These U.S. States Face Big Electricity Bill as Canada Refuses to Pause Tariffs

Jack

Squeeze the Base
Site Supporter
Reaction score
3,903
Location
Upper US
The "grid" is a real thing, despite a certain poster's trolling about it.

Three U.S. states are set for higher electricity bills after Canada declined to follow President Donald Trump’s lead and pause its tariffs.

Ontario Premier Doug Ford, who has been vocal in his opposition to Trump and his administration’s jabs at the Commonwealth nation, confirmed he will still slap a 25 percent tariff on electricity sent from Canada to the United States starting on Monday.

Ford was asked if he had changed his mind after Trump’s sudden U-turn.

“Canadians love Americans. I love Americans. It’s been 20 years of my life. But in saying that, no, we’re going to put a 25 percent tariff on electricity coming from Ontario to Michigan, New York and Minnesota,” Ford said Thursday during an appearance on Fox Business Network’s The Claman Countdown.



The move came as Trump backtracked on Thursday afternoon and announced he was granting a one month pause on Canada and Mexican tariffs after a week of one-again-off-again moves by the newly installed president.

“Isn’t this a shame. It’s an absolute mess,” Ford said of the situation the supposed allies find themselves in. “He’s created chaos,” Ford continued, seemingly referencing Trump. “He ran on a mandate to lower costs, lower inflation, create more jobs. It’s the total opposite, people are going to be losing their jobs in the U.S. and in Canada.”

Ford had earlier pleaded on
Please, Log in or Register to view URLs content!
for Trump to drop the tariffs completely and “end this.”

Before Trump’s tariff suspension, however, Ford had said that either way, the Canadian tariffs would be imposed. “We have to follow through,” Ford told
Please, Log in or Register to view URLs content!
.

Canada is the U.S.’ largest trading partner in energy. According to Ford, 1.5 million residents will be affected across Minnesota, Michigan and New York, and will likely be hit with higher costs and a more unreliable grid.

“The market is going downhill quicker than the American bobsled team right now, and it’s unacceptable,” Ford told host Liz Claman on Fox.

“The situation he has put American families in, Canadian families and around the world, it’s just going to hurt.”
 

The Prowler

Site Supporter
Reaction score
3,738
Location
Canada
So, does anyone here know exactly how this new tariff is working?

The Ontario government is placing a tariff on Whom?!?!?

And then....what?!?

Do residential customers in the US have contracts that state their electricity cost?

So is it the State that is buying the electricity from Ontario, and then selling it to their customers?

Details, people. How can you can a good discussion without providing the details?
 
OP
OP
Jack

Jack

Squeeze the Base
Site Supporter
Reaction score
3,903
Location
Upper US
So, does anyone here know exactly how this new tariff is working?

The Ontario government is placing a tariff on Whom?!?!?

And then....what?!?

Do residential customers in the US have contracts that state their electricity cost?

So is it the State that is buying the electricity from Ontario, and then selling it to their customers?

Details, people. How can you can a good discussion without providing the details?
Next months electric bill will have a 25% "surcharge" added to the bill if you are an american customer of an ottowa electric company or subsidiary.

That's what I've read, anyway
 

The Prowler

Site Supporter
Reaction score
3,738
Location
Canada
Next months electric bill will have a 25% "surcharge" added to the bill if you are an american customer of an ottowa electric company or subsidiary.

That's what I've read, anyway

There is no such thing as "an ottowa electric company".

Do you know who is the customer of the electricity coming from Ontario?

Is it the State, or the individual residences? If you do not know, just say so.
 

The Prowler

Site Supporter
Reaction score
3,738
Location
Canada
Sorry...Ontario.

I have been telling you this for how long now?

Since January.

You need to learn to listen.


Anyways, back to the topic:

Do you know who is the customer of the electricity coming from Ontario?

Is it the State, other electric companies, or the individual residences? If you do not know, just say so.
 
