Climate change adds twist to debate over dams

By New York Times


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The power company that owns four hydroelectric dams on the Klamath River says the dams provide a crucial source of so-called clean energy at a time when carbon emissions have become one of the worldÂ’s foremost environmental concerns.

But the American Indians, fishermen and environmentalists who want the dams removed point to what has happened since the first one was built nearly 90 years ago: endangered salmon have been blocked from migrating, Indian livelihoods have been threatened, and, more recently, the commercial fishing industry off the Oregon and California coasts has been devastated. They say the dams are anything but clean. They say the river is a mess.

“Should we have to sacrifice water quality for air quality?” said Craig Tucker, who is coordinating efforts by the Karuk tribe of Northern California to take down the dams. “Should Indians and family fisherman be the ones who have to sacrifice to address this problem?”

Whether the power company, PacifiCorp, wants to keep the dams because they improve air quality or simply because they are inexpensive to operate is not clear. But emphasizing an environmental argument that touches on climate change has added a new wrinkle to the longstanding debate over dam removal in the Pacific Northwest. In a region where plenty of residents measured their “carbon footprints” long before green became the new black, PacifiCorp is suggesting that righting one environmental wrong could lead to another, one that could affect people more than fish.

The Klamath dams provide enough power to serve about 70,000 homes, a small fraction of PacifiCorpÂ’s 1.6 million customers, which span six Western states. But the company says only coal or natural gas are likely to be reliable enough to replace the river, which hits hydroelectric turbines four times on its way to the sea from east of the snow-capped Cascade Range.

Those who support removing the dams largely dismiss the clean-energy argument, saying the benefits outweigh losing a relatively small source of hydropower. They note that PacifiCorpÂ’s increased interest in the environment comes as recent rulings by judges and federal fisheries agencies have given new momentum for removal. The companyÂ’s federal license to run the dams expired last year, and the government has said PacifiCorp must build fish ladders over the four dams to get a new license, a proposition that could cost $300 million and reduce the power the dams generate, potentially making removal a less costly choice.

Yet whatever is spent to restore salmon, and whether the solution is fish ladders or dam removal, the company has said that its customers will bear the cost, and the carbon.

“It’s a conundrum in many ways,” said Dave Kvamme, a spokesman for PacifiCorp. “Taking away a very useful resource like the Klamath puts more pressure on us to build something else or buy it on the market.”

The Klamath runs more than 250 miles from southwest Oregon to the California coast, connecting two states where power and water supply have long been contentious issues. Gov. Arnold Schwarzenegger of California and Gov. Theodore R. Kulongoski of Oregon are helping lead the push for clean fuel sources. Last year, California passed a law requiring a 25 percent reduction in the stateÂ’s carbon dioxide emissions by 2020. Oregon is also pushing to increase the amount of renewable energy it uses.

Both governors have said removing the Klamath dams should be an option, but they have not taken firm positions. Earlier this year, Mr. Schwarzenegger proposed spending about $4 billion to build two dams on the San Joaquin River for water storage, an idea environmentalists have long opposed.

The Northwest, where more than 80 percent of the power generated comes from hydroelectricity, has long had some of the lowest electricity rates in the nation. It has also been the setting for epic environmental fights that reflect the tension across the regionÂ’s topographic and demographic divides.

“We think of ourselves as ahead of the curve, as eco-topia, when it comes to saving endangered species, like the spotted owl,” said John M. Findlay, a history professor at the University of Washington. “But these things are much more complicated when we try to actually solve them.”

Mr. Findlay said the regionÂ’s identity as an environmental leader was rooted in cities like Portland and Seattle, not in the areas where rivers provide power and water for farms.

“They’re the most sympathetic to taking down the dams,” he said of big-city residents. “But they’re also the people who are kind of taking cheap power for granted. If you’re in a city and you have the power just piped in over wires it’s too easy to not recognize where that comes from, and not to realize that people and economies are all connected to that.”

The Klamath dams are among the most controversial in a much broader dam removal effort led by environmentalists, American Indians and commercial fishermen.

In the next several years, dams on the Elwha and White Salmon Rivers in Washington and the Sandy River in Oregon are scheduled to be removed. But in many ways, they are only steppingstones to larger targets, including the dams on the Klamath and four on the Lower Snake River.

