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BC Hydro Review Phase 2 Recommendations advance affordable electricity rates, clean energy adoption, electrification, and demand response, supporting heat pumps, EV charging, and low-income programs to cut emissions and meet CleanBC climate targets.

Key Points

Policies to keep rates affordable and accelerate clean electrification via heat pump, EV, and demand response incentives.

✅ Optional rates, heat pump and EV charging incentives

✅ Demand response via controllable devices lowers peak loads

✅ Expanded support for lower-income customers and affordability

The Province and BC Hydro have released recommendations from Phase 2 of the BC Hydro Review to keep rates affordable, including through a provincial rate freeze initiative that supported households, and encourage greater use of clean, renewable electricity to reduce emissions and achieve climate targets.

“Keeping life affordable for people is a key priority of our government,” said Bruce Ralston, Minister of Energy, Mines and Low Carbon Innovation. “Affordable electricity rates not only help British Columbians, they help ensure the price of electricity remains competitive with other forms of energy, supporting the transition away from fossil fuels to clean electricity in our homes and buildings, vehicles and businesses.”

While affordable rates have always been important to BC Hydro customers, amid proposals such as a modest rate increase under review, expectations are also changing as customers look to have more choice and control over their electricity use and opportunities to save money.

Guided by input from a panel of external energy industry experts, government and BC Hydro have developed recommendations under Phase 2 of the BC Hydro Review to reduce electricity costs for individuals and businesses, even as a 3.75% increase has been discussed, as envisioned by the CleanBC climate strategy. This is also in alignment with TogetherBC, the Province’s poverty reduction strategy, and its guiding principle of affordability.

“As we promote increased use of electricity in B.C. to achieve our climate targets, we need to continue to focus on keeping electricity rates affordable, especially for lower-income families,” said Nicholas Simons, Minister of Social Development and Poverty Reduction. “Through the BC Hydro Review, and continuing engagement with stakeholders and organizations to follow, we are committed to finding ways to keep rates affordable, so everyone has access to the benefits of B.C.’s clean, reliable electricity.”

Recommendations include having BC Hydro consider providing more support for lower-income BC Hydro customers, informed by a recent surplus report that highlighted funding opportunities. These include incentives and exploring optional rates for customers to adopt electric heat pumps, and facilitating customer adoption of controllable energy devices that provide BC Hydro the ability to offer incentives in return for helping to manage a customer’s electricity use. 

Electrification of B.C.’s economy helps customers reduce their carbon footprint and supports the Province’s CleanBC climate strategy, and is an important part of keeping electricity affordable even amid higher BC Hydro rates in recent periods. As more customers make the switch from fossil fuels to using clean electricity in their homes, vehicles and businesses, BC Hydro’s electricity sales will increase, providing more revenue that helps keep rates affordable for everyone.

“We’re making the transition to a cleaner future more affordable for people and businesses across British Columbia through our CleanBC plan,” said George Heyman, Minister of Environment and Climate Change Strategy. “By working with BC Hydro and other partners, we’re making sure everyone has access to clean, affordable electricity to power technologies like high-efficiency heat pumps and electric vehicles that will reduce harmful pollution and improve our homes, buildings and communities.”

Chris O’Riley, president and CEO, BC Hydro, said: “Given the impact of COVID-19 on British Columbians, affordability is more important than ever. That’s why we are committed to continuing to keep rates affordable and offering customers more options that allow them to save on their bills while using clean electricity.”

In July 2021, the Province announced a first set of recommendations from Phase 2 of the BC Hydro Review amid a 3% rate increase approved by regulators. The next announcement from Phase 2 will include recommendations to increase the number of electric vehicles on the road.

In addition, as part of the Draft Action Plan to advance the Declaration on the Rights of Indigenous Peoples Act, the Province is proposing to engage with Indigenous peoples to identify and support new clean energy opportunities related to CleanBC, the BC Hydro Review and the British Columbia Utilities Commission Indigenous Utilities Regulation Inquiry, and to consider lessons from Ontario's hydro policy experiences as appropriate.

B.C. is the cleanest electricity-generation jurisdiction in western North America, with an average of 98% of its electricity generation coming from clean or renewable resources.

