Yup, buying power from Quebec is significantly more expensive than generating it here in Ontario. From the paper I posted upthread:Yes, Ontario also buys power from Quebec, but Quebec is incentivized to sell to the States as it is more lucrative. From the perspective of the Federal government, it would be more cost-efficient to just build more energy capacity in Ontario then to force Quebec to sell power to Ontario.
As for competition from south of the border, power is not cheap in New England and Hydro-Quebec's export rates would reflect that:Finally, the cost of electricity continues to be a major concern for Ontarians. Far from being a way to reduce energy costs, importing Quebec hydro is one of the most expensive options for increasing Ontario’s electricity supply. A report by the Financial Accountability Office of Ontario compared the Levelized Unit Electricity Cost (LUEC) of different options to build new electricity generation capacity in Ontario. In comparing the options for new capacity, the FAO showed that the LUEC of firm imports from Quebec was among the most expensive options for new capacity, at a cost of $160/MWh for large scale (up to 3,300 MW) firm imports. The FAO report states that the “high cost of imports stems mainly from three factors: competition from US markets, lack of transmission capacity, and a projected reduction of surplus electricity in Quebec in the future.”