The legal battle between Energear, formerly Metro Gas, and the city of Prevost puts the Union of Municipalities (UMQ) in an increasingly “uncomfortable” position, according to its president Martin Damphousse. Radio-Canada has learned that voices are being raised to denounce the closeness between the two organizations.
The story sparked a lot of backlash last October. The village of Prevost, in the Laurentides, is developed by the first municipality of Québec to adopt a system to enter natural gas into new residential buildings and institutions, but also in the existing places where the replacement of gas appliances in the fin from life.
Energear’s response was immediate. The company owned by the Quebec Deposit and Deposit Fund (CDPQ) and the Solidarity Fund hernia I decided to sue the municipality.
At the time, Prevost Mayor Paul Germain spoke of a David vs. Goliath-like battle and accused Energear of preventing municipalities from working towards the environment and decarbonizing their buildings. I found this very arrogant
He said.
Mayor Germain did not wish to be interviewed by Radio-Canada as part of this report.
But this legal battle for a member ofUMQ It puts the municipal organization in embarrassment. Énergir is one of the largest shareholders in the consortium and contributed $42,500 in 2022.
Energear is a partner withUMQ For a decarbonisation journey targeting municipalities. The gas company also pays a research grant awarded to students.
Énergir is also a prestigious event partner inUMQ, Especially during its meetings. The two organizations also ride on the same team in the Grand Défi Pierre Lavoie.
In an interview with Radio-Canada, the mayor of Varennes, Martin Damphousse, who is also the mayor of Varennes, said:UMQ, You realize that Energear is one of the most important partners of the Union and this has become the case uncomfortable
According to his words.
The discomfort is easy to understand from the momentUMQ He maintains business relations with a company and this company is suing one of its members
” he said simply.
In the coming weeks,UMQ It will also raise the issue with Énergir, but also before its Board of Directors.
President of the Federation of Quebec Municipalities and Mayor of Varennes, Martin Damphousse, during an event
Photo: Radio-Canada/Samuel Ringer
The cooperation we have had for a very long time with Énergir is a topic that we decided to address during two weeks in the Board of Directors to find out everyone’s comfort level.
Mr Damphousse confirmed.
For its part, the city of Prevost will need help fromUMQ In her legal battle and requested funds to defend herself against Energear. This has been analyzed by our committee and we will have a positive recommendation from the Prevost Defense Committee
“, noted the Mayor of Damphousse.
Head of a company that produces gas for Energear
Head of theUMQ The mayor of Varennes for 14 years has a closer relationship with Energear. Since 2018, he has also been President of the Mixed Economy Association of the Southern Crown (SEMECS), composed of three MRCs and the biogas company EG.
there SEMECS It operates a biomethane center that produces renewable natural gas (RNG) with residual materials, which is sold to a partner, Greenfield Global, and then to Énergir.
As president, Mr. Damphousse receives a salary of $7,000 annually. We understand that it is not so much
The manager who points out confirms that the company is not making profits.
This role risks greater scrutiny when…UMQ The implementation of regulations to decarbonize Quebec cities and municipalities must be accelerated. Mr Damphousse said it was a framework that should be in line with the CAQ Government’s draft bill on the environmental performance of buildings.
President of the Federation of Quebec Municipalities, Martin Damphousse
Photo: Radio-Canada
Does this put me in a conflict of interest? of course no.
But a business ethics professor consulted by Radio-Canada believes Mr. Damphousse finds himself in a delicate position.
to’UMQ A decision must always be made that is in the best interest of municipalities. It will certainly benefit from maintaining autonomy with those who have interests that may differ from municipalities
“, explains Michel Séguin, Professor in the Department of Organization and Human Resources at the University’s Faculty of Administrative SciencesUQAM.
According to the specialist, the situation may cause harm to the organization.
It could raise the appearance of a conflict of interest when Mr Damphousse comes to promote biogas […] The fact that he is associated with an organization that has economic interests in a company leads me to think: does he have any interest in promoting this? Even if this is not the case, the appearance is as important as the actual conflict of interest. Causes a lot of damage
He said.
Energear is an important partner of UMQ.
Photo: Radio-Canada/Marie-Hélène Paquin
Mayor Damphousse denies taking sides, but at the same time stresses that municipalities are not against using renewable natural gas to decarbonize. The CAQ government’s intention is to produce more, with the example of France, which owns 60% of GNR In his network.
In Quebec, there is a very small percentage of GNR In the Energear tube. The rest is natural gas, which comes mainly from the United States, and which is proving to be an obstacle for some municipalities, such as Prevost, but also Candiac, which has also adopted a regulation prohibiting the use of natural gas in new residential buildings.
We are currently talking about only 2% of GNR In the Énergir network. For us, at the moment, this is forbidden
The mayor of Candiac, Normand Diot, noted.
The proximity that bothers ecologists
Mayor Damphousse confirms that a few members, who can be counted on the fingers of one hand, have expressed concern about the relationship between…UMQ And Energear.
On the contrary, environmental organizations are concerned about this proximity at a pivotal moment for municipal decarbonisation.
It is absolutely shameful to see this partnership continuing, while Energear pursues a union member who wants to decarbonise and fight climate change.
“, thunders Patrick Bonin, of Greenpeace Quebec.
The current closeness is very unhealthy. There seems to be a conflict of interest as big as the arm, even though we know that gas companies are lobbying at all levels to slow climate change efforts. to’UMQ You should maintain a healthy distance
He continued.
It’s the same story for Jean-Pierre Venet of Regrouping Ecology and Energy (ROEE).
Énergir promotes its products to municipalities as a transitional energy source. But gas is part of the problem, as the transitional phase has ended
He says.
The problem is thatUMQ He gives a somewhat blunt response to Prevost’s defense of his business partner. The president also has a business relationship with Energear. We should not find ourselves in this situation.
He called for more transparency
For Remy Trudel, former Minister of Municipal Affairs and professor at the National School of Public Administration,UMQ It must be transparent about its relationship with Énergir.
Yes, this raises suspicion. This weakens the accepted role on behalf of municipalities by union leaders. This question should not be taken as trivial. This is very dangerous. There are 8,000 municipal leaders, mayors and council members, all of whom are accessible in these situations
he maintains.
The latter is also concerned about the framework proposed to municipalities regarding decarbonization by the UMQ which must be in line with Quebec legislation.
In my experience, I have never seen such a condition on the part of municipal unions that would affect the most valuable element of municipalities, which is their independence.
“, confirms Mr. Trudel.
For its part, the prosecution filed a case against Prevost It doesn’t change anything about cooperation
To activate withUMQ The company said in a statement.
Energear is a partner ofUMQ For more than 20 years, as a public service, we have firmly believed in the importance of collaborating with cities, especially to achieve the energy transition.
said spokeswoman Elaine Arsenault.
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