The Ontario Energy Board has fined E.L.K. Energy $5,000 after it could not provide evidence of any formal inspection of its assets.
An inspection of the energy company revealed that no documentation exists to show that inspections were ever scheduled or actions were taken on identified issues.
"This is very serious, it's time for the board to take this as seriously as they should, we're talking about a utility company," said Essex Councillor Sherry Bondy.
The Town of Essex is the primary shareholder of the utility company. The Municipality of Lakeshore and the Town of Kingsville are also shareholders. Residents in all three municipalities have complained about frequent power outages for years.
At one time, Bondy sat on the Board of Directors for the energy company. However, she says she stepped away from the board when she was unable to hold staff accountable.
Bondy said she is hopeful Essex Council will discuss the report and order an outside audit to ensure the best policies and procedures are established.
While the fine is not significant, Bondy said it should act as a signal to take action.
"At the end of the day, I think the penalty is just going to hurt the ratepayer and I don't think that's the intention of the Ontario Energy Board," said Bondy. "It's a signal to the board that they need to take this seriously."
According to the OEB inspection documents, a third party was retained to perform asset inspections. Inspection of at least one-third of E.LK.'s system will be done each year and more formalized records will be kept moving forward.
