Vestas wins Chinese turbine contract

BC Hydro Grid Modernization accelerates clean energy and electrification, upgrading transmission lines, substations, and hydro dams to deliver renewable power for EVs and heat pumps, strengthen grid reliability, and enable industrial decarbonization in British Columbia.

Key Points

A $36B, 10-year plan to expand and upgrade B.C.'s clean grid for electrification, reliability, and industrial growth.

✅ $36B for lines, substations, and hydro dam upgrades

✅ Enables EV charging, heat pumps, and smart demand response

✅ Prioritizes industrial electrification and Indigenous partnerships

In a significant move towards a clean energy transition, British Columbia has announced a substantial $36-billion investment to enlarge and upgrade its electricity grid over the next ten years. The announcement last Tuesday from BC Hydro indicates a substantial 50 percent increase from its prior capital plan. A major portion of this investment is directed towards new consumer connections and improving current infrastructure, including substations, transmission lines, and hydro dams for more efficient power generation.

The catalyst behind this major investment is the escalating demand for clean energy across residential, commercial, and industrial sectors in British Columbia. Projections show a 15 percent rise in electricity demand by 2030. According to the Canadian Climate Institute's models, achieving Canada’s climate goals will require extensive electrification across various sectors, raising questions about a net-zero grid by 2050 nationwide.

BC Hydro is planning substantial upgrades to the electrical grid to meet the needs of a growing population, decreasing industry carbon emissions, and the shift towards clean technology. This is vital, especially as the province works towards improving housing affordability and as households face escalating costs from the impacts of climate change and increasing exposure to harsh weather events. Affordable, reliable power and access to clean technologies such as electric vehicles and heat pumps are becoming increasingly important for households.

British Columbia is witnessing a significant shift from fossil fuels to clean electricity in powering homes, vehicles, and workplaces. Electric vehicle usage in B.C. has increased twentyfold in the past six years. Last year, one in every five new light-duty passenger vehicles sold in B.C. was electric – the highest rate in Canada. Additionally, over 200,000 B.C. homes are now equipped with heat pumps, indicating a growing preference for the province’s 98 percent renewable electricity.

The investment also targets reducing industrial emissions and attracting industrial investment. For instance, the demand for transmission along the North Coastline, from Prince George to Terrace, is expected to double this decade, especially from sectors like mining. Mining companies are increasingly looking for locations with access to clean power to reduce their carbon footprint.

This grid enhancement plan in B.C. is reflective of similar initiatives in provinces like Quebec and the legacy of Manitoba hydro history in building provincial systems. Hydro-Québec announced a substantial $155 to $185 billion investment in its 2035 Action Plan last year, aimed at supporting decarbonization and economic growth. By 2050, Hydro-Québec predicts a doubling of electricity demand in the province.

Both utilities’ strategies focus on constructing new facilities and enhancing existing assets, like upgrading dams and transmission lines. Hydro-Québec, for instance, includes energy efficiency goals in its plan to double customer savings and potentially save over 3,500 megawatts of power.

However, with this level of investment, provinces need to engage in dialogue about priorities and the optimal use of clean electricity resources, with concepts like macrogrids offering potential benefits. Quebec, for instance, has shifted from a first-come, first-served basis to a strategic review process for significant new industrial power requests.

B.C. is also moving towards strategic prioritization in its energy strategy, evident in its recent moratorium on new connections for virtual currency mining due to their high energy consumption.

Indigenous partnership and leadership are also key in this massive grid expansion. B.C.’s forthcoming Call for Power and Quebec’s financial partnerships with Indigenous communities indicate a commitment to collaborative approaches. British Columbia has also allocated $140 million to support Indigenous-led power projects.

Regarding the rest of Canada, electricity planning varies in provinces with deregulated markets like Ontario and Alberta. However, these provinces are adapting too, and the federal government has funded an Atlantic grid study to improve regional planning efforts. Ontario, for example, has provided clear guidance to its system operator, mirroring the ambition in B.C. and Quebec.

