Canada's heavy-water reactors can run on spent fuel from most light-water reactors

By Toronto Star


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The international potential of Candu nuclear reactors may not be obvious to some, but rising uranium prices and heightened concern over nuclear-waste disposal could soon shine a light on this made-in-Canada technology.

Nobody sees this more than Myung Seung Yang of South Korea's atomic energy institute. Yang and his fellow nuclear scientists have spent the past 15 years exploring ways of using Candu reactors to recycle highly radioactive waste, or "spent fuel," from a majority of the world's nuclear reactors.

The approach, Yang wrote in an email message to the Star, "would have many benefits when practically implemented." South Korea is determined to try.

It's little known – at least outside the nuclear power industry – that the heavy-water reactor technology that lies at the heart of Candu's design can, with some technical tinkering, directly use waste fuel from most rival light-water reactors.

Candu developer Atomic Energy of Canada Ltd. calls this the DUPIC process – standing for the Direct Use of Spent Pressurized Water Reactor Fuel in Candus. In 1991, the Canadian government established a joint research program with the Korean Atomic Energy Research Institute to investigate the approach, and both sides have demonstrated that it technically works.

The long-term implications, if DUPIC processing can be done safely and economically, are potentially enormous. There are hundreds of pressurized light-water reactors (PWRs) around the world being used to generate electricity and propel submarines and aircraft carriers.

In the United States alone, two-thirds of the 104 reactors in operation are based on PWR designs, according to the U.S. Energy Information Administration. This has led over the years to the accumulation of 36,000 metric tonnes of spent fuel, which is kept in temporary storage at dozens of locations until a safe permanent-storage site can be found.

With DUPIC processing, that waste can be turned into a reusable fuel. This can significantly reduce a country's dependence on uranium, which many analysts predict will rise above $100 (U.S.) per pound by the end of next year – a tenfold price increase since January 2001.

Perhaps most important, the spent light-water fuel that eventually comes out of a Candu reactor will contain less toxic material than the fuel that goes in, shrinking the amount of radioactive waste that must ultimately go into long-term storage.

"The DUPIC fuel cycle could reduce a country's need for used PWR fuel disposal by 70 per cent while reducing fresh uranium requirements by 30 per cent," according to the World Nuclear Association.

It's for this reason South Korea is keen on the DUPIC process. It currently has 20 operating reactors – 16 PWRs and four Candus. Another eight PWRs are on order or being built. It sees the reuse of spent fuel in Candus as a key strategy for managing radioactive waste.

"The accumulation of spent fuel is an urgent issue that should be resolved," Yang and his colleagues wrote in a briefing document that was presented at the 15th Pacific Nuclear Conference in Australia last October. They called the eventual commercial development of the DUPIC process "an extremely important turning point in the history of nuclear power development."

David Torgerson, chief technology officer and senior vice-president of Atomic Energy of Canada, says the way uranium resources are used by power generators is driven by cost and supply. During the 1990s, for example, uranium prices were so low that it made more economic sense to just use it once and then stick the spent fuels in wet or dry storage.

But some countries don't have their own uranium resources, leaving them dependent on imports from other, potentially hostile jurisdictions. As uranium prices rise, the economics of the once-through fuel cycle also become less appealing when measured against the costs of waste management and disposal.

"As the nuclear renaissance takes off and more reactors are built, it's likely the price of uranium will increase (even more), and people will be looking at ways of getting more value out of that uranium," says Torgerson.

"Any time you can convert a waste into an asset, then you're going in the right direction."

He's quick to point out that the DUPIC process is also "proliferation resistant," meaning there is no chemical separation of the spent uranium's more dangerous components, primarily plutonium, which could be used by extremists or rogue nations to produce nuclear weapons. Only mechanical processing is required to change the shape of the spent fuel rods into shorter Candu rods.

Mechanical reprocessing, while it has some safety and transportation issues, could be cheaper than conventional chemical reprocessing.

