The Ontario government recently announced that they were surprised that energy costs have gone up with the new time of day billing program. What a surprise! The surprise is that the government couldn't figure out that there would be an increased to the consumer... Isn't that what they wanted?
Last year they added 8% Provincial Sales Tax to utilities, and now this.
For the politicians out there: The only rate that is lower is the off peak, and we don't use much electricity during off peak, therefore we will pay more. Couple this with the new sales tax, the fear is HOW MUCH MORE...
But to show that politicians truly do understand, landlords in Ontario are allowed to increase their rents by 0.75% in 2011. Let’s see what the impact of this will be. Since Property Taxes are going up 5%, most utilities up 8%, electricity moving to time of day billing, sub-contractors will no doubt be passing their cost increases along. The market value of rental properties in Ontario will drop, as profit disappears, and serious investors will move to other provinces where decent returns are still permitted.
No one is building new rental properties in Ontario.
I guess the New Democratic Party has figured this out and thus have proposed that landlord not be allowed to go to market rents when a long-term tenant moves out.
Just my rant!
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