Utilities are rapidly working to not only expand and modernize energy grids but also to make them more resilient, affordable, and smarter, as demonstrated by recent California grid upgrades funding announcements across the sector. Hydro-Québec focuses on grid reliability and affordability, while B.C. experiments with smart-grid technologies.

Both Ontario and B.C. have programs encouraging consumers to reduce consumption in real-time, demonstrating the potential of demand-side management. A recent instance in Alberta showed how customer participation could prevent rolling blackouts by reducing demand by 150 megawatts.

This is a crucial time for all Canadian provinces to develop larger, smarter energy grids, including a coordinated western Canadian electricity grid approach for a sustainable future. Utilities are making significant strides towards this goal.
 

Related News

• Electricity Forum News

• Grid Technologies News

Canada Clean Electricity Regulations align climate policy with grid reliability, scaling renewables, energy storage, and low-carbon power to reach net-zero by 2050 while maintaining affordability through federal incentives, provincial flexibility, and investment.

Key Points

Nationwide rules to decarbonize power by 2050, capping emissions and protecting grid reliability and affordability.

✅ Net-zero electricity by 2050 with strict emissions limits

✅ Provincial flexibility and federal investments to cut costs

✅ Scales renewables, storage, and clean firm power for reliability

Canada's final Clean Electricity Regulations, unveiled in December 2024, alongside complementary provincial frameworks such as Ontario's clean electricity regulations that guide provincial implementation, represent a critical step toward ensuring a sustainable and reliable energy future. With electricity demand set to rise as the country’s population and economy grow, the Canadian government has put forward a robust plan that balances climate goals with the need for reliable, affordable power.

The regulations are designed to reduce greenhouse gas emissions from the electricity sector, which is already one of Canada's cleanest, with 85% of its electricity sourced from renewable energies like hydro, wind, and solar, and growing attention to clean grids and batteries nationwide. The target is to achieve net-zero emissions in electricity generation by 2050, a goal that will support the country’s broader climate ambitions.

One of the central goals of the Clean Electricity Regulations is to make sure that Canada’s power grid can accommodate future demand in light of a critical electrical supply crunch identified by analysts, while ensuring that emissions are cut effectively. The regulations set strict pollution limits but allow flexibility for provinces and territories to meet these goals in ways that suit their local circumstances. This approach recognizes the diverse energy resources across Canada, from the large-scale hydroelectric capacity in Quebec to the growing wind and solar projects in the West.

A key benefit of these regulations is the assurance that they will not result in higher electricity rates for most Canadians. In fact, according to government analyses, and resources like the online CER bill tool that explain how fees and usage affect charges, the regulations are expected to have a neutral or even slightly positive impact on electricity costs. This is due in part to significant federal investments in the electricity sector, totaling over $60 billion. These investments are intended to support the transition to clean electricity while minimizing costs for consumers.

The shift to clean electricity is also expected to generate significant savings for Canadian households. As energy prices continue to fluctuate, clean electricity, especially from renewable sources, is becoming more cost-competitive compared to fossil fuels. Over the next decade, this transition is expected to result in $15 billion in total savings for Canadians, with 84% of households projected to benefit from lower energy bills. The savings are a result of federal incentives aimed at encouraging the adoption of efficient electric appliances, vehicles, and heating systems.

Moreover, reducing emissions from the electricity sector will play a major role in cutting Canada’s overall greenhouse gas pollution. By 2050, it’s estimated that these regulations will reduce nearly 181 megatonnes of emissions, which is equivalent to removing over 55 million cars from the road. This is a crucial step in meeting Canada’s climate targets and mitigating the impacts of climate change, such as extreme weather events, which have already led to significant economic losses.

