PJM warns FERC against tweaking RPM

PG&E power restoration continues across Butte and Yuba counties after PSPS shut-offs from high winds and dry weather, with crews patrolling overhead lines, repairing damage, and reopening community resource centers near Lake Berryessa.

Key Points

PG&E power restoration safely re-energizes lines after PSPS, using inspections and repairs to restore service.

✅ Crews patrolled 800 miles of overhead lines for hazards

✅ Repairs followed wind damage; gradual re-energization

✅ Resource centers offered water, outlets, air conditioning

Pacific Gas and Electric Co. field crews have begun restoring power to approximately 20,500 customers in Butte and Yuba counties after the utility shut off electricity to reduce wildfire risk because of gusty winds and dry weather conditions.

More than half of the affected customers had electricity again as of 1:47 p.m. Sunday, according to PG&E, and by 4 p.m. all of Yuba County power had been restored.

The utility also cut electricity for about 1,600 customers in parts of Napa, Solano and Yolo counties, primarily in the Lake Berryessa area, in a PSPS event separate from statewide grid conservation alerts that can trigger rolling blackouts. Power to those areas was switched off at 6:15 a.m. Saturday but was restored by the evening.

As the danger subsided Sunday, utility workers, as part of PG&E's local response planning for winter storms, worked throughout Butte and Yuba counties to re-energize power lines. The shut-offs affected areas including eastern Chico, Oroville and fire-ravaged Paradise.

Technicians checked lines for damage or fire hazards, like vegetation that could interfere with live wires, Pasion said, as part of broader pandemic grid preparedness that informed utility protocols.

PG&E “patrolled approximately 800 miles of overhead power lines,” the company said in a statement. “Crews found instances of damage to de-energized equipment caused by the extreme weather event and are making necessary repairs.”

While the shut-offs inconvenienced businesses and homeowners, they also highlighted energy inequality across impacted neighborhoods, and some called 911 with emergencies and confusion.

A half hour into the shut-off Saturday night, Butte County sheriff’s dispatchers received a call from a person requesting a welfare check on an individual whose care required electricity, according to department call logs. Two calls overnight from the Magalia area requested medical assistance because residents had oxygen concerns for medically sensitive spouses.

One woman requested an ambulance because her “husband was running out of oxygen,” according to the logs.

Around 4:11 a.m. Sunday, a resident of Hidden Valley Mobile Home Park in Oroville called about a tree falling into a trailer, causing a power line to fall, but noted that the electricity was off.

In a comparable storm-related outage, Sudbury Hydro crews worked to reconnect service after severe weather in Ontario.

And there were multiple calls asking for information about the shut-off, including one caller around midnight who was “demanding PG&E turn his power back on.”

The calls led the Butte County Sheriff’s Office to tweet a reminder Sunday afternoon that 911 is reserved for emergencies and requests for information about the power shutdown should be done through PG&E.

The utility opened a community resource center at Harrison Stadium in Oroville (Butte County) on Sunday morning to provide restrooms, bottled water, power outlets and air conditioning to residents. About 40 people showed up at the center in the first few hours, officials said.

“It’s a small but steady stream,” Pasion said.

Power was being restored to parts of Oroville as of 11 a.m. Sunday.

PG&E officials said it could take up to 48 hours for power to be restored in some areas.

For perspective, during severe storms in Ontario, Hydro One crews restored power to more than 277,000 customers within days.

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Ontario IESO Accounting Dispute highlights tensions over public sector accounting standards, auditor general oversight, electricity market transparency, KPMG advice, rate-regulated accounting, and an alleged $1.3B deficit understatement affecting Hydro bills and provincial finances.

Key Points

A PSAS clash between Ontario's auditor general and the IESO, alleging a $1.3B deficit impact and transparency failures.

✅ Auditor alleges deficit understated by $1.3B

✅ Dispute over PSAS vs US-style accounting

✅ KPMG support, transparency and co-operation questioned

The bad blood between the Ontario government and auditor general bubbled to the surface once again Monday, with the Liberal energy minister downplaying a dispute between the auditor and the Crown corporation that manages the province's electricity market, even as the government pursued legislation to lower electricity rates in the province.

