It’s interesting listening to the energy minister talk about the past and the history. I will say that when the Liberals were in power, the PCs used to criticize their politicization of the electricity planning and their disregard for evidence and professional independent analysis. And yet here we are, 2024, the first time ever overruling an Ontario Energy Board decision designed to protect homeowners and ratepayers in order to benefit a fossil fuel giant.

Kent Elson, a lawyer from Environmental Defence says that this legislation, and the choice of the title of this bill, is “Orwellian.

“It should be called the keeping Enbridge profits and energy bills high act....

“The OEB decision would have cut capital costs covered by gas customers by approximately $600 per customer.... Reversing the decision will certainly raise energy bills.”

Why did you not title this bill the pushing energy costs up act in Ontario?

Thank you to the minister for his lovely remarks to kick off debate this afternoon. I just want to highlight to my colleagues in this place here that the NDP is again not standing up for young people who don’t have a home. They’re arguing for the current homeowners. They are not fighting for those who live in their parents’ basements or those who may have a child on the way who are looking to move into a bigger place—a townhouse, for example.

I know the minister alluded to it a bit in his remarks, but, obviously, I represent rural Ontario, and I was wondering if he could elaborate—I know Minister Calandra and myself and the associate minister are looking to keep costs down on homes. How much would this decision by the OEB cost rural Ontario?

As my colleague expressed, it’s shocking, the thought that a multinational corporation that makes huge amounts of money by squeezing cash out of homeowners and tenants might mislead people. I know it’s incomprehensible to many here but, in fact, it could well be true.

The National Observer reports, “Enbridge has a new fight on its hands as Competition Bureau Canada officially launches an investigation against the gas giant over allegations the company is misleading customers about the role of gas in the energy transition.

“Specifically, Enbridge has promoted new gas hookups as the cheapest way for Ontarians to heat their homes, while branding natural gas as ‘low carbon’ and ‘clean energy.’”

That’s being challenged by the environmental organization Environmental Defence.

The National Observer reports, “‘Enbridge’s dishonest marketing is duping people into’” installing new gas hookups and spending thousands of dollars on new gas furnaces and other appliances, “‘falsely claiming it’s cheaper than heating with electricity, which is just not true,’ said Environmental Defence program director Keith Brooks in a statement.” It’s good that the Competition Bureau has agreed to investigate Enbridge.

“The complaint filed by Environmental Defence, Ontario Clean Air Alliance, the Canadian Association of Physicians for the Environment and a group of Ontario residents” in September, “accuses Enbridge of falsely claiming gas is the most cost-effective way to heat homes. Enbridge has made this claim online and in communities it has pegged for expansion in an attempt to increase its customer base.”

Environmental Defence summarized the situation this way: “Enbridge is misleading consumers into connecting to its gas system using false and misleading representations.... Enbridge is telling potential customers that gas is the most cost-effective way to heat their homes and suggesting”—and this I find totally entertaining—“that it is ‘clean energy’ and ‘low carbon.’ None of these representations are true.” That lack of honesty about what’s real and not real when it comes to home heating is something that people should keep in mind.

But the other issue—and this is a big one because, as the minister has said, we’re moving away from gas heating in our homes: People get caught paying as gas heating fades away. People are increasingly deciding to save money and protect the climate by switching from gas to electric heat pumps. As this process expands, the cost of the gas grid for those who stay with gas is going to increase, and new gas lines, installed to service new customers, will increasingly not have customers to serve. That was a finding by the Ontario Energy Board.

We’ve had these transitions before. This is not unique or novel in the world. Most of you have not followed energy history. I am a strange person; I actually look at the history of energy in this province. About 1958 or 1959, the TransCanada pipeline came through to Ontario from Alberta, bringing natural gas. This opened a whole new way to heat homes that was cleaner, more convenient and probably cheaper than coal. From 1960 to 1970, the portion of homes that used coal for home heating went from 30% to 1%. Within a decade, 30% of Ontario homes no longer used what had been a very popular fuel.

So I want to say to people here that you can have a very rapid transition from one technology to another, frankly, probably, with very little in the way of government programs in this case. People looked at, “Hey, we can spend all this money on coal, or we can go with an option that we don’t have to shovel, that is more convenient, that is just a flick of a switch on a thermostat in the wall. I’m going to go with gas”—a decade. And I have to tell you, just in that same report I looked at, that 1% at the end? Man, they were spending a fortune, because the whole of the coal delivery infrastructure shrank and became a much more expensive fuel to get. I don’t know why those 1% held on, but they did.

We’re facing a situation in Ontario where as we move away from gas home heating, something that the minister has said we’re doing, people who stay on the gas system, who get sold on to the gas system, are going to be stuck with much higher bills, and the pipes that are put in the ground are going to be paid for by those who can’t afford to buy a new heating system, ones whose furnace is eight years old. They’ve got about a 15-year lifespan. If your furnace is eight years old, you’re not going to get rid of it and buy a new furnace. Mostly, people can’t. They only buy when they have to, and they will get stuck with those higher bills. That’s a risk for homeowners and tenants. That is a problem that people are going to face in the future.

Frankly, continuing the subsidy from the existing consumers—and remember, Premier Ford wants to increase your heating bill. He wants to drive up your gas bill. He wants you to pay more so that he can create deeper problems for you in the years to come. I want—

Interjections.

Thank you for the question. I was wondering also what the government really wanted to do, and the answer is in the Environmental Registry of Ontario notes. It says there that the government wants to first go right back to the 40-year revenue horizon, which means that natural gas infrastructure is completely free to the developer but is paid for by us, the ratepayers, the homeowners. They’re going back. Now, they’ve added a whole bunch of things so that they can interfere with how the OEB operates, make it redo hearings, make it hold extra, what they call, generic hearings.

But in the Environmental Registry, it says, “We first want to go back to that 40 years.” In fact, every one of the people, including Enbridge, wanted to shorten that 40 years to a shorter time.

So what we’re saying is, let’s give developers a rational economic choice. They have to feel a little bit that there is a cost that has to be recovered. So that’s why we should be protecting, we should be allowing the Ontario Energy Board to be an independent adjudicator to protect consumers.

We also need natural gas for the next few years at peak times to make sure that the electricity is reliable when supply and demand fluctuate. It’s not like we’re getting rid of natural gas tomorrow. I think if the member is suggesting that, he is wrong. There is a place.

When a developer builds a new subdivision and decides whether to put natural gas in, we want it to be a rational decision, where the cost is—

For me, what’s important is that the OEB is trying to protect consumers. This principle should apply not just to Enbridge but to all other natural gas distributors as well. So for me, what’s important is the principle. I’m not out to get anybody. What I want is this principle that if you decide to build natural gas infrastructure, you should make a rational decision based on how long it’s expected to be used. And if you’re not going to recover the cost of that natural gas infrastructure from the gas bills paid by the customers, then you need to have some fraction of that cost paid up front. That has to be a clear payment so that a rational economic decision is made.