The debate over future of London Hydro was short circuited by a pair of staff reports delivered at the last possible moment Monday night.
The timing of the information raised concern among councillors that the process lacked transparency and public oversight.
Judy Bryant dressed down senior city staffers who recommended London Hydro offer itself for sale to potential suitors.
“It is not transparent, it is not reasonable and we represent the taxpayers,” says Bryant.
The last-second delivery of their reports raised the ire of councillors.
“It makes it hard for me to make a decision dumping all this information on me,” says councillor Harold Usher.
Mayor Joe Fontana says there’s no hidden agenda here.
The late documents supported a pair of staff presentations on the future path for London Hydro that recommended a sale.
“I expect there would be significant interest in the industry in the full or partial divestiture of London Hydro,” says Todd Williams with Navigant Consulting.
There are four options - maintain the status quo where London Hydro is completely owned by the city, pursue a merger, grow by acquire a smaller electricity distributor or sell off some or all of the utility.
“The status quo means the value of our London Hydro will go down eventually, so let’s look forward confidently about the options available to us,” says Fontana.
Council was told if sale proceeds were reinvested over 10 years, the status quo would net $45.7 million, selling a 49 per cent stake would be $63.3 million and a total sale would be $96.9 million.
But those numbers swayed few.
In the end, concern for a more fulsome public debate meant council put the issue on hold until its next meeting July 29.
