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Are low electrical bills inviting a National Electricity Strategy?

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Is it time to have or implement a National Electrical Strategy?

I live in Red Deer, a small city in Central Alberta. My electrical bill last month was $95.

The average household, according to Google, in Canada uses 972 KWHs monthly, but I used 848 KWHs last month, so if I had been an average user then my bill would have been $109.

My electrical bill shows that my electrical use cost only $32.40 while administration cost $6.99, distribution cost $25.90 transmission fees cost $23.86, include access fees, rate riders and balancing pool allocations and GST and my bill came to $95.

Talk of carbon taxes, green energy would increase my energy costs. Fine, increasing my energy costs by 10% would mean an increase of only $3.24 because all the other charges should not go up. Changing fuel or supply should not affect administrators, power lines, poles or switches.

I started requesting electric bills from homes in other parts of Alberta and the costs varied from 3.75/ kwh to 5.99/kwh and the other costs varied in name and amount for varying total costs per kwh from 11.7 to 15.75/kwh. So at 848 kwh my bill would go from $95 up to $133.56 depending on location.

Alberta is deregulated and you have options of providers. Floating and fixed rates, but the other fees are always added.

A home in Vancouver showed an average 11.37/kwh so my bill would be $96.50, very similar to my Alberta bill. Vancouver is vastly different and denser market. Vancouver has 5,249 people per km. or 2100 homes per square km.

Alberta has a population of 4,252,879 people in 640,081.87 sq. kms. For a density of 6.7 people per square km. or 2.7 homes per square km. So you would think that the costs would be astronomically higher to compensate for the vast distances, and the increased wiring, poles, and installation of such, but apparently not.

So I thought about Ontario. Population of 13,982.984 in 908,607 square kms of land. 15.4 people or 6.2 homes per square kms. More than twice the density of Alberta. The transmission and distribution costs should be equal to or less than sparsely populated Alberta. I started requesting power bills from home owners in Ontario, especially in rural Ontario.

The first bill came from Winchester, 40 kms. from Ottawa. It showed a monthly usage of 661.24 KWHs. Energy costs varied from 8.7/kwh of low peak to 18/kwh during high peak for energy cost of $79.06. Add in delivery charge of $65.41, regulatory fees and HST and the bill comes to $164.96. Or 25/kwh. My current bill would now be $211.55 if I lived in Winchester.

The second bill came from a family outside Chesterville. It showed higher usage, perhaps because of location, age of appliances or lifestyle. Energy use of 1281 KWHs for a bill of $278.93 or 22/kwh. My bill would then be $184.65 if I lived outside Chesterville.

Albertans get their power from natural gas (44%), coal (39%) and even hydro (6%) while Ontario get their power from Nuclear, (66%) and Hydro (22%) But in Alberta, we are expecting increases in our power bills due to carbon taxes, green initiatives and the new power lines being built to the southern border. Paid for by current users to provide power south of the border. Ontario has some similar changes and challenges ahead to incur expectations of increased costs. Is this proper?

Alberta is only 70% the size of Ontario, our population is only 30% of Ontario, yet Alberta power bills are substantially lower. Capitalists will tell you that larger markets like Ontario, means lower costs, as one would also expect with increased density as in this case, Ontario.

Alberta deregulated the electrical sector increasing competition. Would that help or exasperate the problem in Ontario? Should the vast majority of urban homes subsidize the rural users? Should a standard rate be applied to all in Ontario?

To recap with averages of 972 KWHs per home per month it would cost $110.61 in Vancouver B.C., $108.90 in Red Deer Ab., $242.48 in Winchester Ont. And $211.65 in Chesterville Ont. Definitely not a level playing field, is it?

Is it time for the Federal Government to create a National Electrical Strategy? We could at least study on it.

What do you think?

 

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Charitable giving on the decline in Canada

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From the Fraser Institute

By Jake Fuss and Grady Munro

There would have been 1.5 million more Canadians who donated to charity in 2023—and $755.5 million more in donations—had Canadians given to the same extent they did 10 years prior

According to recent polling, approximately one in five Canadians have skipped paying a bill over the past year so they can buy groceries. As families are increasingly hard-pressed to make ends meet, this undoubtedly means more and more people must seek out food banks, shelters and other charitable organizations to meet their basic necessities.

And each year, Canadians across the country donate their time and money to charities to help those in need—particularly around the holiday season. Yet at a time when the relatively high cost of living means these organizations need more resources, new data published by the Fraser Institute shows that the level of charitable giving in Canada is actually falling.

Specifically, over the last 10 years (2013 to 2023, the latest year of available data) the share of tax-filers who reported donating to charity fell from 21.9 per cent to 16.8 per cent. And while fewer Canadians are donating to charity, they’re also donating a smaller share of their income—during the same 10-year period, the share of aggregate income donated to charity fell from 0.55 per cent to 0.52 per cent.

To put this decline into perspective, consider this: there would have been 1.5 million more Canadians who donated to charity in 2023—and $755.5 million more in donations—had Canadians given to the same extent they did 10 years prior. Simply put, this long-standing decline in charitable giving in Canada ultimately limits the resources available for charities to help those in need.

On the bright side, despite the worrying long-term trends, the share of aggregate income donated to charity recently increased from 0.50 per cent in 2022 to 0.52 per cent in 2023. While this may seem like a marginal improvement, 0.02 per cent of aggregate income for all Canadians in 2023 was $255.7 million.

The provinces also reflect the national trends. From 2013 to 2023, every province saw a decline in the share of tax-filers donating to charity. These declines ranged from 15.4 per cent in Quebec to 31.4 per cent in Prince Edward Island.

Similarly, almost every province recorded a drop in the share of aggregate income donated to charity, with the largest being the 24.7 per cent decline seen in P.E.I. The only province to buck this trend was Alberta, which saw a 3.9 per cent increase in the share of aggregate income donated over the decade.

Just as Canada as a whole saw a recent improvement in the share of aggregate income donated, so too did many of the provinces. Indeed, seven provinces (except Manitoba, Nova Scotia and Newfoundland and Labrador) saw an increase in the share of aggregate income donated to charity from 2022 to 2023, with the largest increases occurring in Saskatchewan (7.9 per cent) and Alberta (6.7 per cent).

Canadians also volunteer their time to help those in need, yet the latest data show that volunteerism is also on the wane. According to Statistics Canada, the share of Canadians who volunteered (both formally and informally) fell by 8 per cent from 2018 to 2023. And the total numbers of hours volunteered (again, both formal and informal) fell by 18 per cent over that same period.

With many Canadians struggling to make ends meet, food banks, shelters and other charitable organizations play a critical role in providing basic necessities to those in need. Yet charitable giving—which provides resources for these charities—has long been on the decline. Hopefully, we’ll see this trend turn around swiftly.

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Support local healthcare while winning amazing prizes!

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This year’s lottery will fund essential new and replacement equipment, ensuring your hospital can continue to serve the 500,000 people who rely on it. When you purchase your ticket, you’re investing in innovation, excellence, and a healthier future for Central Alberta. 
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