Why Consider a Merger?
The decision by municipal shareholders to explore the possibility of merging two electric utilities is driven by some key factors:
- Experience from other utility mergers in Ontario has demonstrated that consolidation of electric utilities has resulted in positive outcomes for the customers, the communities, the shareholders and the employees;
- The Ontario government’s ongoing attention on local distribution companies (LDCs) finding efficiencies through consolidation, and,
- Ontario electric utilities are rapidly changing, introducing technological advancements in response to customer wants and needs. A merger is a pathway for utilities to move forward with new technologies.
Benefits of a Potential Merger
A merger between like-minded electric utilities has proven to bring positive outcomes for customers, communities, shareholders and employees including:
- Stable distribution rates for the first ten years after a merger;
- Continued local presence and local ownership;
- Greater capacity to deliver advancements in technology in response to customer requests;
- Enhanced opportunities for innovative solutions for customers and local businesses;
- Increased opportunities for efficiencies;
- Commitment to maintain high level of customer service;
- Continued commitment to a safe and reliable supply of electricity;
- Diversified job opportunities and fair treatment of employees;
- Increased shareholder value, providing strong dividends for each community.
Brantford Power and Energy+ are a Good Fit
There are many reasons why a potential merger of Brantford Power and Energy+ makes sense:
- Brantford Power and Energy+ have a long-standing, positive relationship and it is not uncommon for them to be involved in joint projects. They collaborate on several initiatives including joint safety programs, the Community Energy Investment Strategy and sharing of equipment and personnel in times of emergency.
- Together, Brantford Power and Energy+ co-own and maintain a transformer station on Powerline Road in Brantford.
- Through a shared services agreement, some of Energy+'s Operations Team shares space in Brantford Power’s newly built Operations Centre in Brantford.
- The utilities service territories adjoin and they both service customers in and around the City of Brantford.
- The companies are active members of the GridSmartCity Cooperative, whose joint initiatives and collective purchasing power help its members run smarter utilities.
- Brantford Power and Energy+ are members of the Utilities Standards Forum, a non-profit, volunteer based corporation comprised of 53 Ontario local distribution companies who collaborate, share best practices and trouble shoot common challenges.
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