More fish could be saved by removing the bigger dams, but more power would be lost, too.

Supporters of removal say conservation measures and new sources of energy like wind and sun can replace lost hydroelectric power. Some also say the fact that snowpack is decreasing could reduce the amount of electricity dams generate. Dam owners in the region, including private utilities and the federal government, say the new sources of clean energy cannot replace dams. The use of wind power is expanding quickly, but its effectiveness depends in part on having dams or another steady energy source during lulls in the breeze.

In a written statement last month, Bill Fehrman, the president of PacifiCorp, said replacing power from the Klamath would “cost our customers more money, and potentially a lot more money” and “could result in adding combustion emissions to the environment.”

PacifiCorp has said it is not opposed to removal, but it would need approval from regulating commissions in six states before it could pass on costs of dam removal to its customers. Blending the cost and climate change arguments could strengthen its case.

“We have to demonstrate to our commissions that we’ve done what we can to protect their interest,” said Mr. Kvamme, the spokesman.

Salmon and air quality are not all that is at risk. The river and its dams support an elaborate irrigation system started by the federal government more than a century ago. Water from the river provides for about 240,000 acres of cattle pastures, alfalfa fields and other farming. It also flows through a wildlife preserve.

When Edward Bartell and his family moved to southwest Oregon from California to raise beef cattle 30 years ago, land, water and power were inexpensive. Now, the water supply is at the mercy of an ever denser maze of environmental regulations intended to protect fish. And the price of power, delivered wholesale thanks to the Klamath dams, went through the roof when PacifiCorp said it could no longer justify the discounted rate in the current market.

Mr. Bartell shook his head when asked if families who moved here to farm because of the available irrigation knew such a knot could one day develop, that the dams might not last forever.

“It was unthinkable,” Mr. Bartell said. “Obviously, nobody would have come.”

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PG&E pleads guilty to 85 counts in 2018 Camp Fire

PG&E Camp Fire Guilty Plea underscores involuntary manslaughter charges as the utility admits sparking Paradise's wildfire; Butte County prosecution, CAL FIRE findings, bankruptcy oversight, victim compensation trust, and safety reforms shape accountability.

 

Key Points

The legal admission by PG&E to 84 involuntary manslaughter counts and unlawfully starting the 2018 Camp Fire.

✅ 84 involuntary manslaughter counts; unlawful ignition admitted.

✅ $3,486,950 fine, $500,000 DA costs; no prison terms.

✅ $13.5B victim trust, Paradise and Butte County payments.

 

California utility Pacific Gas and Electric Company pleaded guilty Tuesday to 84 counts of involuntary manslaughter and one count of unlawfully starting the Camp Fire, the deadliest blaze in the state's history.

Butte County District Attorney Michael L. Ramsey said the "historic moment" should be a signal that corporations will be held responsible for "recklessly endangering" lives.
The 84 people "did not need to die," Ramsey said. He said the deaths were "of the most unimaginable horror, being burned to death."

Before sentencing, survivors will testify Wednesday about the losses of their loved ones, and many have pursued lawsuits against the utility seeking accountability.

No individuals will be sent to prison, Ramsey said.

"This is the first time that PG&E or any major utility has been charged with homicide as the result of a reckless fire. It killed a town," Ramsey said, referring to Paradise, which was annihilated by the blaze.
According to court documents filed in March, the company will be fined "no more than $3,486,950," and it must reimburse the Butte County District Attorney's Office $500,000 for the costs of its investigation into the blaze, and under separate oversight a federal judge ordered dividends to be directed to wildfire risk reduction to prioritize safety.

Among other provisions, PG&E must establish a trust, compensating victims of the 2018 Camp Fire and other wildfires to the tune of $13.5 billion as part of its bankruptcy plan, according to the plea agreement included in a regulatory filing.
It has to pay hundreds of millions to the town of Paradise and Butte County and cooperate with prosecutors' investigation, the plea deal says.
PG&E also waived its right to appeal.

"I have heard the pain and the anguish of victims as they've described the loss they continue to endure, and the wounds that can't be healed," PG&E Corporation CEO and President Bill Johnson said after the plea. "No words from me could ever reduce the magnitude of such devastation or do anything to repair the damage. But I hope that the actions we are taking here today will help bring some measure of peace, including aid through a Wildfire Assistance Program the company announced."

