Merger of Brantford Power and Energy+ Approved by Municipal Shareholders
August 31, 2021
Cambridge and Brantford, ON (August 31, 2021) – Brantford Energy Corporation and Cambridge and North Dumfries Energy Plus Inc., are pleased to announce that the three municipal shareholders, the City of Brantford, the City of Cambridge and the Township of North Dumfries, have approved a proposed merger of the two companies to create a new, yet-unnamed energy corporation. The two electricity utilities and the municipal shareholders are now positioned to submit an application for regulatory approval later this fall to the Ontario Energy Board (OEB).
“This is very positive news,” said Paul Kwasnik, CEO & President of Brantford Energy Corporation. After many months of hard work and rigorous due diligence, we are pleased that each shareholder sees the value and has approved the proposed merger between Brantford Power and Energy+ and their non-regulated affiliates. Together, we are committed to continuing to operate at the highest level of service and expect to be better positioned to explore innovative solutions for the benefit of our customers and communities.”
Cambridge and North Dumfries Energy Plus Inc. President & CEO Ian Miles agreed, “The energy industry landscape continues to evolve at a fast pace. This proposed merger is an opportunity for a stronger utility to realize greater efficiencies and additional capacity to evaluate new technologies and services for customers while continuing to be owned by and benefit the municipal shareholders.”
If the Ontario Energy Board (OEB) approves the merger, the new company will be 100% municipally-owned (City of Cambridge 54.3%, City of Brantford 41% and Township of North Dumfries 4.7%).
The proposed merger is expected to create many positive benefits for customers and communities, including:
- Stable and competitive distribution rates for ten (10) years following the merger;
- Continued presence in local communities for the long term, creating ongoing employment
- Greater capacity to focus on future growth and advancements in technology;
- Enhanced opportunities for innovative service solutions for customers and local businesses;
- Strengthened customer response, with 24/7 control room capabilities across the entire service area;
- Increased efficiencies; less duplication of services;
- Diversified job opportunities and fair treatment of employees;
- A larger entity is capable of withstanding significant changes in the economy (e.g. impact of COVID-19);
- Increased shareholder value, providing enhanced dividends for each community.
With the approval of municipal shareholders now secured, the next step for the utilities and their shareholders will be drafting a Mergers, Acquisitions, Amalgamations and Divestitures (MAADs) application to be submitted to the Ontario Energy Board (OEB) for regulatory review and approval. The OEB process reviews many aspects of the merger, including a “No Harm Test’ that ensures the proposed merger does not adversely affect ratepayers. A merger would only take place following OEB approval, expected in 2022.
A centralized website EnergizingOurFuture.ca is available for utility customers to keep informed as the application makes its way through the OEB regulatory approval process.
About Brantford Energy Corporation
Brantford Energy Corporation (BEC) operates as a holding company for both regulated and unregulated affiliate businesses. The regulated affiliate, Brantford Power Inc., is the local distribution company that distributes electricity and value-added services to over 41,000 customers. The unregulated affiliates are Brantford Hydro Inc., NetOptiks and Enersure Home Comfort. BEC’s sole shareholder is the City of Brantford.
About Cambridge North Dumfries Energy Plus Inc.
Cambridge North Dumfries Energy Plus Inc. operates as a holding company for both regulated and unregulated affiliate businesses. The regulated affiliate, Energy+ Inc., is the local distribution company that distributes electricity and value-added services to more than 68,000 customers. The City of Cambridge and Township of North Dumfries are shareholders of the holding company. The unregulated affiliates are Cambridge and North Dumfries Energy Solutions Inc. and a minority interest in Grand River Energy Solutions Corp (GRE).
For more information, please contact:
Manager, Communications & Stakeholder Relations| Brantford Power Inc.
O: 519-751-3522 Ext. 5268 | M: 226-387-4730 |[email protected]
Communications Manager| Energy+ Inc.
O: 519-621-3530 Ext. 2260 | M: 226-750-8597
| [email protected]