Carbon prices are going the wrong way

Germany Nuclear Phase-Out drives policy amid gas supply risks, Nord Stream 1 shutdown fears, Russia dependency, and energy security planning, as Robert Habeck rejects extending reactors, favoring coal backup, storage, and EU diversification strategies.

Key Points

Ending Germany's last reactors by year end despite gas risks, prioritizing storage, coal backup, and EU diversification.

✅ Reactors' legal certification expires at year end

✅ Minimal gas savings from extending nuclear capacity

✅ Nord Stream 1 cuts amplify energy security risks

Germany’s vice-chancellor has defended the government’s commitment to ending the use of nuclear power at the end of this year, amid fears that Russia may halt natural gas supplies entirely.

Vice-Chancellor Robert Habeck, who is also the economy and climate minister and is responsible for energy, argued that keeping the few remaining reactors running would do little to address the problems caused by a possible natural gas shortfall.

“Nuclear power doesn’t help us there at all,” Habeck, said at a news conference in Vienna on Tuesday. “We have a heating problem or an industry problem, but not an electricity problem – at least not generally throughout the country.”

The main gas pipeline from Russia to Germany shut down for annual maintenance on Monday, as Berlin grew concerned that Moscow may not resume the flow of gas as scheduled.

The Nord Stream 1 pipeline, Germany’s main source of Russian gas, is scheduled to be out of action until July 21 for routine work that the operator says includes “testing of mechanical elements and automation systems”.

But German officials are suspicious of Russia’s intentions, particularly after Russia’s Gazprom last month reduced the gas flow through Nord Stream 1 by 60 percent.

Gazprom cited technical problems involving a gas turbine powering a compressor station that partner Siemens Energy sent to Canada for overhaul.

Germany’s main opposition party has called repeatedly to extend nuclear power by keeping the country’s last three nuclear reactors online after the end of December. There is some sympathy for that position in the ranks of the pro-business Free Democrats, the smallest party in Chancellor Olaf Scholz’s governing coalition.

In this year’s first quarter, nuclear energy accounted for 6 percent of Germany’s electricity generation and natural gas for 13 percent, both significantly lower than a year earlier. Germany has been getting about 35 percent of its gas from Russia.

Habeck said the legal certification for the remaining reactors expires at the end of the year and they would have to be treated thereafter as effectively new nuclear plants, complete with safety considerations and the likely “very small advantage” in terms of saving gas would not outweigh the complications.

Fuel for the reactors also would have to be procured and Scholz has said that the fuel rods are generally imported from Russia.

Opposition politicians have argued that Habeck’s environmentalist Green party, which has long strongly supported the nuclear phase-out, is opposing keeping reactors online for ideological reasons, even as some float a U-turn on the nuclear phaseout in response to the energy crisis.

Reducing dependency on Russia
Germany and the rest of Europe are scrambling to fill the gas storage in time for the northern hemisphere winter, even as Europe is losing nuclear power at a critical moment and reduce their dependence on Russian energy imports.

Prior to the Russian invasion of Ukraine, Berlin had said it considered nuclear energy dangerous and in January objected to European Union proposals that would let the technology remain part of the bloc’s plans for a climate-friendly future that includes a nuclear option for climate change pathway.

“We consider nuclear technology to be dangerous,” government spokesman Steffen Hebestreit told reporters in Berlin, noting that the question of what to do with radioactive waste that will last for thousands of generations remains unresolved.

While neighbouring France aimed to modernise existing reactors, Germany stayed on course to switch off its remaining three nuclear power plants at the end of this year and phase out coal by 2030.

Last month, Germany’s economy minister said the country would limit the use of natural gas for electricity production and make a temporary recourse to coal generation to conserve gas.

“It’s bitter but indispensable for reducing gas consumption,” Robert Habeck said.

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Georgia Power June bill credit delivers PSC-approved savings, lower fuel rates, and COVID-19 relief for residential customers, driven by natural gas prices and 2018 earnings, with typical 1,000 kWh users seeing June bill reductions.

Key Points

A PSC-approved one-time credit and lower fuel rates reducing June bills for Georgia Power residential customers.

✅ $11.29 credit for 1,000 kWh usage on June bills

✅ Fuel rate cut saves $10.26 per month from June to September 2020

✅ PSC-approved $51.5M credit based on Georgia Power's 2018 results

Georgia Power announced that the typical residential customer using 1,000-kilowatt hours will receive an $11.29 credit on their June bill, reflecting a lump-sum credit model also used elsewhere.

