Ontario wants fair share of green funding

By Toronto Star


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According to the Ontario government's analysis of the last federal budget, Ottawa allocated $775 million for dubious "carbon capture and storage" programs in Western Canada and only $125 million for clean energy projects in the rest of the country.

This time around Premier Dalton McGuinty is urging Ottawa to invest a "fair share" in Ontario's clean energy initiatives.

"If the federal government chooses to support (carbon sequestration), we'd like them to provide comparable levels of financial support for things that we know in fact work," McGuinty said last week. He makes a good point.

McGuinty's request is part of a resolution to be debated at Queen's Park urging Ottawa to "recognize that Canada's success depends on a strong and competitive Ontario."

While Prime Minister Stephen Harper does not always line up to do McGuinty's bidding, green energy is an issue that may suit his own political agenda. Harper continues to be battered by environmentalists over his support for continued expansion of Alberta's tar sands and his faith that unproven carbon sequestration technology will save the day. Harper could deflect his critics by addressing McGuinty's concerns and, at the same time, burnishing his own green credentials in advance of the G8 and G20 meetings this summer, which will attract worldwide attention.

Ontario is not the only province looking for some signal from Harper's Conservatives that they see an energy future for Canada that is greener than Alberta's tar sands. Quebec, Manitoba and British Columbia are also pushing in this direction. The budget would be a good place for Harper to send the signal.

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Quebec shatters record for electricity consumption once again

Hydro Quebec Power Consumption Record surges amid extreme cold, peak demand, and grid stress, as Hydro-Quebec urges energy conservation, load management, and reduced heating during morning and evening peaks across Montreal and southern Quebec.

 

Key Points

Quebec's grid hit 40,300 MW during an extreme cold snap, setting a new record and prompting conservation appeals.

✅ Lower thermostats 1-2 C in unused rooms during peak hours

✅ Delay dishwashers, dryers, and hot water use to off-peak

✅ Peak windows: 6-9 a.m. and 4-8 p.m.; import power if needed

 

Hydro Quebec says it has once again set a new record for power consumption, echoing record-breaking demand in B.C. in 2021 as extreme cold grips much of the province.

An extreme cold warning has been in effect across southern Quebec since Friday morning, straining the system, just as Calgary's electricity use soared during a frigid February, as Quebecers juggle staying warm and working from home.

Hydro Québec recorded consumption levels reaching 40,300 megawatts as of 8 a.m. Friday, breaking a previous record of 39,000 MW (with B.C. electricity demand hit an all-time high during a similar cold snap) that was broken during another cold snap on Jan 11. 

The publicly owned utility is now asking Quebecers to reduce their electricity consumption as much as possible today and tomorrow, a move consistent with clean electricity goals under federal climate pledges, predicting earlier in the morning the province would again reach an all-time high.

Reducing heating by just one or two degrees, especially in rooms that aren't being used, is one step that people can take to limit their consumption. They can also avoid using large appliances like the dishwasher and clothing dryer as often, and shortening the use of hot water. 

"They're small actions, but across millions of clients, it makes a difference," said Cendrix Bouchard, a spokesperson with Hydro Québec, while speaking with Tout un matin.

"We understand that asking this may pose challenges for some who are home throughout the day because they are working remotely, but if people are able to contribute, we appreciate it."

The best time to try and limit electricity usage is in the morning and evening, when electricity usage tends to peak, Bouchard said.

The province can import electricity from other regions if Quebec's system reaches its limits, even as the utility pursues selling to the United States as part of its long-term strategy, he added.

Temperatures dropped to –24 C in Montreal at 7 a.m., with a wind chill of –29 C. 

It will get colder across the south of the province through the evening and wind chills are expected to make it feel as cold as – 40 until Saturday morning, Environment Canada warned.

Those spending time outdoors are at a higher risk of frostbite and hypothermia.

"Frostbite can develop within minutes on exposed skin, especially with wind chill," Environment Canada said.

Conserving energy
Hydro-Québec has signed up 160,000 clients to a flexible billing plan similar to BC Hydro's winter payment plan that allows them to pay less for energy — as long as they use it during non-peak periods.

