Quote:
Originally Posted by Makarov
Thanks. Now can somebody provide a source for the allegation that Quebec purposely sells its hydro-electricity to large corporations at significantly below market rates in order to lower their equalization "revenue score" and thus recieve more in the way of equalization transfers?
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Quebec's hydro cost to its consumers is half that of Ontario. Why?
Edit: Alberta could try some of Quebec's strategy. How?
Well, how about the province subsidize gas prices to its citizens instead of slapping hefty royalties on oil companies? That would reduce the fiscal capacity of Alberta too.
However, Alberta chooses not to do so and as a result, its fiscal capacity for the purposes of calculating equalization has skyrocketed, and made provinces without oil eligible for much more cash from Ottawa.
One could argue that strategy might be somewhat unethical but it certainly is not illegal, not at this point in time anyhow.