Johnson was in court Tuesday, where Butte County Superior Court Judge Michael Deems read the names of each victim as their photos were shown on a screen, CNN affiliate KTLA reported.
Johnson said the utility would never put profits ahead of safety again. He told the judge that PG&E took responsibility for the devastation "with eyes wide open to what happened and to what must never happen again," KTLA reported.

In March, the utility and the state agreed to bankruptcy terms, which included an overhaul of PG&E's board selection process, financial structure and oversight, with rates expected to stabilize in 2025 as reforms take hold.
According to investigators with the California Department of Forestry and Fire Protection, PG&E was responsible for the devastating Camp Fire.

Electrical lines owned and operated by PG&E started the fire November 8, 2018, CAL Fire said in a news release, after the company acknowledged its power lines may have started two fires that day.

"The tinder dry vegetation and Red Flag conditions consisting of strong winds, low humidity and warm temperatures promoted this fire and caused extreme rates of spread," CAL Fire said.
PG&E had previously said it was "probable" that its equipment started the Camp Fire but that it wasn't conclusive whether its lines ignited a second fire, as CAL Fire alleged.
The power company filed for bankruptcy in January 2019 as it came under pressure from billions of dollars in claims tied to deadly wildfires, and other utilities such as Southern California Edison have faced similar lawsuits.

 

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Renewables Surpass Coal in India's Energy Capacity Shift

India Renewable Energy Surge 2024 signals coal's decline as solar and wind capacity soar, aided by policy incentives, grid upgrades, energy storage, and falling costs, accelerating decarbonization and clean power growth.

 

Key Points

Q1 2024 saw renewables outpace coal in new capacity, led by cheaper solar, wind, policy support, and storage.

✅ 71.5% of new Q1 capacity came from renewables

✅ Solar and wind expand on falling costs and faster permitting

✅ Grid integration needs storage, skills, and just transition

 

In a landmark shift for the world's second-most populous nation, coal has finally been dethroned as the king of India's energy supply. The first quarter of 2024 saw a historic surge in renewable energy capacity, particularly on-grid solar development across states, pushing its share of power generation past 71.5%. This remarkable feat marks a turning point in India's journey towards a cleaner and more sustainable energy future.

For decades, coal has been the backbone of India's power sector, fueling rapid economic growth but also leading to concerning levels of air pollution. However, a confluence of factors has driven this dramatic shift, even as coal generation surges create short-term fluctuations in the mix. Firstly, the cost of solar and wind power has plummeted in recent years, making them increasingly competitive with coal. Secondly, the Indian government has set ambitious renewable energy targets, aiming for 50% of cumulative power generation capacity from non-fossil fuel sources by 2030. Thirdly, growing public awareness about the environmental impact of coal has spurred a demand for cleaner alternatives.

This surge in renewables is not just about replacing coal. The first quarter of 2024 witnessed a record-breaking addition of 13,669 megawatts (MW) of power generation capacity, with renewables accounting for a staggering 71.5% of that figure, aligning with 30% global renewable electricity milestones seen worldwide. This rapid expansion is driven by factors like falling equipment costs, streamlined permitting processes, and attractive government incentives. Solar and wind energy are leading the charge, and in other major markets renewables are projected to reach one-fourth of U.S. generation in the near term, with large-scale solar farms and wind turbine installations dotting the Indian landscape.

The transition away from coal presents both opportunities and challenges. On the positive side, cleaner air will lead to significant health benefits for millions of Indians. Additionally, India can establish itself as a global leader in the renewable energy sector, attracting investments and creating new jobs, echoing how China's solar PV expansion reshaped markets in the previous decade. However, challenges remain. Integrating such a large amount of variable renewable energy sources like solar and wind into the grid requires robust energy storage solutions. Furthermore, millions of jobs in the coal sector need to be transitioned to new opportunities in the green economy.

Despite these challenges, India's move towards renewables is a significant development with global implications, as U.S. renewable electricity surpassed coal in 2022, underscoring broader momentum. It demonstrates the growing viability of clean energy solutions and paves the way for other developing nations to follow suit. India's success story can inspire a global shift towards a more sustainable energy future, one powered by the sun, wind, and other renewable resources.