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BC Hydro drought operations address climate change impacts with hydropower scheduling, reservoir management, water conservation, inflow forecasting, and fish habitat protection across the Lower Mainland and Vancouver Island while maintaining electricity generation from storage facilities.

Key Points

BC Hydro drought operations conserve water, protect fish, and sustain hydropower during extended heat and low inflows.

✅ Proactive reservoir releases protect downstream salmon spawning.

✅ Reduced flows at Puntledge, Coquitlam, and Ruskin/Stave facilities.

✅ System relies on northern storage to maintain electricity supply.

BC Hydro is adjusting its operating plans around power generation as extended heat and little forecast rain continue to impact the province, a report says.

“Unpredictable weather patterns related to climate change are expected to continue in the years ahead and BC Hydro is constantly adapting to these evolving conditions, especially after events such as record demand in 2021 that tested the grid,” said the report, titled “Casting drought: How climate change is contributing to uncertain weather and how BC Hydro’s generation system is adapting.”

The study said there is no concern with BC Hydro being able to continue to deliver power through the drought because there is enough water at its larger facilities, even as issues like crypto mining electricity use draw scrutiny from observers.

Still, it said, with no meaningful precipitation in the forecast, its smaller facilities in the Lower Mainland and on Vancouver Island will continue to see record low or near record low inflows for this time of the year.

“In the Lower Mainland, inflows since the beginning of September are ranked in the bottom three compared to historical records,” the report said.

The report said the hydroelectric system is directly impacted by variations in weather and the record-setting, unseasonably dry and warm weather this fall highlights the impacts of climate change, while demand patterns can be counterintuitive, as electricity use even increased during Earth Hour 2018 in some areas, hinting at challenges to come.

It noted symptoms of climate change include increased frequency of extreme events like drought and intense storms, and rapid glacial melt.

“With the extremely hot and dry conditions, BC Hydro has been taking proactive steps at many of our South Coast facilities for months to conserve water to protect the downstream fish habit,” spokesperson Mora Scott said. “We began holding back water in July and August at some facilities anticipating the dry conditions to help ensure we would have water storage for the later summer and early fall salmon spawning.”

Scott said BC Hydro’s reservoirs play an important role in managing these difficult conditions by using storage and planning releases to provide protection to downstream river flows. The reservoirs are, in effect, a battery waiting to be used for power.

While the dry conditions have had an impact on BC Hydro’s watersheds, several unregulated natural river systems — not related to BC Hydro — have fared worse, with rivers drying up and thousands of fish killed, the report said.

BC Hydro is currently seeing the most significant impacts on operations at Puntledge and Campbell River on Vancouver Island as well as Coquitlam and Ruskin/Stave in the Lower Mainland.

To help manage water levels on Vancouver Island, BC Hydro reduced Puntledge River flows by one-third last week and on the Lower Mainland reduced flows at Coquitlam by one-third and Ruskin/Stave by one quarter.

However, the utility company said, there are no concerns about continued power delivery.

“British Columbians benefit from BC Hydro’s integrated, provincial electricity system, which helps send power across the province, including to Vancouver Island, and programs like the winter payment plan support customers during colder months,” staff said.

Most of the electricity generated and used in B.C. is produced by larger facilities in the north and southeast of the province — and while water levels in those areas are below normal levels, there is enough water to meet the province’s power needs, even as additions like Site C's electricity remain a subject of debate among observers.

The Glacier Media investigation found a quarter of BC Hydro's power comes from the Mica, Revelstoke and Hugh Keenleyside dams on the Columbia River. Some 29% comes from dams in the Peace region, including the under-construction Site C project that has faced cost overruns. At certain points of the year, those reservoirs are reliant on glacier water.

Still, BC Hydro remains optimistic.

Forecasts are currently showing little rain in the near-term; however, historically, precipitation and inflows show up by the end of October. If that does not happen, BC Hydro said it would continue to closely track weather and inflow forecasts to adapt its operations to protect fish, while regional cooperation such as bridging with Alberta remains part of broader policy discussions.

Among things BC Hydro said it is doing to adapt are:

Continuously working to improve its weather and inflow forecasting;
Expanding its hydroclimate monitoring technology, including custom-made solutions that have been designed in-house, as well as upgrading snow survey stations to automated, real-time snow and climate stations, and;
Investing in capital projects — like spillway gate replacements — that will increase resiliency of the system to climate change.

