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Aluminium ou exportation: de l'usage de l'électricité québécoise (With English summary.)

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  • Gérard Bélanger
  • Jean-Thomas Bernard

Abstract

While the price of elasticity is higher in the North-Eastern United States than in the Quebec industrial market, the Quebec government is maintaining its traditional policy of promoting the establishment of electricity-intensive industries by providing them with electricity at a price below the export price. This was the case with the recent establishment and expansion of four aluminum plants in Quebec. This decision has led to an estimated annual loss of $300 million in revenue for the next 24 years. This represents an indirect subsidy of $190,577 per job directly created by the aluminum plants for each of the next 24 years. This choice of favoring regional development through industrialization matches the traditional role that electricity has played in Quebec public policy.

Suggested Citation

  • Gérard Bélanger & Jean-Thomas Bernard, 1991. "Aluminium ou exportation: de l'usage de l'électricité québécoise (With English summary.)," Canadian Public Policy, University of Toronto Press, vol. 17(2), pages 197-204, June.
    • Handle: RePEc:cpp:issued:v:17:y:1991:i:2:p:197-204
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    References listed on IDEAS

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    1. Spies, Paul, 1990. "Variable electricity prices for aluminium smelting in northwestern USA," Energy Policy, Elsevier, vol. 18(2), pages 162-169, March.
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    Cited by:

    1. Molyneaux, Lynette & Wagner, Liam & Froome, Craig & Foster, John, 2012. "Resilience and electricity systems: A comparative analysis," Energy Policy, Elsevier, vol. 47(C), pages 188-201.

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