Looking ahead, continued government support, technological advancements, and innovative financing mechanisms will be crucial for sustaining India's renewable energy momentum. The future of India's energy sector is undoubtedly bright, fueled by the clean and abundant power of the sun and the wind, as wind and solar surpassed coal in the U.S. in recent comparisons. The world will be watching closely to see if India can successfully navigate this energy transition, setting an example for other nations struggling to balance development with environmental responsibility.

 

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NY Governor Cuomo Announces Green New Deal Included in 2019 Executive Budget

New York Green New Deal accelerates clean energy and climate action, targeting carbon neutrality with renewable energy, offshore wind, solar, energy storage, and green jobs while advancing environmental justice and economy-wide decarbonization.

 

Key Points

New York's plan for 100% clean power by 2040 and 70% renewables by 2030, with a just transition and green jobs.

✅ 100% carbon-free electricity by 2040; 70% renewables by 2030

✅ 9,000 MW offshore wind and 3,000 MW energy storage targets

✅ Just transition focuses on jobs, equity, and affordability

 

New York Governor Andrew M. Cuomo announced the Green New Deal, a nation-leading clean energy and jobs agenda that will aggressively put New York State on a path to net-zero electricity and economy-wide carbon neutrality, is included in the 2019 Executive Budget. The landmark plan provides for a just transition to clean energy that spurs growth of the green economy and prioritizes the needs of low- to moderate-income New Yorkers.

"Climate change is a reality, and the consequences of delay are a matter of life and death. We know what we must do. Now we have to have the vision, the courage, and the competence to get it done," Governor Cuomo said. "While the federal government shamefully ignores the reality of climate change and fails to take meaningful action, we are launching the first-in-the-nation Green New Deal to seize the potential of the clean energy economy, set nation's most ambitious goal for carbon-free power, and ultimately eliminate our entire carbon footprint."

During Governor Cuomo's first two terms, New York banned fracking of natural gas, committed to phasing out coal power by 2020, mandated 50 percent renewable power by 2030, and established the U.S. Climate Alliance to uphold the Paris Agreement, reflecting the view that decarbonization is irreversible under a clean energy economy. Under the Reforming the Energy Vision agenda, New York has held the largest renewable energy procurements in U.S. history, solar has increased nearly 1,500 percent, and offshore wind is poised to transform the State's electricity supply to be cleaner and more sustainable. Through Governor Cuomo's Green New Deal, New York will take the bold next steps to secure a clean energy future that protects the environment for generations to come while growing the clean energy economy.

 

100 Percent Clean Power by 2040 Coupled with New Nation-leading Renewable Energy Mandates

The Green New Deal will statutorily mandate New York's power be 100 percent carbon-free by 2040, the most aggressive goal in the United States and five years ahead of a target recently adopted by California state policymakers. The cornerstone of this new mandate is a significant increase of New York's successful Clean Energy Standard mandate from 50 percent to 70 percent renewable electricity by 2030. This globally unprecedented ramp-up of renewable energy will include:

  • Quadrupling New York's offshore wind target to 9,000 megawatts by 2035, up from 2,400 megawatts by 2030
  • Doubling distributed solar deployment to 6,000 megawatts by 2025, up from 3,000 megawatts by 2023
  • More than doubling new large-scale land-based wind and solar resources through the Clean Energy Standard
  • Maximizing the contributions and potential of New York's existing renewable resources
  • Deploying 3,000 megawatts of energy storage by 2030, up from 1,500 megawatts by 2025
  • Develop an Implementation Plan to Make New York Carbon Neutral

The Green New Deal will create the State's first statutory Climate Action Council, comprised of the heads of relevant State agencies and other workforce, environmental justice, and clean energy experts to develop a comprehensive plan to make New York carbon neutral by significantly and cost-effectively reducing emissions from all major sources, including electricity, transportation, buildings, industry, commercial activity, and agriculture. The Climate Action Council will consider a range of possible options, including the feasibility of working with the U.S. Climate Alliance to create a new multistate emissions reduction program that covers all sectors of the economy, including transportation and industry, and exploring ways to leverage the successful Regional Greenhouse Gas Initiative to drive transformational investment in the clean energy economy and support a just transition.

At the national level, a historic climate deal is reshaping incentives and standards for clean energy deployment across the country.

