The provincial government is on the offensive after facing tough backlash regarding a lawsuit they brought forward late last month against several energy companies.
The NDP government faced almost immediate criticism from the Wildrose Party, the PC party of Alberta and the likes of Calgary Mayor Naheed Nenshi and Janet Riopel, the president and CEO of the Edmonton Chamber of Commerce.
The wide-ranging criticism paints the NDP government as everything from irresponsible to inept for bringing forward an action — that both the Wildrose and PC say — could have been avoided had it consulted industry before it passed its climate leadership plan that includes a carbon levy.
The government alleges that during the deregulation process a last-minute clause was forged in secret by the Progressive Conservative cabinet of the day under pressure from the now-defunct energy giant Enron.
The so-called "Enron clause" gave power companies a loophole to bail out of Power Purchase Arrangements (PPAs) to the government-created Balancing Pool if future policy changes made them "more unprofitable."
The government says that it is taking legal action to protect consumers from $2 billion in liability in additional utility costs if energy companies are allowed to opt out so freely.
Since the NDP government increased the carbon levy on large emitters Jan. 1, Enmax and three other power companies have applied to terminate their arrangements to buy electricity from coal-fired plants.
Cheryl Oates, the communications director for Premier Rachel Notley, said the package was released because they "tell our side of the story."
"The emails show a very cozy relationship between Enron and the government at the time that allowed Enron to lobby for a clause that would change the power purchase arrangements after they had gone to public hearings, so they were in the interest of one company over the public," Oates told CBC News.
The NDP government says the documents show the "Enron clause" wasn't included until months after the public hearings attended by dozens of municipalities, industrial consumers and consumer advocates in October of 1999.
According to the documents provided by the government on July 27, 2000, five days before the clauses were going to take effect there was an email exchange between an Enron lobbyist and the bureaucrat leading the transition. Robert Hemstock, Enron's Canadian head of government relations, contacted Larry Charach, the head of electricity for Alberta Department of Resource Development (ADRD).
Alberta government releases documents showing birth of 'Enron' clause - Edmonton - CBC News
The NDP government faced almost immediate criticism from the Wildrose Party, the PC party of Alberta and the likes of Calgary Mayor Naheed Nenshi and Janet Riopel, the president and CEO of the Edmonton Chamber of Commerce.
The wide-ranging criticism paints the NDP government as everything from irresponsible to inept for bringing forward an action — that both the Wildrose and PC say — could have been avoided had it consulted industry before it passed its climate leadership plan that includes a carbon levy.
The government alleges that during the deregulation process a last-minute clause was forged in secret by the Progressive Conservative cabinet of the day under pressure from the now-defunct energy giant Enron.
The so-called "Enron clause" gave power companies a loophole to bail out of Power Purchase Arrangements (PPAs) to the government-created Balancing Pool if future policy changes made them "more unprofitable."
The government says that it is taking legal action to protect consumers from $2 billion in liability in additional utility costs if energy companies are allowed to opt out so freely.
Since the NDP government increased the carbon levy on large emitters Jan. 1, Enmax and three other power companies have applied to terminate their arrangements to buy electricity from coal-fired plants.
Cheryl Oates, the communications director for Premier Rachel Notley, said the package was released because they "tell our side of the story."
"The emails show a very cozy relationship between Enron and the government at the time that allowed Enron to lobby for a clause that would change the power purchase arrangements after they had gone to public hearings, so they were in the interest of one company over the public," Oates told CBC News.
The NDP government says the documents show the "Enron clause" wasn't included until months after the public hearings attended by dozens of municipalities, industrial consumers and consumer advocates in October of 1999.
According to the documents provided by the government on July 27, 2000, five days before the clauses were going to take effect there was an email exchange between an Enron lobbyist and the bureaucrat leading the transition. Robert Hemstock, Enron's Canadian head of government relations, contacted Larry Charach, the head of electricity for Alberta Department of Resource Development (ADRD).
Alberta government releases documents showing birth of 'Enron' clause - Edmonton - CBC News
