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QUEBEC — The Legault government has launched a vast debate on the province’s energy future with the newly minted minister responsible for the file saying Quebec would be making a mistake to not tap into the worldwide demand for green energy by stepping up its domestic production.
But Quebec’s opposition parties rapidly pounced on Tuesday, accusing the Coalition Avenir Québec government of grossly underestimating the impact the cost of boosting Quebec’s energy capacity will have on residential and industrial power rates.
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“The entire planet is looking for green energy,” Christine Fréchette, Quebec’s minister of the economy, innovation and energy, said in remarks opening hearings into the CAQ’s proposed energy transition legislation, Bill 69.
“Rare are the jurisdictions as well positioned as Quebec on an energy level. We need to act to tap the full potential of this strategic advantage.”
The remarks came as Fréchette, the former immigration minister, stepped into the big shoes of former minister Pierre Fitzgibbon, who drafted Bill 69 but resigned last week.
On his way out the door, Fitzgibbon said he personally believes rates will have to go up to pay for the $185 billion in new spending it will take to double Quebec’s hydro production. The CAQ government has been trying to quash the comments ever since.
Fréchette repeated the commitment to not increase residential rates.
“This exercise will happen at the same time as we protect residential clients and ensure a predictability for companies,” she said. “As you know, our government is committed to maintaining a ceiling of three per cent on the rates of Quebecers.”
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First to appear at the hearings, Hydro-Québec CEO Michael Sabia backed up her comments.
“Let me be very clear,” Sabia told the committee. “Residential rate increases will be limited to three per cent. For commercial and residential clients, we’re talking about four and five per cent.
“This is exactly what I said when we tabled our action plan. There is nothing new.”
He faced questioning by Liberal energy critic Marwah Rizqy, who asked Sabia to be clearer on how long the three-per-cent figure will be respected.
“For us, the three per cent is something which continues into the future,” Sabia responded
Rizqy persisted, questioning why Bill 69 includes the creation of a fund to come to the aid of domestic clients if the three-per-cent figure is true. Fitzgibbon said the fund would cost between $200 million and $300 million a year to finance, which would mean a subsidy by the government to consumers.
“What is the real increase,” she asked Sabia.
On their way into the hearings, interim Liberal leader Marc Tanguay accused the government of bungling hydro development, coming up with power to export to the United States and foreign investors here when Quebec companies can’t get access to the same power.
But on her way into the committee room, Fréchette said companies in Quebec “will have to pay their fair share.”
Fréchette, who arrived for the hearings saying she wants to listen to what the 40 groups scheduled to appear have to say, repeated that Quebec intends to respect its commitment to make Quebec’s economy carbon neutral by 2050.
“We are doing it for Quebecers of today, but especially future generations,” she said.
X.com/philipauthier
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