The Green New Deal will also include an ambitious strategy to move New York's statewide building stock to carbon neutrality. The agenda includes:

Advancing legislative changes to strengthen building energy codes and establish appliance efficiency standards

Directing State agencies to ensure that their facilities uphold the strongest energy efficiency and sustainability standards

Developing a Net Zero Roadmap to chart a course to statewide carbon neutrality in buildings

A Multibillion Dollar Green New Deal Investment in the Clean Tech Economy that will Reduce Greenhouse Gas Emissions

Demonstrating New York's immediate commitment to implementing the nation's most ambitious clean energy agenda and creating high-quality clean energy jobs, Governor Cuomo is announcing $1.5 billion in competitive awards to support 20 large-scale solar, wind and energy storage projects across upstate New York. These investments will add over 1,650 megawatts of capacity and generate over 3,800,000 megawatt-hours of renewable energy annually - enough to power nearly 550,000 homes and create over 2,600 short and long-term jobs. Combined with the renewable energy projects previously announced under the Clean Energy Standard, New York has now awarded more than $2.9 billion to 46 projects statewide, enough to power over one million households.

The Green New Deal also includes new investments to jumpstart New York's offshore wind energy industry and support the State's world-leading target of 9,000 megawatts by 2035. New York will invest up to $200 million in port infrastructure to match private sector investment in regional development of offshore wind. This multi-location investment represents the nation's largest infrastructure commitment to offshore wind and solidifies New York's position as the hub of the burgeoning U.S. offshore wind industry.

These new investments build upon a $250 million commitment to electric vehicle infrastructure by the New York Power Authority's EVolve program, $3.5 billion in private investment in distributed solar driven by NYSERDA's NY-Sun program, and NY Green Bank transactions mobilizing nearly $1.75 billion in private capital for clean energy projects.

 

A Just Transition to a Clean Energy Economy

Deliver Climate Justice for Underserved Communities: The Green New Deal will help historically underserved communities prepare for a clean energy future and adapt to climate change by:

Giving communities a seat at the table by codifying the Environmental Justice and Just Transition Working Group into law and incorporating it into the planning process for the Green New Deal's implementation.

Directing the State's low-income energy task force to identify reforms to achieve greater impact of the public energy funds expended each year in order to increase the effect of funds and initiatives that target energy affordability to underserved communities.

Directing each of the State's ten Regional Economic Development Councils to develop an environmental justice strategy for their region.

Finance a Property Tax Compensation Fund to Help Communities Transition to the Clean Energy Economy: Governor Cuomo is introducing legislation to finance the State's $70 million Property Tax Compensation Fund to continue helping communities directly affected by the transition away from dirty and obsolete energy industries and toward the new clean energy economy. Specifically, this funding will protect communities impacted by the retirement of conventional power generation facilities.

Protect Labor Rights: To ensure creation of high-quality clean energy jobs, large-scale renewable energy projects supported by the Green New Deal will require prevailing wage, and the State's offshore wind projects will be supported by a requirement for a Project Labor Agreement.

Develop the Clean Tech Workforce: To prepare New York's workforce for the transition, New York State will take new steps to support workforce development, including establishing a New York State Advisory Council on Offshore Wind Economic and Workforce Development, as well as investing in an offshore wind training center that will provide New Yorkers with the skills and safety training required to construct this clean energy technology in New York.   

Richard Kauffman, Chairman of Energy and Finance for New York, said, "Governor Cuomo's Green New Deal will advance New York State further into the clean energy future, and we won't let the Trump Administration push us backwards. Governor Cuomo's new commitments ensure New York is the undisputed national clean energy and climate leader, and we will continue to build upon the foundations of the REV agenda to achieve a sustainable economy and healthy environment for generations of New Yorkers to come."

Alicia Barton, President and CEO, NYSERDA, said, "Climate scientists have made frighteningly clear that averting the worst effects of climate change will require bold action, not incremental steps, and Governor Cuomo's Green New Deal boldly goes where no others have before. His unwavering climate agenda includes the most aggressive clean energy target in U.S. history, the largest commitments to renewable energy and to offshore wind in the nation, a massive mobilization of clean energy jobs and an unprecedented investment in offshore wind port infrastructure. Together these actions make New York the clear national leader in the fight against climate change, and will show the world that New York can and will achieve a clean energy future for the sake of future generations."