Quebec's energy regulator, the Régie de l'énergie, also forces crypto-currency mining operations to shut down for some hours  on peak-demand days, a topic where BC Hydro's approach to crypto mining has also drawn attention, Bouchard said.

Hydro-Québec says the highest consumption periods are usually between 6 a.m.-9 a.m. and 4 p.m.-8 p.m.

 

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Manitoba's electrical demand could double in next 20 years: report

Manitoba Hydro Integrated Resource Plan outlines electrification-driven demand growth, clean electricity needs, wind generation, energy efficiency, hydropower strengths, and net-zero policy impacts, guiding investments to expand capacity and decarbonize Manitoba's grid.

 

Key Points

Manitoba Hydro IRP forecasting 2.5x demand, clean power needs, and capacity additions via wind and energy efficiency.

✅ Projects electricity demand could more than double within 20 years.

✅ Leverages 97% hydro supply; adds wind generation and efficiency.

✅ Positions for net-zero, electrification, and new capacity by the 2030s.

 

Electrical demand in Manitoba could more than double in the next 20 years, a trend echoed by BC Hydro's call for power in response to electrification, according to a new report from Manitoba Hydro.

On Tuesday, the Crown corporation released its first-ever Integrated Resource Plan (IRP), which not only predicts a significant increase in electrical demand, but also that new sources of energy, and a potential need for new power generation, could be needed in the next decade.

“Right now, what [our customers] are telling us, with the climate change objectives, with federal policy, provincial policies, is they see using electricity much more in the future than they do today,” said president and CEO of Manitoba Hydro Jay Grewal.

“And our current, where we’re at now, our customers have told us through all this consultation and engagement over the last two years, they’re going to want and need more than 2.5 times the electricity than we have in the province today.”

The IRP indicates that the move towards low or no-carbon energy sources will accelerate the need for clean electricity, which will require significant investments, including new turbine investments to expand capacity. Some of the clean energy measures Hydro is looking at for the future include wind generation and energy efficiency.

The report also found that Manitoba is in a good position as it prepares for the future due to its hydroelectric system, which delivers around 97 per cent of the yearly electricity. However, the province’s existing supply is limited, and vulnerable to Western Canada drought impacts on hydropower, so other electrical energy sources will be needed.

“Something Manitobans may not realize is, we are in such a privileged province, because 97 per cent of the electricity produced in Manitoba today is clean energy and net zero,” Grewal said.

Manitoba also supplies power to neighbouring utilities, with a SaskPower purchase agreement to buy more electricity under an expanded deal.

The IRP is the result of a two-year development process that involved multiple rounds of engagement with customers and other interested parties. The IRP is not a development plan, but it arrives as Hydro warns it can't service new energy-intensive customers under current capacity, and it outlines how Manitoba Hydro will monitor, prepare and respond to the changes in the energy landscape.

“We spoke with over 15,000 of our customers, whether they’re residential, commercial, industrial, industry associations, regulators, government – across the board, we talked with our customers,” said Grewal.

“And what we did was through this work, we understood what our customers are anticipating using electricity for going forward.

 

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EDF and France reach deal on electricity prices-source

EDF Nuclear Power Price Deal sets a 70 euros/MWh reference price, adds consumer protection if wholesale electricity prices exceed 110 euros/MWh, and outlines taxation mechanisms to shield bills while funding nuclear investment.

 

Key Points

A government-EDF deal setting 70 euros/MWh with safeguards above 110 euros/MWh to protect consumers.

✅ Reference price fixed at 70 euros/MWh, near EDF costs.

✅ Consumer shield above 110 euros/MWh; up to 90% extra-revenue tax.

✅ Review clauses maintain 70 euros/MWh through market swings.

 

State-controlled power group EDF and the French government have reached a tentative deal on future nuclear power prices, echoing a new electricity pricing scheme France has floated, a source close to the government said on Monday, ending months of tense negotiations.

The two sides agreed on 70 euros per megawatt hour (MWH) as a reference level for power prices, aligning with EU plans for more fixed-price contracts for consumers, the source said, cautioning that details of the deal are still being finalised.

