New transmission lines: Worth the high cost?

By Knight Ridder Tribune


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Wires to West Texas windmills, wires to a southeast Texas electric company, wires to connect north and south - wires everywhere.

The state is in a headlong rush to extend its electric transmission system. But with an estimated cost of more than $10 billion - at least $500 for every man, woman and child served by the Texas power grid - some are questioning how much is too much.

"It's excessive," said Geoffrey Gay, a lawyer who represents Fort Worth and other North Texas cities in utility matters. "We need additional transmission... but $10 billion over the next few years is excessive by any stretch of reasoning. There needs to be a much more thoughtful analysis as to how much the consumer ought to bear."

Proposals are now before regulators and transmission planners to add $1 billion in transmission lines so a South Texas electric company can connect to the state's principal power grid, at least $3.5 billion in lines to get access to more wind power and about $6 billion to reduce congestion on the expanding grid.

Not all that construction is certain. Some is in the planning stage, some could be canceled depending on regulatory action, and some is merely contemplated. But all told, it could double the part of the home electric bill associated with transmission lines, which can reach about $8.50 per month.

The contemplated construction also appears to have created a gold rush in the transmission market, with several new companies vying for a piece of the business. Instead of building in isolated service territories - the traditional model for transmission construction - the new companies are seeking permission to build throughout the state and across service territories.

Supporters say some of the new construction is inevitable. Texas is growing, and the public and policymakers have gotten behind renewable energy. But how much expansion is too much? What level of investment is necessary to ensure a reliable system and encourage economic growth? And will the costly new transmission lines be another burden on ratepayers already socked with higher bills as the state has deregulated electricity?

"The thinking generally is that it's more likely to have a competitive market if you have a more robust transmission system," said Michigan State University Senior Fellow Kenneth Rose.

He has produced annual reports showing that the price of electricity in Texas and other deregulated states has increased faster than in regulated states. "The idea is that as you make power available through access, the more likely you'll have competition in a given area," but that hasn't meant lower prices in Texas, he aid. "Transmission is expensive - it always has been," Rose said.

"There are right-of-way issues in the construction. It's possible that you have a higher cost, but the thinking is that the higher cost would be offset by the competitive benefits, and the jury is still out on that." The Electric Reliability Council of Texas, the operator of the Texas transmission grid, has proposed building about $6.1 billion worth of transmission lines over the next 10 years to reduce congestion.

Some of these lines are necessary because of the market change, and some might have been constructed without the move to deregulation - after all, the state is growing and needs more infrastructure. Under the old system, electricity typically moved within service territories, and transmission planning was coordinated by regulators and unified utilities. Now, electricity is transported across the state.

Additionally, owners of new generating plants have greater freedom to build them anywhere, and ERCOT generally is obligated to hook these sometimes far-flung plants to the grid. But Bill Bojorquez, vice president of system planning at ERCOT, says the construction of new lines in the deregulated market also will mean that power from more cost-efficient power plants can get piped to more places in Texas.

Power from the new plants can replace power generated by older, more expensive to operate plants, and the savings can help offset the new transmission costs. He said recent findings by ERCOT indicated that potential ratepayer costs associated with power line congestion declined from $400 million in 2003 to $250 million in 2005 - largely because of improvements in infrastructure.

"Also, transmission still remains a small percentage of the overall cost of doing business," he said. "And what do you get? You get to connect to newer and more efficient plants in the state. You get to serve growth."

Hooking up the growing number of wind power projects also can be especially expensive, with some estimates putting the price tag at $3.5 billion or more.

Skeptics have said that because wind power is inherently undependable, more thought should be given to shielding ratepayers from those costs. Otherwise, "we're creating obligations for ratepayers that will endure for years to come," said Gay, the utility lawyer.

But ERCOT's Bojorquez says that the use of wind power can also lead to savings by replacing power from more expensive generators. He said the organization had not yet completed an analysis as to whether such savings could offset the construction costs contemplated by recent Public Utility Commission decisions. The PUC is also mulling a plan by Entergy Gulf States to tie into the state grid that would result in about $1 billion in transmission lines being built.

