In the Spring of 2015, the merger of a group of Ontario
electricity distributors, PowerStream Inc., Enersource Hydro
Mississauga Inc., Horizon Utilities Inc. and Hydro One Brampton
Networks Inc., was announced. After one of these distributors,
PowerStream, filed a rate application with the Ontario Energy Board
on May 22, 2015, an issue arose about whether consideration of the
announced merger should be included in the Issues List for the rate
proceeding. The Board requested parties to the rate proceeding to
make submissions on a "threshold question" about what
consideration, if any, should be given to the announced merger in
the Board's review of PowerStream's Custom Incentive Rate
The Board's decision on the threshold question was
released on October 6, 2015. The Board decided that the cost
impacts of the potential merger are not relevant to its
determination in the rate proceeding. The Board also denied a
motion for production of certain documentation relating to the
announced merger. In reaching its decision, the Board considered
the co-existence and purpose of its rate-setting policies and its
mergers and acquisitions (MAADs) policies. The Board also
considered the impact of including potential merger cost savings in
the scope of the rate proceeding and expressed a concern about
significant delay to the rate application, given the fact that the
MAADs negotiations have not yet been completed and the timing of
completion of the negotiations is subject to a number of
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Canada is a constitutional monarchy, a parliamentary democracy and a federation comprised of ten provinces and three territories. Canada's judiciary is independent of the legislative and executive branches of Government.
The Government of Alberta recently announced a number of policy changes that will impact the Alberta Electricity Market, composed of its generators, transmitters, distributors, retailers, electricity consumers and wholesale electricity market.
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