the locally-owned utility.
“It’s becoming hard to manage the utility when staff read the thing is for sale,” he said.
Matusinec stated the rumours have also created issues in terms of hiring replacement staff when the future of the utility seems uncertain.
“Maybe we have the cart before the horse on this.”
He said he has yet to hear if council has actually decided if it will consider a sale.
“If council wants to pursue this, then we should have a public meeting to see if residents want to sell it,” Matusinec said. “They own it. We are just the guardians of it.”
He believes a vote should be held before any more proposals are heard.
To date, council has heard proposals from Westario, Hydro One, Horizon and Orangeville hydro.
Mayor Mike Broomhead asked if council was to receive a report on those discussions.
Councillor Ross Chaulk who is chairman of the finance committee, said the municipality needs to listen to the proposals before deciding if it wants to consider a sale.
Chaulk said the companies which have expressed interest in the local utility. “Two have mentioned ballpark ranges, but nothing is concrete.”
He said all the township can do for now is to listen to the companies who want to chat.
“All these are, are expressions of interest.”
Broomhead agreed with Matusinec that Wellington North Power is in the midst of hiring … and talks of potential sales, or mergers, have made it difficult.
He said if council received a report of the previous discussions, it might have a better idea what to ask in the future.
Broomhead also wanted to know what would stop a potential buyer from turning around and selling the local utility a few years later.
Chaulk said there is nothing to stop that.
“But you can’t just bury your head in the sand and say no [without having all the facts],” Chaulk said.
Matusinec believes council should go to the public first.
“If they don’t want us to sell the utility, then we are just wasting staff time,” he argued.
He also suggested the sale to a larger utility would result in rate increases.
Chaulk countered that even now, Wellington North Power has applied for rate increases. He suggested that information will be brought to a closed session of council.
“The facts and figures may surprise you,” he said.