The negotiations aimed to find a compromise between EDF, which is eager to maximise revenues to fund investments, and the government, keen to keep electricity bills for French households and businesses as low as possible, amid ongoing EU electricity reform debates across the bloc.

EDF declined to comment.

The preliminary deal sets out mechanisms that would protect consumers if power market prices rise above 110 euros/MWH, similar to potential emergency electricity measures being weighed in Europe, the source said, adding that the deal also includes clauses that would provide a price guarantee for EDF.

The 70 euros/MWH agreed reference price level is close to EDF's nuclear production costs, as Europe moves to revamp its electricity market more broadly. The nuclear power produced by the company provides 70% of France's electricity.

The agreement would allow the government to tax EDF's extra revenues at 90% if prices surpass 110 euros/MWH, in order to offset the impact on consumers. It would also enable a review of conditions in case of market fluctuations to safeguard the 70 euro level for EDF, reflecting how rolling back electricity prices is tougher than it appears, the source said.

French wholesale electricity prices are still above 100 euros/MWH, after climbing to 1,200 euros during last year's energy crisis, even as diesel prices have returned to pre-conflict levels.

A final agreement should be officially announced on Tuesday after a meeting between Finance Minister Bruno Le Maire, Energy Transition Minister Agnes Pannier-Runacher and EDF chief Luc Remont.

That meeting will work out the final details on price thresholds and tax rates between the reference level and the upper limit, the source said.

Negotiations between the two sides were so fraught that at one stage they raised questions about the future of EDF chief Luc Remont, who was appointed by President Emmanuel Macron a year ago to turn around EDF.

The group ended 2022 with a 18 billion-euro loss and almost 65 billion euros of net debt, hurt by a record number of reactor outages that coincided with soaring energy prices in the wake of Russia's invasion of Ukraine.

With its output at a 30-year low, EDF was forced to buy electricity on the market to supply customers. The government, meanwhile, imposed a cap on electricity prices, leaving EDF selling power at a discount.

 

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Florida says no to $400M in federal solar energy incentives

Florida Solar for All Opt-Out highlights Gov. DeSantis rejecting EPA grant funds under the Inflation Reduction Act, limiting low-income households' access to solar panels, clean energy programs, and promised electricity savings across disadvantaged communities.

 

Key Points

Florida Solar for All Opt-Out is the state declining EPA grants, restricting low-income access to solar energy savings.

✅ EPA grant under IRA aimed at low-income solar

✅ Estimated 20% electricity bill savings missed

✅ Florida lacks PPAs and renewable standards

 

Florida has passed up on up to $400 million in federal money that would have helped low-income households install solar panels.

A $7 billion grant “competition” to promote clean energy in disadvantaged communities by providing low-income households with access to affordable solar energy was introduced by President Joe Biden earlier this year, and despite his climate law's mixed results in practice, none of that money will reach Florida households.

The Environmental Protection Agency announced the competition in June as part of Biden’s Inflation Reduction Act. However, Florida Gov. Ron DeSantis has decided to pass on the $400 million up for grabs by choosing to opt out of the opportunity.

Inflation Reduction Act:What is the Inflation Reduction Act? Everything to know about one of Biden's big laws

The program would have helped Florida households reduce their electricity costs by a minimum of 20% during a key time when Floridians are leaving in droves due to a rising cost of living associated with soaring insurance costs, inflation, and proposed FPL rate hikes statewide.

Florida was one of six other states that chose not to apply for the money.

President Joe Biden announced a $7 billion “competition” to promote clean energy in disadvantaged communities.

The opportunity, named “Solar for All,” was announced by the EPA in June and promised to provide up to $7 billion in grants to states, territories, tribal governments, municipalities, and nonprofits to expand the number of low-income and disadvantaged communities primed for residential solar investment — enabling millions of low-income households to access affordable, resilient and clean solar energy.

The grant is intended to help lower energy costs for families, create jobs and help reduce greenhouse effects that accelerate global climate change by providing financial support and incentives to communities that were previously locked out of investments.


