AECL committed to returning NRU reactor to service

Smart EV Charging orchestrates vehicle-to-grid (V2G), demand response, and fast charging to balance the power grid, integrating renewables, electrolyzers for hydrogen, and megawatt chargers for fleets with advanced control and co-optimization.

Key Points

Smart EV charging coordinates EV load to stabilize the grid, cut peaks, and integrate renewable energy efficiently.

✅ Reduces peak demand via coordinated, flexible load control

✅ Enables V2G services with renewables and battery storage

✅ Supports megawatt fast charging for heavy-duty fleets

As electric vehicle (EV) sales continue to rev up in the United States, the power grid is in parallel contending with the greatest transformation in its 100-year history: the large-scale integration of renewable energy and power electronic devices. The expected expansion of EVs will shift those challenges into high gear, causing cities to face gigawatt-growth in electricity demand, as analyses of EV grid impacts indicate, and higher amounts of variable energy.

Coordinating large numbers of EVs with the power system presents a highly complex challenge. EVs introduce variable electrical loads that are highly dependent on customer behavior. Electrified transportation involves co-optimization with other energy systems, like natural gas and bulk battery storage, including mobile energy storage flexibility for new operational options. It could involve fleets of automated ride-hailing EVs and lead to hybrid-energy truck stops that provide hydrogen and fast-charging to heavy-duty vehicles.

Those changes will all test the limits of grid integration, but the National Renewable Energy Laboratory (NREL) sees opportunity at the intersection of energy systems and transportation. With powerful resources for simulating and evaluating complex systems, several NREL projects are determining the coordination required for fast charging, balancing electrical supply and demand, and efficient use of all energy assets.

Smart and Not-So-Smart Control
To appreciate the value of coordinated EV charging, it is helpful to imagine the opposite scenario.

"Our first question is how much benefit or burden the super simple, uncoordinated approach to electric vehicle charging offers the grid," said Andrew Meintz, the researcher leading NREL's Electric Vehicle Grid Integration team, as well as the RECHARGE project for smart EV charging. "Then we compare that to the 'whiz-bang,' everything-is-connected approach. We want to know the difference in value."

In the "super simple" approach, Meintz explained that battery-powered electric vehicles grow in market share, exemplified by mass-market EVs, without any evolution in vehicle charging coordination. Picture every employee at your workplace driving home at 5 p.m. and charging their vehicle. That is the grid's equivalent of going 0 to 100 mph, and if it does not wreck the system, it is at least very expensive. According to NREL's Electrification Futures Study, a comprehensive analysis of the impacts of widespread electrification across all U.S. economic sectors, in 2050 EVs could contribute to a 33% increase in energy use during peak electrical demand, underscoring state grid challenges that make these intervals costly when energy reserves are procured. In duck curve parlance, EVs will further strain the duck's neck.

The Optimization and Control Lab's Electric Vehicle Grid Integration bays allow researchers to determine how advanced high power chargers can be added safely and effectively to the grid, with the potential to explore how to combine buildings and EV charging. Credit: Dennis Schroeder, NREL
Meintz's "whiz-bang" approach instead imagines EV control strategies that are deliberate and serve to smooth, rather than intensify, the upcoming demand for electricity. It means managing both when and where vehicles charge to create flexible load on the grid.

At NREL, smart strategies to dispatch vehicles for optimal charging are being developed for both the grid edge, where consumers and energy users connect to the grid, as in RECHARGEPDF, and the entire distribution system, as in the GEMINI-XFC projectPDF. Both projects, funded by the U.S. Department of Energy's (DOE's) Vehicle Technologies Office, lean on advanced capabilities at NREL's Energy Systems Integration Facility to simulate future energy systems.

At the grid edge, EVs can be co-optimized with distributed energy resources—small-scale generation or storage technologies—the subject of a partnership with Eaton that brought industry perspectives to bear on coordinated management of EV fleets.

At the larger-system level, the GEMINI-XFC project has extended EV optimization scenarios to the city scale—the San Francisco Bay Area, to be specific.

"GEMINI-XFC involves the highest-ever-fidelity modeling of transportation and the grid," said NREL Research Manager of Grid-Connected Energy Systems Bryan Palmintier.

"We're combining future transportation scenarios with a large metro area co-simulationPDF—millions of simulated customers and a realistic distribution system model—to find the best approaches to vehicles helping the grid."

