Major changes in works for Canada's electrical grid

By CBC NEWS


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The power structure in Canada is changing — not the government, but the country's electricity infrastructure.

By 2020, where electricity comes from and how it gets to your door will have undergone an unprecedented overhaul. Windmills will dot the landscapes of the Great Lakes and remote B.C. Smoke from coal plants will be buried in Saskatchewan and Alberta. A massive underwater cable will feed voltage from Labrador to as far away as New England.

It's all part of a complex series of initiatives that will reformulate everything from who produces the energy that powers your stove or dishwasher, to how they produce it, to your own power consumption habits and how much you'll pay each month.

"Electricity is one of the basic fuels of the economy. Not much happens without it," says Pierre Guimond, CEO of the Canadian Electricity Association, an industry group. "So getting the basics done correctly — yeah, we've got a lot on our plates."

CBC News has analyzed hundreds of studies, contracts, reports, strategy documents, maps and statistics about the country's electrical future. Many of the details have never before been gathered and shared with the public. We've produced the first map, for example, of every major generating station that's operating in Canada today or forecast to start up by 2020. And we've calculated what it will likely cost for your electricity, based on each province's current power generation strategy — and the surprising array of companies you'll be buying it from.

To the tens of millions of North Americans who spent many hours in the dark during the blackout of 2003, the question lingers: Do we generate enough electricity to meet the growing needs of homes and businesses, and do we have a robust enough grid to stave off future outages?

In 2003, Ontario, Canada's second-largest powerhouse after Quebec, was on the brink. Its independent grid operator made doomful pronouncements about shortages, and Ontario had to import a sizeable chunk of its energy from the United States.

More recently, British Columbia has become a net importer of current from south of the border. Alberta, Nova Scotia and Saskatchewan also rely on foreign sources.

The outlook has improved, but there's still cause for caution.

Ontario now sends $400 million in electricity to the U.S. each year, while B.C. is aiming to be self-sufficient by 2016. Alberta has seen a torrid pace of generator construction, although a March report by Canaccord Genuity predicts the province's power consumption is expected to rise by an estimated 4 per cent a year, putting pressure on the amount of power available and driving prices up. On the East Coast, the hydroelectric development of the Lower Churchill River will eventually bring online enough capacity to power any one of the Atlantic provinces in its entirety.

Overall, the country's system still needs massive cash infusions.

The International Energy Agency estimates Canada will require $10 billion a year in investments in its electrical infrastructure from now until 2030. A little over half of that will go towards generation and the rest to improve the bulk transmission grid and the more modest power lines that distribute electricity to homes.

The most recent assessment from the North American Electric Reliability Corp. – which is authorized by both the Canadian and U.S. governments to ensure the adequacy of the grids in both countries and ensures there's an adequate power supply — isn't overly rosy, either. NERC says that as of 2012, Quebec "needs additional resources" on its generation side, while B.C. and Alberta still need to "accelerate … resource development" to meet their needs for 2020. Ontario, despite its scheme to bring hundreds of small-scale generation online through guaranteed rate offers, is predicted to be a "tight area."

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Physicists Just Achieved Conduction of Electricity at Close to The Speed of Light

Attosecond Electron Transport uses ultrafast lasers and single-cycle light pulses to drive tunneling in bowtie gold nanoantennas, enabling sub-femtosecond switching in optoelectronic nanostructures and surpassing picosecond silicon limits for next-gen computing.

 

Key Points

A light-driven method that manipulates electrons with ultrafast pulses to switch currents within attoseconds.

✅ Uses single-cycle light pulses to drive electron tunneling

✅ Achieves 600 attosecond current switching in nano-gaps

✅ Enables optoelectronic, plasmonic devices beyond silicon

 

When it comes to data transfer and computing, the faster we can shift electrons and conduct electricity the better – and scientists have just been able to transport electrons at sub-femtosecond speeds (less than one quadrillionth of a second) in an experimental setup.