DEC Commissioner Basil Seggos said, "The threat of climate change calls for bold action like Governor Cuomo's comprehensive agenda to make New York State carbon neutral. The Green New Deal ensures New York is continuing our nation-leading efforts to capitalize on the economic potential of the clean energy economy, while making sure those most vulnerable to climate change are benefitting from the state's efforts and investments. I look forward to working with my agency and authority partners on the Climate Action Council to develop and implement meaningful solutions to reduce greenhouse gas emissions from all sectors of our economy."  

John B. Rhodes, CEO, Department of Public Service, said, "With this nation-leading Green New Deal, Governor Cuomo puts New York on the path to fully clean electricity and to carbon neutrality with the strongest renewable energy goals in the nation. This will deliver the energy system that New York needs - cost-effective, reliable, and 100% clean.”

 

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Iran, Iraq Discuss Further Cooperation in Energy Sector

Iran-Iraq Electricity Cooperation advances with power grid synchronization, cross-border energy trade, 400-kV transmission lines, and education partnerships, boosting grid reliability, infrastructure investment, and electricity exports between Tehran and Baghdad for improved supply and stability.

 

Key Points

A bilateral initiative to synchronize grids, expand networks, and sustain electricity exports, improving reliability.

✅ 400-kV Amarah-Karkheh line enables synchronized operations.

✅ Extends electricity export contracts to meet Iraq demand.

✅ Enhances grid reliability, training, and infrastructure investment.

 

Aradakanian has focused his one-day visit to Iraq on discussions pertaining to promoting bilateral collaboration between the two neighboring nations in the field of electricity, grid development deals and synchronizing power grid between Tehran and Baghdad, cooperating in education, and expansion of power networks.

He is also scheduled to meet with Iraqi top officials in a bid to boost cooperation in the relevant fields.

Back in December 2019, Ardakanian announced that Iran will continue exports of electricity to Iraq by renewing earlier contract as it is supplying about 40% of Iraq's power today.

"Iran has signed a 3-year-long cooperation agreement with Iraq to help the country's power industry in different aspects. The documents states at its end that we will export electricity to Iraq as far as they need," Ardakanian told FNA on December 9, 2019.

The contract to "export Iran's electricity" to Iraq will be extended, he added.

Ardakanian also said that Iran and Iraq's power grids have become synchronized in a move that supports Iran's regional power hub plans since a month ago.

In 2004 Iran started selling electricity to Iraq. Iran electricity exports to the western neighbor are at its highest level of 1,361 megawatts per day now, as the country weighs summer power sufficiency ahead of peak demand.

The new Amarah-Karkheh 400-KV transmission line stretching over 73 kilometers, is now synchronized to provide electricity to both countries, reflecting regional power export trends as well. It also paves the way for increasing export to power-hungry Iraq in the near future.

With synchronization of the two grids, the quality of electricity in Iraq will improve as the country explores nuclear power options to tackle shortages.

According to official data, 82% of Iraq's electricity is generated by thermal power plants that use gas as feedstock, while Iran is converting thermal plants to combined cycle to save energy. This is expected to reach 84% by 2027.

 

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Electric Cooperatives, The Lone Shining Utility Star Of The Texas 2021 Winter Storm

Texas Electric Cooperatives outperformed during Winter Storm Uri, with higher customer satisfaction, equitable rolling blackouts, and stronger grid reliability compared to deregulated markets, according to ERCOT-area survey data of regulated utilities and commercial providers.

 

Key Points

Member-owned utilities in Texas delivering power, noted for reliability and fair outages during Winter Storm Uri.

✅ Member-owned, regulated utilities serving local communities

✅ Rated higher for blackout management and communication

✅ Operate outside deregulated markets; align incentives with users

 

Winter Storm Uri began to hit parts of Texas on February 13, 2021 and its onslaught left close to 4.5 million Texas homes and businesses without power, and many faced power and water disruptions at its peak. By some accounts, the preliminary number of deaths attributed to the storm is nearly 200, and the economic toll for the Lone Star State is estimated to be as high as $295 billion. 