GEMINI-XFC and RECHARGE can foresee future electrification scenarios and then insert controls that reduce grid congestion or offset peak demand, for example. Charging EVs involves a sort of shell game, where loads are continually moved among charging stations to accommodate grid demand.

But for heavy-duty vehicles, the load is harder to hide. Electrified truck fleets will hit the road soon, creating power needs for electric truck fleets that translate to megawatts of localized demand. No amount of rerouting can avoid the requirements of charging heavy-duty vehicles or other instances of extreme fast-charging (XFC). To address this challenge, NREL is working with industry and other national laboratories to study and demonstrate the technological buildout necessary to achieve 1+ MW charging stationsPDF that are capable of fast charging at very high energy levels for medium- and heavy-duty vehicles.

To reach such a scale, NREL is also considering new power conversion hardware based on advanced materials like wide-bandgap semiconductors, as well as new controllers and algorithms that are uniquely suited for fleets of charge-hungry vehicles. The challenge to integrate 1+ MW charging is also pushing NREL research to higher power: Upcoming capabilities will look at many-megawatt systems that tie in the support of other energy sectors.

Renewable In-Roads for Hydrogen

At NREL, the drive toward larger charging demands is being met with larger research capabilities. The announcement of ARIES opens the door to energy systems integration research at a scale 10-times greater than current capabilities: 20 MW, up from 2 MW. Critically, it presents an opportunity to understand how mobility with high energy demands can be co-optimized with other utility-scale assets to benefit grid stability.

"If you've got a grid humming along with a steady load, then a truck requires 500 kW or more of power, it could create a large disruption for the grid," said Keith Wipke, the laboratory program manager for fuel cells and hydrogen technologies at NREL.

Such a high power demand could be partially served by battery storage systems. Or it could be hidden entirely with hydrogen production. Wipke's program, with support from the DOE's Hydrogen and Fuel Cell Technologies Office, has been performing studies into how electrolyzers—devices that use electricity to break water into hydrogen and oxygen—could offset the grid impacts of XFC. These efforts are also closely aligned with DOE's H2@Scale vision for affordable and effective hydrogen use across multiple sectors, including heavy-duty transportation, power generation, and metals manufacturing, among others.

"We're simulating electrolyzers that can match the charging load of heavy-duty battery electric vehicles. When fast charging begins, the electrolyzers are ramped down. When fast charging ends, the electrolyzers are ramped back up," Wipke said. "If done smoothly, the utility doesn't even know it's happening."

NREL Researchers Rishabh Jain, Kazunori Nagasawa, and Jen Kurtz are working on how grid integration of electrolyzers—devices that use electricity to break water into hydrogen and oxygen—could offset the grid impacts of extreme fast-charging. Credit: National Renewable Energy Laboratory
As electrolyzers harness the cheap electrons from off-demand periods, a significant amount of hydrogen can be produced on site. That creates a natural energy pathway from discount electricity into a fuel. It is no wonder, then, that several well-known transportation and fuel companies have recently initiated a multimillion-dollar partnership with NREL to advance heavy-duty hydrogen vehicle technologies.

"The logistics of expanding electric charging infrastructure from 50 kW for a single demonstration battery electric truck to 5,000 kW for a fleet of 100 could present challenges," Wipke said. "Hydrogen scales very nicely; you're basically bringing hydrogen to a fueling station or producing it on site, but either way the hydrogen fueling events are decoupled in time from hydrogen production, providing benefits to the grid."

The long driving range and fast refuel times—including a DOE target of achieving 10-minutes refuel for a truck—have already made hydrogen the standout solution for applications in warehouse forklifts. Further, NREL is finding that distributed electrolyzers can simultaneously produce hydrogen and improve voltage conditions, which can add much-needed stability to a grid that is accommodating more energy from variable resources.

Those examples that co-optimize mobility with the grid, using diverse technologies, are encouraging NREL and its partners to pursue a new scale of systems integration. Several forward-thinking projects are reimagining urban mobility as a mix of energy solutions that integrate the relative strengths of transportation technologies, which complement each other to fill important gaps in grid reliability.

The Future of Urban Mobility
What will electrified transportation look like at high penetrations? A few NREL projects offer some perspective. Among the most experimental, NREL is helping the city of Denver develop a smart community, integrated with electrified mobility and featuring automated charging and vehicle dispatch.