The trick is manipulating the electrons with light waves that are specially crafted and produced by an ultrafast laser. It might be a long while before this sort of setup makes it into your laptop, but similar precision is seen in noninvasive interventions where targeted electrical stimulation can boost short-term memory for limited periods, and the fact they pulled it off promises a significant step forward in terms of what we can expect from our devices.

Right now, the fastest electronic components can be switched on or off in picoseconds (trillionths of a second), a pace that intersects with debates over 5G electricity use as systems scale, around 1,000 times slower than a femtosecond.

With their new method, the physicists were able to switch electric currents at around 600 attoseconds (one femtosecond is 1,000 attoseconds).

"This may well be the distant future of electronics," says physicist Alfred Leitenstorfer from the University of Konstanz in Germany. "Our experiments with single-cycle light pulses have taken us well into the attosecond range of electron transport."

Leitenstorfer and his colleagues were able to build a precise setup at the Centre for Applied Photonics in Konstanz. Their machinery included both the ability to carefully manipulate ultrashort light pulses, and to construct the necessary nanostructures, including graphene architectures, where appropriate.

The laser used by the team was able to push out one hundred million single-cycle light pulses every single second in order to generate a measurable current. Using nanoscale gold antennae in a bowtie shape (see the image above), the electric field of the pulse was concentrated down into a gap measuring just six nanometres wide (six thousand-millionths of a metre).

As a result of their specialist setup and the electron tunnelling and accelerating it produced, the researchers could switch electric currents at well under a femtosecond – less than half an oscillation period of the electric field of the light pulses.

Getting beyond the restrictions of conventional silicon semiconductor technology has proved a challenge for scientists, but using the insanely fast oscillations of light to help electrons pick up speed could provide new avenues for pushing the limits on electronics, as our power infrastructure is increasingly digitized and integrated with photonics.

And that's something that could be very advantageous in the next generation of computers: scientists are currently experimenting with the way that light and electronics could work together in all sorts of different ways, from noninvasive brain stimulation to novel sensors.

Eventually, Leitenstorfer and his team think that the limitations of today's computing systems could be overcome using plasmonic nanoparticles and optoelectronic devices, using the characteristics of light pulses to manipulate electrons at super-small scales, with related work even exploring electricity from snowfall under specific conditions.

"This is very basic research we are talking about here and may take decades to implement," says Leitenstorfer.

The next step is to experiment with a variety of different setups using the same principle. This approach might even offer insights into quantum computing, the researchers say, although there's a lot more work to get through yet - we can't wait to see what they'll achieve next.

 

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Two new electricity interconnectors planned for UK

Ofgem UK Electricity Interconnectors will channel subsea cables, linking Europe, enabling energy import/export, integrating offshore wind via multiple-purpose interconnectors, boosting grid stability, capacity, and investment under National Grid analysis to 2030 targets.

 

Key Points

Subsea links between the UK and Europe that trade power, integrate offshore wind, and reinforce grid capacity.

✅ Two new subsea interconnector bids open in 2025

✅ Pilot for multiple-purpose links to offshore wind clusters

✅ National Grid to assess optimal routes, capacity, and locations

 

Ofgem has opened bids to build two electricity interconnectors between the UK and continental Europe as part of the broader UK grid transformation now underway.

The energy regulator said this would “bring forward billions of pounds of investment” in the subsea cables, such as the Lake Erie Connector, which can import cheaper energy when needed and export surplus power from the UK when it is available.

Developers will be invited to submit bids to build the interconnectors next year. Ofgem will additionally run a pilot scheme for ‘multiple-purpose interconnectors’, which are used to link clusters of offshore wind farms and related innovations like an offshore vessel chargepoint to an interconnector.

This forms part of the UK Government drive to more than double capacity by 2030, and to manage rising electric-vehicle demand, as discussed in EV grid impacts, in support of its target of quadrupling offshore wind capacity by the same date.

Interconnectors provide some 7 per cent of UK electricity demand. The UK so far has seven electricity interconnectors linked to Ireland, France, Belgium, the Netherlands and Norway, while projects like the Ireland-France connection illustrate broader European grid integration.