"Because this is so much simpler, you have to expect the economics are going to be so much better," says Torgerson, pointing out that the South Koreans studied the economics of the DUPIC fuel cycle in the 1990s and found it could compete against other fuel options. "This is one of the characteristics we're certainly pushing."

For countries such as China, which already have Candu reactors in their fleet, it's an approach that could prove attractive. AECL estimates that waste fuel from three light-water reactors would be enough to fuel one Candu.

Daune Bratt, a political science instructor and expert on Canadian nuclear policy at Calgary's Mount Royal College, says he can envision two revenue streams going to Candu operators that choose to embrace the DUPIC process.

One stream would be the revenue that comes in through the generation and sale of electricity; the other would come from a tipping fee that operators of light-water reactors would pay to unload their spent fuel.

"These (Candu) operators wouldn't be buying the spent fuel, they'd be paid to use the spent fuel for environmental reasons," says Bratt. "If you can minimize the waste, you bring tremendous value."

The economic incentive could even be enough to convince China and other countries with light-water reactors to consider building new Candu reactors as part of a waste-management strategy. The approach, however, is not without its risks.

First, a DUPIC processing facility would need to be built to safely receive and store the spent fuel, mechanically process and reshape it and then send it off to a Candu customer. The fuel, throughout the whole process, remains hot and highly radioactive. Special equipment, procedures and reactor modifications would be required to handle the material, and safety systems would need to be reassessed.

This is the main reason why South Korea's biggest utility, Korean Electric Power Corp., has been somewhat skeptical of the DUPIC option. It fears, most of all, that workers who load the hot fuel into Candu reactors could expose themselves to high levels of radiation.

Another major concern is moving the fuel between different locations. As one former executive at AECL put it: "Transporting spent fuel is a political nightmare." It's risky enough transporting such material between reactor sites within a country, but the possibility of moving material between neighbouring countries adds a new dimension to the problem.

Canada, for example, could theoretically strike a deal that would see light-water fuel waste from the U.S. burned in Candu reactors in Ontario, Quebec and New Brunswick. Such an arrangement would not only eliminate the need for natural uranium fuel in Canada, but would represent a major revenue stream for Canada while limiting the growth of waste stockpiles in North America.

"The bigger deal is the possibility of traffic accidents," says Bratt. "What you need to do is design storage trucks where there isn't spilled waste if it rolls over." But agreeing to such a deal would be political suicide, he concedes. "I can just imagine the protests at the border crossing in Windsor."

In cases where a Candu reactor is built to handle light-water waste, the best approach would be to cluster the reactors in the same location and construct a DUPIC facility on site to limit transportation.

The potential of the DUPIC process raises the question of whether Ontario should get in the game and develop an expertise it can export around the world. Doing so, however, would mean building a PWR light-water reactor in Candu country – yet another political hot potato.

"In Canada, there would be both money to be made and a good environmental case to be put for a two-technology-plus-fuel-recycling model, if someone decided to see this as an opportunity, not a threat," says one nuclear-industry executive who asked not to be named.

France's Areva SA, Westinghouse Electric Co. and General Electric Co. all produce PWR light-water reactors and all want to build one in Ontario, which said last year it will consider foreign designs in pursing any new reactor builds.

Armand Laferrere, president of Areva Canada, has argued that Ontario could diversify its engineering skills base if it built a new nuclear plant based on a foreign design. By coupling such a plant with a DUPIC processing facility, the province could develop a nuclear waste management technology that could be sold globally in an international market dominated by light-water reactors.

Some have even suggested that a company such as Areva, if it purchased all or part of AECL's commercial business, could sell hybrid light- and heavy-water reactor fleets along with DUPIC processing in fast-growing markets such as China.

But Bratt dismisses the possibility. "Ontario is not a big enough market to run two different parallel systems. Shifting systems would be an incredible risk both short and long term," he says.

"The more conservative route – and not necessarily the better route – is to maintain the Candu system. So I would be stunned if Ontario went with another design."