How much money would Floridians save under the ‘Solar for All’ solar panel grant?

The program aims to reduce household electricity costs by at least 20%. Florida households paid an average of $154.51 per month for electricity in 2022, just over 14% of the national average of $135.25, and debates over hurricane rate surcharges continue to shape customer bills, according to the U.S. Energy Information Administration. A 20% savings would drop those bills down to around $123 per month.

On the campaign trail, DeSantis has pledged to unravel Biden’s green energy agenda if elected president, amid escalating solar policy battles nationwide, slamming the Inflation Reduction Act and what he called “a concerted effort to ramp up the fear when it comes to things like global warming and climate change.”

His energy agenda includes ending Biden’s subsidies for electric cars while pushing policies that he says would ramp up domestic oil production.

“The subsidies are going to drive inflation higher,” DeSantis said at an event in September. “It’s not going to help with interest rates, and it is certainly not going to help with our unsustainable debt levels.”

DeSantis heading to third debate:As he enters third debate, Ron DeSantis has a big Nikki Haley problem

DeSantis’ plan to curb clean energy usage in Florida seems to be at odds with the state as a whole, and the region's evolving strategy for the South underscores why it has been ranked among the top three states to go solar since 2019, according to the Solar Energy Industries Association (SEIA).

SEIA also shows, however, that Florida lags behind many other states when it comes to solar policies, as utilities tilt the solar market in ways that influence policy outcomes statewide. Florida, for instance, has no renewable energy standards, which are used to increase the use of renewable energy sources for electricity by requiring or encouraging suppliers to provide customers with a stated minimum share of electricity from eligible renewable resources, according to the EIA.

Power purchase agreements, which can help lower the cost of going solar through third-party financing, are also not allowed in Florida, with court rulings on monopolies reinforcing the existing market structure. And there have been other policies implemented that drove other potential solar investments to other states.

 

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Electricity alert ends after Alberta forced to rely on reserves to run grid

Alberta Power Grid Level 2 Alert signals AESO reserve power usage, load management, supply shortage from generator outages, low wind, and limited imports, urging peak demand conservation to avoid blackouts and preserve grid reliability.

 

Key Points

An AESO status where reserves power the grid and load management is used during supply constraints to prevent blackouts.

✅ Triggered by outages, low wind, and reduced import capacity

✅ Peak hours 4 to 7 pm saw conservation requests

✅ Several hundred MW margin from Level 3 load shedding

 

Alberta's energy grid ran on reserves Wednesday, after multiple factors led to a supply shortage, a scenario explored in U.S. grid COVID response discussions as operators plan for contingencies.

At 3:52 p.m. Wednesday, the Alberta Electric System Operator issued a Level 2 alert, meaning that reserves were being used to supply energy requirements and that load management procedures had been implemented, while operators elsewhere adopted Ontario power staffing lockdown measures during COVID-19 for continuity. The alert ended at 6:06 p.m.

"This is due to unplanned generator outages, low wind and a reduction of import capability," the agency said in a post to social media. "Supply is tight but still meeting demand."

AESO spokesperson Mike Deising said the intertie with Saskatchewan had tripped off, and an issue on the British Columbia side of the border, as seen during BC Hydro storm response events, meant the province couldn't import power. 

"There are no blackouts … this just means we're using our reserve power, and that's a standard procedure we'll deploy," he said. 

AESO had asked that people reduce their energy consumption between 4 and 7 p.m., similar to Cal ISO conservation calls during grid strain, which is typically when peak use occurs. 

Deising said the system was several hundred MWs away from needing to move to an alert Level 3, with utilities such as FortisAlberta precautions in place to support continuity, which is when power is cut off to some customers in order to keep the system operating. Deising said Level 2 alerts are fairly rare and occur every few years. The last Level 3 alert was in 2013. 

According to the supply and demand report on AESO's website, the load on the grid at 5 p.m. was 10,643 MW.

That's down significantly from last week, when a heat wave pushed demand to record highs on the grid, with loads in the 11,700 MW range, contrasting with Ontario demand drop during COVID when many stayed home. 

