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An Act to amend The Energy Rate Stabilization Act

R.S.M. 1987 Supp., c. 15

An Act to amend The Energy Rate Stabilization Act

Definition amended.

1

The definition "Canadian principal equivalent" in section 1 of The Energy Rate Stabilization Act, chapter E115 of the Re-enacted Statutes of Manitoba, 1987, is amended by striking out the words "subject to subsections 2(3) and 4(3)".

Definition "foreign currency" added.

2

Section 1 of the Act is amended by adding immediately after the definition "fiscal year", the following definition:

"foreign currency" does not include United States dollars; ("devise étrangère").

Definition amended.

3

The definition "foreign debt" in section 1 of the Act is amended by striking out all that part of the clause which precedes clause (a) and substituting therefor the following:

"(d) "foreign debt" means the bonds, debentures, notes and loans repayable in a foreign currency or a foreign unit of monetary value that were issued and sold prior to April 1, 1987".

Definition repealed.

4

The definitions "refinance" and "rate of exchange" in section 1 of the Act are repealed.

Subsec. 2(1) rep.

5

Subsection 2(1) of the Act is amended by striking out "Subject to subsection (2)".

Subsec. 2(2) and (3) rep.

6

Subsections 2(2) and (3) of the Act are repealed.

Subsec. 4(1) am.

7

Subsection 4(1) of the Act is amended by striking out "Subject to subsection (2)".

Subsec. 4(2) and (3) rep.

8

Subsections 4(2) and (3) of the Act are repealed.

Sec. 7 rep. and sub.

9

Section 7 of the Act is repealed and the following section is substituted therefor:

Records to be kept by Minister of Finance.

7

The Minister of Finance shall keep a separate record indicating

(a) the total of

(i) all moneys paid to Manitoba Hydro under sections 2, 3, and 11.1, and

(ii) the deficiency in the amount paid by Manitoba Hydro under sections 6 and 11.1 in respect of the principal of or interest on foreign debt issued by the government under the amount that the government is required to pay in Canadian dollars in respect of the principal of and interest on that foreign debt; and

(b) the total of

(i) all moneys paid by Manitoba Hydro to the government under sections 4, 5 and 11.1, and

(ii) the excess in the amount paid by Manitoba Hydro under sections 6 and 11.1 in respect of the principal of and interest on foreign debt issued by the government over the amount that the government is required to pay in Canadian dollars in respect of the principal of and interest on that foreign debt.

Sec. 11.1 added.

10

The Act is further amended by adding immediately after section 11 the following section:

Payments to or on behalf of Manitoba Hydro.

11.1(1)

Where prior to April 1, 1987, the Minister of Finance has amortized in the accounts of the government unrealized losses or gains on any United States dollar denominated debt issue of Manitoba Hydro or of the government, the proceeds of which were advanced to Manitoba Hydro, and the maturity or redemption date thereof is on or after April 1, 1987, the minister, on the maturity or redemption of such a debt issue, shall, subject to subsection (2), pay to or on behalf of Manitoba Hydro the net amount amortized by the minister to assist Manitoba Hydro in paying the redemption amount in excess of the Canadian principal equivalent of that debt issue.

Excess amount less than amortized.

11.1(2)

Where the excess amount under subsection (1) is less than the amount amortized for the debt issue, the minister shall only pay to or on behalf of Manitoba Hydro the amount of the excess.

Manitoba Hydro repayment.

11.1(3)

Where the redemption amount of a debt issue referred to in subsection (1) is less than the Canadian principal equivalent for that debt issue, Manitoba Hydro shall pay to the Minister of Finance the amount of the difference between the redemption amount and the Canadian principal equivalent but that payment shall not exceed the amount amortized as an unrealized gain by the minister in respect of that issue.