Balfour Beatty won a £90m contract for onshore civil engineering works on the Viking Link Norway interconnector, which is due to come into operation in 2023, while London Gateway's all-electric berth highlights related port electrification.

It said that interconnector developers have in the past been allowed to propose their preferred design, connection location and sea route to the connecting country. Ofgem has now said it may decide to consider only those projects that meet its requirements based on an analysis of location and capacity needs by National Grid.

Ofgem has not specified that the new interconnectors must link to any specific place or country, but may do so later, as priorities like the Cyprus electricity highway illustrate emerging directions.

 

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Carbon capture: How can we remove CO2 from the atmosphere?

CO2 Removal Technologies address climate change via negative emissions, including carbon capture, reforestation, soil carbon, biochar, BECCS, DAC, and mineralization, helping meet Paris Agreement targets while managing costs, land use, and infrastructure demands.

 

Key Points

Methods to extract or sequester atmospheric CO2, combining natural and engineered approaches to limit warming.

✅ Includes reforestation, soil carbon, biochar, BECCS, DAC, mineralization

✅ Balances climate goals with costs, land, energy, and infrastructure

✅ Key to Paris Agreement targets under 1.5-2.0 °C warming

 

The world is, on average, 1.1 degrees Celsius warmer today than it was in 1850. If this trend continues, our planet will be 2 – 3 degrees hotter by the end of this century, according to the Intergovernmental Panel on Climate Change (IPCC).

The main reason for this temperature rise is higher levels of atmospheric carbon dioxide, which cause the atmosphere to trap heat radiating from the Earth into space. Since 1850, the proportion of CO2 in the air has increased, with record greenhouse gas concentrations documented, from 0.029% to 0.041% (288 ppm to 414 ppm).

This is directly related to the burning of coal, oil and gas, which were created from forests, plankton and plants over millions of years. Back then, they stored CO2 and kept it out of the atmosphere, but as fossil fuels are burned, that CO2 is released. Other contributing factors include industrialized agriculture and slash-and-burn land clearing techniques, and emissions from SF6 in electrical equipment are also concerning today.

Over the past 50 years, more than 1200 billion tons of CO2 have been emitted into the planet's atmosphere — 36.6 billion tons in 2018 alone, though global emissions flatlined in 2019 before rising again. As a result, the global average temperature has risen by 0.8 degrees in just half a century.


Atmospheric CO2 should remain at a minimum
In 2015, the world came together to sign the Paris Climate Agreement which set the goal of limiting global temperature rise to well below 2 degrees — 1.5 degrees, if possible.

The agreement limits the amount of CO2 that can be released into the atmosphere, providing a benchmark for the global energy transition now underway. According to the IPCC, if a maximum of around 300 billion tons were emitted, there would be a 50% chance of limiting global temperature rise to 1.5 degrees. If CO2 emissions remain the same, however, the CO2 'budget' would be used up in just seven years.

According to the IPCC's report on the 1.5 degree target, negative emissions are also necessary to achieve the climate targets.


Using reforestation to remove CO2
One planned measure to stop too much CO2 from being released into the atmosphere is reforestation. According to studies, 3.6 billion tons of CO2 — around 10% of current CO2 emissions — could be saved every year during the growth phase. However, a study by researchers at the Swiss Federal Institute of Technology, ETH Zurich, stresses that achieving this would require the use of land areas equivalent in size to the entire US.

Young trees at a reforestation project in Africa (picture-alliance/OKAPIA KG, Germany)
Reforestation has potential to tackle the climate crisis by capturing CO2. But it would require a large amount of space


More humus in the soil
Humus in the soil stores a lot of carbon. But this is being released through the industrialization of agriculture. The amount of humus in the soil can be increased by using catch crops and plants with deep roots as well as by working harvest remnants back into the ground and avoiding deep plowing. According to a study by the German Institute for International and Security Affairs (SWP) on using targeted CO2 extraction as a part of EU climate policy, between two and five billion tons of CO2 could be saved with a global build-up of humus reserves.