A heat warning was issued Wednesday for Edmonton and surrounding areas shortly before 4 p.m., with temperatures above 29 C expected over the next three days, with many households seeing residential electricity use up during such periods. 

 

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Ontario will not renew electricity deal with Quebec

Ontario-Quebec Electricity Trade Agreement ends as Ontario pivots to IESO procurement, hydropower alternatives, natural gas capacity, and energy auctions, impacting grid reliability, power imports, and GHG emissions across both provincial markets.

 

Key Points

A seven-year power import pact; Ontario will end it, shifting to IESO procurement and gas capacity.

✅ Seasonal hydropower exchange of 2.3 TWh annually.

✅ IESO projects Quebec supply constraints by decade end.

✅ Ontario adds gas, auctions; near-term sector GHGs rise.

 

The Ontario government does not plan to renew the Ontario-Quebec electricity trade agreement, Radio-Canada is reporting.

The seven-year contract, which expires next year, aims to reduce Ontario's greenhouse gas (GHG) emissions by buying 2.3 Terawatt-hours of electricity from Quebec annually — that corresponds to about seven per cent of Hydro-Quebec's average annual exports.

The announcement comes as the provincially owned Quebec utility continues its legal battle over a plan to export power to Massachusetts.

The Ontario agreement has guaranteed a seasonal exchange of energy, since Quebec has a power surplus in summer, and the province's electricity needs increase in the winter. Ontario plans on exercising its last and only option in the summer of 2026, for a block of 500 megawatts.

The office of the Ontario Minister of Energy Todd Smith says the province will save money by relying "on a competitive procurement process" instead, amid debates over clean, affordable electricity policy in Ontario. And, the Independent Electricity System Operator (IESO), the equivalent of Hydro-Quebec in Ontario, added that, at any rate, Quebec is expected to "run out of electricity in the middle or at the end of the decade."

During the Quebec election campaign, Premier Francois Legault said his province needed to increase hydroelectricity production because he is expecting demand for hydroelectricity to increase by an additional 100 terawatt-hours in the coming decades — half of Hydro-Quebec's current annual output.

Coalition Avenir Quebec pitches more hydro dams to Quebec voters
The provinces will still continue to buy and sell power, reaching deals through annual energy auctions.

Eloise Edom, an associate researcher at Polytechnique Montreal's Institut de l'energie Trottier, says the announcement came as somewhat of a surprise because "we're still talking about a lot of energy."

Hydro-Quebec refused to comment on "the SIERE [Independent Electricity System Operator]'s intentions for the agreement, which ends next year," said company spokesperson Lynn St-Laurent.

No green options
Yet Ontario is running out of electricity, even as questions persist about whether it is embracing clean power to meet demand, in part because of plans to refurbish nuclear reactors at the Bruce and Darlington generator stations.

Windsor has already lost out on a $2.5-billion factory because the region is short of electricity for new industrial loads. And by 2025, Toronto will run out of power for the electrification of its transit system, according to the latest estimates from the IESO.

The Ford government recently announced that it hopes to extend the life of the Pickering nuclear station amid ongoing debate. It is also evaluating the possibility of increasing hydroelectricity production at its existing dams.

For now, Ontario is banking on its natural gas plants to meet demand, which have won most recent IESO tenders for contracts running until 2026. Last Friday, the province announced that it was going to buy an additional 1,500 megawatts by 2027.

"The [Ontario energy] minister's expectations may be that the increase in natural gas prices is temporary and that it will fade," energy economist Jean-Thomas Bernard said. "With this in mind, he probably does not want to sign a long-term contract [with Hydro-Quebec] and prefers to buy electricity on a day-to-day basis and through calls for tenders."

If the Quebec deal expires, Ontario, Canada's second highest GHG emitter, would have to increase its emissions for the sector, at least in the medium term, with electricity getting dirtier as gas fills the gap.

Last year, the IESO found that it would be very difficult to set a moratorium on natural gas before 2030. The IESO must produce a final report on the subject for the energy minister by the end of November.


 

 

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