Death knell for nuclear power?

Spain Electricity Prices surge to record highs as the wholesale market hits €339.84/MWh, driven by gas costs and CO2 permits, impacting PVPC regulated tariffs, free-market contracts, and household energy bills, OMIE data show.

Key Points

Rates in Spain's wholesale market that shape PVPC tariffs and free-market bills, moving with gas prices and CO2 costs.

✅ Record €339.84/MWh; peak 20:00-21:00; low 04:00-05:00 (OMIE).

✅ PVPC users and free-market contracts face higher bills.

✅ Drivers: high gas prices and rising CO2 emission rights.

Electricity in Spain's wholesale market will rise in price once more as European electricity prices continue to surge. Once again, it will set a historical record in Spain, reaching €339.84/MWh. With this figure, it is already the fifth time that the threshold of €300 has been exceeded.

This new high is a 6.32 per cent increase on today’s average price of €319.63/MWh, which is also a historic record, while Germany's power prices nearly doubled over the past year. Monday’s energy price will make it 682.65 per cent higher than the corresponding date in 2020, when the average was €43.42.

According to data published by the Iberian Energy Market Operator (OMIE), Monday’s maximum will be between the hours of 8pm and 9pm, reaching €375/MWh, a pattern echoed by markets where Electric Ireland price hikes reflect wholesale volatility. The cheapest will be from 4am to 5am, at €267.99.

The prices of the ‘pool’ have a direct effect on the regulated tariff  – PVPC – to which almost 11 million consumers in the country are connected, and serve as a reference for the other 17 million who have contracted their supply in the free market, where rolling back prices is proving difficult across Europe.

These spiraling prices in recent months, which have fueled EU energy inflation, are being blamed on high gas prices in the markets, and carbon dioxide (CO2) emission rights, both of which reached record highs this year.

According to an analysis by Facua-Consumidores en Acción, if the same rates were maintained for the rest of the month, the last invoice of the year would reach €134.45 for the average user. That would be 94.1 per cent above the €69.28 for December 2020, while U.S. residential electricity bills rose about 5% in 2022 after inflation adjustments.

The average user’s bill so far this year has increased by 15.1 per cent compared to 2018, as US electricity prices posted their largest jump in 41 years. Thus, compared to the €77.18 of three years ago, the average monthly bill now reaches €90.87 euros. However, the Government continues to insist that this year households will end up paying the same as in 2018.

As Ruben Sanchez, the general secretary of Facua commented, “The electricity bill for December would have to be negative for President Sanchez, and Minister Ribera, to fulfill their promise that this year consumers will pay the same as in 2018 once the CPI has been discounted”.

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California Rooftop Solar Rate Reforms propose shifting net metering to fixed access fees, peak-demand charges, and time-of-use pricing, aligning grid costs, distributed generation incentives, and retail rates for efficient, least-cost electricity and fair cost recovery.

Key Points

Policies replacing net metering with fixed fees, demand charges, and time-of-use rates to align costs and incentives.

✅ Large fixed access charge funds grid infrastructure

✅ Peak-demand pricing reflects capacity costs at system peak

✅ Time-varying rates align marginal costs and emissions

The California Public Service Commission has proposed revamping electricity rates for residential customers who produce electricity through their rooftop solar panels. In a recent New York Times op‐​ed, former Governor Arnold Schwarzenegger argued the changes pose an existential threat to residential rooftop solar. Interest groups favoring rooftop solar portray the current pricing system, often called net metering, in populist terms: “Net metering is the one opportunity for the little guy to get relief, and they want to put the kibosh on it.” And conventional news coverage suggests that because rooftop solar is an obvious good development and nefarious interests, incumbent utilities and their unionized employees, support the reform, well‐​meaning people should oppose it. A more thoughtful analysis would inquire about the characteristics and prices of a system that supplies electricity at least cost.

Currently, under net metering customers are billed for their net electricity use plus a minimum fixed charge each month. When their consumption exceeds their home production, they are billed for their net use from the electricity distribution system (the grid) at retail rates. When their production exceeds their consumption and the excess is supplied to the grid, residential consumers also are reimbursed at retail rates. During a billing period, if a consumer’s production equaled their consumption their electric bill would only be the monthly fixed charge.