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FERC Transmission Planning Overhaul streamlines interregional grid buildouts, enabling high-voltage lines, renewable integration, and grid reliability to scale, cutting fossil reliance while boosting decarbonization, climate resilience, and affordability across regions facing demand and extreme weather.

Key Points

Federal rule updating interregional grid planning to integrate renewables, share costs, and improve reliability.

✅ Accelerates high-voltage, interregional lines for renewable transfer

✅ Optimizes transmission planning and cost allocation frameworks

✅ Boosts grid reliability, resilience, and emissions reductions

The US took a significant step towards a cleaner energy future on May 13th, 2024. The Federal Energy Regulatory Commission (FERC) approved the first major update to the country's electric transmission policy in over a decade, while congressional Democrats continue to push for action on aggregated DERs within FERC's remit today. This overhaul aims to streamline the process of building new power lines, specifically those that connect different regions. This improved connectivity is crucial for integrating more renewable energy sources like wind and solar into the national grid.

The current system faces challenges in handling the influx of renewables, and the aging U.S. grid amplifies those hurdles today. Renewable energy sources are variable by nature – the sun doesn't always shine, and the wind doesn't always blow. Traditionally, power grids have relied on constantly running power plants, like coal or natural gas, to meet electricity demands. These plants can be easily adjusted to produce more or less power as needed. However, renewable energy sources require a different approach.

The new FERC policy focuses on building more interregional transmission lines. These high-voltage power lines would allow electricity generated in regions with abundant solar or wind power, and even enable imports of green power from Canada in certain corridors, to be transmitted to areas with lower renewable energy resources. For example, solar energy produced in sunny states like California could be delivered to meet peak demand on the East Coast during hot summer days.

This improved connectivity offers several advantages. Firstly, it allows for a more efficient use of renewable resources. Secondly, it reduces the need for fossil fuel-based power plants, leading to cleaner air and lower greenhouse gas emissions. Finally, a more robust grid is better equipped to handle extreme weather events, which are becoming increasingly common due to climate change, and while Biden's climate law shows mixed results on decarbonization, stronger transmission supports resilience.

The need for an upgrade is undeniable. The Biden administration has set ambitious goals for decarbonizing the power sector by 2035, including proposals for a clean electricity standard as a pathway to those targets. A study by the US Department of Energy estimates that achieving this target will require more than doubling the country's regional transmission capacity and increasing interregional capacity by more than fivefold. The aging US grid is already struggling to keep up with current demands, and without significant improvements, it could face reliability issues in the future.

The FERC's decision has been met with praise from environmental groups and renewable energy companies. They see it as a critical step towards achieving a clean energy future. However, some stakeholders, including investor-owned utilities, have expressed concerns about the potential costs associated with building new transmission lines, citing persistent barriers to development identified in recent Senate testimony. Finding the right balance between efficiency, affordability, and environmental responsibility will be key to the success of this initiative.

The road ahead won't be easy. Building new power lines is a complex process that can face opposition from local communities, and broader disputes over electricity pricing changes often complicate planning and approvals. However, the potential benefits of a modernized grid are significant. By investing in this overhaul, the US is taking a crucial step towards a more reliable, sustainable, and cleaner energy future.

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U.S. Wind Generation surpassed hydroelectric output in 2019, EIA data shows, becoming the top renewable electricity source, driven by PTC incentives, expanded capacity, and utility-scale projects across states, boosting the national electricity mix.

Key Points

U.S. Wind Generation is the nation's top renewable, surpassing hydro as EIA-tracked capacity grows under PTC incentives.

✅ EIA: wind topped hydro in 2019, over 300M MWh generated

✅ PTC credits spurred growth in utility-scale wind projects

✅ 103 GW installed; 77% added in the last decade

Last year saw wind power surging in the U.S. to overtake hydroelectric generation for the first time, according to data from the U.S. Energy Information Administration (EIA).

Released Wednesday, the figures from the EIA’s “Electric Power Monthly” report show that yearly wind generation hit a little over 300 million megawatt hours (MWh) in 2019. This was roughly 26 million MWh more than hydroelectric production.

Wind now represents the “most-used renewable electricity generation source” in the U.S., the EIA said, and renewables hit a 28% monthly record in April in later data.