This reflects implementation of a one-time $51.5 million credit for customers, similar to Gulf Power's bill decrease efforts, approved by the Georgia Public Service Commission, as a result of

Georgia Power's 2018 financial results.

Pairing the June credit with new, lower fuel rates recently announced, the typical residential customer would see a reduction of $21.55 in June, even as some regions face increases like Pennsylvania's winter price hikes elsewhere.

The amount each customer receives will vary based on their 2018 usage. Georgia Power will apply the credit to June bills for customers who had active accounts as of Dec. 31, 2018, and are still active or receiving a final bill as of June 2020, and the company has issued pandemic scam warnings to help customers stay informed.

Fuel rate lowered 17.2 percent

In addition to the approved one-time credit in June, the Georgia PSC recently approved Georgia Power’s plan to reduce its fuel rates by 17.2 percent and total billings by approximately $740 million over a two-year period. The implementation of a special interim reduction will provide customers additional relief during the COVID-19 pandemic through even lower fuel rates over the upcoming 2020 summer months. The lower fuel rate and special interim reduction will lower the total bill of a typical residential customer using an average of 1,000-kilowatt hours by a total of $10.26 per month from June through September 2020.

The reduction in the company’s fuel rate is driven primarily by lower natural gas prices, even as FPL proposed multiyear rate hikes in Florida, as a result of increased natural gas supplies, which the company is able to take advantage of to benefit customers due to its diverse generation sources.

February bill credit due to tax law savings

Georgia Power completed earlier this year the third and final bill credit associated with the Tax Cuts and Jobs Act of 2017, resulting in credits totaling $106 million. The typical residential customer using an average of 1,000 kilowatt-hours per month received a credit of approximately $22 on their February Georgia Power bill, a helpful offset as U.S. electric bills rose 5% in 2022 according to national data.

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Rising Greenhouse Gas Concentrations drive climate change, with CO2, methane, and nitrous oxide surging; WMO data show higher radiative forcing, elevated pre-industrial baselines, and persistent atmospheric concentrations despite Paris Agreement emissions pledges.

Key Points

Increasing atmospheric CO2, methane, and nitrous oxide levels that raise radiative forcing and drive warming.

✅ WMO data show CO2 at 407.8 ppm in 2018, above decade average

✅ Methane and nitrous oxide surged, elevating total radiative forcing

✅ Concentrations differ from emissions; sinks absorb about half

The World Meteorological Organization (WMO) says the increase in CO2 was just above the average rise recorded over the last decade.

Levels of other warming gases, such as methane and nitrous oxide, have also surged by above average amounts.

Since 1990 there's been an increase of 43% in the warming effect on the climate of long lived greenhouse gases.

The WMO report looks at concentrations of warming gases in the atmosphere rather than just emissions.

The difference between the two is that emissions refer to the amount of gases that go up into the atmosphere from the use of fossil fuels, such as burning coal for coal-fired electricity generation and from deforestation.

Concentrations are what's left in the air after a complex series of interactions between the atmosphere, the oceans, the forests and the land. About a quarter of all carbon emissions are absorbed by the seas, and a similar amount by land and trees, while technologies like carbon capture are being explored to remove CO2.

Using data from monitoring stations in the Arctic and all over the world, researchers say that in 2018 concentrations of CO2 reached 407.8 parts per million (ppm), up from 405.5ppm a year previously.

This increase was above the average for the last 10 years and is 147% of the "pre-industrial" level in 1750.

The WMO also records concentrations of other warming gases, including methane and nitrous oxide, and some countries have reported declines in certain potent gases, as noted in US greenhouse gas controls reports, though global levels remain elevated. About 40% of the methane emitted into the air comes from natural sources, such as wetlands, with 60% from human activities, including cattle farming, rice cultivation and landfill dumps.

Methane is now at 259% of the pre-industrial level and the increase seen over the past year was higher than both the previous annual rate and the average over the past 10 years.

Nitrous oxide is emitted from natural and human sources, including from the oceans and from fertiliser-use in farming. According to the WMO, it is now at 123% of the levels that existed in 1750.

Last year's increase in concentrations of the gas, which can also harm the ozone layer, was bigger than the previous 12 months and higher than the average of the past decade.

What concerns scientists is the overall warming impact of all these increasing concentrations. Known as total radiative forcing, this effect has increased by 43% since 1990, and is not showing any indication of stopping.

There is no sign of a slowdown, let alone a decline, in greenhouse gases concentration in the atmosphere despite all the commitments under the Paris agreement on climate change and the ongoing global energy transition efforts," said WMO Secretary-General Petteri Taalas.

