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Source: History of electricity sector in Canada

The history of electricity sector in Canada has played a significant role in the economic and political life of the country since wide-scale industrial and commercial power services spread across the country in the 1880s. The development of hydropower in the early 20th century has profoundly affected the economy and the political life in Canada and has come to symbolize the transition from "old " industrialism of the 19th century to a "new", modern and diversified, Canadian economy.
As early as 1873, an electric arc light was demonstrated in Winnipeg Manitoba. But Canada's use of electricity as mass-market service began in earnest in 1881, when Ottawa entrepreneur Thomas Ahearn installed Canada's first water-powered generator at the Chaudiere Falls, and later that year a steam generator lit a public skating rink in downtown Toronto. By 1883, the Houses of Parliament and Toronto's Central National Exhibition were illuminated by electric lights. And by 1885, public street lighting had been introduced in many Canadian Cities, including Hamilton, Quebec, Montreal, and Ottawa - which became the first city in the world to electrically light all of its streets.
In the 1890s, three competing firms in Ontario engaged in a competition to develop the Canadian side of Niagara Falls. After several years of delays, construction began on the two sites in 1902 and on a third in 1904. At the same time, a group of municipalities in southern Ontario set up utilities joined their efforts to obtain a stable supply of hydropower. Despite his initial reluctance, Ontario Premier George William Ross organized the Ontario Power Commission in 1903 to coordinate efforts.
After the private companies refused to negotiate power deals, the government responded by setting up an enquiry headed by Adam Beck, who recommended the establishment of a publicly owned distribution system. The province established the Hydro Electric Commission of Ontario in 1906 and voters approved municipalization of power distribution a year later. The Commission began delivering power to cities and towns in October 1910. By World War I, 59,000 customers were connected to the grid in Ontario.
In Manitoba and British Columbia, private companies were also quick to develop hydropower. The Nelson Electric Light Company was the first company to build a hydro site in British Columbia. February 1, 1896 it commenced operation producing power for the City of Nelson. The Sandon plant was second in March 1897. In Winnipeg, railroad tycoon William Mackenzie built the first plant built on the Winnipeg River to supply the Ogilvie mill. Mackenzie soon faced competition from the city of Winnipeg, after voters backed the construction of a $3.25 million publicly funded dam on the Winnipeg River in 1906.