Canadian Flag, Ontario Premier Doug Ford
The Jamestown Board of Public Utilities is looking at how a 25% tariff on electricity coming into New York State from Canada may impact customers and the utility.
Ontario Premier Doug Ford announced that the province will charge New York, Michigan, and Minnesota 25% more for electricity effective March 10. This move is in direct response to tariffs imposed on Canada by President Donald Trump.
Ford said Ontario’s tariff would remain in place despite the one-month reprieve from Trump, noting a one-month pause means nothing but more uncertainty. Quebec is also considering taking similar measures with electricity exports to the U.S.
Ford’s office said the new market rules require any generator selling electricity to the U.S. to add a 25% surcharge. Ontario’s government expects it to generate revenue of $300,000 ($208,000 USD) to $400,000 Canadian dollars ($277,000) per day, “which will be used to support Ontario workers, families and businesses.”
The New York Independent Systems Operator (NYISO), the organization that manages New York’s electric power system, issued a statement in response to Ford’s announcement that said, “The NYISO is analyzing the impacts of the order by the Ontario Premier and working closely with the Independent Electricity Operator of Ontario to ensure a reliable grid and stable flows of electricity across interregional transmission lines. The NYISO expects to have adequate reserves to meet reliability criteria and forecasted demand for New York,”
Jamestown Board of Public Utilities General Manager David Leathers said in a statement to WRFA, “We’re still working to understand potential impacts during this transitional period, but don’t expect any near-term impacts to the BPU or our electric rates. The most likely impact in the coming weeks/months (unless something changes again) would be occasional higher electric costs within the NYISO grid. The BPU hydropower allocation should cover the majority of our customer needs in March, April, and May, so we shouldn’t be exposed too much with buying potentially more expensive electricity from the NYISO.”
Leathers said if prices spike that the BPU could generate electricity using the natural gas turbine as a way to protect customers. He said the only time period where the BPU would not be able to do that is in April when a scheduled maintenance outage period is planned. Leathers added they’re not overly concerned about that timing at this point. He said they’ll, “…also keep our eye on natural gas prices to see if there are any reactionary changes or volatility in that market.”
This is what cutting off your noses to spite your faces looks like. If Jamestown is at all insulated from the negative effects of Trump’s tariffs, it is because our city fathers once wisely chose socialism (government ownership of things like power plants) as the best way to serve the people.