On another path to advanced mobility, Los Angeles has embarked on a plan to modernize its electricity system infrastructure, reflecting California EV grid stability goals—aiming for a 100% renewable energy supply by 2045, along with aggressive electrification targets for buildings and vehicles. Through the Los Angeles 100% Renewable Energy Study, the city is currently working with NREL to assess the full-scale impacts of the transition in a detailed analysis that integrates diverse capabilities across the laboratory.

The transition would include the Port of Long Beach, the busiest container port in the United States.

At the port, NREL is applying the same sort of scenario forecasting and controls evaluation as other projects, in order to find the optimal mix of technologies that can be integrated for both grid stability and a reliable quality of service: a mix of hydrogen fuel-cell and battery EVs, battery storage systems, on-site renewable generation, and extreme coordination among everything.

"Hydrogen at ports makes sense for the same reason as trucks: Marine applications have big power and energy demands," Wipke said. "But it's really the synergies between diverse technologies—the existing infrastructure for EVs and the flexibility of bulk battery systems—that will truly make the transition to high renewable energy possible."

Like the Port of Long Beach, transportation hubs across the nation are adapting to a complex environment of new mobility solutions. Airports and public transit stations involve the movement of passengers, goods, and services at a volume exceeding anywhere else. With the transition to digitally connected electric mobility changing how airports plan for the future, NREL projects such as Athena are using the power of high-performance computing to demonstrate how these hubs can maximize the value of passenger and freight mobility per unit of energy, time, and/or cost.

The growth in complexity for transportation hubs has just begun, however. Looking ahead, fleets of ride-sharing EVs, automated vehicles, and automated ride-sharing EV fleets could present the largest effort to manage mobility yet.

A Self-Driving Power Grid
To understand the full impact of future mobility-service providers, NREL developed the HIVE (Highly Integrated Vehicle Ecosystem) simulation framework. HIVE combines factors related to serving mobility needs and grid operations—such as a customer's willingness to carpool or delay travel, and potentially time-variable costs of recharging—and simulates the outcome in an integrated environment.

"Our question is, how do you optimize the management of a fleet whose primary purpose is to provide rides and improve that fleet's dispatch and charging?" said Eric Wood, an NREL vehicle systems engineer.

HIVE was developed as part of NREL's Autonomous Energy Systems research to optimize the control of automated vehicle fleets. That is, optimized routing and dispatch of automated electric vehicles.

The project imagines how price signals could influence dispatch algorithms. Consider one customer booking a commute through a ride-hailing app. Out of the fleet of vehicles nearby—variously charged and continually changing locations—which one should pick up the customer?

Now consider the movements of thousands of passengers in a city and thousands of vehicles providing transportation services. Among the number of agents, the moment-to-moment change in energy supply and demand, and the broad diversity in vendor technologies, "we're playing with a lot of parameters," Wood said.

But cutting through all the complexity, and in the midst of massive simulations, the end goal for vehicle-to-grid integration is consistent:

"The motivation for our work is that there are forecasts for significant load on the grid from the electrification of transportation," Wood said. "We want to ensure that this load is safely and effectively integrated, while meeting the expectations and needs of passengers."

The Port of Long Beach uses a mix of hydrogen fuel-cell and battery EVs, battery storage systems, on-site renewable generation, and extreme coordination among everything. Credit: National Renewable Energy Laboratory
True Replacement without Caveats

Electric vehicles are not necessarily helpful to the grid, but they can be. As EVs become established in the transportation sector, NREL is studying how to even out any bumps that electrified mobility could cause on the grid and advance any benefits to commuters or industry.

"It all comes down to load flexibility," Meintz said. "We're trying to decide how to optimally dispatch vehicle charging to meet quality-of-service considerations, while also minimizing charging costs."

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Alberta Rate of Last Resort provides a baseline electricity price, boosting energy reliability, affordability, and consumer protection amid market volatility, aligning with grid modernization, integration, pricing transparency, and oversight from the Alberta Utilities Commission.

Key Points

A fallback electricity rate ensuring affordable, reliable power and consumer protection during market volatility.

✅ Guarantees a stable baseline price when markets spike

✅ Supports vulnerable customers lacking competitive offers

✅ Overseen by AUC to balance protection and competition

The Alberta government has announced significant strides in its electricity market reforms, unveiling a new plan under new electricity rules that aims to enhance energy reliability and affordability for consumers. This initiative, highlighted by the introduction of a "rate of last resort," is a critical response to ongoing challenges in the province's electricity sector, particularly following recent market volatility and increasing consumer concerns about rising electricity prices across the province.