The economic benefits extend beyond savings on energy bills. The regulations and the broader clean electricity strategy will create substantial job opportunities. The clean energy sector, which includes jobs in wind, solar, and nuclear power, is poised for massive growth, and provinces like Alberta have outlined a path to clean electricity to support that momentum. It’s estimated that by 2030, the transition to clean electricity could create 400,000 new jobs, with further job growth projected for the years to come. These jobs are expected to include roles in both the construction and operation of new energy infrastructure, many of which will be unionized positions offering good wages and benefits.

To help meet the rising demand for clean energy, the government’s strategy emphasizes technological innovation and the integration of new energy sources, including market design updates such as proposed market changes that can enable investment. Renewable energy technologies such as wind and solar power have become increasingly cost-competitive, and their continued development is expected to reduce the overall cost of electricity generation. The regulations also encourage the adoption of energy storage solutions, which are essential for managing the intermittent nature of renewable energy sources.

In addition to the environmental and economic benefits, the Clean Electricity Regulations will help improve public health. Air pollution from fossil fuel power generation is a major contributor to respiratory illnesses and other health issues. By transitioning to clean energy sources, Canada can reduce harmful air pollutants, leading to better health outcomes and a lower burden on the healthcare system.

As Canada moves toward a net-zero electricity grid, including the federal 2035 target that some have criticized as changing goalposts in Saskatchewan, the Clean Electricity Regulations represent a comprehensive and flexible approach to managing the energy transition. With significant investments in clean energy technologies and the adoption of policies that ensure affordable electricity for all Canadians, the government is setting the stage for a cleaner, more sustainable future. These efforts will not only help Canada meet its climate goals but also create a thriving clean energy economy that benefits workers, businesses, and families across the country.

Related News

• Electricity Forum News

• Energy Policy News

Ontario IESO Accounting Dispute highlights tensions over public sector accounting standards, auditor general oversight, electricity market transparency, KPMG advice, rate-regulated accounting, and an alleged $1.3B deficit understatement affecting Hydro bills and provincial finances.

Key Points

A PSAS clash between Ontario's auditor general and the IESO, alleging a $1.3B deficit impact and transparency failures.

✅ Auditor alleges deficit understated by $1.3B

✅ Dispute over PSAS vs US-style accounting

✅ KPMG support, transparency and co-operation questioned

The bad blood between the Ontario government and auditor general bubbled to the surface once again Monday, with the Liberal energy minister downplaying a dispute between the auditor and the Crown corporation that manages the province's electricity market, even as the government pursued legislation to lower electricity rates in the province.

Glenn Thibeault said concerns raised by auditor general Bonnie Lysyk during testimony before a legislative committee last week aren't new and the practices being used by the Independent Electricity System Operator are commonly endorsed by major auditing firms.

"(Lysyk) doesn't like the rate-regulated accounting. We've always said we've relied on the other experts within the field as well, plus the provincial controller," Thibeault said.

#google#

"We believe that we are following public sector accounting standards."

Thibeault said that Ontario Power Generation, Hydro One and many other provinces and U.S. states use the same accounting practices.

"We go with what we're being told by those who are in the field, like KPMG, like E&Y," he said.

But a statement from Lysyk's office Monday disputed Thibeault's assessment.

"The minister said the practices being used by the IESO are common in other jurisdictions," the statement said.

"In fact, the situation with the IESO is different because none of the six other jurisdictions with entities similar to the IESOuse Canadian Public Sector Accounting Standards. Five of them are in the United States and use U.S. accounting standards."

Lysyk said last week that the IESO is using "bogus" accounting practices and her office launched a special audit of the agency late last year after the agency changed their accounting to be more in line with U.S. accounting, following reports of a phantom demand problem that cost customers millions.

Lysyk said the accounting changes made by the IESO impact the province's deficit, understating it by $1.3 billion as of the end of 2017, adding that IESO "stalled" her office when it asked for information and was not co-operative during the audit.

Lysyk's full audit of the IESO is expected to be released in the coming weeks and is among several accounting disputes her office has been engaged in with the Liberal government over the past few years.

