Wednesday, December 24, 2014

Full Privatization of Ontario's Energy Sector a Must

Socialists of all stripes are aghast at the Wynne government's plan to sell off Hydro One Brampton but instead of these tiny, halting steps in the right direction it would be far better to have the totality of the state monopolized energy sector auctioned off to the highest bidder. It is precisely the most important industries, such as power, which must be wrested away from state control post haste. How else but through a freely fluctuating price system realized with the actions of producers and consumers are we to determine which forms of power are most economic? Does anyone really believe that the decisions of bureaucrats and planners can compare with market competition and entrepreneurial activity when it comes to allocating scarce resources efficiently? Can anyone tell me with a straight face that a government monopoly, highly bureaucratic and without competition to keep it in check is going to do a better job than various competing firms on a free market?

So let's not just auction off Hydro One Brampton; let's sell off both Hydro One in it's entirety and Ontario Power Generation as well and get the government out of the electricity game all together. And after you privatize power, don't tax or regulate this industry either. Let a market flourish, free of the burden of taxation and unnecessary regulation. Use the proceeds from this auction to cut taxes and call it a day.

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