Glenn Thibeault said concerns raised by auditor general Bonnie Lysyk during testimony before a legislative committee last week aren't new and the practices being used by the Independent Electricity System Operator are commonly endorsed by major auditing firms.

"(Lysyk) doesn't like the rate-regulated accounting. We've always said we've relied on the other experts within the field as well, plus the provincial controller," Thibeault said.

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"We believe that we are following public sector accounting standards."

Thibeault said that Ontario Power Generation, Hydro One and many other provinces and U.S. states use the same accounting practices.

"We go with what we're being told by those who are in the field, like KPMG, like E&Y," he said.

But a statement from Lysyk's office Monday disputed Thibeault's assessment.

"The minister said the practices being used by the IESO are common in other jurisdictions," the statement said.

"In fact, the situation with the IESO is different because none of the six other jurisdictions with entities similar to the IESOuse Canadian Public Sector Accounting Standards. Five of them are in the United States and use U.S. accounting standards."

Lysyk said last week that the IESO is using "bogus" accounting practices and her office launched a special audit of the agency late last year after the agency changed their accounting to be more in line with U.S. accounting, following reports of a phantom demand problem that cost customers millions.

Lysyk said the accounting changes made by the IESO impact the province's deficit, understating it by $1.3 billion as of the end of 2017, adding that IESO "stalled" her office when it asked for information and was not co-operative during the audit.

Lysyk's full audit of the IESO is expected to be released in the coming weeks and is among several accounting disputes her office has been engaged in with the Liberal government over the past few years.

Last fall, she accused the government of purposely obscuring the true financial impact of its 25% hydro rate cut by keeping billions in debt used to finance that plan off the province's books. Lysyk had said she would audit the IESO because of its role in the hydro plan's complex accounting scheme.

"Management of the IESO and the board would not co-operate with us, in the sense that they continually say they're co-operating, but they stalled on giving us information," she said last week.

Terry Young, a vice-president with the IESO, said the agency has fully co-operated with the auditor general. The IESO opened up its office to seven staff members from the auditor's office while they did their work.

"We recognize the work that she's doing and to that end we've tried to fully co-operate," he said. "We've given her all of the information that we can."

Young said the change in accounting standards is about ensuring greater transparency in transactions in the energy marketplace.

"It's consistent with many other independent electricity system operators are doing," he said.

Lysyk also criticized IESO's accounting firm, KPMG, for agreeing with the IESO on the accounting standards. She was critical of the firm billing taxpayers for nearly $600,000 work with the IESO in 2017, compared to their normal yearly audit fee of $86,500.

KPMG spokeswoman Lisa Papas said the accounting issues that IESO addressed during 2017 were complex, contributing to the higher fees.

The accounting practices the auditor is questioning are a "difference of professional judgement," she said.

"The standards for public sector organizations such as IESO are principles-based standards and, accordingly, require the exercise of considerable professional judgement," she said in a statement.

"In many cases, there is more than one acceptable approach that is compliant with the applicable standards."

Progressive Conservative energy critic Todd Smith said the government isn't being transparent with the auditor general or taxpayers, aligning with calls for cleaning up Ontario's hydro mess in the sector.

"Obviously, they have some kind of dispute but the auditor's office is saying that the numbers that the government is putting out there are bogus.

Those are her words," he said. "We've always said that we believe the auditor general's are the true numbers for the
province of Ontario."

NDP energy critic Peter Tabuns said the Liberal government has decided to "play with accounting rules" to make its books look better ahead of the spring election, despite warnings that electricity prices could soar if costs are pushed into the future.

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Maritime Link HVDC Transmission connects Newfoundland and Nova Scotia to the North American grid, enabling renewable energy imports, subsea cable interconnection, Muskrat Falls hydro power delivery, and lower carbon emissions across Atlantic Canada.

Key Points

A 500 MW HVDC intertie linking Newfoundland and Nova Scotia to deliver Muskrat Falls hydro power.

✅ 500 MW capacity using twin 170 km subsea HVDC cables

✅ Interconnects Newfoundland and Nova Scotia to the North American grid

✅ Enables Muskrat Falls hydro imports, cutting CO2 and costs

For the first time, electricity has been sent between Newfoundland and Nova Scotia through the new Maritime Link.

