Saskatchewan NDP foresee utility rate hikes due to government using Crown corporation profits
So ummmm, Mr. Lingenfelter? Just one question for you, and you can maybe think on this for a bit...
You despair for the individual Crowns who are being forced to pay dividends to the government, and you assert that some of those Crowns may be hamstrung by having to pay the dividend.
Except that the only Crowns that actually generate any profits to pay a dividend would be Liquor, Gaming, Tel and Gas. SLGA doesn't need any money for expansion or renovations, and apparently they just increased their profits. Gaming isn't expanding anything and doesn't need money to reinvest. Sasktel is in a marketplace where it constantly has to upgrade it's equipment, and as such, budgets upgrades as part of its rates. SaskEnergy buys and sells natural gas, and doesn't seem to be expanding its infrastructure right now, nor does it need to upgrade its infrastructure at this time as it has just built its lines.
So really, Mr. Lingenfelter, that leaves all four available to pay a dividend no greater than your governments expected them to pay in your hayday.
Might want to find another line of attack, the last two really haven't been able to really change anyone's mind.
Oh, and Duane? The Saskatchewan Party is treating the Crowns just like any investor of a closely held company - they expect the profits, less suitable reserve for capital, to go to the owners.
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