Dec 182008
 

By providing land for the power station, the district is exposing itself to the risks taken by the proponent – which is:

  1. A for-profit company, which would be guided by maximizing profit – with an “acceptable level” of risk – and this may well be different from the District’s level of acceptable risk.
  2. No doubt a limited company with only the power station as an asset;
    • Which wouldn’t be worth much if it had to be shut down – it could even be left to the District as an expensive liability if the company went bankrupt, due to an accident, the economy or other problem.
    • Leaving the district with potentially unlimited liability if there was a fatal accident.

  2 Responses to “Issue: Liability”

  1. At least council ought to re-open debate and produce an opinion from its lawyers regarding:

    Municipal liability in case of an accident or other peril.

    Municipal liability in the event they rescind their “agreement in principal”.

    One assumes the longer they wait the greater the damages might be.

    http://balafalls.spaces.live.com

  2. The municipal government has rushed into an “agreement in principal” this project. Due to poor policies, they have failed to undertake adequate public consultaion which might have answered public safety and other concerns. Therefore:

    A petition has been drafted to the Mayor, Councilor(s) and District Chair of the District Municipality of Muskoka and of the Township of Muskoka Lakes to undertake the following:

    That the District Municipality of Muskoka rescind the agreement “in principal” to release municipal land at Bala for construction of new hydro generation facilities; and that District Municipality of Muskoka transfer control of the land at Bala Falls to the Township of Muskoka Lakes; and that the Township of Muskoka Lakes hold a plebiscite or other public hearings to determine the wishes of the voters regarding the development of municipal lands at Bala Falls.

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