At a rally in Thunder Bay Tuesday night, Progressive Conservative Leader Doug Ford promised voters that the CEO of Hydro One would be "gone" under a Tory government — a threat Ontario's energy minister described as "banana republic-ish."
Hydro One CEO Mayo Schmidt made $6.2 million in 2017, according to the company's filings. His high compensation has been rising since he took the helm of the company in 2015 and is a source of outrage for opposition politicians — and many Ontarians who are critical of the government's move to sell off a majority stake of the utility.
CBC <a href="http://www.cbc.ca/news/canada/toronto/doug-ford-northern-ontario-1.4614005" target="_blank" rel="noopener">reported</a> that Ford added a new section in his speech on Tuesday night in Thunder Bay, which appeared to be a threat to fire Schmidt.
"This guy has the nerve to give himself a $1.7 million raise," Ford said, according to the broadcaster. "That's disgusting. That is absolutely disrespecting the taxpayers. Well I can tell you folks I'm putting him on notice. He is on notice. He is gone. He is gone when we get down there."
Ford didn't spell out how he'd make Schmidt go, given the government's decision to sell a majority stake in the company. Ford's head of war room communications, Melissa Lantsman, told QP Briefing details would be forthcoming — so "stay tuned."
According to Energy Minister Glenn Thibeault, the government retains the power to remove the company's board of directors, and it's the board of directors that has the power to remove the CEO.
However, wielding that power in such a way to see the CEO fired would send a terrible message to the business community, according to Thibeault.
"It's making sure we create a business climate that isn't so banana republic-ish, where you can say you're going to go around and start firing CEOs," he said.
"Ultimately, it just goes to show that Doug Ford does not understand the electricity system. This is a rate-regulated company through the OEB. Removing the CEO and executive wouldn't change anything on anyone's bills, wouldn't actually remove half a cent off of anyone's bills."
Thibeault said he understands that the CEO's compensation is "larger than what most people will ever see," but when asked if he would reduce it, if he could, Thibeault stressed that most of Schmidt's salary is based on incentives he's awarded for finding savings that ultimately benefit ratepayers.
"When we found $114 million in savings, that's actually helping the ratepayer," he said. "Right now, the decision of the board is that we're keeping good people in positions that they can clearly do what the government is asking, which is lower rates, and that's what we're doing with Hydro One."
QP Briefing has reached out to Hydro One for comment and will update this story should a response become available.

Energy Minister slams Doug Ford’s threat to fire Hydro One CEO as ‘banana republic-ish’

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