Consumer groups generally oppose the plan, saying it will be another burden on ratepayers and will result in higher electric prices for everyone. But an Entergy spokesman said that it could mean about $100 million in savings each year due to increased efficiencies and that it would help bring more stability to the power grid.

BY THE NUMBERS

$6.1 billion: The cost of building new transmission lines over the next 10 years to reduce congestion on the state's power grid and to keep up with growth. About 3,295 circuit miles of lines would be built over the next five years.

$3.5 billion: The potential investment needed to connect contemplated wind power projects to the state grid, according to some estimates.

$1 billion: The cost of connecting customers of a southeast Texas power grid to the state's main power grid.

$8.50: The amount homeowners may pay each month to finance the state's transmission system. According to some projections, that charge could double as a consequence of the contemplated transmission projects.

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Idaho gets vast majority of electricity from renewables, almost half from hydropower

Idaho Renewable Energy 2018 saw over 80% in-state utility-scale power from hydropower, wind, solar, biomass, and geothermal, per EIA, with imports declining as Snake River Plain resources and Hells Canyon hydro lead.

 

Key Points

Idaho produced over 80% in-state power from renewables in 2018, led by hydropower, wind, solar, and biomass.

✅ Hydropower supplies about half of capacity; Hells Canyon leads.

✅ Wind provides nearly 20% of capacity along the Snake River Plain.

✅ Utility-scale solar surged since 2016; biomass and geothermal add output.

 

More than 80% of Idaho’s in-state utility-scale electricity generation came from renewable resources in 2018, behind only Vermont, according to recently released data from the U.S. Energy Information Administration’s Electric Power Monthly and broader trends showing that solar and wind reached about 10% of U.S. generation in the first half of 2018.

Idaho generated 17.4 million MWh of electricity in 2018, of which 14.2 million MWh came from renewable sources, while nationally January power generation jumped 9.3% year over year according to EIA. Idaho uses a variety of renewable resources to generate electricity:

Hydroelectricity. Idaho ranked seventh in the U.S. in electricity generation from hydropower in 2018. About half of Idaho’s electricity generating capacity is at hydroelectric power plants, and utility actions such as the Idaho Power settlement could influence future resource choices, and seven of the state’s 10 largest power plants (in terms of electricity generation) are hydroelectric facilities. The largest privately owned hydroelectric generating facility in the U.S. is a three-dam complex on the Snake River in Hells Canyon, the deepest river gorge in North America.

Wind. Nearly one-fifth of Idaho’s electricity generating capacity and one-sixth of its generation comes from wind turbines. Idaho has substantial wind energy potential, and nationally the EIA expects solar and wind to be larger sources this summer, although only a small percentage of the state's land area is well-suited for wind development. All of the state’s wind farms are located in the southern half of the state along the Snake River Plain.

Solar. Almost 5% of Idaho’s electricity generating capacity and 3% of its generation come from utility-scale solar facilities, and nationally over half of new capacity in 2023 will be solar according to projections. The state had no utility-scale solar generation as recently as 2015. Between 2016 and 2017, Idaho’s utility-scale capacity doubled and generation increased from 30,000 MWh to more than 450,000 MWh. Idaho’s small-scale solar capacity also doubled since 2017, generating 33,000 MWh in 2018.

Biomass. Biomass-fueled power plants account for about 2% of the state’s utility-scale electricity generating capacity and 3% of its generation, contributing to a broader U.S. shift where 40% of electricity came from non-fossil sources in 2021. Wood waste from the state’s forests is the primary fuel for these plants.

Geothermal. Idaho is one of seven states with utility-scale geothermal electricity generation. Idaho has one 18-MW geothermal facility, located near the state’s southern border with Utah.

