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Province Acts to Strengthen Ontario’s Electricity Sector

TORONTO - Ontario Finance Minister and Minister Responsible for SuperBuild Janet Ecker announced the next step today in the province’s plan to continue to provide reliable energy to consumers with the launch of the process to seek a strategic partner or partners for a minority interest in Hydro One.

“It is important that we seek new investments to upgrade our system while keeping the control of Hydro One in public hands,” Ecker said. “A strategic partnership will help Ontario to raise needed funds to continue to provide reliable power for today and into the future.”

Following public consultations, the province announced in June that the government would maintain a majority interest in Hydro One. At the same time, the province is seeking a partner(s) to raise important investments to improve the system.

The first step in the process, which will be managed by the Ontario SuperBuild Corporation, is to issue a Request For Proposals (RFP) to retain an expert advisor(s) to work with SuperBuild on the transaction process. SuperBuild and the expert advisor(s) will ensure the completed transaction meets the goals of:

• Protecting consumers;
• Bringing market discipline to the day-to-day operations of Hydro One;
• Ensuring that the necessary capital investments are made to rebuild and modernize the transmission and distribution electricity grid; and
• Using proceeds to help pay down the $38-billion debt from the old Ontario Hydro.

The RFP will be posted on the province’s MERX system Tuesday, July 9, 2002. “The process of retaining a transactions advisor(s) will be carried out in a fair, open and competitive manner. The advisor or advisors will work with SuperBuild to find the best partner(s) for a revitalized Hydro One,” said Ecker.

“Consumer protection will continue to be this government’s top priority when it comes to delivering a safe, reliable supply of electricity at a low cost,” said Environment and Energy Minister Chris Stockwell.

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For further information, please contact:

Scott Brownrigg
Minister’s Office
(416) 325-8735
Disponible en francais

Daniele Gauvin
Ontario SuperBuild Corporation
(416) 325-5620