Provincial laws and taxes are often the cause of businesses changing locations. This is a current concern in Manitoba, where energy efficiency programs and cuts to advertising may be contributing to the move of at least one company to Alberta. Provinces often have to weigh the importance of certain new laws with the possible repercussions from the business community.
In Manitoba, plans are motion for a new entity to take over energy efficiency programs from Manitoba Hydro, a crown corporation. This change may influence partner organizations to move, an outcome spelled out in a letter to government officials from Manitoba Hydro’s top boss. The boss pointed out that a partner organization, Ecofitt, may consider moving to Alberta due to the changes.
Ecofitt itself has declined to comment on the issue. However, speculation suggests that the business law change will limit the advertising campaigns upon which the company depends. This lack of activity could cause a change in focus and even a complete move of partner organizations to Alberta, where activity is ramping up.
There can be major chain reactions which result from programs being changed or restructured, funding being cut, or from business law changes within a province. The changeover to Efficiency Manitoba has had measurable impacts on partner organizations, with contractors and businesses starting to the media that business is down from last year. Many blame the lack of advertising for energy efficient products in the province. Those in Alberta who wish to better understand how business law changes or disputes may affect their business should contact a lawyer to review their situation.
Source: CBC News, “Government-ordered cuts could lead to company moving to Alberta, says Manitoba Hydro’s top boss“, Kristin Annable, April 23, 2018