EIA says Idaho requires significant electricity imports, totaling about one-third of demand, to meet its electricity needs. However, Idaho’s electricity imports have decreased over time, and Georgia's recent import levels illustrate how regional dynamics can vary. Almost all of these imports are from neighboring states, as electricity imports from Canada accounted for less than 0.1% of Idaho’s total electricity supply in 2017.

 

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Africa must quadruple power investment to supply electricity for all, IEA says

Africa Energy Investment must quadruple, says IEA, to deliver electricity access via grids, mini-grids, and stand-alone solar PV, wind, hydropower, natural gas, and geothermal, targeting $120 billion annually and 2.5% of GDP.

 

Key Points

Africa Energy Investment funds reliable, low-carbon electricity via grids, mini-grids, and renewables.

✅ Requires about $120B per year, or 2.5% of GDP

✅ Mix: grids, mini-grids, stand-alone solar PV and wind

✅ Targets reliability, economic growth, and electricity access

 

African countries will need to quadruple their rate of investment in their power sectors for the next two decades to bring reliable electricity to all Africans, as outlined in the IEA’s path to universal access analysis, an International Energy Agency (IEA) study published on Friday said.

If African countries continue on their policy trajectories, 530 million Africans will still lack electricity in 2030, the IEA report said. It said bringing reliable electricity to all Africans would require annual investment of around $120 billion and a global push for clean, affordable power to mobilize solutions.

“We’re talking about 2.5% of GDP that should go into the power sector,” Laura Cozzi, the IEA’s Chief Energy Modeller, told journalists ahead of the report’s launch. “India’s done it over the past 20 years. China has done it, with solar PV growth outpacing any other fuel, too. So it’s something that is doable.”

Taking advantage of technological advances and optimizing natural resources, as highlighted in a renewables roadmap, could help Africa’s economy grow four-fold by 2040 while requiring just 50% more energy, the agency said.

Africa’s population is currently growing at more than twice the global average rate. By 2040, it will be home to more than 2 billion people. Its cities are forecast to expand by 580 million people, a historically unprecedented pace of urbanization.

While that growth will lead to economic expansion, it will pile pressure on power sectors that have already failed to keep up with demand, with the sub-Saharan electricity challenge intensifying across the region. Nearly half of Africans - around 600 million people - do not have access to electricity. Last year, Africa accounted for nearly 70% of the global population lacking power, a proportion that has almost doubled since 2000, the IEA found.

Some 80% of companies in sub-Saharan Africa suffered frequent power disruptions in 2018, leading to financial losses that curbed economic growth.

The IEA recommended changing how power is distributed, with mini-grids and stand-alone systems like household solar playing a larger role in complementing traditional grids as targeted efforts to accelerate access funding gain momentum.

According to IEA Executive Director Fatih Birol, with the right government policies and energy strategies, Africa has an opportunity to pursue a less carbon-intensive development path than other regions.

“To achieve this, it has to take advantage of the huge potential that solar, wind, hydropower, natural gas and energy efficiency offer,” he said.

Despite possessing the world’s greatest solar potential, Africa boasts just 5 gigawatts of solar photovoltaics (PV), or less than 1% of global installed capacity, a slow green transition that underscores the scale of the challenge, the report stated.

To meet demand, African nations should add nearly 15 gigawatts of PV each year through 2040. Wind power should also expand rapidly, particularly in Ethiopia, Kenya, Senegal and South Africa. And Kenya should develop its geothermal resources.

 

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Global use of coal-fired electricity set for biggest fall this year

Global Coal Power Decline 2019 signals a record fall in coal-fired electricity as China plateaus, India dips, and the EU and US accelerate renewables, curbing carbon emissions and advancing the global energy transition.

 

Key Points

A record 2019 drop in global coal power as renewables rise and demand slows across China, India, the EU, and the US.

✅ 3% global fall in coal-fired electricity in 2019.

✅ China plateaus; India declines for first time in decades.

✅ EU and US shift to renewables and gas, cutting emissions.

 

The world’s use of coal-fired electricity is on track for its biggest annual fall on record this year after more than four decades of near-uninterrupted growth that has stoked the global climate crisis.

