Corporate Governance for Municipally-Owned Local Electricity Distribution Utilities

Local distribution electricity utilities (“LDCs”) have been a source of stable and predictable income for their municipal owners. That is in large measure a result of the fact that LDCs are providing a monopoly service overseen by a regulator charged with the obligation, among other things, to ensure the stability of the LDCs.

Energy/Tax Law Update 2015

The 2015 Ontario Budget, released on April 23, includes proposed measures that are intended to set the stage for consolidation within Ontario’s electricity distribution sector. At a high level, the measures are a limited-duration reduction of barriers to private sector investment in municipally owned electricity utilities (MEUs).