Overall, total renewable electricity generation — which includes sources such as solar's 4.7% share in 2022 as one example, geothermal and landfill gas — at utility scale facilities hit more than 720 million MWh in 2019, compared to just under 707 million MWh in 2018. To put things in perspective, generation from coal came to more than 966 million MWh in 2019, while renewables surpassed coal in 2022 nationally according to later analyses.

According to the EIA’s “Today in Energy” briefing, which was also published Wednesday, generation from wind power has grown “steadily” across the last decade, and by 2020, renewables became the second-most prevalent source in the U.S. power mix.

This, it added, was partly down to the extension of the Production Tax Credit, or PTC, amid favorable government plans supporting solar and wind growth. According to the EIA, the PTC is a system which gives operators a tax credit per kilowatt hour of renewable electricity production. It applies for the first 10 years of a facility’s operation.

At the end of 2019, the country was home to 103 gigawatts (GW) of wind capacity, with 77% of this being installed in the last decade, and wind capacity surpassed hydro in 2016 according to industry data. The U.S. is home 80 GW of hydroelectric capacity, according to the EIA.

“The past decade saw a steady increase in wind capacity across the country and we capped the decade with a monumental achievement for the industry in reaching more than 100 GW,” Tom Kiernan, the American Wind Energy Association’s CEO, said in a statement issued Thursday.

“And more wind energy is coming, as the industry is well into investing $62 billion in new projects over the next few years that put us on the path to achieving 20 percent of the nation’s electricity mix in 2030,” Kiernan went on to state.

“As a result, wind is positioned to remain the largest renewable energy generator in the country for the foreseeable future.”

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PG&E Wind Shutdown and Renewable Reliability examines PSPS strategy, wildfire risk, transmission line exposure, wind turbine cut-out speeds, grid stability, and California's energy mix amid historic high-wind events and supply constraints across service areas.

Key Points

An overview of PG&E's PSPS decisions, wildfire mitigation, and how wind cut-out limits influence grid reliability.

✅ Wind turbines reach cut-out near 55 mph, reducing generation.

✅ PSPS mitigates ignition from damaged transmission infrastructure.

✅ Baseload diversity improves resilience during high-wind events.

According to the official, widely reported story, Pacific Gas & Electric (PG&E) initiated power shutoffs across substantial portions of its electric transmission system in northern California as a precautionary measure.

Citing high wind speeds they described as “historic,” the utility claims that if it didn’t turn off the grid, wind-caused damage to its infrastructure could start more wildfires.

Perhaps that’s true. Perhaps. This tale presumes that the folks who designed and maintain PG&E’s transmission system are unaware of or ignored the need to design it to withstand severe weather events, and that the Federal Energy Regulatory Commission (FERC) and North American Electric Reliability Corp. (NERC) allowed the utility to do so.

Ignorance and incompetence happens, to be sure, but there’s much about this story that doesn’t smell right—and it’s disappointing that most journalists and elected officials are apparently accepting it without question.

Take, for example, this statement from a Fox News story about the Kincade Fires: “A PG&E meteorologist said it’s ‘likely that many trees will fall, branches will break,’ which could damage utility infrastructure and start a fire.”

Did you ever notice how utilities cut wide swaths of trees away when transmission lines pass through forests? There’s a reason for that: When trees fall and branches break, the grid can still function, and even as the electric rhythms of New York City shifted during COVID-19, operators planned for variability.

So, if badly designed and poorly maintained infrastructure isn’t the reason PG&E cut power to millions of Californians, what might have prompted them to do so? Could it be that PG&E’s heavy reliance on renewable energy means they don’t have the power to send when a “historic” weather event occurs, especially as policymakers weigh the postponed closure of three power plants elsewhere in California?

Wind Speed Limits

The two most popular forms of renewable energy come with operating limitations, which is why some energy leaders urge us to keep electricity options open when planning the grid. With solar power, the constraint is obvious: the availability of sunlight. One doesn’t generate solar power at night and energy generation drops off with increasing degrees of cloud cover during the day.

The main operating constraint of wind power is, of course, wind speed, and even in markets undergoing 'transformative change' in wind generation, operators adhere to these technical limits. At the low end of the scale, you need about a 6 or 7 miles-per-hour wind to get a turbine moving. This is called the “cut-in speed.” To generate maximum power, about a 30 mph wind is typically required. But, if the wind speed is too high, the wind turbine will shut down. This is called the “cut-out speed,” and it’s about 55 miles per hour for most modern wind turbines.

