Lets get a few items out of the way before we expose the straight goods
Paul Taylor is the CEO of Naikun wind power project, who was once deputy finance minister for the Gordon Campbell goverment and when he left goverment Gordon Campbell appointed him as has head honcho of ICBC .........And I remind you that Taylor was in charge of ICBC through the chop shop scandal and "Rigged auction" scheme.........After the shit hit the FAN he quietly stepped down.
As power projects go I am not opposed to wind power,I think they`re far less destructive than run of river water diversions.
Gordon Campbell who started the gold rush to IPPs and cut BC Hydro out of all the new projects,I find it interesting that`s where Paul Taylor ended up going!
The Naikun wind power project is many many years from delivering even 1 electron of power,the estimated cost of this project is 2 billion dollars$....Well this last july the BCUC came down with their ruling on the BC Hydro call for green power,basically they put the hammer down on the Campbell goverments energy plan,it was a 200 page decision but the bottom line from the BCUC (bcuc their primary job is to protect the rate payer) was that the energy call from BC Hydro was reckless and "NOT IN THE PUBLIC`S INTEREST"
This decision sent the the stock values of IPPs reeling downward.
Now the way I have interpreted these IPPs is this,Gordon Campbell govenrment has signed such lucrative,guaranteed power prices to these IPPS that once they are approved the companies can go to any bank and open up the vault because government has assured these projects to make a killing,all of course backstopped by the BC taxpayer,the problem with these long term power contracts is........
First off we don`t need the power,BC is a net exporter of power,secondly BC Hydro,our beloved crown corporation can produce this power for a third of the cost,thirdly even if we export this power we will be selling the power at a loss,buy high and sell low is not a recipe for success(voodoo economics)
In reading Naikun`s web site there is lots of talk about raising money and the need to raise capitol for this project,the BCUC decision apparently has caused the banks to close the vault.
Naikun power project web site link here
Still with the BCUC decision,after the ruling a howl came from first nations claiming the BCUC were not thinking about global warming,not giving a rats ass about the economic future of first nations and there were allegations from first nations (specifically from the Sechelt band) that the BCUC members were racists!
Leaving that behind for a moment,the BCUC ruling also riled the Campbell government,so now what? Well my suspicious nature and complete distrust of the Campbell government and financial motives of the IPPs suspected some sneak attacks.
So now we have first nations bellaching,Naikun wind power can`t raise money and Gordon Campbell ticked off......
So what happens next?
I got the answer in a Vancouver sun column,a three pronged attack,apparently the Haida first nations has signed a memorandum of understanding to take a 240 million dollar, 30% equity share in this project,before you think I`m a conspiracy theorist lets look at this closely.....
#1) With the Haida coming to the table with 240 million$ it eases the funding problem faced by the Naikun wind power project.
#2)When BC Hydro goes back at the BCUC with another proposal they will be able to say that if you refuse to grant this power call you will now be directly effecting the well being of the Haida first nation.
Now thats a fairly strong argument,if the Haida "cough" up 240 million dollars and then have the door slammed in their face would definitely raise the ire of first nations.........
But here`s the rub,first off I was amazed that the Haida had 240 million dollars but after reading the Vancouver sun column it became perfectly clear,the details in the column are sketchy at best but there were many red flags,or at least that`s the way I perceived them......
The story goes on to say that the Haida first nation is looking to Ottawa........It doesn`t say or imply why they are looking at Ottawa but one can only assume that the Haida are looking at Ottawa to gift,grant,lend,them the 240 million dollars. SAY WHAT?
There is another very telling statement quoted in the article from ex ICBC and now Naikun CEO Paul Taylor......Taylor believes "The project can succeed,within Hydro`s framework for the rates it will pay to buy independent power."
WOW.......If that isn`t proof that the price guarantees from BC Hydro(the taxpayer) are the driving force behind these projects,Taylor says nothing about the project being profitable on it`s own merits in a free market,because as Rafe Mair and many others have reported we will be buying power high and selling it low,I might not be an economist but I`m not stupid!
My last point is this,I have no ill will towards the Haida but.......To have Ottawa give the Haida tax dollars so that the Campbell government can guarantee more tax dollars to buy power at a rate we can`t afford for the benefit of a private for profit IPP is NUTS......That sounds like socialism for private industry and private shareholders paid for by the rate payers of BC.
Here is the link to the Vancouver sun column