Biochar shows promise
Some scientists see biochar as a promising technology for keeping CO2 out of the atmosphere. Biochar is created when organic material is heated and pressurized in a zero or very low-oxygen environment. In powdered form, the biochar is then spread on arable land where it acts as a fertilizer. This also increases the amount of carbon content in the soil. According to the same study from the SWP, global application of this technology could save between 0.5 and two billion tons of CO2 every year.


Storing CO2 in the ground
Storing CO2 deep in the Earth is already well-known and practiced on Norway's oil fields, for example. However, the process is still controversial, as storing CO2 underground can lead to earthquakes and leakage in the long-term. A different method is currently being practiced in Iceland, in which CO2 is sequestered into porous basalt rock to be mineralized into stone. Both methods still require more research, however, with new DOE funding supporting carbon capture, utilization, and storage.

Capturing CO2 to be held underground is done by using chemical processes which effectively extract the gas from the ambient air, and some researchers are exploring CO2-to-electricity concepts for utilization. This method is known as direct air capture (DAC) and is already practiced in other parts of Europe.  As there is no limit to the amount of CO2 that can be captured, it is considered to have great potential. However, the main disadvantage is the cost — currently around €550 ($650) per ton. Some scientists believe that mass production of DAC systems could bring prices down to €50 per ton by 2050. It is already considered a key technology for future climate protection.

The inside of a carbon capture facility in the Netherlands (RWE AG)
Carbon capture facilities are still very expensive and take up a huge amount of space

Another way of extracting CO2 from the air is via biomass. Plants grow and are burned in a power plant to produce electricity. CO2 is then extracted from the exhaust gas of the power plant and stored deep in the Earth, with new U.S. power plant rules poised to test such carbon capture approaches.

The big problem with this technology, known as bio-energy carbon capture and storage (BECCS) is the huge amount of space required. According to Felix Creutzig from the Mercator Institute on Global Commons and Climate Change (MCC) in Berlin, it will therefore only play "a minor role" in CO2 removal technologies.


CO2 bound by rock minerals
In this process, carbonate and silicate rocks are mined, ground and scattered on agricultural land or on the surface water of the ocean, where they collect CO2 over a period of years. According to researchers, by the middle of this century it would be possible to capture two to four billion tons of CO2 every year using this technique. The main challenges are primarily the quantities of stone required, and building the necessary infrastructure. Concrete plans have not yet been researched.


Not an option: Fertilizing the sea with iron
The idea is use iron to fertilize the ocean, thereby increasing its nuturient content, which would allow plankton to grow stronger and capture more CO2. However, both the process and possible side effects are very controversial. "This is rarely treated as a serious option in research," concludes SWP study authors Oliver Geden and Felix Schenuit.

 

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Solar changing shape of electricity prices in Northern Europe

EU Solar Impact on Electricity Prices highlights how rising solar PV penetration drives negative pricing, shifts peak hours, pressures wholesale markets, and challenges grid balancing, interconnection, and flexibility amid changing demand and renewables growth.

 

Key Points

Explains how rising solar PV cuts wholesale prices, shifts negative-price hours, and strains grid flexibility.

✅ Negative pricing events surge with higher solar penetration.

✅ Afternoon price dips replace night-time wind-led lows.

✅ Grid balancing, interconnectors, and flexibility become critical.

 

The latest EU electricity market report has confirmed the affect deeper penetration of solar is having on wholesale electricity prices more broadly.

The Quarterly Report on European Electricity Markets for the final three months of last year noted the number of periods of negative electricity pricing doubled from 2019, to almost 1,600 such events, as global renewables set new records in deployment across markets.

Having experienced just three negative price events in 2019, the Netherlands recorded almost 100 last year “amid a dramatic increase in solar PV capacity,” in the nation, according to the report.