OP
OP
Jack

Jack

Squeeze the Base
Site Supporter
Reaction score
3,903
Location
Upper US
In NY it's the NYISO, which works with Hydro Quebec and Ontario's IESO. These are the independent agencies on the canada and the us side that get power from Hydro Quebec and distribute it to the NY state electric companies that provide the power to the businesses and residents that use it.
 
OP
OP
Jack

Jack

Squeeze the Base
Site Supporter
Reaction score
3,903
Location
Upper US
Is the NYISO a government agency?

IESO in Ontario is owned by the Ontario government.
No, the NYISO is a not-for-profit 501(c)3 state corporation.

It is overseen by the Federal Energy Regulatory Commission, however.
 

The Prowler

Site Supporter
Reaction score
3,738
Location
Canada
No, the NYISO is a not-for-profit 501(c)3 state corporation.

It is overseen by the Federal Energy Regulatory Commission, however.

So there might never be an increase to the residential customers. The NYISO might have enough money in their reserves to absorb the cost.

Even if they were to pass the cost onto the home consumer immediately, you do not know how that would translate in real dollars. It would only be a portion of the electricity, and the electricity is only a portion of the total bill (there will be "delivery" charges, admin charges, etc.). So the real impact on the residential customer, or end-user, is unknown.

This development could motivate the NYISO to increase their own electricity charging/producing capacity so that they are no longer dependent on Ontario. That is exactly what Trump is trying to accomplish.
 
OP
OP
Jack

Jack

Squeeze the Base
Site Supporter
Reaction score
3,903
Location
Upper US
So there might never be an increase to the residential customers. The NYISO might have enough money in their reserves to absorb the cost.

Even if they were to pass the cost onto the home consumer immediately, you do not know how that would translate in real dollars. It would only be a portion of the electricity, and the electricity is only a portion of the total bill (there will be "delivery" charges, admin charges, etc.). So the real impact on the residential customer, or end-user, is unknown.

This development could motivate the NYISO to increase their own electricity charging/producing capacity so that they are no longer dependent on Ontario. That is exactly what Trump is trying to accomplish.
I have no idea how the 25% surcharge is going to be implemented. All I'm reacting to is what your PM is saying. It made Trump back off immediately, as he gave the tarriffs another month of breathing room.

Your PM says he's not backing down, and it looks like oil tankers from canada are now heading to EU ports instead of US ports, as of today. Plus no US alcohol in canada going forward?

Seems like a trade war brewing?
 

LotusBud

Site Supporter
Reaction score
9,737
Location
Portugal
It's so great to see Trump looking out for Americans. OK, well, for his voters. Umm, well, for his ego and his bank account. Yup. That's it.
 

The Prowler

Site Supporter
Reaction score
3,738
Location
Canada
I have no idea how the 26% surcharge is going to be implemented.

It is being charge to the NYISO. They are the customer of the IESO.

All I'm reacting to is what your PM is saying.

Doug Ford is not the Prime Minister. He is the Premier of Ontario.

Ottawa is not Ontario. Ottawa is a city in Ontario that happens to be the Capital of Canada.

The Capital of Ontario is Toronto.

It made Trump back off immediately, as he gave the tarriffs another month of breathing room.

I doubt that very much.

Trump is backing off on the tariffs because it is too soon and it would be too harmful to some sectors like automobile production.

I am very disappointed in Doug Ford because he should be coordinating with the big auto makers to present their case to Trump in a more private way. These public statements and publicity stunts are not helpful.

I believe that Trump is doing this the haphazard way he is doing it is because he is frustrated that there has been little to no action to modify the current system to the way he wants it: As much as possible being Made in USA.

He warned of tariffs months ago, but everyone that it affects has just sat on their hands and done nothing. Now they are panicking.

When he warned of tariffs, there should have been immediate action.

Your PM says he's not backing down, and it looks like Oil tankers from canada are now heading to EU ports instead of US ports, as of today. Plus no US alcohol in canada going forward?

Seems like a trade war brewing?

We should do what is best for us.

That said, if we do things to the USA that harms the USA to the point that they need to invade us to take control of our resources, then that is going to be our own fault.
 

The Prowler

Site Supporter
Reaction score
3,738
Location
Canada