Last fall, she accused the government of purposely obscuring the true financial impact of its 25% hydro rate cut by keeping billions in debt used to finance that plan off the province's books. Lysyk had said she would audit the IESO because of its role in the hydro plan's complex accounting scheme.

"Management of the IESO and the board would not co-operate with us, in the sense that they continually say they're co-operating, but they stalled on giving us information," she said last week.

Terry Young, a vice-president with the IESO, said the agency has fully co-operated with the auditor general. The IESO opened up its office to seven staff members from the auditor's office while they did their work.

"We recognize the work that she's doing and to that end we've tried to fully co-operate," he said. "We've given her all of the information that we can."

Young said the change in accounting standards is about ensuring greater transparency in transactions in the energy marketplace.

"It's consistent with many other independent electricity system operators are doing," he said.

Lysyk also criticized IESO's accounting firm, KPMG, for agreeing with the IESO on the accounting standards. She was critical of the firm billing taxpayers for nearly $600,000 work with the IESO in 2017, compared to their normal yearly audit fee of $86,500.

KPMG spokeswoman Lisa Papas said the accounting issues that IESO addressed during 2017 were complex, contributing to the higher fees.

The accounting practices the auditor is questioning are a "difference of professional judgement," she said.

"The standards for public sector organizations such as IESO are principles-based standards and, accordingly, require the exercise of considerable professional judgement," she said in a statement.

"In many cases, there is more than one acceptable approach that is compliant with the applicable standards."

Progressive Conservative energy critic Todd Smith said the government isn't being transparent with the auditor general or taxpayers, aligning with calls for cleaning up Ontario's hydro mess in the sector.

"Obviously, they have some kind of dispute but the auditor's office is saying that the numbers that the government is putting out there are bogus.

Those are her words," he said. "We've always said that we believe the auditor general's are the true numbers for the
province of Ontario."

NDP energy critic Peter Tabuns said the Liberal government has decided to "play with accounting rules" to make its books look better ahead of the spring election, despite warnings that electricity prices could soar if costs are pushed into the future.

Related News

• Electricity Forum News

• Energy Policy News

U.S. Energy Transition traces the shift from coal and oil to natural gas, nuclear power, and renewables like wind and solar, driven by efficiency, grid modernization, climate goals, and economic innovation.

Key Points

The U.S. Energy Transition is the shift from fossil fuels to cleaner power, driven by tech, policy, and markets.

✅ Shift from coal and oil to gas, nuclear, wind, and solar

✅ Enabled by grid modernization, storage, and efficiency

✅ Aims to cut emissions while ensuring reliability and affordability

The evolution of energy use in the United States is a dynamic narrative that reflects technological advancements, economic shifts, environmental awareness, and societal changes over time. From the nation's early reliance on wood and coal to the modern era dominated by oil, natural gas, and renewable sources, the story of energy consumption in the U.S. is a testament to innovation and adaptation.

Early Energy Sources: Wood and Coal

In the early days of U.S. history, energy needs were primarily met through renewable resources such as wood for heating and cooking. As industrialization took hold in the 19th century, coal emerged as a dominant energy source, fueling steam engines and powering factories, railways, and urban growth. The widespread availability of coal spurred economic development and shaped the nation's infrastructure.

The Rise of Petroleum and Natural Gas

The discovery and commercialization of petroleum in the late 19th century transformed the energy landscape once again. Oil quickly became a cornerstone of the U.S. economy, powering transportation, industry, and residential heating, and informing debates about U.S. energy security in policy circles. Concurrently, natural gas emerged as a significant energy source, particularly for heating and electricity generation, as pipelines expanded across the country.

Electricity Revolution

The 20th century witnessed a revolution in electricity generation and consumption, and understanding where electricity comes from helps contextualize how systems evolved. The development of hydroelectric power, spurred by projects like the Hoover Dam and Tennessee Valley Authority, provided clean and renewable energy to millions of Americans. The widespread electrification of rural areas and the proliferation of appliances in homes and businesses transformed daily life and spurred economic growth.