Whilst stressing the exceptional nature of the Covid-19 pandemic on power consumption patterns, the quarterly update also noted a shift in the hours during which negative electric pricing occurred in renewables poster child Germany. Previously such events were most common at night, during periods of high wind speed and low demand, but 2020 saw a switch to afternoon negative pricing. “Thus,” stated the report, “solar PV became the main driver behind prices falling into negative territory in the German market in 2020, as Germany's solar boost accelerated, and also put afternoon prices under pressure generally.”

The report also highlighted two instances of scarce electricity–in mid September and on December 9–as evidence of the problems associated with accommodating a rising proportion of intermittent clean energy capacity into the grid, and called for more joined-up cross-border power networks, amid pushback from Russian oil and gas across the continent.

Rising solar generation–along with higher gas output, year on year–also helped the Netherlands generate a net surplus of electricity last year, after being a net importer “for many years.” The EU report also noted a beneficial effect of rising solar generation capacity on Hungary‘s national electricity account, and cited a solar “boom” in that country and Poland, mirroring rapid solar PV growth in China in recent years.

With Covid-19 falls in demand helping renewables generate more of Europe's electricity (39%) than fossil fuels (36%) for the first time, as renewables surpassed fossil fuels across Europe, the market report observed the 5% of the bloc's power produced from solar closed in on the 6% accounted for by hard coal. In the final three months of the year, European solar output rose 12%, year on year, to 18 TWh and “the increase was almost single-handedly driven by Spain,” the study added.

With coal and lignite-fired power plunging 22% last year across the bloc, it is estimated the European power sector reduced its carbon footprint 14% as part of Europe's green surge although the quarterly report warned cold weather, lower wind speeds and rising gas prices in the opening months of this year are likely to see carbon emissions rebound.

There was good news on the transport front, though, with the report stating the scale of the European “electrically-charged vehicle” fleet doubled in 2020, to 2 million, with almost half a million of the new registrations arriving in the final months of the year. That meant cars with plug sockets accounted for a remarkable 17% of new purchases in Q4, twice the proportion seen in China and a slice of the pie six times bigger than such products claimed in the U.S.

 

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Power Outage Disrupts Travel at BWI Airport

BWI Power Outage caused flight delays, cancellations, and diversions after a downed power line near Baltimore/Washington International. BGE crews responded as terminal operations, security screening, and boarding slowed, exposing infrastructure gaps and backup power needs.

 

Key Points

A downed power line disrupted BWI, causing delays, diversions, and slowed operations after power was restored by noon.

✅ Downed power line near airport spurred terminal-wide disruptions

✅ 150+ delays, dozens of cancellations; diversions to nearby airports

✅ BGE response, backup power gaps highlight infrastructure resilience

 

On the morning of March 3, 2025, a major power outage at Baltimore/Washington International Thurgood Marshall Airport (BWI) caused significant disruptions to air travel, much like the London morning outage that upended routines, affecting both departing and incoming flights. The outage, which began around 7:40 a.m., was caused by a downed power line near the airport, according to officials from Baltimore Gas and Electric Company. Although power was restored by noon, the effects were felt for several hours, resulting in flight delays, diversions, and a temporary disruption to airport operations.

Flight Disruptions and Delays

The outage severely impacted operations at BWI, with more than 150 flights delayed and dozens more canceled. The airport, which serves as a major hub for both domestic and international travel, was thrown into chaos, similar to the Atlanta airport blackout that snarled operations, as power outages affected various critical areas, including parts of the main terminal and an adjacent parking garage. The downed power line created a ripple effect throughout the airport’s operations, delaying not only the check-in and security screening processes but also the boarding of flights. In addition to the delays, some inbound flights had to be diverted to nearby airports, further complicating an already strained travel schedule.

With the disruption affecting vital functions of the airport, passengers were advised to stay in close contact with their airlines for updated flight statuses and to prepare for longer-than-usual wait times.

Impact on Passengers

As power began to return to different parts of the terminal, airport officials reported that airlines were improvising solutions to continue the deplaning process, such as using air stairs to help passengers exit planes that were grounded due to the power outage, a reminder of how transit networks can stall during grid failures, as seen with the London Underground outage that frustrated commuters. This created further delays for passengers attempting to leave the airport or transfer to connecting flights.

