The estimate for the proposed Manitoba Hydro power line project (known as Bipole III) has skyrocketed from $2.2 billion to $4.1 billion – an 86 per cent jump. Just imagine what that will do to your hydro bill if you don’t take action.
Yes, unlike most government boondoggles where billions of dollars are flushed down the drain and cannot be recovered, we can all see this one coming from miles away – and there’s still time to prevent it.
You see, although the project’s estimate has skyrocketed to $4.1 billion, it doesn’t have to cost that much. A big part of that price tag is attributed to the fact the government has decided to make Manitoba Hydro build the new power line in such a way that it’s 500 kilometres longer than necessary.
If you’re not familiar with that controversial aspect of the project, here’s a quick history lesson.
Bipoles I & II, the two existing lines that transport power from northern Manitoba, are basically running at capacity. Thus, new dams coming on-line require a new line – Bipole III.
For decades, Hydro had planned on building Bipole III, straight up the east side of the province.
But in 2007, the government decided to force Hydro to build the line along the west side of the province. They want it to run from just outside Winnipeg, all the way over to the west side of the province, up north and then all the way back over to the east side.
As a result, the line will have to be about 500kms longer than necessary.
Obviously the longer line comes with a higher price tag. Many organizations, including the Canadian Taxpayers Federation (CTF), estimate the additional cost to taxpayers for the west side route to be about $1 billion or more. That works out to about $1,000 more per Manitoba taxpayer.
Unfortunately, instead of reconsidering the west side decision, the government appears to have dug in its heels.
In fact, just days prior to the CTF releasing a leaked document from Manitoba Hydro, showing the new $4.1 billion estimate, Minister Rosann Wowchuk suggested the project cost “could be lower” than $2.2 billion.
She also condemned the CTF’s suggestion that the project would cost $4 billion by suggesting “four billion dollars is a number picked out of the air. I can tell you that’s not a number which has been discussed.”
Conveniently, when the leaked $4.1 billion figure surfaced she wasn’t available to explain it to Manitobans.
Given that Hydro previously indicated that it briefs the government on Hydro issues “every other week,” how is it possible that on January 27, 2011, the Minister had no idea about the $4.1 billion estimate Hydro prepared about four months earlier?
Either Hydro deserves a serious lashing for neglecting to inform the government about the possibility of a nearly $2 billion increase to the project or the Minister purposely misled the public. One of the two needs to be held accountable for the gaffe.
One thing is for certain, the project has become unaffordable for Manitobans. The government needs to scrap the entire west side decision all together.
Perhaps if enough of us speak out, the choice will be easier for them.