Which leaves all eyes on South Korea, the only jurisdiction with both Candu and PWR reactors that considers the commercial development of DUPIC a fruitful – albeit challenging – endeavour.

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Ontario sending 200 workers to help restore power in Florida

Ontario Utilities Hurricane Irma Aid mobilizes Hydro One and Toronto Hydro crews to Tampa Bay, Florida, restoring power outages with bucket trucks, lineworkers, and mutual aid alongside Florida Power & Light after catastrophic damage.

 

Key Points

Mutual aid sending Hydro One and Toronto Hydro crews to Florida to restore power after Hurricane Irma.

✅ 205 workers, 52 bucket trucks, 30 support vehicles deployed

✅ Crews assist Tampa Bay under FPL mutual aid agreements

✅ Weeks-long restoration projected after catastrophic outages

 

Hurricane Irma has left nearly 7 million homes in the southern United States without power and two Ontario hydro utility companies are sending teams to help out as part of Canadian power crews responding to the disaster.

Toronto Hydro is sending 30 staffers to aid in the restoration efforts in Tampa Bay while Hydro One said Sunday night that it would send 175 employees after receiving a request from Florida Power and Light.

“I've been on other storms down in the states and they are pretty happy to see you especially when they find out you're from Canada,” Dean Edwards, one of the Hydro One employees heading to Florida, told CTV Toronto.

Most of the employees are expected to cross the border on Monday afternoon and arrive Wednesday.

Among the crews, Hydro One says it will send 150 lines and forestry staff, as well as 25 supporting resources, including mechanics, to help. Crews will bring 52 bucket trucks to Florida, as well as 30 other vehicles, reflecting their Ontario storm restoration experience with large-scale deployments, and pieces of equipment to transport and replace poles.

Hurricane Irma has claimed at least 45 lives in the Caribbean and United States thus far. Officials estimate that restoring power to Florida will take weeks to bring power back online.

“I’m sure a lot of people wish they could go down and help, fortunately our job is geared towards that so we're going to go down there to do our best and represent Canada,” said Blair Clarke, who’s making his first trip over the border.

Hydro One has reciprocal arrangements with other North American utilities to help with significant power outages, and its employees have provided COVID-19 support in Ontario as part of broader emergency efforts. All the costs are covered by the utility receiving the help.

In the past, the utility has sent crews to Massachusetts, Michigan, Florida, Ohio, Vermont, Washington, DC, and the Carolinas, while Sudbury Hydro crews have worked to reconnect service after storms at home as well. In 2012, 225 Hydro One employees travelled to Long Island, N.Y., to help out with Hurricane Sandy.

“This is what our guys and gals do,” Natalie Poole-Moffat, vice president of Corporate Affairs for Hydro One, told CP24. “They’re fabulous at it and we’re really proud of the work they do.”

 

 

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Mike Sangster to Headline Invest in African Energy Forum

TotalEnergies Africa Energy Strategy 2025 spotlights oil, gas, LNG, and renewables, with investments in Namibia, Congo, Mozambique, Uganda, Morocco, and South Africa, driving upstream growth, clean energy, and energy transition partnerships.

 

Key Points

An investment roadmap uniting oil, gas, LNG, and renewables to speed Africa's upstream growth and energy transition.

✅ Keynote by Mike Sangster at IAE Paris 2025.

✅ Oil, gas, LNG projects across Namibia, Congo, Mozambique, Uganda.

✅ Scaling renewables: solar, wind, green ammonia for export.

 

Mike Sangster, Senior Vice President for Africa at TotalEnergies, will play a pivotal role in the upcoming Invest in African Energy (IAE) Forum, which will take place in Paris on May 13-14, 2025. As a key figure in one of the world’s largest energy companies, Sangster's participation in the forum is expected to offer crucial insights into Africa’s evolving energy landscape, particularly in the areas of oil, gas, and renewable energy.