Net metering would be fine if all the fixed costs of the electric distribution and transmission systems were included in the fixed monthly charge, but they are not. Between 66 and 77 percent of the expenses of California private utilities do not change when a customer increases or decreases consumption, but those expenses are recovered largely through charges per kWh of use rather than a large monthly fixed charge. Said differently, for every kWh that a PG&E solar household exported into the grid in 2019, it saved more than 26 cents, on average, while the utility’s costs only declined by about 8 cents or less including an estimate of the pollution costs of the system’s fossil fuel generators. The 18‐​cent difference pays for costs that don’t change with variation in a household’s consumptions, like much of the transmission and distribution system, energy efficiency programs, subsidies for low‐​income customers, and other fixed costs. Rooftop solar is so popular in California because its installation under a net metering system avoids the 18 cents, creating a solar cost shift onto non-solar customers. Rooftop solar is not the answer to all our environmental needs. It is simply a form of arbitrage around paying for the grid’s fixed costs.

What should electricity tariffs look like? This article in Regulation argues that efficient charges for electricity would consist of three components: a large fixed charge for the distribution and transmission lines, meter reading, vegetation trimming, etc.; a peak‐​demand charge related to your demand when the system’s peak demand occurs to pay for fixed capacity costs associated with peak use; and a charge for electricity use that reflects the time‐ and location‐​varying cost of additional electricity supply.

Actual utility tariffs do not reflect this ideal because of political concerns about the effects of large fixed monthly charges on low‐​income customers and the optics of explaining to customers that they must pay 50 or 60 dollars a month for access even if their use is zero. Instead, the current pricing system “taxes” electricity use to pay for fixed costs. And solar net metering is simply a way to avoid the tax. The proposed California rate reforms would explicitly impose a fixed monthly charge on rooftop solar systems that are also connected to the grid, a change that could bring major changes to your electric bill statewide, and would thus end the fixed‐​cost avoidance. Any distributional concerns that arise because of the effect of much larger fixed charges on lower‐​income customers could be managed through explicit tax deductions that are proportional to income.

The current rooftop solar subsidies in California also should end because they have perverse incentive effects on fossil fuel generators, even as the state exports its energy policies to neighbors. Solar output has increased so much in California that when it ends with every sunset, natural gas generated electricity has to increase very rapidly. But the natural gas generators whose output can be increased rapidly have more pollution and higher marginal costs than those natural gas plants (so called combined cycle plants) whose output is steadier. The rapid increase in California solar capacity has had the perverse effect of changing the composition of natural gas generators toward more costly and polluting units.

The reforms would not end the role of solar power. They would just shift production from high‐​cost rooftop to lower‐​cost centralized solar production, a transition cited in analyses of why electricity prices are soaring in California, whose average costs are comparable with electricity production in natural gas generators. And they would end the excessive subsidies to solar that have negatively altered the composition of natural gas generators.

Getting prices right does not generate citizen interest as much as the misguided notion that rooftop solar will save the world, and recent efforts to overturn income-based utility charges show how politicized the debate remains. But getting prices right would allow the decentralized choices of consumers and investors to achieve their goals at least cost.

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Sudbury Electrification and Grid Expansion is driving record power demand, EV charging, renewable energy planning, IESO forecasts, smart grid upgrades, battery storage, and industrial electrification, requiring cleaner power plants and transmission capacity in northern Ontario.

Key Points

Rising electricity demand and clean energy upgrades in Sudbury to power EVs, industry, and a smarter, expanded grid.

✅ IESO projects system size may need to more than double

✅ EVs and smart devices increase peak and off-peak load

✅ Battery storage and V2G can support reliability and resiliency

Sudbury, Ont., is consuming more power than ever, amid an electricity supply crunch in Ontario, according to green energy organizations that say meeting the demand will require cleaner energy sources.

"This is the welfare of the entire city on the line and they are putting their trust in electrification," said David St. Georges, manager of communications at reThink Green, a non-profit organization focused on sustainability in Sudbury.

According to St. Georges, Sudbury and northern Ontario can meet the growing demand for electricity to charge clean power for EVs and smart devices. 

