Renfrew Hydro is exploring options for a loan, but will Council sign off on it?
Representatives from the hydro company met with councilors on Tuesday, August 29th, to explain that borrowing a million dollars would keep them on track as they prepare for a five-year schedule of planned distribution system improvements.
They have already explored options for the loan, including going through Infrastructure Ontario and local banks, among other ways.
The cash influx would immediately bring them back up to date with payments to their sister company, Renfrew Power Generation, where they purchase the hydroelectric power that they then distribute.
Despite Renfrew Hydro explaining that they would remain well under the amount of debt that is considered general practice for similar hydro companies even after taking on the loan, Town Council would ultimately decide that they needed until their next meeting on Tuesday, September 12th, to consider the request.
The council’s blessing is a necessary step for the loan to happen, as they are the unanimous stakeholder who signs off on borrowing and capital projects past certain amounts.
(written by Kasey Egan)