The 500-megawatt transmission line — which connects Newfoundland to the North American energy grid for the first time and echoes projects like the New England Clean Power Link underway — was tested Friday.

"This changes not only the energy options for Newfoundland and Labrador but also for Nova Scotia and Atlantic Canada," said Rick Janega, the CEO of Emera Newfoundland and Labrador, which owns the link.

"It's an historic event in our eyes, one that transforms the electricity system in our region forever."

'On time and on budget'

It will eventually carry power from the Muskrat Falls hydro project in Labrador, where construction is running two years behind schedule and $4 billion over budget, a context in which the Manitoba Hydro line to Minnesota has also faced delay, to Nova Scotia consumers. It was supposed to start producing power later this year, but the new deadline is 2020 at the earliest.

The project includes two 170-kilometre subsea cables across the Cabot Strait between Cape Ray in southwestern Newfoundland and Point Aconi in Cape Breton.

The two cables, each the width of a two-litre pop bottle, can carry 250 megawatts of high voltage direct current, and rest on the ocean floor at depths up to 470 metres.

This reel of cable arrived in St. John's back in April aboard the Norwegian vessel Nexans Skagerrak, after the first power cable reached Nova Scotia earlier in the project. (Submitted by Emera NL)

The Maritime Link also includes almost 50 kilometres of overland transmission in Nova Scotia and more than 300 kilometres of overland transmission in Newfoundland, paralleling milestones on Site C transmission work in British Columbia.

The link won't go into commercial operation until January 1.

Janega said the $1.6-billion project is on time and on budget.

"We're very pleased to be in a position to be able to say that after seven years of working on this. It's quite an accomplishment," he said.

This Norwegian vessel was used to transport the 5,500 tonne subsea cable. (Submitted by Emera NL)

Once in service, the link will improve electrical interconnections between the Atlantic provinces, aligning with climate adaptation guidance for Canadian utilities.

"For Nova Scotia it will allow it to achieve its 40 per cent renewable energy target in 2020. For Newfoundland it will allow them to shut off the Holyrood generating station, in fact using the Maritime Link in advance of the balance of the project coming into service," Janega said.

Karen Hutt, president and CEO of Nova Scotia Power, which is owned by Emera Inc., calls it a great day for Nova Scotia.

"When it goes into operation in January, the Maritime Link will benefit Nova Scotia Power customers by creating a more stable and secure system, helping reduce carbon emissions, and enabling NSP to purchase power from new sources," Hutt said in a statement.

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Negative Electricity Prices in France signal oversupply from wind and solar, stressing the wholesale market and grid. Better storage, demand response, and interconnections help balance renewables and stabilize prices today.

Key Points

They occur when renewable output exceeds demand, pushing power prices below zero as excess energy strains the grid.

✅ Driven by wind and solar surges with low demand

✅ Challenges thermal plants; erodes margins at negative prices

✅ Needs storage, demand response, and cross-border interties

France has recently experienced an unusual and unprecedented situation in its electricity market: negative electricity prices. This development, driven by a significant influx of renewable energy sources, highlights the evolving dynamics of energy markets as countries increasingly rely on clean energy technologies. The phenomenon of negative pricing reflects both the opportunities and renewable curtailment challenges associated with the integration of renewable energy into national grids.

Negative electricity prices occur when the supply of electricity exceeds demand to such an extent that producers are willing to pay consumers to take the excess energy off their hands. This situation typically arises during periods of high renewable energy generation coupled with low energy demand. In France, this has been driven primarily by a surge in wind and solar power production, which has overwhelmed the grid and created an oversupply of electricity.

The recent surge in renewable energy generation can be attributed to a combination of favorable weather conditions and increased capacity from new renewable energy installations. France has been investing heavily in wind and solar energy as part of its commitment to reducing greenhouse gas emissions and transitioning towards a more sustainable energy system, in line with renewables surpassing fossil fuels in Europe in recent years. While these investments are essential for achieving long-term climate goals, they have also led to challenges in managing energy supply and demand in the short term.

One of the key factors contributing to the negative prices is the variability of renewable energy sources. Wind and solar power are intermittent by nature, meaning their output can fluctuate significantly depending on weather conditions, with solar reshaping price patterns in Northern Europe as deployment grows. During times of high wind or intense sunshine, the electricity generated can far exceed the immediate demand, leading to an oversupply. When the grid is unable to store or export this excess energy, prices can drop below zero as producers seek to offload the surplus.