According to the Independent Electricity System Operator (IESO), making a full switch from fossil fuels to other renewable energy sources could require more power plants, while other provinces face electricity shortages of their own.

"We have forecasted that Ontario's electricity system will need significant expansion to meet this, potentially more than doubling in size," the IESO told CBC News in an emailed statement.

Electrification in the industrial sector is adding greater demand to the electrical grid as electric cars challenge power grids in many regions. Algoma Steel in Sault Ste. Marie and ArcelorMittal Dofasco in Hamilton both aim to get electric arc furnaces in operation. Together, those projects will require 630 megawatts.

"That's like adding four cities the size of Sudbury to the grid," IESO said.

Devin Arthur, chapter president of the Electric Vehicle society in Greater Sudbury, said the city is coming full circle with fully electrifying its power grid, reflecting how EVs are a hot topic in Alberta and beyond.

"We're going to need more power," he said.

"Once natural gas was introduced, that kind of switched back, and everyone was getting out of electrification and going into natural gas and other sources of power."

Despite Sudbury's increased appetite for electricity, Arthur added it's also easier to store now as Ontario moves to rely on battery storage solutions.

"What that means is you can actually use your electric vehicle as a battery storage device for the grid, so you can actually sell power from your vehicle that you've stored back to the grid, if they need that power," he said.

Harneet Panesar, chief operating officer for the Ontario Energy Board, told CBC the biggest challenge to going green is seeing if it can work around older infrastructure, while policy debates such as Canada's 2035 EV sales mandate shape the pace of change.

"You want to make sure that you're building in the right spot," he said.

"Consumers are shifting from combustion engines to EV drivetrains. You're also creating more dependency. At a very high level, I'm going to say it's probably going to go up in terms of the demand for electricity."

Fossil fuels are the first to go for generating electricity, said St. Georges.

"But we're not there yet, because it's not a light switch solution. It takes time to get to that, which is another issue of electrification," he said.

"It's almost impossible for us not to go that direction."

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Nuclear Power for Net-Zero Grids anchors reliable baseload, integrating renewables with grid stability as solar, wind, and battery storage scale. Advanced reactors complement hydropower, curb natural gas reliance, and accelerate deep decarbonization of electricity systems.

Key Points

Uses nuclear baseload and advanced reactors to stabilize power grids and integrate higher shares of variable renewables.

✅ Provides firm, zero-carbon baseload for renewable-heavy grids

✅ Reduces natural gas dependence and peaker emissions

✅ Advanced reactors enhance safety, flexibility, and cost

Declining solar, wind, and battery technology costs are helping to grow the share of renewables in the world’s power mix to the point that governments are pledging net-zero emission electricity generation in two to three decades to fight global warming.

Yet, electricity grids will continue to require stable baseload to incorporate growing shares of renewable energy sources and ensure lights are on even when the sun doesn’t shine, or the wind doesn’t blow. Until battery technology evolves enough—and costs fall far enough—to allow massive storage and deployment of net-zero electricity to the grid, the systems will continue to need power from sources other than solar and wind.

And these will be natural gas and nuclear power, regardless of concerns about emissions from the fossil fuel natural gas and potential disasters at nuclear power facilities such as the ones in Chernobyl or Fukushima.

As natural gas is increasingly considered as just another fossil fuel, nuclear power generation provides carbon-free electricity to the countries that have it, even as debates over nuclear power’s outlook continue worldwide, and could be the key to ensuring a stable power grid capable of taking in growing shares of solar and wind power generation.

The United States, where nuclear energy currently provides more than half of the carbon-free electricity, is supporting the development of advanced nuclear reactors as part of the clean energy strategy.

But Europe, which has set a goal to reach carbon neutrality by 2050, could find itself with growing emissions from the power sector in a decade, as many nuclear reactors are slated for decommissioning and questions remain over whether its aging reactors can bridge the gap. The gap left by lost nuclear power is most easily filled by natural gas-powered electricity generation—and this, if it happens, could undermine the net-zero goals of the European Union (EU) and the bloc’s ambition to be a world leader in the fight against climate change.