TotalEnergies' Role in Africa's Energy Landscape

TotalEnergies has long been a major player in Africa’s energy sector, driving development across both emerging and established markets. The company has a significant footprint in countries such as Namibia, the Republic of Congo, Libya, Mozambique, Uganda, and South Africa. TotalEnergies’ investments span both traditional oil and gas projects as well as renewable energy initiatives, reflecting its commitment to a more diversified energy future for Africa.

In Namibia, for instance, TotalEnergies is advancing its Venus-1 discovery, with plans to produce its first oil by the end of the decade. The company is also heavily involved in the Orange Basin exploration. Meanwhile, in the Republic of Congo, TotalEnergies is investing $600 million to enhance deepwater production at its Moho Nord field.

Beyond oil and gas, the company is expanding its renewable energy portfolio across the continent. This includes significant solar, wind, and hydropower projects, such as the 500 MW Sadada solar project in Libya, a 216 MW solar plant with battery storage in South Africa, and a 1 GW wind and solar project in Morocco designed to produce green ammonia for export.

The Invest in African Energy Forum

The IAE Forum, which TotalEnergies’ Sangster will headline, is an exclusive event aimed at facilitating investment between African energy markets and global investors, including discussions on COVID-19 funding for electricity access mechanisms that emerged, and their relevance to current capital flows. With a focus on fostering partnerships and discussions about the future of energy in Africa, the event will bring together industry experts, project developers, investors, and policymakers for two days of intensive engagement.

The forum will also serve as a crucial platform for sharing perspectives on the role of private investment, as outlined in the IEA investment outlook for Africa's power systems, in Africa’s energy future, strategies for unlocking new upstream opportunities, and the transition to a more sustainable energy system. This makes Sangster's participation, as someone directly involved in both conventional and renewable energy projects across the continent, particularly significant.

TotalEnergies' Diversified Strategy in Africa

Sangster’s keynote address and participation in an exclusive fireside chat will provide an in-depth look into TotalEnergies’ strategy for Africa. His insights will touch upon the company's ongoing projects in the oil and gas sectors, as well as its renewable energy investments. TotalEnergies has committed to making its portfolio more sustainable, underscored by its recent VSB acquisition to expand renewables capabilities, while continuing to be a leader in the energy transition.

One of the company’s notable projects is the Mozambique LNG initiative, a $20 billion venture aimed at supplying liquefied natural gas to international markets. Additionally, TotalEnergies is gearing up for the first oil from its Tilenga field in Uganda, which will be transported through the East African Crude Oil Pipeline (EACOP), the longest heated crude oil pipeline in the world.

In South Africa, TotalEnergies is constructing one of the largest renewable energy projects, a 216 MW solar power plant with integrated battery storage. This project is expected to significantly contribute to the country’s clean energy ambitions. Furthermore, in Morocco, TotalEnergies is developing a major wind and solar facility that will produce green ammonia, aligning with its broader strategy to provide solutions for Europe’s energy needs.

Africa’s Energy Transition

The forum’s timing could not be more critical, given the pressing need for an energy transition in Africa. While the continent remains heavily reliant on fossil fuels for its energy needs, there is growing momentum toward incorporating renewable energy sources, a point reinforced by the IRENA renewables report on decarbonisation and quality of life, which highlights the transformative potential. Africa’s vast natural resources, combined with global investments and partnerships, position the continent as a key player in the global shift toward sustainable energy.

However, Africa faces unique challenges in transitioning to renewable energy, reflecting a broader Sub-Saharan electricity challenge that also presents opportunity, across many markets. These challenges include a lack of infrastructure, financial constraints, and the need for increased political stability in certain regions. The IAE Forum provides an opportunity to address these barriers, with industry leaders like Sangster offering solutions based on real-world experiences and investments.

As the energy sector continues to evolve globally, and even if electricity systems are unlikely to go fully green this decade according to some outlooks, Africa's potential remains vast. The continent’s diverse energy resources, from oil and gas to renewables, offer a unique opportunity to build a more sustainable and resilient energy future. The Invest in African Energy Forum serves as an important platform for global stakeholders to collaborate, learn, and invest in the energy transformation taking place across the continent.

