Accountability ...Premier Klein panics ... suddenly leaves Lethbridge Premier's Dinner without taking questions.

Thursday night Premier Klein quietly slipped out of the Premier's Dinner in Lethbridge just before the question period began, leaving MLA and Minister of Employment and Human Resources Clint Dunford to field questions from angry supporters.

The excuse given was that the Premier had another engagement in Calgary to attend. Perhaps the media should find out exactly what event that was since the Premier could not have arrived before 9:30 p.m. even if he was flying.

Comments were to the effect that the Premier could spend a week with the utility companies in December but couldn't spend an hour in Lethbridge.

This is becoming a common pattern.

The government is only prepared to do set piece speeches and is not willing to be accountable on the issue of electrical deregulation. When challenged, inevitably their understanding of electricity and deregulation is shown to be lacking.

The Premier also refuses to hold a referendum on electrical deregulation claiming that it would make investors nervous. He claims power companies are happy with the current circumstances. We think that should be no surprise. EPCOR, Enmax and Mr. Dinning's employer, TransAlta Utilitities should be absolutely delighted.

These companies are able to freely manipulate powerpool prices and competition is non-existent. The PPA holders acquired assets paid for by Albertans for about one-eighth of their value last August and have the rights for 20 years.

We don't believe a 5 week delay should cause any major problems. The statements of new construction of generation to date are politically motivated. No environmental assessments have been completed and no purchase orders have been issued.

If we are to proceed it should be with the support and authorization of Albertans.

Increasingly, this particular design of electrical deregulation seems to be one from which the government will not retreat and which transfers billions from other Albertans to the vested interests in the electrical industry.

While we are not opposed to electrical deregulation there must be a level playing field and the system must be corrected immediately.

The government has shown no commitment to doing that. We can not support the inevitable and unnecessary transfer of wealth to the electrical companies that has taken place and will continue to take place in the future.

For example,

• The most efficient and lowest cost generation assets were sold in the PPA auction for net proceeds of $1.1 billion. These assets had long been paid for by Albertans and their value was estimated to be as high as $8 billion.
• The government's secret meeting with the electrical retailers in the second week of December resulted in an upward adjustment of the Regulated rate and an increased rebate to customers to try to they did not pay more. This effectively transferred $1 billion to EPCOR and Enmax destroying any possibility of competition. What other retailers will now enter the market now that EPCOR and Enmax have a $1 billion head start.
• Mr. Klein says that there will be a program of long term rebates. This will prop up prices paid to the electrical interests while using government funds for rebates instead of for tax cuts, healthcare improvements and investments in education and infrastructure.

The government still does not understand the electrical market well. They seem to think that Alberta businesses will accept an electrical commodity rate in the range of 7 to 8 cents and they are speaking of this rate as if it were the delivered price.

A local grocery store owner contradicted Mr. Klein's assertion that default rate customers would pay 7.4 cents per kwh in January. He has just received his January bill from Enmax and the average is 12 cents. Mr. Dunford was forced to admit that the Premier was once again in error and that the 7.4 cents was the commodity cost only, after rebates. Distribution, Transmission, Municipal Access and Consent Fees, and retailer markups are all in addition to the price the premier quoted in his set piece speech.

Quote from Chris Spearman:

"Electrical deregulation in Alberta has evolved into a scam and swindle. It is a transfer of wealth on a massive scale from ordinary Albertans to the vested interests in the electrical industry. Our government's close ties to the electrical industry have not gone unnoticed and the interests of ordinary Albertans are likely to be secondary priorities for this government.

We support the view that electrical deregulation, as it is presently structured, will cost an additional $4 billion dollars per year. Using delivered electrical prices prior to deregulation, one can quickly calculate the additional cost."