Understanding the Rate of Last Resort

The "rate of last resort" (RLR) is designed to ensure that all Albertans have access to affordable electricity, even when they face challenges securing a competitive rate in the open market. This measure is particularly beneficial for those who may not have the means or the knowledge to navigate complex energy contracts, such as low-income families or seniors.

Under this new plan, the RLR will serve as a safety net, guaranteeing a stable and predictable rate for customers who find themselves without a competitive provider. This move is seen as a crucial step in addressing the needs of vulnerable populations who might otherwise be at risk of being shut out of the energy market.

Market Volatility and Consumer Protection

Alberta's electricity market has faced significant fluctuations over the past few years, and is headed for a reshuffle as policymakers respond to unpredictability in pricing and service availability. The rise in energy costs has caused distress among consumers, with many advocating for stronger protections against sudden price hikes.

The government's recent decision to implement the RLR is a direct acknowledgment of these concerns. By creating a baseline rate, officials aim to provide consumers with peace of mind, knowing that there is a fallback option should market conditions turn unfavorable. This initiative complements other measures aimed at enhancing consumer protections, including improved transparency in pricing, the consumer price cap on power bills being advanced, and the regulation of energy suppliers.

Broader Implications for Alberta’s Energy Landscape

This plan is not only about consumer protection; it also represents a broader shift towards a more sustainable and stable energy market in Alberta, aligning with proposed electricity market changes under consideration. The introduction of the RLR is part of a comprehensive strategy that includes investments in renewable energy and infrastructure improvements. By modernizing the grid and promoting cleaner energy sources, the government aims to reduce dependency on fossil fuels while maintaining reliability and affordability.

Additionally, this move aligns with the province's goals to meet climate targets and transition to a more sustainable energy future as Alberta is changing how it produces and pays for electricity through policy updates. As the demand for clean energy grows, Alberta is positioning itself to be a leader in this transformation, appealing to both residents and businesses committed to sustainability.

Public and Industry Reactions

The announcement has garnered mixed reactions from various stakeholders. While consumer advocacy groups have largely praised the government's efforts to protect consumers and ensure affordable electricity, some industry experts express concerns about potential long-term impacts on competition, arguing the market needs competition to remain dynamic. They argue that while the RLR provides immediate relief, it could disincentivize companies from offering competitive rates, leading to a less dynamic market in the future.

The Alberta Utilities Commission (AUC) is expected to play a pivotal role in overseeing the implementation of the RLR, ensuring that it operates effectively and that any unintended consequences are addressed swiftly. This regulatory oversight will be crucial in balancing consumer protection with the need for a competitive energy market.

Conclusion

As Alberta forges ahead with its electricity market reforms, the introduction of the rate of last resort marks a significant step in enhancing consumer protection and ensuring energy affordability. While challenges remain, the government's proactive approach reflects a commitment to addressing the needs of all Albertans, particularly those most vulnerable to market fluctuations.

In this evolving energy landscape, the RLR will serve not only as a safety net for consumers but also as a foundation for a more sustainable and reliable electricity system. As Alberta continues to adapt to changing energy demands and climate considerations, the effectiveness of these measures will be closely monitored, shaping the future of the province’s electricity market.

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Alberta Solar Energy Contracts secure low-cost photovoltaic PPAs for government operations, delivering renewable electricity at 4.8 cents/kWh, beating natural gas LCOE, enhancing summer grid efficiency across Hays, Tilley, and Jenner with Canadian Solar.

Key Points

Low-cost PV power agreements meeting 55% of Alberta government electricity demand via new Canadian Solar facilities.

✅ Price: 4.8 cents/kWh CAD, under gas-fired generation LCOE.

✅ Sites: Hays, Tilley, Jenner; 50% equity with Conklin Métis Local #193.

✅ Supplies 55% of provincial government electricity demand.

Three new solar electricity facilities to be built in south eastern Alberta (Canada) amid Alberta's solar growth have been selected through a competitive process to supply the Government of Alberta with 55 per cent of their annual electricity needs. The facilities will be built near Hays, Tilley, and Jenner, by Canadian Solar with Conklin Métis Local #193 as 50-percent equity owners.

The Government of Alberta's operations have been powered 100 per cent with wind power since 2007. Upon the expiration of some of these contracts, they have been renewed to switch from wind to solar energy. The average contract pricing will be $0.048 per kilowatt hour (3.6 cents/kWh USD), which is less than the average historical wholesale power pool price paid to natural gas-fired electricity in the province in years 2008 - 2018.

