Email to Hydro boss claims mismanagement ignored
Last Updated: Thursday, October 22, 2009 | 6:11 PM CT
CBC News
Related
Confidential correspondence obtained by CBC News between a Manitoba Hydro whistleblower and the company's CEO suggests the utility didn't investigate claims of mismanagement when it had the chance.
CBC News first reported last week on a whistleblower's allegations that the Crown corporation is miscalculating how much power it can generate and sell, and that the province could face significant blackouts in the future.
The complaint, filed with the province in 2008, accuses the utility of taking too many risks with the province's power supply and alleges mismanagement has cost Hydro more than $1 billion.
The whistleblower is a New York-based risk-management consultant who worked for Hydro for five years, until last year.
An Oct. 20, 2008, email obtained Thursday — partially redacted by the consultant before she forwarded it to a CBC reporter — contradicts Hydro CEO Bob Brennan’s assertions that the utility wasn't able to properly assess her allegations.
Brennan had said a third-party consultant hired to investigate the New York risk expert's claims was denied access to her findings.
“We asked the individual involved if we could release the information to a third party, and the individual said no,” Brennan said in an Oct. 15 interview.
But in the email, the consultant offers to share evidence directly with Brennan that Hydro’s financial projections were incorrect.
“I would like to have the opportunity ASAP to point out to you line by line all the errors in the financial projections so you can see for yourself and with your own eyes what is being done incorrectly,” the consultant wrote.
The consultant also blames Brennan in the email for “ongoing inaction” in discussing the findings she had made.
“There is a genuine concern and fear that you are not in fact interested in getting to the bottom of this.”
Brennan told CBC News that by the fall of 2008, Hydro had severed all ties with the risk expert.
“I have confidence that we are doing the right things,” he said.
He said Thursday that each time the whistleblower contacted Hydro to discuss the alleged mismanagement, more money was requested as payment for discussing the claims.
The province ordered a special audit of Hydro on Wednesday based on the risk consultant's allegations.
The Manitoba auditor general will bring in out-of-province experts to assist with the review.
Share Tools
Latest Manitoba News Headlines
- Missing boater may have struck reef, police say
- A boater who has been missing since Tuesday may have struck a reef, police say, adding a search for the man is continuing. more »
- Crime spree ends with 46 break-in charges
- Police in Winnipeg think they have caught the person behind a string of early-morning break-ins, where a vehicle was used to smash into businesses. more »
- RCMP to close labs in Halifax, Winnipeg, Regina
- The RCMP is closing forensic laboratories in Halifax, Winnipeg and Regina and consolidating them with three others in a move the force says will lead to faster, more efficient service. more »
- Winnipeg's Union Station to get facelift
- The 100-year-old Union Station in Winnipeg is set to get a $6.5 million facelift. more »
Top News Headlines
- Attack on Syrian villages deadliest yet, activists say
- More than 90 people have been killed by regime forces in a district of central Syria, activists say, and as many as half the victims may have been children. more »
- Aylmer triple stabbing leads to first-degree murder charges

- The estranged partner of a young mother who was stabbed to death along with her parents at their home in Aylmer, Que., has been charged with first-degree murder Friday. more »
- Tornado touchdown confirmed near Montreal
- Trees were uprooted, roofs damaged and windows shattered as severe thunderstorms, and possibly a tornado, rattled through southwestern Quebec Friday night. more »
- The risks and responsibilities of taking on Mt. Everest

- The deaths of six climbers last weekend on Mt. Everest, with more summits underway this weekend, fuels the debate about the risks and responsibilities of high altitude climbing. more »
- Winnipeg WWE wrestler Chris Jericho suspended after flag incident
- Crime spree ends with 46 break-in charges
- Missing boater may have struck reef, police say
- Outhouse bear attack survivor was grabbed from 'throne'
- First-time homebuyers find frustration in Winnipeg
- Winnipeg's Union Station to get facelift
- Kelvin High School celebrates 100 years
- RCMP to close labs in Halifax, Winnipeg, Regina
- MPI asked to cover tab for officers' overtime