Nuclear Power and Energy Diversification

In the mid-20th century, nuclear power emerged as a promising alternative to fossil fuels, promising abundant energy with minimal greenhouse gas emissions. Despite concerns about safety and waste disposal, nuclear power plants became a significant part of the U.S. energy mix, providing a stable base load of electricity, even as the aging U.S. power grid complicates integration of variable renewables.

Renewable Energy Revolution

In recent decades, the U.S. has seen a growing emphasis on renewable energy sources such as wind, solar, and geothermal power, yet market shocks and high fuel prices alone have not guaranteed a rapid green revolution, prompting broader policy and investment responses. Advances in technology, declining costs, and environmental concerns have driven investments in clean energy infrastructure and policies promoting renewable energy adoption. States like California and Texas lead the nation in wind and solar energy production, demonstrating the feasibility and benefits of transitioning to sustainable energy sources.

Energy Efficiency and Conservation

Alongside shifts in energy sources, improvements in energy efficiency and conservation have played a crucial role in reducing per capita energy consumption and greenhouse gas emissions. Energy-efficient appliances, building codes, and transportation innovations have helped mitigate the environmental impact of energy use while reducing costs for consumers and businesses, and weather and economic factors also influence demand; for example, U.S. power demand fell in 2023 on milder weather, underscoring the interplay between efficiency and usage.

Challenges and Opportunities

Looking ahead, the U.S. faces both challenges and opportunities in its energy future, as recent energy crisis effects ripple across electricity, gas, and EVs alike. Addressing climate change requires further investments in renewable energy, grid modernization, and energy storage technologies. Balancing energy security, affordability, and environmental sustainability remains a complex task that requires collaboration between government, industry, and society.

Conclusion

The evolution of energy use throughout U.S. history reflects a continuous quest for innovation, economic growth, and environmental stewardship. From wood and coal to nuclear power and renewables, each era has brought new challenges and opportunities in meeting the nation's energy needs. As the U.S. transitions towards a cleaner and more sustainable energy future, leveraging technological advancements and embracing policy solutions, amid debates over U.S. energy dominance, will be essential in shaping the next chapter of America's energy story.

Related News

• Electricity Forum News

• Energy Policy News

EU Electricity Market Reform CFDs seek stable prices via contracts for difference, balancing renewables and nuclear, shielding consumers, and boosting competitiveness as France and Germany clash over scope, grid expansion, and hydrogen production.

Key Points

EU framework using contracts for difference to stabilize power prices, support renewables and nuclear, and protect users.

✅ Guarantees strike prices for new low-carbon generation

✅ Balances consumer protection with industrial competitiveness

✅ Disputed scope: nuclear inclusion, grids, hydrogen eligibility

Despite record temperatures this October, Europe is slowly shifting towards winter - its second since the Ukraine war started and prompted Russia to cut gas supplies to the continent amid an energy crisis that has reshaped policy.

After prices surged last winter, when gas and electricity bills “nearly doubled in all EU capitals”, the EU decided to take emergency measures to limit prices.

In March, the European Commission proposed a reform to revamp the electricity market “to boost renewables, better protect consumers and enhance industrial competitiveness”.

However, France and Germany are struggling to find a compromise as rolling back prices is tougher than it appears and the clock is ticking as European energy ministers prepare to meet on 17 October in Luxembourg.

The controversy around CFDs
At the heart of the issue are contracts for difference (CFDs).

By providing a guaranteed price for electricity, CFDs aim to support investment in renewable energy projects.

France - having 56 nuclear reactors - is lobbying for nuclear energy to be included in the CFDs, but this has caught the withering eye of Germany.

Berlin suspects Paris of wanting an exception that would give its industry a competitive advantage and plead that it should only apply to new investments.