Many passengers, who were left stranded in the terminal, faced long lines at ticket counters, security checkpoints, and concessions as the airport worked to recover from the loss of power, a situation mirrored during the North Seattle outage that affected thousands. The situation was compounded by the fact that while power was restored by midday, the airport still struggled to return to full operational capacity, creating significant inconvenience for travelers.

Power Restoration and Continued Delays

By around noon, officials confirmed that power had been fully restored across the main terminal. However, the full return to normalcy was far from immediate. Airport staff continued to work on clearing backlogs and assisting passengers, but the effects of the outage lingered throughout the day. Passengers were warned to expect continued delays at ticket counters, security lines, and concessions as the airport caught up with the disruption caused by the morning’s power outage.

For many travelers, the experience was a reminder of how dependent airports and airlines are on uninterrupted power to function smoothly. The disruption to BWI serves as a case study in the potential vulnerabilities of critical infrastructure that is not immune to the effects of power failure, including weather-driven events like the windstorm outages that can sever lines. Moreover, it highlights the difficulties of recovering from such incidents while managing the expectations of a large number of stranded passengers.

Investigations into the Cause of the Outage

As of the latest reports, Baltimore Gas and Electric Company (BGE) crews were still investigating the cause of the power line failure, including weather-related factors seen when strong winds in the Miami Valley knocked out power. While no definitive cause had been provided by early afternoon, BGE spokesperson Stephanie Weaver confirmed that the company was working diligently to restore service. She noted that the downed line had caused widespread disruptions to electrical service in the area, which were exacerbated by the airport’s significant reliance on a stable power supply.

BWI officials remained in close contact with BGE to monitor the situation and ensure that necessary precautions were taken to prevent further disruptions. With power largely restored by midday, focus turned to the logistical challenges of clearing the resulting delays and assisting passengers in resuming their travel plans.

Response from the Airport and Airlines

In response to the power outage, BWI officials encouraged travelers to remain patient, a familiar message during prolonged events like Houston's extended outage in recent months, and continue checking their flight statuses. Although flight tracking websites and social media posts provided timely updates, passengers were urged to expect long delays throughout the day as the airport struggled to return to full capacity.

Airlines, for their part, worked swiftly to accommodate affected passengers, although the situation created a ripple effect across the airport's operations. With delayed flights and diverted planes, air traffic control and ground crews had to adjust flight schedules accordingly, resulting in even more congestion at the airport. Airlines coordinated with the airport to prioritize urgent cases, and some flights were re-routed to other nearby airports to mitigate the strain on the terminal.

Long-Term Effects on Airport Infrastructure

This incident underscores the importance of maintaining resilient infrastructure at key transportation hubs like BWI. Airports are vital nodes in the air travel network, and any disruption, whether from power failure or other factors, can have far-reaching consequences on both domestic and international travel. Experts suggest that BWI and other major airports should consider implementing backup power systems and other safeguards to ensure that they can continue to function smoothly during unforeseen disruptions.

While BWI officials were able to resolve the situation relatively quickly, the power outage left many passengers frustrated and inconvenienced. This incident serves as a reminder of the need for airports and utilities to have robust contingency plans in place to handle emergencies and prevent delays from spiraling into more significant disruptions.

The power outage at Baltimore/Washington International Airport highlights the vulnerability of critical infrastructure to power failures and the cascading effects such disruptions can have on travel. Although power was restored by noon, the delays, diversions, and logistical challenges faced by passengers underscore the need for greater resilience in airport operations. With travel back on track, BWI and other airports will likely revisit their contingency plans to ensure that they are better prepared for future incidents that could affect air travel.

 

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U.S. power companies face supply-chain crisis this summer

U.S. Power Grid Supply Shortages strain reliability as heat waves, hurricanes, and drought drive peak demand; transformer scarcity, gas constraints, and renewable delays raise outage risks across ERCOT and MISO, prompting FERC warnings.