U.S. Power Grid Will Need Nuclear For Net-Zero Emissions

A 2020 report from the University of California, Berkeley, said that rapidly declining solar, wind, and storage prices make it entirely feasible for the U.S. to meet 90 percent of its power needs from zero-emission energy sources by 2035 with zero increases in customer costs from today’s levels.

Still, natural gas-fired generation will be needed for 10 percent of America’s power needs. According to the report, in 2035 it would be possible that “during normal periods of generation and demand, wind, solar, and batteries provide 70% of annual generation, while hydropower and nuclear provide 20%.” Even with an exponential rise in renewable power generation, the U.S. grid will need nuclear power and hydropower to be stable with such a large share of solar and wind.

The U.S. Backs Advanced Nuclear Reactor Technology

The U.S. Department of Energy is funding programs of private companies under DOE’s new Advanced Reactor Demonstration Program (ARDP) to showcase next-gen nuclear designs for U.S. deployment.

“Taking leadership in advanced technology is so important to the country’s future because nuclear energy plays such a key role in our clean energy strategy,” U.S. Secretary of Energy Dan Brouillette said at the end of December when DOE announced it was financially backing five teams to develop and demonstrate advanced nuclear reactors in the United States.

“All of these projects will put the U.S. on an accelerated timeline to domestically and globally deploy advanced nuclear reactors that will enhance safety and be affordable to construct and operate,” Secretary Brouillette said.

According to Washington DC-based Nuclear Energy Institute (NEI), a policy organization of the nuclear technologies industry, nuclear energy provides nearly 55 percent of America’s carbon-free electricity. That is more than 2.5 times the amount generated by hydropower, nearly 3 times the amount generated by wind, and more than 12 times the amount generated by solar. Nuclear energy can help the United States to get to the deep carbonization needed to hit climate goals.

Europe Could See Rising Emissions Without Nuclear Power

While the United States is doubling down on efforts to develop advanced and cheaper nuclear reactors, including microreactors and such with new types of technology, Europe could be headed to growing emissions from the electricity sector as nuclear power facilities are scheduled to be decommissioned over the next decade and Europe is losing nuclear power just when it really needs energy, according to a Reuters analysis from last month.

In many cases, it will be natural gas that will come to the rescue to power grids to ensure grid stability and enough capacity during peak demand because solar and wind generation is variable and dependent on the weather.

For example, Germany, the biggest economy in Europe, is boosting its renewables targets, but it is also phasing out nuclear by next year, amid a nuclear option debate over climate strategy, while its deadline to phase out coal-fired generation is 2038—more than a decade later compared to phase-out plans in the UK and Italy, for example, where the deadline is the mid-2020s.

The UK, which left the EU last year, included support for nuclear power generation as one of the ten pillars in ‘The Ten Point Plan for a Green Industrial Revolution’ unveiled in November.

The UK’s National Grid has issued several warnings about tight supply since the fall of 2020, due to low renewable output amid high demand.

“National Grid’s announcement underscores the urgency of investing in new nuclear capacity, to secure reliable, always-on, emissions-free power, alongside other zero-carbon sources. Otherwise, we will continue to burn gas and coal as a fallback and fall short of our net zero ambitions,” Tom Greatrex, Chief Executive of the Nuclear Industry Association, said in response to one of those warnings.

But it’s in the UK that one major nuclear power plant project has notoriously seen a delay of nearly a decade—Hinkley Point C, originally planned in 2007 to help UK households to “cook their 2017 Christmas turkeys”, is now set for start-up in the middle of the 2020s.

Nuclear power development and plant construction is expensive, but it could save the plans for low-carbon emission power generation in many developed economies, including in the United States.

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Miami Valley EV Chargers Expansion strengthens Level 2 charging infrastructure across Dayton, with Ohio EPA funding and Volkswagen settlement support, easing range anxiety and promoting sustainable transportation at Austin Landing and high-traffic destinations.

Key Points

An Ohio initiative installing 24 Level 2 stations to boost EV adoption, reduce range anxiety, and expand access in Dayton.