Data shows that coal-fired electricity is expected to fall by 3% in 2019, or more than the combined coal generation in Germany, Spain and the UK last year and could help stall the world’s rising carbon emissions this year.

The steepest global slump on record is likely to emerge in 2019 as India’s reliance on coal power falls for the first time in at least three decades this year, and China’s coal power demand plateaus, reflecting the broader global energy transition underway.

Both developing nations are using less coal-fired electricity due to slowing economic growth in Asia as well as the rise of cleaner energy alternatives. There is also expected to be unprecedented coal declines across the EU and the US as developed economies turn to clean forms of energy such as low-cost solar power to replace ageing coal plants.

In almost 40 years the world’s annual coal generation has fallen only twice before: in 2009, in the wake of the global financial crisis, and in 2015, following a slowdown in China’s coal plants amid rising levels of deadly air pollution.

The research was undertaken by the Centre for Research on Energy and Clean Air , the Institute for Energy Economics and Financial Analysis and the UK climate thinktank Sandbag.

The researchers found that China’s coal-fired power generation was flatlining, despite an increase in the number of coal plants being built, because they were running at record low rates. China builds the equivalent of one large new coal plant every two weeks, according to the report, but its coal plants run for only 48.6% of the time, compared with a global utilisation rate of 54% on average.

The findings come after a report from Global Energy Monitor found that the number of coal-fired power plants in the world is growing, because China is building new coal plants five times faster than the rest of the world is reducing their coal-fired power capacity.

The report found that in other countries coal-fired power capacity fell by 8GW in the 18 months to June but over the same period China increased its capacity by 42.9GW.

In a paper for the industry journal Carbon Brief, the researchers said: “A 3% reduction in power sector coal use could imply zero growth in global CO2 emissions, if emissions changes in other sectors mirror those during 2018.”

However, the authors of the report have warned that despite the record coal power slump the world’s use of coal remained far too high to meet the climate goals of the Paris agreement, and some countries are still seeing increases, such as Australia’s emissions rise amid increased pollution from electricity and transport.

The US – which is backing out of the Paris agreement – has made the deepest cuts to coal power of any developed country this year by shutting coal plants down in favour of gas power and renewable energy, with utilities such as Duke Energy facing investor pressure to disclose climate plans. By the end of August the US had reduced coal by almost 14% over the year compared with the same months in 2018.

The EU reported a record slump in coal-fired electricity use in the first half of the year of almost a fifth compared with the same months last year. This trend is expected to accelerate over the second half of the year to average a 23% fall over 2019 as a whole. The EU is using less coal power in favour of gas-fired electricity – which can have roughly half the carbon footprint of coal – and renewable energy, helped by policies such as the UK carbon tax that have slashed coal-fired generation.

We will not stay quiet on the escalating climate crisis and we recognise it as the defining issue of our lifetimes. The Guardian will give global heating, wildlife extinction and pollution the urgent attention they demand. Our independence means we can interrogate inaction by those in power. It means Guardian reporting will always be driven by scientific facts, never by commercial or political interests.

We believe that the problems we face on the climate crisis are systemic and that fundamental societal change is needed. We will keep reporting on the efforts of individuals and communities around the world who are fearlessly taking a stand for future generations and the preservation of human life on earth. We want their stories to inspire hope. We will also report back on our own progress as an organisation, as we take important steps to address our impact on the environment.

 

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Parisians vote to ban rental e-scooters from French capital by huge margin

Paris E-Scooter Ban: Voters back ending rental scooters after a public consultation, citing road safety, pedestrian clutter, and urban mobility concerns; impacts Lime, Dott, and Tier operations across the capital.

 

Key Points

A citywide prohibition on rental e-scooters, approved by voters, to improve safety, order, and walkability.

✅ Non-binding vote shows about 90% support citywide.

✅ About 15,000 rental scooters from Lime, Dott, Tier affected.

