Goderich council has voted to go ahead with a merger between Goderich Hydro and Erie-Thames Hydro.
Goderich board member Duncan Jewell says the province has been exerting pressure on smaller utilities to either merge or sell, and the Goderich model is no longer sustainable.
Jewell says Goderich is the tenth smallest utility in the province with the fourth highest costs and often relies on outside expertise to run the utility -- and that comes from Erie-Thames.
Jewell says there will be no change in rates as a result of the merger for five to ten years, and that decision is up to the Ontario Energy Board. He adds there will be increases in the commodity side and that's determined by the province.
Current staff will be protected in their jobs and location for the next three years and the service centre on Huckins Rd. will be leased by Erie-Thames for at least the next ten years.
Crews will work out of that location, and other Erie-Thames operations could be transferred there.
Jewell says staff will now prepare a letter of intent to merge and begin further negotiations with Erie-Thames.