 

Key Points

They are equipment and fuel constraints that, amid extreme weather and peak demand, elevate outage risks.

✅ Transformer shortages delay storm recovery and repairs.

✅ Record gas burn, low hydro tighten generation capacity.

✅ ERCOT and MISO warn of rolling outages in heat waves.

 

U.S. power companies are facing supply crunches amid the U.S. energy crisis that may hamper their ability to keep the lights on as the nation heads into the heat of summer and the peak hurricane season.

Extreme weather events such as storms, wildfires and drought are becoming more common in the United States. Consumer power use is expected to hit all-time highs this summer, reflecting unprecedented electricity demand across the Eastern U.S., which could strain electric grids at a time when federal agencies are warning the weather could pose reliability issues.

Utilities are warning of supply constraints for equipment, which could hamper efforts to restore power during outages. They are also having a tougher time rebuilding natural gas stockpiles for next winter, after the Texas power system failure highlighted cold-weather vulnerabilities, as power generators burn record amounts of gas following the shutdown of dozens of coal plants in recent years and extreme drought cuts hydropower supplies in many Western states.

"Increasingly frequent cold snaps, heat waves, drought and major storms continue to challenge the ability of our nation’s electric infrastructure to deliver reliable affordable energy to consumers," Richard Glick, chairman of the U.S. Federal Energy Regulatory Commission (FERC), said earlier this month.

Federal agencies responsible for power reliability like FERC have warned that grids in the western half of the country could face reliability issues this summer as consumers crank up air conditioners to escape the heat, with nationwide blackout risks not limited to Texas. read more

Some utilities have already experienced problems due to the heat. Texas' grid operator, the Electric Reliability Council of Texas (ERCOT), was forced to urge customers to conserve energy as the Texas power grid faced another crisis after several plants shut unexpectedly during an early heat wave in mid-May. read more

In mid-June, Ohio-based American Electric Power Co (AEP.O) imposed rolling outages during a heat wave after a storm damaged transmission lines and knocked out power to over 200,000 homes and businesses.

The U.S. Midwest faces the most severe risk because demand is rising while nuclear and coal power supplies have declined. read more

The Midcontinent Independent System Operator (MISO), which operates the grid from Minnesota to Louisiana, warned that parts of its coverage area are at increased risk of temporary outages to preserve the integrity of the grid.

Supply-chain issues have already delayed the construction of renewable energy projects across the country, and the aging U.S. grid is threatening progress on renewables and EVs. Those renewable delays coupled with tight power in the Midwest prompted Wisconsin's WEC Energy Group Inc (WEC.N) and Indiana's NiSource Inc (NI.N) to delay planned coal plant shutdowns in recent months.

BRACING FOR SUPPLY SHORTAGES
Utility operators are conserving their inventory of parts and equipment as they plan to prevent summer power outages during severe storms. Over the last several months, that means operators have been getting creative.

"We’re doing a lot more splicing, putting cables together, instead of laying new cable because we're trying to maintain our new cable for inventory when we need it," Nick Akins, chief executive of AEP, said at the CERAWeek energy conference in March.

Transformers, which often sit on top of electrical poles and convert high-voltage energy to the power used in homes, are in short supply.

New Jersey-based Public Service Enterprise Group Inc (PSEG) (PEG.N) Chief Executive Ralph Izzo told Reuters the company has had to look at alternate supply options for low voltage transformers.

"You don’t want to deplete your inventory because you don't know when that storm is coming, but you know it's coming," Izzo said.

Some utilities are facing waiting times of more than a year for transformer parts, the National Rural Electric Cooperative Association and the American Public Power Association told U.S. Energy Secretary Jennifer Granholm in a May letter.

Summer is just starting, but U.S. weather so far this year has already been about 21% warmer than the 30-year norm, according to data provider Refinitiv.

"If we have successive days of 100-degree-heat, those pole top transformers, they start popping like Rice Krispies, and we would not have the supply stack to replace them," Izzo said.

 

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