"The conversation about solar energy has long been fixated on its price competitiveness with fossil fuels," said John Gorman, CanSIA President & CEO. "Today's announcement demonstrates that low cost solar energy has arrived as a mainstream option in Alberta, even as demand for solar lags in Canada according to federal assessments. The conversation should next focus on how to optimize an all-of-the-above strategy for developing the province's renewable and non-renewable resources."

"This price discovery is monumental for the solar industry in Canada" said Patrick Bateman, CanSIA Director of Policy & Market Development. "At less than five cents per kilowatt hour, this solar electricity has a cost that is less than that of natural gas. Achieving Alberta's legislated 30 per cent by 2030 renewable electricity target just became a whole lot cheaper!".

Quick Facts:

• The contract price of 4.8 cents/kWh CAD to be paid by Alberta Infrastructure for this solar electricity represents a lower Levelized Cost of Electricity (LCOE) than the average annual wholesale price paid by the power pool to combined-cycle and single-cycle natural gas-fired electricity generation which was 7.1 cents/kWh and 11.2 cents/kWh respectively from 2008 - 2018.

• Alberta receives more hours of sunshine than Miami, Florida in the summer months. Alberta's electricity supply is most strained in summer, highlighting challenges for solar expansion when high temperatures increase the resistance of the distribution and transmission systems, and reduce the efficiency of cooling thermal power plants. For this reason, solar facilities sited near to electricity demand improves overall grid efficiency. Supply shortages are atypical in Alberta in winter when solar energy is least available. When they do occur, imports are increased and large loads are decreased.

• In 2018, Alberta's solar electricity generation exceeded 50 MW. While representing much less than 1% of the province's electricity supply today, the Canadian Solar Industries Association (CanSIA) forecasts that solar energy could supply as much as 3 per cent of the province's electricity by 2030, supporting renewable energy job growth across Alberta. A recent supply chain study of the solar electricity sector in Alberta by Solas Energy Consulting Inc. found a potential of $4.1 billion in market value and a labour force rising to 10,000 in 2030.

To learn more about solar energy and the best way for consumers to go solar, please visit the Canadian Solar Industries Association at www.CanSIA.ca.

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ERCOT Ancillary Services Clawback and VOLL Pricing summarize PUCT and IMM actions on load shed, real-time pricing adders, clawbacks, and settlement corrections after the 2021 winter storm in the Texas power grid market.

Key Points

Policies addressing clawbacks for unprovided AS and correcting VOLL-based price adders after load shed ended in ERCOT.

✅ PUCT ordered clawbacks for ancillary services not delivered.

✅ IMM urged price correction after firm load shed ceased.

✅ ERCOT's VOLL adder raised costs by $16B during 32 hours.

Potomac Economics, the Independent Market Monitor (IMM) for the Electric Reliability Council of Texas (ERCOT), filed a report with the Public Utility Commission of Texas (PUCT) that certain payments were made by ERCOT for Ancillary Services (AS) that were not provided, even as ERCOT later issued a winter reliability RFP to procure capacity during subsequent seasons.

According to the IMM (emphasis added):

There were a number of instances during the operating days outlined above in which AS was not provided in real time because of forced outages or derations. For market participants that are not able to meet their AS responsibility, typically the ERCOT operator marks the short amount in the software. This causes the AS responsibility to be effectively removed and the day-ahead AS payment to be clawed back in settlement. However, the ERCOT operators did not complete this task during the winter event, echoing issues like the Ontario IESO phantom demand that cost customers millions, and therefore the "failure to provide" settlements were not invoked in real time.

Removing the operator intervention step and automating the "failure to provide" settlement was contemplated in NPRR947: Clarification to Ancillary Service Supply Responsibility Definition and Improvements to Determining and Charging for Ancillary Service Failed Quantities; however, the NPRR was withdrawn in August 2020 amid ongoing market reform discussions because of the system cost, some complexities related to AS trades, and the implementation of real-time co-optimization.

Invoking the "failure to provide" settlement for all AS that market participants failed to provide during the operating days outlined above will produce market outcomes and settlements consistent with underlying market principles. In this case, the principle is that market participants should not be paid for services that they do not provide, even as a separate ruling found power plants exempt from providing electricity in emergencies under Texas law, underscoring the distinction between obligations and settlements. Whether ERCOT marked the short amount in real-time or not should not affect the settlement of these ancillary services.