✅ 24 new Level 2 chargers at high-traffic regional sites

✅ Ohio EPA and VW settlement funds support deployment

✅ Reduces range anxiety, advancing sustainable mobility

The Miami Valley region in Ohio is accelerating its transition to electric vehicles (EVs) with the installation of 24 new Level 2 EV chargers, funded through a $1.1 million project supported by the Ohio Environmental Protection Agency (EPA). This initiative aims to enhance EV accessibility and alleviate "range anxiety" among drivers as the broader U.S. EV boom tests grid readiness.

Strategic Locations Across the Region

The newly installed chargers are strategically located in high-traffic areas to maximize their utility as national charging networks compete to expand coverage across travel corridors. Notable sites include Austin Landing, the Dayton Art Institute, the Oregon District, Caesar Creek State Park, and the Rose Music Center. These locations were selected to ensure that EV drivers have convenient access to charging stations throughout the region, similar to how Ontario streamlines station build-outs to place chargers where drivers already travel.

Funding and Implementation

The project is part of Ohio's broader effort to expand EV infrastructure, reflecting the evolution of U.S. charging infrastructure while utilizing funds from the Volkswagen Clean Air Act settlement. The Ohio EPA awarded approximately $3.25 million statewide for the installation of Level 2 EV chargers, with the Miami Valley receiving a significant portion of this funding, while Michigan utility programs advance additional investments to scale regional infrastructure.

Impact on the Community

The expansion of EV charging infrastructure is expected to have several positive outcomes. It will provide greater convenience for current EV owners and encourage more residents to consider electric vehicles as a viable transportation option, including those in apartments and condos who benefit from expanded access. Additionally, the increased availability of charging stations supports the state's environmental goals by promoting the adoption of cleaner, more sustainable transportation.

Looking Ahead

As the adoption of electric vehicles continues to grow, the Miami Valley's investment in EV infrastructure positions the region as a leader in sustainable transportation as utilities pursue ambitious charging strategies to meet demand. The success of this project may serve as a model for other regions looking to expand their EV charging networks. This initiative reflects a significant step towards a more sustainable and accessible transportation future for the Miami Valley.

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BC Hydro Holiday Electricity Usage is set to rise as energy demand increases during peak 4-10 pm on Christmas and Boxing Day, driven by larger gatherings, more cooking, and eased COVID-19 restrictions province-wide.

Key Points

Expected rise in power demand on Christmas and Boxing Day evenings versus 2020, driven by larger gatherings and cooking.

✅ Peak hours 4-10 pm expected to rise in provincial load.

✅ 2020 saw 4% and 7% drops vs 2019 on Christmas and Boxing Day.

✅ Holiday lighting adds ~3% to use; switching to LED can save ~$40.

BC Hydro data showed residential electricity load in the Cariboo and throughout the province, even as drought affects generation dynamics heading into winter, dropped on Christmas Day and Boxing Day in 2020.

Northern Community Relations Manager, Bob Gammer, said the decrease was due in part to more people following the COVID-19 restrictions and not getting together for big meals, even though 2018 Earth Hour usage increased elsewhere illustrates how behavior can sometimes raise demand.

However, this year Gammer said between 4 and 10 pm on those two days, BC Hydro does expect to see a change in overall usage, aligning with all-time high demand trends reported recently in B.C.

“On Christmas Day and Boxing Day, we expect to see increases through those hours and a little bit more so between 4 and 10 pm we should see the amount of power being consumed across the province, as record-breaking 2021 demand indicated earlier, going up compared to what it was on those two days last year.”

In 2020 on Christmas Day evening hydro usage dropped by over 4 percent and Boxing Day evening decreased by 7 percent compared to 2019, whereas regions like Calgary's winter demand have seen spikes during extreme cold.

Gammer added after BC Hydro surveyed their customers and introduced a winter payment plan, they expect to see a lot more cooking happening on Christmas Day and Boxing Day this year as people are intending to have larger gatherings and visit friends.

We asked Gammer about hydro usage when it comes to homes decked out for the holidays, and how that compares to newer loads like crypto mining activity in B.C.

“The Christmas lighting displays people have, not just indoors but outdoors as well, what we’re seeing is about a 3 percent increase in electricity consumption overall through the Christmas season. If people switch, if you still have older lights that are incandescent, switch those over to LED, and through the season it could wind up saving you $40 in electricity just switching over about 8 strings of lights to LED.”

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