The impact of negative prices on the energy market is multifaceted. For consumers, negative prices can lead to lower energy costs as wholesale electricity prices fall during oversupply, and even potential credits or payments from energy providers. This can be a welcome relief for households and businesses facing high energy bills. However, negative prices can also create financial challenges for energy producers, particularly those relying on conventional power generation methods. Fossil fuel and nuclear power plants, which have higher operating costs, may struggle to compete when prices are negative, potentially affecting their profitability and operational stability.

The phenomenon also underscores the need for enhanced energy storage and grid management solutions. Excess energy generated from renewable sources needs to be stored or redirected to maintain grid stability and avoid negative pricing situations. Advances in battery storage technology, such as France's largest battery storage platform, and improvements in grid infrastructure are essential to addressing these challenges and optimizing the integration of renewable energy into the grid. By developing more efficient storage solutions and expanding grid capacity, France can better manage fluctuations in renewable energy production and reduce the likelihood of negative prices.

France's experience with negative electricity prices is part of a broader trend observed in other countries with high levels of renewable energy penetration. Similar situations have occurred in Germany, where solar plus storage is now cheaper than conventional power, the United States, and other regions where renewable energy capacity is rapidly expanding. These instances highlight the growing pains associated with transitioning to a cleaner energy system and the need for innovative solutions to balance supply and demand.

The French government and energy regulators are closely monitoring the situation and exploring measures to mitigate the impact of negative prices. Policy adjustments, market reforms, and investments in energy infrastructure are all potential strategies to address the challenges posed by high renewable energy generation. Additionally, encouraging the development of flexible demand response programs and enhancing grid interconnections with neighboring countries can help manage excess energy and stabilize prices.

In the long term, the rise of renewable energy and the occurrence of negative prices represent a positive development for the energy transition. They indicate progress towards cleaner energy sources and a more sustainable energy system. However, managing the associated challenges is crucial for ensuring that the transition is smooth and economically viable for all stakeholders involved.

In conclusion, the recent instance of negative electricity prices in France highlights the complexities of integrating renewable energy into the national grid. While the phenomenon reflects the success of France’s efforts to expand its renewable energy capacity, it also underscores the need for advanced grid management and storage solutions. As the country continues to navigate the transition to a more sustainable energy system, addressing these challenges will be essential for maintaining a stable and efficient energy market. The experience serves as a valuable lesson for other nations undergoing similar transitions and reinforces the importance of innovation and adaptability in the evolving energy landscape.

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California Electricity Rate Overhaul proposes a fixed fee and lower per-kWh rates to boost electrification, renewables, and grid reliability, while CPUC weighs impacts on conservation, low-income customers, and time-of-use pricing across the state.

Key Points

A proposal to add fixed fees and cut per-kWh prices to drive electrification, support renewables, and balance grid costs.

✅ Fixed monthly fee plus lower volumetric per-kWh charges

✅ Aims to accelerate EVs, heat pumps, and building electrification

✅ CPUC review weighs equity, conservation, and grid reliability

California is contemplating a significant overhaul to its electricity rate structure that could bring major changes to electric bills statewide, a move that has ignited debate among environmentalists and politicians alike. The proposed modifications, spearheaded by the California Energy Commission (CEC), would introduce a fixed fee on electric bills and lower the rate per kilowatt-hour (kWh) used.

Motivations for the Change

Proponents of the plan argue that it would incentivize Californians to transition to electric appliances and vehicles, a critical aspect of the state's ambitious climate goals. They reason that a lower per-unit cost would make electricity a more attractive option for applications like home heating and transportation, which are currently dominated by natural gas and gasoline. Additionally, they believe the plan would spur investment in renewable energy sources and distributed generation, ultimately leading to a cleaner electricity grid.

California has some of the most ambitious climate goals in the country, aiming to achieve carbon neutrality by 2045. The transportation sector is the state's largest source of greenhouse gas emissions, and electrification is considered a key strategy for reducing emissions. A 2021 report by the Natural Resources Defense Council (NRDC) found that electrifying all California vehicles and buildings could reduce greenhouse gas emissions by 80% compared to 2020 levels.