✅ Cites 2022 injuries, fatalities, and sidewalk clutter.

 

Parisians have voted to rid the streets of the French capital of rental electric scooters, with an overwhelming 90% of votes cast supporting a ban, official results show, amid a wider debate over the limits of the electric-car revolution and its real-world impact.

Paris was a pioneer when it introduced e-scooters, or trottinettes, in 2018 as the city’s authorities sought to promote non-polluting forms of urban transport, amid record EV adoption in France across the country.

But as the two-wheeled vehicles grew in popularity, especially among young people, and, with similar safety concerns prompting the TTC winter ban on lithium-ion e-bikes and scooters in Toronto, so did the number of accidents: in 2022, three people died and 459 were injured in e-scooter accidents in Paris.

In what was billed as a “public consultation” voters were asked: “For or against self-service scooters?”

Twenty-one polling stations were set up across the city and were open until 7pm local time. Although 1.6 million people are eligible to vote, turnout is expected to be low.

The ban won between 85.77% and 91.77% of the votes in the 20 Paris districts that published results, according to the City of Paris website on what was billed as a rare “public consultation” and prompted long queues at ballot boxes around the city. The vote was non-binding but city authorities have vowed to follow the result, echoing Britain's transport rethink that questions simple fixes.

Paris’s socialist mayor, Anne Hidalgo, has promoted cycling and bike-sharing but supported a ban on e-scooters, as France rolls out new EV incentive rules affecting Chinese manufacturers.

In an interview with Agence France-Presses last week, Hidalgo said “self-service scooters are the source of tension and worry” for Parisians and that a ban would “reduce nuisance” in public spaces, with broader benefits for air quality noted in EV use linked to fewer asthma ER visits in recent studies as well.

Paris has almost 15,000 e-scooters across its streets, operated by companies including Lime, Dott and Tier. Detractors argue that e-scooter users disrespect the rules of the road and regularly flout a ban on riding on pavements, even as France moves to discourage Chinese EV purchases to shape the broader mobility market. The vehicles are also often haphazardly parked or thrown into the River Seine.

In June 2021, a 31-year-old Italian woman was killed after being hit by an e-scooter with two passengers onboard while walking along the Seine.

“Scooters have become my biggest enemy. I’m scared of them,” Suzon Lambert, a 50-year-old teacher from Paris, told AFP. “Paris has become a sort of anarchy. There’s no space any more for pedestrians.”


Another Parisian told BFMTV: “It’s dangerous, and people use them badly. I’m fed up.”

Julian Sezgin, aged 15, said he often saw groups of two or three teenagers on e-scooters zooming past cars on busy roads. “I avoid going on e-scooters and prefer e-bikes as, in my opinion, they are safer and more efficient,” he told the Guardian.

Bianca Sclavi, an Italian who has lived in Paris for years, said the scooters go “too fast” and should be mechanically limited so they go slower. “They are dangerous because they zip in and out of traffic,” she said. “However, it is not as bad as when they first arrived … the most dangerous are the drunk tourists!”

 

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Electric vehicles to transform the aftermarket … eventually

Heavy-Duty Truck Electrification is disrupting the aftermarket as diesel declines: fewer parts, regenerative braking, emissions rules, e-drives, gearboxes, and software engineering needs reshape service demand, while ICE fleets persist for years.

 

Key Points

Transition of heavy trucks to EV systems, reducing parts and emissions while reshaping aftermarket service and skills.

✅ 33% fewer parts; regenerative braking slashes brake wear

✅ Diesel share declines; EVs and natural gas slowly gain

✅ Aftermarket shifts to e-drives, gearboxes, software and service

 

Those who sell parts and repair trucks might feel uneasy when reports emerge about a coming generation of electric trucks.

There are reportedly about 33% fewer parts to consider when internal combustion engines and transmissions are replaced by electric motors. Features such as regenerative braking are expected to dramatically reduce brake wear. As for many of the fluids needed to keep components moving? They can remain in their tanks and drums.