Mike Sangster’s insights at the forum will undoubtedly shape discussions on how companies like TotalEnergies are navigating the intersection of universal electricity access goals, sustainability, and economic growth in Africa. With Africa’s energy needs expected to increase exponentially in the coming decades, ensuring that these needs are met sustainably and equitably will be a priority for both policymakers and private investors.

As the global energy landscape continues to shift, the Invest in African Energy Forum provides a critical space for shaping the future of Africa’s energy sector, offering invaluable opportunities for investment, innovation, and collaboration.

 

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Westinghouse AP1000 Nuclear Plant Breaks A First Refueling Outage Record

AP1000 Refueling Outage Record showcases Westinghouse nuclear power excellence as Sanmen Unit 2 completes its first reactor refueling in 28.14 days, highlighting safety, reliability, outage optimization, and economic efficiency in China.

 

Key Points

It is the 28.14-day initial refueling at Sanmen Unit 2, a global benchmark achieved with Westinghouse AP1000 technology.

✅ 28.14-day first refueling at Sanmen Unit 2 sets global benchmark

✅ AP1000 design simplifies systems, improves safety and reliability

✅ Outage optimization by Westinghouse and CNNC accelerates schedules

 

Westinghouse Electric Company China operations today announced that Sanmen Unit 2, one of the world's first AP1000® nuclear power plants, has set a new refueling outage record in the global nuclear power industry, completing its initial outage in 28.14 days.

"Our innovative AP1000 technology allows for simplified systems and significantly reduces the amount of equipment, while improving the safety, reliability and economic efficiency of this nuclear power plant, reflecting global nuclear milestones reached recently," said Gavin Liu, president of the Westinghouse Asia Operating Plant Services Business. "We are delighted to see the first refueling outage for Sanmen Unit 2 was completed in less than 30 days. This is a great achievement for Sanmen Nuclear Power Company and further demonstrates the outstanding performance of AP1000 design."

All four units of the AP1000 nuclear power plants in China have completed their first refueling outages in the past 18 months, aligning with China's nuclear energy development momentum across the sector.  The duration of each subsequent outage has fallen significantly - from 46.66 days on the first outage to 28.14 days on Sanmen Unit 2.

"During the first AP1000 refueling outage at the Sanmen site in December 2019, a Westinghouse team of experts worked side-by-side with the Sanmen outage team to partner on outage optimization, and immediately set a new standard for a first-of-a-kind outage, while major refurbishments like the Bruce refurbishment moved forward elsewhere," said Miao Yamin, chairman of CNNC Sanmen Nuclear Power Company Limited. "Lessons learned were openly exchanged between our teams on each subsequent outage, which has built to this impressive achievement."

Westinghouse provided urgent technical support on critical issues during the outage, as international programs such as Barakah Unit 1 achieved key milestones, to help ensure that work was carried out on schedule with no impact to critical path.

In addition to the four AP1000 units in China, two units are under construction at the Vogtle expansion near Waynesboro, Georgia, USA.

Separately, in the United States, a new reactor startup underscored renewed momentum in nuclear generation this year.

 

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Aging U.S. power grid threatens progress on renewables, EVs

U.S. Grid Modernization is critical for renewable energy integration, EV adoption, climate resilience, and reliability, requiring transmission upgrades, inter-regional links, hardened substations, and smart grid investments to handle extreme weather and decarbonization targets.

 

Key Points

U.S. Grid Modernization upgrades power networks to improve reliability, integrate renewables, and support EV demand.

✅ $2T+ investment needed for transmission upgrades

✅ Extreme weather doubling outages since 2017

✅ Regulatory fragmentation slows inter-regional lines

 

After decades of struggle, the U.S. clean-energy business is booming, with soaring electric-car sales and fast growth in wind and solar power. That’s raising hopes for the fight against climate change.