Concerns and Potential Impacts

Opponents of the proposal, including some consumer rights groups, express apprehensions that it would discourage conservation efforts. They argue that with a lower per-kWh cost, Californians would have less motivation to reduce their electricity consumption. Additionally, they raise concerns that the income-based fixed charges could disproportionately burden low-income households, who may struggle to afford the base charge regardless of their overall electricity consumption.

A recent study by the CEC suggests that the impact on most Californians would be negligible, even as regulators face calls for action over soaring bills from ratepayers across the state. The report predicts that the average household's electricity bill would change by less than $5 per month under the proposed system. However, some critics argue that this study may not fully account for the potential behavioral changes that could result from the new rate structure.

Similar Initiatives and National Implications

California is not the only state exploring changes to its electricity rates to promote clean energy. Hawaii and New York have also implemented similar programs to encourage consumers to use electricity during off-peak hours. These time-varying rates, also known as time-of-use rates, can help reduce strain on the electricity grid during peak demand periods.

The California proposal has garnered national attention as other states grapple with similar challenges in balancing clean energy goals with affordability concerns amid soaring electricity prices in California and beyond. The outcome of this debate could have significant implications for the broader effort to decarbonize the U.S. power sector.

The Road Ahead

The California Public Utilities Commission (CPUC) is reviewing the proposal and anticipates making a decision later this year, with a potential income-based flat-fee structure under consideration. The CPUC will likely consider the plan's potential benefits and drawbacks, including its impact on greenhouse gas emissions, electricity costs for consumers, and the overall reliability of the grid, even as some lawmakers seek to overturn income-based charges in the legislature.

The decision on California's electricity rates is merely one piece of the puzzle in the fight against climate change. However, it is a significant one, with the potential to shape the state's energy landscape for years to come, including the future of residential rooftop solar markets and investments.

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Nova Scotia Power Rate Regulation explains how the privately owned utility is governed by the Utility Review Board, limiting government authority, while COVID-19 relief measures include suspended disconnections, waived fees, payment plans, and emergency assistance.

Key Points

URB oversight where the board, not the province, sets power rates, with COVID-19 relief pausing disconnections and fees.

✅ Province lacks authority to order rate cuts

✅ URB regulates Nova Scotia Power rates

✅ Relief: no disconnections, waived fees, payment plans

The province can't ask Nova Scotia Power to lower its rates to ease the financial pressure on out-of-work residents because it lacks the authority to take that kind of action, even as the Nova Scotia regulator approved a 14% hike in a separate proceeding, the provincial energy minister said Thursday.

Derek Mombourquette said he is in "constant contact" with the privately owned utility.

"The conversations are ongoing with Nova Scotia Power," he said after a cabinet meeting.

When asked if the Liberal government would order the utility to lower electricity rates as households and businesses struggle with the financial fallout from the COVID-19 pandemic, Mombourquette said there was nothing he could do.

"We don't have the regulatory authority as a government to reduce the rates," he told reporters during a conference call.

"They're independent, and they are regulated through the (Nova Scotia Utility Review Board). My conversations with Nova Scotia Power essentially have been to do whatever they can to support Nova Scotians, whether it's residents or businesses in this very difficult time."

Asked if the board would take action, the minister said: "I'm not aware of that," despite the premier's appeals to regulators in separate rate cases.

However, the minister noted that the utility, owned by Emera Inc., has suspended disconnections for bill non-payment for at least 90 days, a step similar to reconnection efforts by Hydro One announced in Ontario.

It has also relaxed payment timelines and waived penalties and fees, while some jurisdictions offered lump-sum credits to help with bills.

Nova Scotia Power CEO Wayne O'Connor has also said the company is making additional donations to a fund available to help low-income individuals and families pay their energy bills.

In late March, Ontario cut electricity rates for residential consumers, farms and small businesses in response to a surge in people forced to work from home as a result of the pandemic, alongside bill support measures for ratepayers.

Premier Doug Ford said there would be a 45-day switch to off-peak rates, later moving to a recovery rate framework, which meant electricity consumers would be paying the lowest rate possible at any time of day.

The change was expected to cost the province about $162 million.

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