Think of them as disruptors. But presenters during the annual Heavy Duty Aftermarket Dialogue are stressing that the changes are not coming overnight. Chris Patterson, a consultant and former Daimler Trucks North America CEO, noted that the Daimler electrification plan underscores the shift as he counts just 50 electrified heavy trucks in North America.

About 88% of today’s trucks run on diesel, with the remaining 12% mostly powered by gasoline, said John Blodgett, MacKay and Company’s vice-president of sales and marketing. Five years out, even amid talk of an EV inflection point, he expects 1% to be electric, 2% to be natural gas, 12% to be gasoline, and 84% on diesel.

But a decade from now, forecasts suggest a split of 76% diesel, 11% gasoline, 7% electric, and 5% natural gas, with a fraction of a percent relying on hydrogen-electric power. Existing internal combustion engines will still be in service, and need to be serviced, but aftermarket suppliers are now preparing for their roles in the mix, especially as Canada’s EV opportunity comes into focus for North American players.

“This is real, for sure,” said Delphi Technologies CEO Rick Dauch.

Aftermarket support is needed
“As programs are launched five to six years from now, what are the parts coming back?” he asked the crowd. “Braking and steering. The fuel injection business will go down, but not for 20-25 years.” The electric vehicles will also require a gear box and motor.

“You still have a business model,” he assured the crowd of aftermarket professionals.

Shifting emissions standards are largely responsible for the transformation that is occurring. In Europe, Volkswagen’s diesel emissions scandal and future emissions rules of Euro 7 will essentially sideline diesel-powered cars, even as electric buses have yet to take over transit systems. Delphi’s light-duty diesel business has dropped 70% in just five years, leading to plant closures in Spain, France and England.

“We’ve got a billion-dollar business in electrification, last year down $200 million because of the downturn in light-duty diesel controllers,” Dauch said. “We think we’re going to double our electrification business in five years.”

That has meant opening five new plants in Eastern European markets like Turkey, Romania and Poland alone.

Deciding when the market will emerge is no small task, however. One new plant in China offered manufacturing capacity in July 2019, but it has yet to make any electric vehicle parts, highlighting mainstream EV challenges tied to policy shifts, because the Chinese government changed the incentive plans for electric vehicles.

‘All in’ on electric vehicles
Dana has also gone “all in” on electrification, said chairman and CEO Jim Kamsickas, referring to Dana’s work on e-drives with Kenworth and Peterbilt. Its gasket business is focusing on the needs of battery cooling systems and enclosures.

But he also puts the demand for new electric vehicle systems in perspective. “The mechanical piece is still going to be there.”

The demand for the new components and systems, however, has both companies challenged to find enough capable software engineers. Delphi has 1,600 of them now, and it needs more.

“Just being a motor supplier, just being an inverter supplier, just being a gearbox supplier itself, yes you’ll get value out of that. But in the longhaul you’re going to need to have engineers,” Kamsickas said of the work to develop systems.

Dauch noted that Delphi will leave the capital-intensive work of producing batteries to other companies in markets like China and Korea. “We’re going to make the systems that are in between – inverters, chargers, battery management systems,” he said.

Difficult change
But people working for European companies that have been built around diesel components are facing difficult days. Dauch refers to one German village with a population of 1,200, about 800 of whom build diesel engine parts. That business is working furiously to shift to producing gasoline parts.

Electrification will face hurdles of its own, of course. Major cities around the world are looking to ban diesel-powered vehicles by 2050, but they still lack the infrastructure needed to charge all the cars and truck fleet charging at scale, he added.

Kamsickas welcomes the disruptive forces.

“This is great,” he said. “It’s making us all think a little differently. It’s just that business models have had to pivot – for you, for us, for everybody.”

They need to be balanced against other business demands, including evolving cross-border EV collaboration dynamics, too.

Said Kamsickas: “Working through the disruption of electrification, it’s how do you financially manage that? Oh, by the way, the last time I checked there are [company] shareholders and stakeholders you need to take care of.”

