Bill No. 135 - Nova Scotia Power Privatization Act and Nova Scotia Power Reorganization (1998) Act. - Third Reading
CLAUDIA CHENDER « » : Mr. Speaker, I listened with interest to the comments of the minister just now. In particular, I would draw attention to his assertion that he was pleased to see that there was no feedback at Law Amendments Committee and that might be partially due to the fact that the Law Amendments Committee meeting was announced on a Friday afternoon and took place on a Monday morning, as it seems to be lately with many bills. I'm not altogether sure that everyone who might be interested in or wanted to be notified of this change was aware of that.
It's our feeling that power is a public good here in Nova Scotia. There are lots of places where people live back to the land but, unless you're the hardiest of types, that's not possible here. All Nova Scotians use power in this climate. We all need it. We all use it and so, with respect, whether or not this is the view of the capital markets, our view is that Emera is not the same as other companies in its class. Nova Scotia Power is not the same as other companies in its class. Nova Scotia Power is the utility that all Nova Scotians rely on to keep their lights on, many to keep them warm in the winter. And now many of the millions of dollars that Emera pays out to its shareholders will be leaving Canada.
Before this change, you could at least say that Emera was a type of export. The profits Emera was making were circulating in the Canadian economy, even the ones they were making internationally because of this ownership provision. Now, that's not the case anymore. In fact, it's the opposite. It's likely the profits that Emera generates from Nova Scotian ratepayers will be disbursed all over the world. To some, that might sound like a good idea. To us, it doesn't make a lot of sense.
This government did nothing to say to Emera, you want a bigger market for your shares, you want to grow and increase your profits, what's in it for Nova Scotians who are generating your profits in the first place? Are you going to deliver more reliable service? Are you going to lower rates? Are you going to generate more renewables? No, the government did nothing to ensure that we get something back in return for making Emera so profitable. In fact, the Premier rose today and said, well, that's not the way business is done. I would say that's a sad indictment on the way this government does business. The way we do business in this Chamber ought to be for the benefit of all Nova Scotians and this change is the exact opposite.
Now, make no mistake, I understand the government's argument. If Emera is strong and successful, it could conceivably invest more in Nova Scotia. Well, Mr. Speaker, Emera is strong and successful and it does not.
I'll table this article from February 2019: "Record earnings from its utility operations in Florida and New Mexico helped Halifax-based Emera Inc. beat analyst expectations in the fourth quarter of 2018."
From last year: The executives who run Nova Scotia Power's parent company saw hefty raises in 2017.
From All Nova Scotia recently: Scott Balfour and the rest of his high-paid crew totalled $11.4 million in salary, cash bonuses, and long-term performance-based shares.
I think we've all seen the news in the last couple of weeks about the most recent executive pay raises.
Mr. Speaker, this is trickle-down thinking. Corporations are constantly coming to government and saying, let us profit more and everyone will benefit, we promise. But they never do. We've been trying that since the 1980s. It doesn't work.
Here's a recent example: the U.S. tax cuts that just happened under President Donald Trump. Corporate profits have soared in the United States, but have those profits been reinvested in those corporations developing their productive capacity, in job-creating investments, in better wages and benefits for workers, or in lower prices for consumers? No, Mr. Speaker. No on all counts. That extra cash was spent on stock buybacks to raise the value of their shares. I'm afraid this bill demonstrates the same outdated economic thinking.
If we really wanted to support business in this province, we would have demanded something from Emera. Businesses in our province are impacted by Nova Scotia Power's power rates and they are impacted by how often they have power outages. I spoke about that recently in this Chamber. Every outage has a major negative impact on our economy. I dare say that there are none of us who haven't gotten a call about a power outage from constituents, and for those of us with a particularly weak grid, certainly from local businesses.
The province could have negotiated cheaper access to Nova Scotia Power's infrastructure to help bring broadband to rural Nova Scotia, to help lower the cost of that. Right now, a huge part of why broadband infrastructure is so expensive is that we rent Nova Scotia Power's poles. We rent every pole we attach Internet cables to, Mr. Speaker, at $20 a pole. That's a big cost in rural areas where houses are far apart. Was that up for discussion?
As far as I can tell, none of these thoughts have crossed this government's mind. They aren't thinking about the impacts Emera's lack of investment have on everyday Nova Scotians and business.
In closing, Mr. Speaker, I am disappointed that the government has introduced a bill that supports profits for Emera and nothing for Nova Scotians. We will not be supporting this bill.