Monday , April 19 2021

The Government of Ontario to limit Hydro One's Directorate General's Compensation to $ 1.5 Million

The Ontario Premier Doug Ford government has decided to limit total compensation to the next CEO of Hydro One at $ 1.5 million, senior government sources told The Globe and Mail.

This week's Planning and Priority Committees, a meeting with Ford and his cabinet's highest-level plan to drive "hard overpower" of $ 1.5 million to the next CEO of Hydro One. sources said. Hard cover information is not finished, but it may include wages and stock opportunities and benefits. However, sources could not say whether the restriction was included in the growth of share options. It is also not clear what kind of compensation would be triggered when a person leaves.

The sources of The Globe were anonymous because these issues were confidential.

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Fords and his cabinet minister saw a figure of 1.5 million dollars as a competitive salary, but according to the Ford campaign, he promised to cut spending on utility and lower hydropontages, said senior government source.

Former Director-General Mayo Schmidt has become a lightning strike, which is offended by the rise in electricity prices during the spring election campaign. Mr Ford had noted the executive director of the "six million dollar man" because of his compensation and promised to fire the executive if elected. In July, Mr Schmidt retired, and the utility board suddenly resigned after agreeing with the new Tory government. Mr Ford announced that he had fulfilled his promise, while Mr Schmidt qualified incentives and stock options worth at least $ 9 million after retirement.

The chairman of the Hydro One Board is aware of government plans to set a ceiling and plans to hold a council meeting on Friday, sources said. The senior government source said that the Cabinet did not want to revert to a large package of utilities rights and use its legislative powers to block it.

Globe and Mail last month announced that there are others who will be CEO of the next company between the Ford government and independent directors of Hydro One. The government and industry sources told The Globe that Ford has its own favorable candidates for running Hydro One, including current executive director of Toronto Hydro, Anthony Haines.

The province owns 47 percent of the stock Hydro One, after the previous liberal government partially privatized this utility. The 10 people council has six independent directors, while the others are appointed by the government.

The top government told The Globe that the province fully respects the board's ability to choose its next executive, but it should be included in the compensation system set by the cabinet. A senior source said that the committee also expressed concerns about the compensation offered by the board members for themselves.

Mr Ford has promised slash water prices by another 12 percent. Tories have also adopted comprehensive legislation that partly gives the government authority discharge approval for Hydro One. The draft law requires the Hydro One Board of Directors to establish a new compensation system for the manager and board, in consultation with the province and the five largest shareholders.

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The progressive conservative countries have already adopted their own legislation, known as the Hydro One Accountability Act, which gives the prime minister a veto over managerial remuneration. The new act also requires the company to discover what it plans to pay senior executives, although the new board did not.

The Hydro One chair, Tom Woods, recently told the Washington governor that the utility is considering paying the next CEO every year from $ 2 million to $ 4 million. At that time, the pensioner's investment banker said that the Ontario government had not approved the board's compensation plan.

With Andrew Willis and the Canadian press reports

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