It may seem odd that wind turbines have a cut-out speed, but there’s a very good reason for it. Each wind turbine rotor is connected to an electric generator housed in the turbine nacelle. The connection is made through a gearbox that is sized to turn the generator at the precise speed required to produce 60 Hertz AC power.

The blades of the wind turbine are airfoils, just like the wings of an airplane. Adjusting the pitch (angle) of the blades allows the rotor to maintain constant speed, which, in turn, allows the generator to maintain the constant speed it needs to safely deliver power to the grid. However, there’s a limit to blade pitch adjustment. When the wind is blowing so hard that pitch adjustment is no longer possible, the turbine shuts down. That’s the cut-out speed.

Now consider how California’s power generation profile has changed. According to Energy Information Administration data, the state generated 74.3 percent of its electricity from traditional sources—fossil fuels and nuclear, amid debates over whether to classify nuclear as renewable—in 2001. Hydroelectric, geothermal, and biomass-generated power accounted for most of the remaining 25.7 percent, with wind and solar providing only 1.98 percent of the total.

By 2018, the state’s renewable portfolio had jumped to 43.8 percent of total generation, with clean power increasing and wind and solar now accounting for 17.9 percent of total generation. That’s a lot of power to depend on from inherently unreliable sources. Thus, it wouldn’t be at all surprising to learn that PG&E didn’t stop delivering power out of fear of starting fires, but because it knew it wouldn’t have power to deliver once high winds shut down all those wind turbines

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Baltimore Substation Attack Plot highlights alleged neo-Nazi plans targeting electrical substations and the power grid, as FBI and DHS warn of domestic extremism threats to critical infrastructure, with arrests in Maryland disrupting potential sniper attacks.

Key Points

An alleged extremist plot to disable Baltimore's power grid by shooting substations, thwarted by federal arrests.

✅ Two suspects charged in Maryland conspiracy

✅ Targets included five substations around Baltimore

✅ FBI cites domestic extremism threat to infrastructure

A neo-Nazi in Florida and a Maryland woman conspired to attack several electrical substations in the Baltimore area, federal officials say.

Sarah Beth Clendaniel and Brandon Clint Russell were arrested and charged in a conspiracy to disable the power grid by shooting out substations via "sniper attacks," according to a criminal complaint from the U.S. Attorney's Office for the District of Maryland.

Clendaniel allegedly said she wanted to "completely destroy this whole city" and was planning to target five substations situated in a "ring" around Baltimore, the complaint said. Russell is part of a violent extremist group that has cells in multiple states, and he previously planned to attack critical infrastructure in Florida, the complaint said.

"This planned attack threatened lives and would have left thousands of Marylanders in the cold and dark," Maryland U.S. Attorney Erek Barron said in a press release. "We are united and committed to using every legal means necessary to disrupt violence, including hate-fueled attacks."

The news comes as concerns grow about an increase in targeted substation attacks on U.S. substations tied to domestic extremism.

What to know about substation attacks

Federal data shows vandalism and suspicious activities at electrical facilities soared nationwide last year, and cyber actors have accessed utilities' control rooms as well.

At the end of the year, attacks or potential attacks were reported on more than a dozen substations and one power plant across five states, and Symantec documented Russia-linked Dragonfly activity targeting the energy sector earlier. Several involved firearms.

In December, targeted attacks on substations in North Carolina left tens of thousands without power amid freezing temperatures, spurring renewed focus on protecting the U.S. power grid among officials. The FBI is investigating.

Vandalism at facilities in Washington left more than 21,000 without electricity on Christmas Day, even as hackers breached power-plant systems in other states. Two men were arrested, and one told police he planned to disrupt power to commit a burglary.

The Department of Homeland Security last year said domestic extremists had been developing "credible, specific plans" since at least 2020 and would continue to "encourage physical attacks against electrical infrastructure," and the U.S. government has condemned Russia for power grid hacking as well.

Last February, three neo-Nazis pleaded guilty to federal crimes related to a scheme to attack the grid with rifles, with each targeting a substation in a different region of the U.S., even as reports that Russians hacked into US electric utilities drew widespread attention.

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