On March 3, 2021, the PUCT ordered (a related press release is here) that:

ERCOT shall claw back all payments for ancillary service that were made to an entity that did not provide its required ancillary service during real time on ERCOT operating days starting February 14, 2021 and ending on February 19,2021.

On March 4, 2021, the IMM filed another report and recommended that:

the [PUCT] direct ERCOT to correct the real-time prices from 0:00 February 18,2021, to 09:00 February 19, 2021, to remove the inappropriate pricing intervention that occurred during that time period.

The IMM approvingly noted the PUCT's February 15, 2021 order, which mandated that real-time energy prices reflect firm load shed by setting prices at the value of lost load (VOLL).1

According to the IMM (emphasis added):

This is essential in an energy-only market, like ERCOT's, where the Texas power grid faces recurring crisis risks, because it provides efficient economic signals to increase the electric generation needed to restore the load and service it reliably over the long term.

Conversely, it is equally important that prices not reflect VOLL when the system is not in shortage and load is being served, and experiences in capacity markets show auction payouts can fall sharply under different conditions. The Commission recognized this principle in its Order, expressly stating it is only ERCOT's out-of-market shedding firm load that is required to be reflected in prices. Unfortunately, ERCOT exceeded the mandate of the Commission by continuing to set process at VOLL long after it ceased the firm load shed.

ERCOT recalled the last of the firm load shed instructions at 23:55 on February 17, 2021. Therefore, in order to comply with the Commission Order, the pricing intervention that raised prices to VOLL should have ended immediately at that time. However, ERCOT continued to hold prices at VOLL by inflating the Real-Time On-Line Reliability Deployment Price Adder for an additional 32 hours through the morning of February 19. This decision resulted in $16 billion in additional costs to ERCOT's market, prompting legislative bailout proposals in Austin, of which roughly $1.5 billion was uplifted to load-serving entities to provide make-whole payments to generators for energy that was not needed or produced.

However, at its March 5, 2021, open meeting (related discussion begins around minute 20), although the PUCT acknowledged the "good points" raised by the IMM, the PUCT was not willing to retrospectively adjust its real-time pricing for this period out of concerns that some related transactions (ICE futures and others) may have already settled and for unintended consequences of such retroactive adjustments.  

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EU Electricity Market Reform Opposition highlights nine states resisting an overhaul of the wholesale power market amid gas price spikes, urging energy efficiency, interconnection targets, and EU caution rather than redesigns affecting renewables.

Key Points

Nine EU states reject overhauling wholesale power pricing, favoring efficiency and prudent policy over redesigns.

✅ Nine states oppose redesign of wholesale power market.

✅ Call for efficiency and 15% interconnection by 2030.

✅ Ministers to debate responses amid gas-driven price spikes.

Germany, Denmark, Ireland and six other European countries said on Monday they would not support a reform of the EU electricity market, ahead of an emergency meeting of energy ministers to discuss emergency measures and the recent price spike.

European gas and power prices soared to record high levels in autumn and have remained high, prompting countries including Spain and France to urge Brussels to redesign its electricity market rules.

Nine countries on Monday poured cold water on those proposals, in a joint statement that said they "cannot support any measure that conflicts with the internal gas and electricity market" such as an overhaul of the wholesale power market altogether.

"As the price spikes have global drivers, we should be very careful before interfering in the design of internal energy markets," the statement said.

"This will not be a remedy to mitigate the current rising energy prices linked to fossil fuels markets across Europe."

Austria, Germany, Denmark, Estonia, Finland, Ireland, Luxembourg, Latvia and the Netherlands signed the statement, which called instead for more measures to save energy and a target for a 15% interconnection of the EU electricity market by 2030.

European energy ministers meet tomorrow to discuss their response to the price spike, including gas price cap strategies under consideration. Most countries are using tax cuts, subsidies and other national measures to shield consumers against the impact higher gas prices are having on energy bills, but EU governments are struggling to agree on a longer term response.

Spain has led calls for a revamp of the wholesale power market in response to the price spike, amid tensions between France and Germany over reform, arguing that the system is not supporting the EU's green transition.

Under the current system, the wholesale electricity price is set by the last power plant needed to meet overall demand for power. Gas plants often set the price in this system, which Spain said was unfair as it results in cheap renewable energy being sold for the same price as costlier fossil fuel-based power.

The European Commission has said it will investigate whether the EU power market is functioning well, but that there is no evidence to suggest a different system would have better protected countries against the surge in energy costs, and that rolling back electricity prices is tougher than it appears during such spikes.

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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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