At Oakville Hydro Corporation we measure success a number of ways. First and foremost we ask ourselves, have we safely and reliably kept the lights on? The answer is yes.

It’s Oakville Hydro’s job to build, and continually improve upon the highly reliable and resilient electricity distribution network that serves the Town of Oakville. While keeping the lights on is critical to our mission, the health and safety of customers and our workforce is paramount. Our employees understand that if a job cannot be done safely it is not to be attempted.

The second way we measure success is by our financial performance and our “bottom line” results. Oakville Hydro is financially secure. In 2007 we achieved record profitability and marked the seventh consecutive year of uninterrupted earnings (EBITDA) growth. We are particularly proud of the fact that Oakville Hydro’s increasing profitability is due to lines of business other than electricity distribution. Put another way, our profits are not being earned on the backs of our electricity customers in Oakville.

The fact is that the profitability of the electricity distribution segment of our business, which is regulated by the Ontario Energy Board (OEB), is declining. The only way to increase profits generated by the electricity distribution business is to either control operating expenses, reduce service or increase rates. We’ve controlled our costs and continue to operate the distribution system with approximately 100 employees, the same as in 2000 and down from 120 employees in 1997. We have no intention of reducing service, and are only permitted to increase our prices by two thirds of the rate of inflation.

Recognizing the downward trend in profitability of the electricity distribution business, Oakville Hydro Corporation developed and executed a strategic plan to diversify by launching and growing profitable, competitive ventures. This strategy was successful as demonstrated by our thriving telecommunications subsidiary, Blink Communications, and our energy businesses.

This strong foundation of successful businesses allows Oakville Hydro to make the necessary investments to strengthen Oakville’s power distribution system, which supports the continued sustainable growth and success of the Town, its citizens and businesses.

Oakville Hydro’s financial strength also means we are able to provide a significant return to our shareholder, the Town of Oakville. Dividends and other payments to the Town provide direct benefit to the entire community. In addition, Oakville Hydro’s financial strength allows us to explore ways to grow our business by pursuing low risk, profitable business ventures that further enhance Oakville’s economic and social position. You can view our latest audited financial statements by following this link. Oakville Hydro Corporation - Corporate Profile

A third measure of our success is about sustainability. We must ask ourselves the question - is what Oakville Hydro doing today operationally sustainable? Here again the answer is yes. Our physical assets are in excellent condition. We have the business plans and the resources that make us financially sustainable and we have the human resources making Oakville Hydro a strong and viable service provider.

Finally, our business must be environmentally sustainable. We have a number of programs to help reduce the overall demand for electricity, and to help customers conserve energy in their homes and businesses. (Please follow this link to see the details of these programs.) Oakville Hydro Energy Services Oakville Hydro’s strategic business plan directs the corporation to actively pursue feasible opportunities to generate renewable power and, in July of 2007, our first “green power” production facility, a Landfill Gas to Energy project, went into full operation. Here's a link to a video that explains the project. Renewable Power Generation Project The process involves the simultaneous production of “green” electricity while eliminating a significant source of potent environmental pollution - methane gas - coming from landfill waste.

We are currently pursuing a number of other projects, including renewable energy generation, cogeneration and district energy. Specifically, we are advancing our plans to build a district energy system for the development at Third Line and Dundas, as well as actively pursuing the development of business ventures to increase the efficiency of energy use in Oakville’s residential and commercial buildings. We look forward to providing updates in the near future.

2007 marked Oakville Hydro’s centennial year and, on behalf of all our employees, we thank the Town of Oakville and its citizens for their support and we look forward to serving the community for many more years to come.

2008 is shaping up as another successful and exiting year. We delivered excellent financial performance during the first quarter and paid a record level of dividends to our shareholder. We continue to make significant progress on a number of fronts that will ensure Oakville remains a leader in environmentally sustainable energy infrastructure.

I thank you for your interest in Oakville Hydro Corporation and I encourage you to learn more about us by visiting other areas of this website.

Yours truly,

Alex Bystrin
President and Chief Executive Officer
Oakville Hydro Corporation