Bill 140 would bar councillors from Toronto Hydro's board

The Western Standard reported that Ontario’s Bill 140 would bar mayors, councillors and municipal staff from the boards of Toronto Hydro and dozens of other local power utilities. Toronto Hydro, an electricity distributor owned solely by the City of Toronto, delivers about 18% of Ontario’s electricity. In their place, boards would have seven to 11 independent directors, and each municipal shareholder could name one unpaid observer with no vote.

The bill has passed second reading, the vote on its principle, and is before committee, which examines it in detail. A final vote and royal assent are still to come. If the bill passes, the changes would take effect by January 1, 2027.

Energy and Mines Minister Stephen Lecce said the change would modernize governance so utilities can meet rising demand. The bill follows recommendations from the government’s PULSE panel, which argued independent boards would give private investors more confidence when utilities seek outside capital. But critics say it removes public accountability from utilities that remain 100% municipally owned. Even so, the government has not said the utilities will be sold.

Sources: Western Standard · Toronto Hydro Corporation · Government of Ontario, Ministry of Red Tape