“It’s going to be tough,” Dauch agreed, referring to the changes for suppliers. “The next three to four years are really going to be game changes. “There’ll be some survivors and some losers, that’s for sure.”

 

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Could selling renewable energy be Alberta's next big thing?

Alberta Renewable Energy Procurement is surging as corporate PPAs drive wind and solar growth, with the Pembina Institute and the Business Renewables Centre linking buyers and developers in Alberta's energy-only market near Medicine Hat.

 

Key Points

A market-led approach where corporations use PPAs to secure wind and solar power from Alberta projects.

✅ Corporate PPAs de-risk projects and lock in clean power.

✅ Alberta's energy-only market enables efficient transactions.

✅ Skilled workforce supports wind, solar, legal, and financing.

 

Alberta has big potential when it comes to providing renewable energy, advocates say.

The Pembina Institute says the practice of corporations committing to buy renewable energy is just taking off in Canada, and Alberta has both the energy sector and the skilled workforce to provide it.

Earlier this week, a company owned by U.S. billionaire Warren Buffett announced a large new wind farm near Medicine Hat. It has a buyer for the power.

Sara Hastings-Simon, director of the Pembina's Business Renewables Centre, says this is part of a trend.

"We're talking about the practice of corporate institutions purchasing renewables to meet their own electricity demand. And this is a really well-established driver for renewable energy development in the U.S.," she said. "You may be hearing headlines like Google, Apple and others that are buying renewables and we're helping to bring this practice to Canada."

The Business Renewables Centre (BRC) is a not-for-profit working to accelerate corporate and institutional procurement of renewables in Canada. The group held its inaugural all members event in Calgary on Thursday.

Hastings-Simon says shareholders and investors are encouraging more use of solar and wind power in Canada.

"We have over 10 gigawatts of renewable energy projects in the pipeline that are ready for buyers. And so we see multinational companies coming to Canada to start to procure here, as well as Canadian companies understanding that this is an opportunity for them as well," Hastings-Simon said.

"It's really exciting to see business interests driving renewable energy development."

Sara Hastings-Simon is the director of the Pembina Institute's Business Renewables Centre, which seeks to build up Alberta's renewable energy industry. (Mike Symington/CBC)

Hastings-Simon says renewable procurement could help dispel the narrative that it's all about oil and gas in Alberta by highlighting Alberta as a powerhouse for both green energy and fossil fuels in Canada.

She says the practice started with a handful of tech companies in the U.S. and has become more mainstream there, even as Canada remains a solar laggard to some observers, with more and more large companies wanting to reduce their energy footprint.

He says his U.S.-based organization has been working for years to speed up and expand the renewables market for companies that want to address their own sustainability.

"We try and make that a little bit easier by building out a community that can help to really reinforce each other, share lessons learned, best practices and then drive for transactions to have actual material impact worldwide," he said.

"We're really excited to be working with the Pembina group and the BRC Canada team," he said. "We feel our best value for this is just to support them with our experiences and lessons. They've been basically doing the same thing for many years helping to grow and grow and cultivate the market."

 

Porter says Alberta's market is more than ready.

"There are some precedent transactions already so people know it can work," he said. "The way Alberta is structured, being an energy-only market is useful. And I think that there is a strong ecosystem of both budget developers and service providers … that can really help these transactions get over the line."

As procurement ramps up, Hastings-Simon says Alberta already has the skilled workers needed to fill renewable energy jobs across the province.

"We have a lot of the knowledge that's needed, and that's everybody from the construction down through the legal and financing — all those pieces of building big projects," she said. "We are seeing increasing interest in people that want to become involved in that industry, and so there is increasing demand for training in things like solar power installation and wind technicians."

Hastings-Simon predicts an increase in demand for both the services and the workers.

"As this industry ramps up, we're going to need to have more workers that are active in those areas," she said. "So I think we can see a very nice increase — both the demand and the number of folks that are able to work in this field."

 

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