The more than two-thirds of Texans who lost power during this devastating storm were notably more negative than positive in their evaluation of the performance of their local electric utility, mirrored by a rise in electricity complaints statewide, with one exception. That exception are the members of the more than 60 electric cooperatives operating within the Texas Interconnection electrical grid, which, in sharp contrast to the customers of the commercial utilities that provide power to the majority of Texans, gave their local utility a positive evaluation related to its performance during the storm.

In order to study Winter Storm Uri’s impact on Texas, the Hobby School of Public Affairs at the University of Houston conducted an online survey during the first half of March of residents 18 and older who live in the 213 counties (91.5% of the state population) served by the Texas power grid, which is managed by the Electric Reliability Council of Texas (ERCOT). 

Three-quarters of the survey population (75%) live in areas with a deregulated utility market, where a specified transmission and delivery utility by region is responsible for delivering the electricity (purchased from one of a myriad of private companies by the consumer) to homes and businesses. The four main utility providers are Oncor, CenterPoint CNP -2.2%, American Electric Power (AEP) North, and American Electric Power (AEP) Central. 

The other 25% of the survey population live in areas with regulated markets, where a single company is responsible for both delivering the electricity to homes and businesses and serves as the only source from which electricity is purchased. Municipal-owned and operated utilities (e.g., Austin Energy, Bryan Texas Utilities, Burnet Electric Department, Denton Municipal Electric, New Braunfels Utilities, San Antonio’s CPS Energy CMS -2.1%) serve 73% of the regulated market. Electric cooperatives (e.g., Bluebonnet Electric Cooperative, Central Texas Electric Cooperative, Guadalupe Valley Cooperative, Lamb County Electric Cooperative, Pedernales Electricity Cooperative, Wood County Electric Cooperative) serve one-fifth of this market (21%), with private companies accounting for 6% of the regulated market.

The overall distribution of the survey population by electric utility providers is: Oncor (38%), CenterPoint (21%), municipal-owned utilities (18%), AEP Central & AEP North combined (12%), electric cooperatives (6%), other providers in the deregulated market (4%) and other providers in the regulated market (1%). 

There were no noteworthy differences among the 31% of Texans who did not lose power during the winter storm in regard to their evaluations of their local electricity provider or their belief that the power cuts in their locale were carried out in an equitable manner.  

However, among the 69% of Texans who lost power, those served by electric cooperatives in the regulated market and those served by private electric utilities in the deregulated market differed notably regarding their evaluation of the performance of their local electric utility, both in regard to their management of the rolling blackouts, amid debates over market reforms to avoid blackouts, and to their overall performance during the winter storm. Those Texans who lost power and are served by electric cooperatives in a regulated market had a significantly more positive evaluation of the performance of their local electric utility than did those Texans who lost power and are served by a private company in a deregulated electricity market. 

For example, only 24% of Texans served by electric cooperatives had a negative evaluation of their local electric utility’s overall performance during the winter storm, compared to 55%, 56% and 61% of those served by AEP, Oncor and CenterPoint respectively. A slightly smaller proportion of Texans served by electric cooperatives (22%) had a negative evaluation of their local electric utility’s performance managing the rolling blackouts during the winter storm, compared to 58%, 61% and 71% of Texans served by Oncor, AEP and CenterPoint, respectively.

Texans served by electric cooperatives in regulated markets were more likely to agree that the power cuts in their local area were carried out in an equitable manner compared to Texans served by commercial electricity utilities in deregulated markets. More than half (52%) of those served by an electric cooperative agreed that power cuts during the winter storm in their area were carried out in an equitable manner, compared to only 26%, 23% and 23% of those served by Oncor, AEP and CenterPoint respectively

The survey data did not allow us to provide a conclusive explanation as to why the performance during the winter storm by electric cooperatives (and to a much lesser extent municipal utilities) in the regulated markets was viewed more favorably by their customers than was the performance of the private companies in the deregulated markets viewed by their customers. Yet here are three, far from exhaustive, possible explanations.

First, electric cooperatives might have performed better (based on objective empirical metrics) during the winter storm, perhaps because they are more committed to their customers, who are effectively their bosses. .  

Second, members of electric cooperatives may believe their electric utility prioritizes their interests more than do customers of commercial electric utilities and therefore, even if equal empirical performance were the case, are more likely to rate their electric utility in a positive manner than are customers of commercial utilities.  