France wants ‘to regain control of the price’
The disagreement is at the heart of the bilateral talks in Hamburg, which started on Monday, between the French and German governments.

French President Emmanuel Macron promised “to regain control of the price of electricity, at the French and European level” and outlined a new pricing scheme in a speech at the end of September.

As gas electricity is much more expensive than nuclear electricity, France might be tempted to switch to a national system rather than a European one after a deal with EDF on prices to be more competitive economically.

However, France is "confident" that it will reach an agreement with Germany on electricity market reforms, Macron said on Friday.

Siding with France are other pro-nuclear countries such as Hungary, the Czech Republic and Poland, while Germany can count on the support of Austria, Luxembourg, Belgium and Italy amid opposition from nine EU countries to treating market reforms as a price fix.

But even if a last-minute agreement is reached, the two countries’ struggles over energy are creeping into all current European negotiations on the subject.

Germany wants a massive extension of electricity grids on the continent so that it can import energy; France is banking on energy sovereignty and national production.

France wants to be able to use nuclear energy to produce clean hydrogen, while Germany is reluctant, and so on.

Related News

• Electricity Forum News

• Energy Policy News

Canada EV Tariffs weigh protectionism, import duties, and trade policy against affordable electric vehicles, climate goals, and consumer costs, balancing domestic manufacturing, critical minerals, battery supply chains, and China relations amid US-EU actions.

Key Points

Canada EV Tariffs are proposed duties on Chinese EV imports to protect jobs vs. prices, climate goals, and trade risks.

✅ Shield domestic automakers; counter subsidies

✅ Raise EV prices; slow adoption, climate targets

✅ Spark China retaliation; hit exports, supply chains

Canada, a rising star in critical EV battery minerals, finds itself at a crossroads. The question: should they follow the US and EU and impose tariffs on Chinese electric vehicles (EVs), after the U.S. 100% tariff on Chinese EVs set a precedent?

The Allure of Protectionism

Proponents see tariffs as a shield for Canada's auto industry, supported by recent EV assembly deals that put Canada in the race, a vital job creator. They argue that cheaper Chinese EVs, potentially boosted by government subsidies, threaten Canadian manufacturers. Tariffs, they believe, would level the playing field.

Consumer Concerns and Environmental Impact

Opponents fear tariffs will translate to higher prices, deterring Canadians from buying EVs, especially amid EV shortages and wait times already affecting the market. This could slow down Canada's transition to cleaner transportation, crucial for meeting climate goals. A slower EV adoption could also impact Canada's potential as an EV leader.

The Looming Trade War Shadow

Tariffs risk escalating tensions with China, Canada's second-largest trading partner. China might retaliate with tariffs on Canadian exports, jeopardizing sectors like oil and lumber. This could harm the Canadian economy and disrupt critical mineral and battery development, areas where Canada is strategically positioned, even as opportunities to capitalize on the U.S. EV pivot continue to emerge across North America.

Navigating a Charged Path

The Canadian government faces a complex decision. Protecting domestic jobs is important, but so is keeping EVs affordable for a greener future and advancing EV sales regulations that shape the market. Canada must carefully consider the potential benefits of tariffs against the risks of higher consumer costs and a potential trade war.

This path forward could involve exploring alternative solutions. Canada could invest in its domestic EV industry, providing incentives for both consumers and manufacturers. Additionally, collaborating with other countries, including Canada-U.S. collaboration as companies turn to EVs, to address China's alleged unfair trade practices might be a more strategic approach.

Canada's decision on EV tariffs will have far-reaching consequences. Striking a balance between protecting its domestic industry and fostering a robust, environmentally friendly transportation sector, and meeting ambitious EV goals set by policymakers, is crucial. Only time will tell which path Canada chooses, but the stakes are high, impacting not just jobs, but also the environment and Canada's position in the global EV race.

Related News

• Electricity Forum News

• EV Infrastructure News