All this progress, however, could be derailed, as the green revolution stalls without a massive overhaul of America’s antiquated electric infrastructure – a task some industry experts say requires more than $2 trillion. The current network of transmission wires, substations and transformers is decaying with age and underinvestment, a condition highlighted by catastrophic failures during increasingly frequent and severe weather events.

Power outages over the last six years have more than doubled in number compared to the previous six years, according to a Reuters examination of federal data. In the past two years, power systems have collapsed in Gulf Coast hurricanes, West Coast wildfires, Midwest heat waves and a Texas deep freeze and recurring Texas grid crisis risks, causing long and sometimes deadly outages.

Compounding the problem, the seven regional grid operators in the United States are underestimating the growing threat of severe weather caused by climate change, Reuters found in a review of more than 10,000 pages of regulatory documents and operators’ public disclosures. Their risk models, used to guide transmission-network investments, consider historical weather patterns extending as far back as the 1970s. None account for scientific research documenting today’s more extreme weather and how it can disrupt grid generation, transmission and fuel supplies simultaneously.

The decrepit power infrastructure of the world’s largest economy is among the biggest obstacles to expanding clean energy and combating climate change on the ambitious schedule laid out by U.S. President Joe Biden. His administration promises to eliminate or offset carbon emissions from the power sector by 2035 and from the entire U.S. economy by 2050. Such rapid clean-energy growth would pressure the nation’s grid in two ways: Widespread EV adoption will spark a huge surge in power demand; and increasing dependence on renewable power creates reliability problems on days with less sun or wind, as seen in Texas, where experts have outlined reliability improvements that address these challenges.

The U.S. transmission network has seen outages double in recent years amid more frequent and severe weather events, driven by climate change and a utility supply-chain crunch that slows critical repairs. The system needs a massive upgrade to handle expected growth in clean energy and electric cars. 

“Competition from renewables is being strangled without adequate and necessary upgrades to the transmission network,” said Simon Mahan, executive director of the Southern Renewable Energy Association, which represents solar and wind companies.

The federal government, however, lacks the authority to push through the massive grid expansion and modernization needed to withstand wilder weather and accommodate EVs and renewable power. Under the current regulatory regime, and amid contentious electricity pricing proposals in recent years, the needed infrastructure investments are instead controlled by a Byzantine web of local, state and regional regulators who have strong political incentives to hold down spending, according to Reuters interviews with grid operators, federal and state regulators, and executives from utilities and construction firms.

“Competition from renewables is being strangled without adequate and necessary upgrades to the transmission network.”

Paying for major grid upgrades would require these regulators to sign off on rate increases likely to spark strong opposition from consumers and local and state politicians, who are keen to keep utility bills low. In addition, utility companies often fight investments in transmission-network improvements because they can result in new connections to other regional grids that could allow rival companies to compete on their turf, even as coal and nuclear disruptions raise brownout risks in some regions. With the advance of green energy, those inter-regional connections will become ever more essential to move power from far-flung solar and wind installations to population centers.

The power-sharing among states and regions with often conflicting interests makes it extremely challenging to coordinate any national strategy to modernize the grid, said Alison Silverstein, an independent industry consultant and former senior adviser to the U.S. Federal Energy Regulatory Commission (FERC).

“The politics are a freakin’ nightmare,” she said.

The FERC declined to comment for this story. FERC Commissioner Mark Christie, a Republican, acknowledged the limitations of the agency’s power over the U.S. grid in an April 21 agency meeting involving transmission planning and costs.

“We can’t force states to do anything,” Christie said.

The White House and Energy Department did not comment in response to detailed questions from Reuters on the Biden administration’s plans to tackle U.S. grid problems and their impact on green-energy expansion.

The administration said in an April news release that it plans to offer $2.5 billion in grants for grid-modernization projects as part of Biden’s $1 trillion infrastructure package, complementing a proposed clean electricity standard to accelerate decarbonization over the next decade. A modernized grid, the release said, is the “linchpin” of Biden’s clean-energy agenda.