Third, regulated electric utilities where a single entity is responsible for the commercialization, transmission and distribution of electricity might be better able to respond to the type of challenges presented by the February 2021 winter storm than are deregulated electric utilities where one entity is responsible for commercialization and another is responsible for transmission and distribution, aligning with calls to improve electricity reliability across Texas.

Other explanations for these findings may exist, which in addition to the three posited above, await future empirical verification via new and more comprehensive studies designed specifically to study electric cooperatives, large commercial utilities, and the incentives that these entities face under the regulatory system governing production, commercialization and distribution of electricity, including rulings that some plants are exempt from providing electricity in emergencies under state law. 

Still, opinion about electricity providers during Winter Storm Uri is clear: Texans served by regulated electricity markets, especially by electric cooperatives, were much more satisfied with their providers’ performance than were those in deregulated markets. Throughout its history, Texas has staunchly supported the free market. Could Winter Storm Uri change this propensity, or will attempts to regulate electricity lessen as the memories of the storm’s havoc fades? With a hotter summer predicted to be on the horizon in 2021 and growing awareness of severe heat blackout risks, we may soon get an answer.   

 

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Manitoba Government Extends Pause on New Cryptocurrency Connections

Manitoba Crypto Mining Electricity Pause signals a moratorium to manage grid strain, Manitoba Hydro capacity, infrastructure costs, and electricity rates, while policymakers evaluate sustainable energy demand, and planning for data centers and blockchain operations.

 

Key Points

A temporary halt on mining power hookups in Manitoba to assess grid impacts, protect rates, and plan sustainable use.

✅ Applies only to new service requests; existing sites unaffected

✅ Addresses grid strain, infrastructure costs, electricity rates

✅ Enables review with Manitoba Hydro for sustainable policy

 

The Manitoba government has temporarily suspended approving new electricity service connections for cryptocurrency mining operations, a step similar to BC Hydro's suspension seen in a neighboring province.


The Original Pause

The pause was initially imposed in November 2022 due to concerns that the rapid influx of cryptocurrency mining operations could place significant strain on the province's electrical grid. Manitoba Hydro, the province's primary electric utility, which has also faced legal scrutiny in the Sycamore Energy lawsuit, warned that unregulated expansion of the industry could necessitate billions of dollars in infrastructure investments, potentially driving up electricity rates for Manitobans.


The Extended Pause Offers Time for Review

The extension of the pause is meant to provide the government and Manitoba Hydro with more time to assess the situation thoroughly and develop a long-term solution addressing the challenges and opportunities presented by cryptocurrency mining, including evaluating emerging options such as modular nuclear reactors that other jurisdictions are studying. The government has stated its commitment to ensuring that the long-term impacts of the industry are understood and don't unintentionally harm other electricity customers.


What Does the Pause Mean?

The pause does not affect existing cryptocurrency operations but prevents the establishment of new ones.  It applies specifically to requests for electricity service that haven't yet resulted in agreements to construct infrastructure or supply electricity, and it comes amid regional policy shifts like Alberta ending its renewable moratorium that also affect grid planning.


Concerns About Energy Demands

Cryptocurrency mining involves running high-powered computers around the clock to solve complex mathematical problems. This process is incredibly energy-intensive. Globally, the energy consumption of cryptocurrency networks has drawn scrutiny for its environmental impact, with examples such as Iceland's mining power use illustrating the scale. In Manitoba, concern focuses on potentially straining the electrical grid and making it difficult for Manitoba Hydro to plan for future growth.


Other Jurisdictions Taking Similar Steps

Manitoba is not alone in its cautionary approach to cryptocurrency mining. Several other regions and utilities have implemented restrictions or are exploring limitations on how cryptocurrency miners can access electricity, including moves by Russia to ban mining amid power deficits. This reflects a growing awareness among policymakers about the potentially destabilizing impact this industry could have on power grids and electricity markets.


Finding a Sustainable Path Forward

Manitoba Hydro has stated that it is open to working with cryptocurrency operations but emphasizes the need to do so in a way that protects existing ratepayers and ensures a stable and reliable electricity system for all Manitobans, while recognizing market uncertainties highlighted by Alberta wind project challenges in a neighboring province. The government's extension of the pause signifies its intention to find a responsible path forward, balancing the potential for economic development with the necessity of safeguarding the province's power supply.

 

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