"We need to translate the commitments into action and increase the level of ambition for the sake of the future welfare of mankind," he added.

"It is worth recalling that the last time the Earth experienced a comparable concentration of CO2 was three to five million years ago. Back then, the temperature was 2-3C warmer, sea level was 10-20m higher than now," said Mr Taalas.

The UN Environment Programme will report shortly on the gap between what actions countries are taking to cut carbon, for example where Australia's emissions rose 2% recently, and what needs to be done to keep under the temperature targets agreed in the Paris climate pact.

Preliminary findings from this study, published during the UN Secretary General's special climate summit last September, indicated that emissions continued to rise during 2018, although global emissions flatlined in 2019 according to the IEA.

Both reports will help inform delegates from almost 200 countries who will meet in Madrid next week for COP25, following COP24 in Katowice the previous year, the annual round of international climate talks.

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Montreal Power Outage linked to Hydro-Que9bec infrastructure after an underground explosion and manhole fire in Rosemont–La Petite–Patrie, disrupting the STM Blue Line and forcing strategic, cold-weather grid restoration on Be9langer Street.

Key Points

Outage from an underground blast and manhole fire disrupted STM service; Hydro-Que9bec restored the grid in cold weather.

✅ Peak impact: 41,000 customers; 10,981 still without power by 7:00 p.m.

✅ STM Blue Line restored after afternoon shutdown; Be9langer Street reopened.

✅ Hydro-Que9bec pacing restoration to avoid grid overload in cold weather.

Hydro-Québec says a power outage affecting Montreal is connected to an underground explosion and a fire in a manhole in Rosemont—La Petite–Patrie. 

The fire started in underground pipes belonging to Hydro-Québec on Bélanger Street between Boyer and Saint-André streets, according to Montreal firefighters, who arrived on the scene at 12:18 p.m.

The electricity had to be cut so that firefighters could get into the manhole where the equipment was located.

At the peak of the shutdown, nearly 41,000 customers were without power across Montreal.  As of 7:00 p.m., 10,981 clients still had no power.

In similar storms, Toronto power outages have persisted for hundreds, underscoring restoration challenges.

Hydro-Québec spokesperson Louis-Olivier Batty said the utility is being strategic about how it restores power across the grid. 

Because of the cold, and patterns seen during freezing rain outages, it anticipates that people will crank up the heat as soon as they get their electricity back, and that could trigger an overload somewhere else on the network, Batty said.

The Metro's Blue line was down much of the afternoon, but the STM announced the line was back up and running just after 4:30 p.m.

Bélanger Street was blocked to traffic much of the afternoon, however, it has now been reopened.

Batty said once the smoke clears, Hydro-Québec workers will take a look at the equipment to see what failed. 

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Site C Dam Update outlines hydroelectric budget overruns, geotechnical risks, COVID-19 construction delays, BC Hydro timelines, cancellation costs, and First Nations treaty rights concerns affecting renewable energy, ratepayers, and Peace Valley impacts.

Key Points

Overview of Site C costs, delays, geotechnical risks, and concerns shaping BC Hydro hydroelectric plans.

✅ Cost to cancel estimated at least $10B

✅ Final budget now about $16B; completion pushed to 2025

✅ COVID-19 and geotechnical risks drove delays and redesigns

The cost to cancel a massive B.C. energy development project would be at least $10 billion, provincial officials revealed in an update on the future of Site C.

Thus the project will go ahead, Premier John Horgan and Energy Minister Bruce Ralston announced Friday, but with an increased budget and timeline.

Horgan and Ralston spoke at a news conference in Victoria about the findings of a status report into the hydroelectric dam project in northeastern B.C.

Peter Milburn, former deputy finance minister, finished the report earlier this year, but the findings were not initially made public.

$10B more than initial estimate
On Friday, it was announced that the project's final price tag has once again ballooned by billions of dollars.

Site C was initially estimated to cost $6 billion, and the first approved budget, back in 2014, was $8.775 billion. The budget increased to $10.8 billion in 2018.

But the latest update suggests it will cost about $16 billion in total.

And, in addition to a higher budget, the date of completion has been pushed back to 2025 – a year later than the initial target.

Among the reasons for the revisions, according to the province, is the impact of COVID-19. While officials did not get into details, there have been multiple cases of the disease publicly reported at Site C work camps.

Additionally, fewer workers were permitted on site to allow for physical distancing, and construction was scaled back.

Also cited as a cause for the increased cost were "unforeseeable" geotechnical issues at the site, which required installation of an enhanced drainage system.

Speaking to reporters Friday, the premier deflected blame.