 

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Starved of electricity, Lebanon picks Dubai's ENOC to swap Iraqi fuel

Lebanon-ENOC Fuel Swap secures Iraqi high sulphur fuel oil, Grade B fuel oil, and gasoil via tender, easing electricity generation shortfalls, diesel shortages, and grid outages amid Lebanon's energy crisis and power sector emergency.

 

Key Points

A tender-based exchange trading Iraqi HSFO for cleaner fuel oil and gasoil to stabilize Lebanon's electricity generation.

✅ Swaps 84,000t Iraqi HSFO for 30,000t Grade B fuel oil and 33,000t gasoil

✅ Supports state electricity generation during acute power shortages

✅ Tender won by ENOC under Lebanon-Iraq goods-for-fuel deal

 

Lebanon's energy ministry said it had picked Dubai's ENOC in a tender to swap 84,000 tonnes of Iraqi high sulphur fuel oil, as LNG export authorizations expand globally, with 30,000 tonnes of Grade B fuel oil and 33,000 tonnes of gasoil.

ENOC won the tender, part of a deal between the two countries that allows the cash-strapped Lebanese government, even as electricity tensions persist, to pay for 1 million tonnes of Iraqi heavy fuel oil a year in goods and services.

As Lebanon suffers what the World Bank has described as one of the deepest depressions of modern history, shortages of fuel this month have meant state-powered electricity, alongside ongoing electricity sector reform, has been available for barely a few hours a day if at all.

Residents turning to private generators for their power supply face diesel shortages, even as other countries roll out measures to secure electricity supplies to mitigate risks.

The swap tenders are essential as Iraqi fuel is unsuitable for Lebanese electricity generation, and regional projects like the Jordan-Saudi electricity linkage underscore broader grid strategies.

Lebanese caretaker Energy Minister Raymond Ghajar said in July the fuel from the Iraqi deal would be used for electricity generation by the state provider, even as France advances a new electricity pricing scheme in Europe, and was enough for around four months.

ENOC is set to receive the Iraq fuel between Sept. 3-5 and will deliver it to Lebanon two weeks after, the energy ministry said, following a recent deal on electricity prices abroad that could influence markets.

 

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Hydro One deal to buy Avista receives U.S. antitrust clearance

Hydro One-Avista Acquisition secures U.S. antitrust clearance under Hart-Scott-Rodino, pending approvals from state utility commissions, the FCC, and CFIUS, with prior FERC approval and shareholder vote supporting the cross-border utility merger.

 

Key Points

A $6.7B cross-border utility merger cleared under HSR, still awaiting state, FCC, and CFIUS approvals; FERC approved earlier.

✅ HSR waiting period expired; U.S. antitrust clearance obtained

✅ Approvals pending: state commissions, FCC, and CFIUS

✅ FERC and Avista shareholders have approved the transaction

 

Hydro One Ltd. says it has received antitrust clearance in the United States for its deal to acquire U.S. energy company Avista Corp., even as it sought to redesign customer bills in Ontario.

The Ontario-based utility says the 30-day waiting period under the Hart-Scott-Rodino Antitrust Improvements Act expired Thursday night.

Hydro One announced the friendly deal to acquire Avista last summer, amid customer backlash in some service areas, in an agreement that valued the company at $6.7 billion.

The deal still requires several other approvals, including those from utility commissions in Washington, Idaho, Oregon, Montana and Alaska.

Analysts also warned of political risk for Hydro One during this period, reflecting concerns about provincial influence.

The U.S. Federal Communications Commission must also sign off on the transaction, and although U.S. regulators later rejected the $6.7B takeover following review, clearance is required by the Committee on Foreign Investment in the United States.

The agreement has received approval from the U.S. Federal Energy Regulatory Commission as well as Avista shareholders, and it mirrored other cross-border deals such as Algonquin Power's acquisition of Empire District that closed in the sector.

 

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