Mark Jaccard, SFU professor in the School of Resource and Environmental Management was a promoter of private power producers when BC Hydro was ramping up its IPP deals. Jaccard was quoted in a 2002 Vancouver Sun article:
Experts around the world say that there is huge uncertainty about what constitutes the best investment to meet future electricity needs — coal, natural gas, large hydro, nuclear, small renewables. Some of those investments will be colossal losers, but we don’t know which.
Do we want B.C. taxpayers to carry all of that huge financial risk … or do we want to share it with independent power producers who will lose their shirts — not ours – – if they get it wrong?
In his 2018 report ZAPPED, government finance expert Ken Davidson concluded that somebody got it wrong but definitely not the independent power producers:
The Response EPAs [Electricity Purchase Agreements] cost ratepayers an estimated $16.2 billion over 20 years, the estimated period during which BC Hydro will likely not need the energy Government directed it to buy.
The annual impact of this surplus energy to BC Hydro ratepayers is estimated as $808 million per year or ~$200 per year per residential ratepayer, which is equivalent to $4,000 per residential ratepayer over 20 years. The $16.2 billion Estimate is believed to be conservative.