“Managing the contract the BC Liberals signed has been difficult because it transfers the vast majority of the geotechnical risk back to BC Hydro,” said Horgan.

Former Premier Christy Clark vowed to get the project to a point of no return, and in 2017 the NDP decided to continue with the project because of the cost of cancelling it.

The Liberals now say the clean energy project should continue, but deny they shoulder any of the blame.

“Someone has to take ownership – and it's got to be government in power,” said MLA Tom Shypitka, BC Liberal critic for energy. 

There are also several reviews underway, including how to change contractor schedules to reflect delays and potential cost impacts from COVID-19, and how to keep the work environment safe during the pandemic.

A total of 17 recommendations were made in Milburn's report, all of which have been accepted by BC Hydro and the province.

Among these recommendations is a restructured project assurance board with a focus on skill-specific membership and autonomy from BC Hydro.

Cost of cancelling the project
The report looked into whether it would be better to scrap the project altogether, but the cost of cancelling it at this point would be at least $10 billion, Horgan and Ralston said.

That cost does not include replacing lost energy and capacity that Site C's electricity would have provided, according to the province.

A study conducted in 2019 suggested B.C. will need to double its electricity production by 2055, especially as drought conditions are forcing BC Hydro to adapt power generation. 

The NDP government says the cost to ratepayers of cancelling the project would be $216 a year for 10 years. Going forward will still have a cost, but instead, that payment will be split over more than 70 years, the estimated lifetime of Site C, meaning BC Hydro customers will pay about $36 more a year once the site goes live, the NDP says, even as cryptocurrency mining raises questions about electricity use.

“We will not put jobs at risk; we will not shock people's hydro bills,” said Horgan.

"Our government has taken this situation very seriously, and with the advice of independent experts guiding us, I am confident in the path forward for Site C," Ralston said.

"B.C. needs more renewable energy to bridge the electricity gap with Alberta and electrify our economy, transition away from fossil fuels and meet our climate targets."

The minister said the site is currently employing about 4,500 people.

Arguments against Site C
While there are benefits to the project, there has also been vocal opposition.

In a statement released following the announcement that the project would go ahead, the Union of B.C. Indian Chiefs suggested the decision violated the premier's commitment to a UN declaration.

"The Site C dam has never had the free, prior and informed consent of all impacted First Nations, and proceeding with the project is a clear infringement of the treaty rights of the West Moberly First Nation," the UBCIC's secretary treasurer said.

Kukpi7 Judy Wilson said the UN's Committee on the Elimination of Racial Discrimination has called for a suspension of the project until it has the consent of Indigenous peoples.

"B.C. did not even attempt to engage First Nations about the safety risks associated with the stability of the dam in the recent reviews," she said.

"It is unfathomable that such clear human rights violations are somehow OK by this government."

Chief Roland Wilson of the West Moberly First Nation said he was disappointed the province didn’t consult his and other communities prior to making this announcement. In an interview with CTV News, he said he was offered an opportunity to join a call this morning.

“We signed a treaty in 1814,” he said. “Our treaty rights are being trampled on.”

Wilson said his nation has ongoing concerns about safety issues and the plans to flood the Peace Valley. West Moberly is in a bitter court battle with the province.

At the BC Legislature, Green Party Leader Sonia Furstenau slammed the government’s decision.

“It is an astonishingly terrible business case in any circumstances, but considering that we lose the agricultural land, the biodiversity, the traditional treaty lands of Treaty 8, this is particularly catastrophic,” she told reporters.

She went on to accuse the NDP government of keeping bad news from the public. She alleged the NDP knew of serious problems before last fall’s unscheduled election, but chose not to release information.

Prior to the decision former BC Hydro president and a former federal fisheries minister are among those who added their voices to calls to halt work on the dam.

They were among 18 Canadians who wrote an open letter to the province calling for an independent team of experts to explore geotechnical problems at the site.

In the letter, signed in September, the group that also included Grand Chief Stewart Phillip of the UBCIC wrote that going ahead would be a "costly and potentially catastrophic mistake." 

According to Friday's update, independent experts have confirmed the site is safe, though improvements have been recommended to enhance oversight and risk management.

Earlier in the project, a B.C. First Nation claimed it was a $1-billion treaty violation, though an agreement was reached in 2020 after the province promised to improve land management and restore traditional place names in areas of cultural significance.

The Prophet River First Nation will also receive payments while the site is operating, and some Crown land will be transferred to the nation as part of the agreement. 

Additionally, residents of a tiny community not far from the site is suing the province over two slow-moving landslides they claim caused property values to plummet.

Nearly three dozen residents of Old Fort are behind the allegations of negligence and breach of their charter right to security of person. The claim is tied to two landslides, in 2018 and 2020, that the group alleges were caused by ground destabilization from construction related to Site C.

One of the landslides damaged the only road into the community, leaving residents under evacuation for a month.

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Western Washington Bomb Cyclone unleashed gale-force winds, torrential rain, and coastal flooding, causing massive power outages from Seattle to Tacoma; storm surge, downed trees, and blocked roads hindered emergency response and infrastructure repairs.

Key Points

A rapidly deepening storm with severe winds, rain, flooding, and major power outages across Western Washington.

✅ Rapid barometric pressure drop intensified the system

✅ Gale-force winds downed trees and power lines

✅ Coastal flooding and storm surge disrupted transport

A powerful "bomb cyclone" recently hit Western Washington, causing widespread destruction across the region. The intense storm left more than half a million residents without power, similar to B.C. bomb cyclone outages seen to the north, with outages affecting communities from Seattle to Olympia. This weather phenomenon, marked by a rapid drop in atmospheric pressure, unleashed severe wind gusts, heavy rain, and flooding, causing significant disruption to daily life.

The bomb cyclone, which is a rapidly intensifying storm, typically features a sharp drop in barometric pressure over a short period of time. This creates extreme weather conditions, including gale-force winds, torrential rain, and coastal flooding, as seen during California storm impacts earlier in the season. In Western Washington, the storm struck just as the region was beginning to prepare for the winter season, catching many off guard with its strength and unpredictability.

The storm's impact was immediately felt as high winds downed trees, power lines, and other infrastructure. By the time the worst of the storm had passed, utility companies had reported widespread power outages, with more than 500,000 customers losing electricity. The outages were particularly severe in areas like Seattle, Tacoma, and the surrounding communities. Crews worked tirelessly in difficult conditions to restore power, but many residents faced extended outages, underscoring US grid climate vulnerabilities that complicate recovery efforts, with some lasting for days due to the scope of the damage.

The power outages were accompanied by heavy rainfall, leading to localized flooding. Roads were inundated, making it difficult for first responders and repair crews to reach affected areas. Emergency services were stretched thin as they dealt with downed trees, blocked roads, and flooded neighborhoods. In some areas, floodwaters reached homes, forcing people to evacuate. In addition, several schools were closed, and public transportation services were temporarily halted, leaving commuters stranded and businesses unable to operate.

As the storm moved inland, its effects continued to be felt. Western Washington’s coastal regions were hammered by high waves and storm surges, further exacerbating the damage. The combination of wind and rain also led to hazardous driving conditions, prompting authorities to advise people to stay off the roads unless absolutely necessary.

While power companies worked around the clock to restore electricity, informed by grid resilience strategies that could help utilities prepare for future events, challenges persisted. Fallen trees and debris blocked access to repair sites, and the sheer number of outages made it difficult for crews to restore power quickly. Some customers were left in the dark for days, forced to rely on generators, candles, and other makeshift solutions. The storm's intensity left a trail of destruction, requiring significant resources to address the damages and rebuild critical infrastructure.

In addition to the immediate impacts on power and transportation, the bomb cyclone raised important concerns about climate change and the increasing frequency of extreme weather events. Experts note that storms like these are becoming more common, with rapid intensification leading to more severe consequences and compounding pressures such as extreme-heat electricity costs for households. As the planet warms, scientists predict that such weather systems will continue to grow in strength, posing greater challenges to cities and regions that are not always prepared for such extreme events.

In the aftermath of the storm, local governments and utility companies faced the daunting task of not only restoring services but also assessing the broader impact of the storm on communities. Many areas, especially those hit hardest by flooding and power outages, will require substantial recovery efforts. The devastation of the bomb cyclone highlighted the vulnerability of infrastructure in the face of rapidly changing weather patterns and water availability, as seen in BC Hydro drought adaptations nearby, and reinforced the need for greater resilience in the face of future storms.

The storm's impact on the Pacific Northwest is a reminder of the power of nature and the importance of preparedness. As Western Washington recovers, there is a renewed focus on strengthening infrastructure, including expanded renewable electricity to diversify supply, improving emergency response systems, and ensuring that communities are better equipped to handle the challenges posed by increasingly severe weather events. For now, residents remain hopeful that the worst is behind them and are working together to rebuild and prepare for whatever future storms may bring.

The bomb cyclone has left an indelible mark on Western Washington, but it also serves as a call to action for better preparedness, more robust infrastructure, and a greater focus on combating climate change to mitigate the impact of such extreme weather in the future.

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