Wind powers school, educates students

By Toronto Star


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It must have felt a bit like the future at a Minnesota high school, when a new wind turbine on its property began producing electricity to power the building.

The city of Buffalo, population 15,000, is one of 11 communities in the state to receive a turbine as part of an initiative to have utilities deliver 25 per cent of their electricity from clean power sources by 2025. Just recently, Buffalo High School began receiving electricity from its new clean energy source.

"When I first started looking for a site, I was looking for the right partner," says Buffalo's utilities director Joseph Steffel, explaining how the wind turbine ended up at the school, hooked up directly to the building's power supply. "When I first explained the idea to one of the administrators there was a pause on the line. Then they said, ‘Wow, this sounds great.’ They thought it would be a great educational opportunity."

It fit well with the school's conservation initiatives, which have won statewide awards for eco-education. "I jumped at the opportunity," says Eric Hamilton, the school's building director. "We've been trying to lessen our footprint."

As part of the agreement with the city, the school and its 1,700 students have access to the wind turbine and its data for educational opportunities.

"Real-time energy use, with wind speed, wind direction and kilowatt-hours produced will be available around the clock," he said.

Teachers are champing at the bit to start taking students out to the turbine, which is about 300 metres from the building.

The site was perfect because the school sits on a large parcel of land, surrounded by open fields at the outskirts of the town, with a nearby transformer. When the wind blows 23 km/h, the school receives 40 per cent of its electricity from the wind turbine, with any power sent to the municipal power grid.

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China aims to reduce coal power production

China Coal-Fired Power Consolidation targets capacity cuts through mergers, SASAC-led restructuring, debt reduction, asset optimization, and retiring inefficient plants across state-owned utilities to improve efficiency, stabilize liabilities, and align with energy transition policies.

 

Key Points

A SASAC-driven plan merging utility assets to cut coal capacity, reduce debt, and retire outdated, loss-making plants.

✅ Merge five central utilities' coal assets to streamline operations

✅ Target 25-33% capacity cuts and >50% loss reduction by 2021

✅ Prioritize debt-ridden regions: Gansu, Shaanxi, Xinjiang, Qinghai, Ningxia

 

China plans to slash coal-fired power capacity at its five biggest utilities by as much as a third in two years by merging their assets, amid broader power-sector strains that reverberate globally, according to a document seen by Reuters and four sources with knowledge of the matter.

The move to shed older and less-efficient capacity is being driven by pressure to cut heavy debt levels at the utilities. China, is, however, building more coal-fired power plants and approving dozens of new mines to bolster a slowing economy, even as recent power cuts highlight grid imbalances.

The five utilities, which are controlled by the central government, accounted for around 44% of China’s total coal-fired power capacity at the end of 2018, a share likely to be tested by rising electrification goals, with electricity to meet 60% by 2060 according to industry forecasts.

“(The utilities) will strive to reduce coal-fired power capacity by one quarter to one third ...cutting total losses by more than 50% from the current level to achieve a significant decline in debt-to-asset ratios by the end of 2021,” the document said.

The plan, initiated and overseen by the State-owned Assets Supervision and Administration Commission of the State Council (SASAC), follows heavy losses at some of the utilities, amid a pandemic-era demand drop that hit industrial consumption.

Some of their coal-fired power stations have filed for bankruptcy in recent years as Beijing promotes the use of renewable energy and advances its nuclear program while opening up the state-controlled power market.

The SASAC did not immediately respond to a fax seeking comment and the sources declined to be identified as they were not authorised to speak to the media.

The utilities - China Huaneng Group Co, China Datang Corp, China Huadian Corp, State Power Investment Corp and China Energy Group - did not respond to faxes requesting comment.

Together, they had 474 coal-fired power plants with combined power generation capacity of 520 gigawatts (GW) at the end of last year.

Their coal-fired power assets came to 1.5 trillion yuan ($213 billion) while total coal-fired power liabilities were 1.1 trillion yuan, the document said.

The document was seen by two people at two of the utilities and was also verified by a source at SASAC and a government researcher.

It was not clear when the document was published but it said the merging and elimination of outdated capacity would start from 2019 and be achieved within three years, aiming to improve the efficiency and operations at the companies, reflecting a broader electricity sector mystery that policymakers are trying to resolve.

Utilities with debt-ridden operations in the northwestern regions of Gansu, Shaanxi, Xinjiang, Qinghai and Ningxia would be the first to carry out the plan, it said, even as India ration coal supplies during demand surges.

The government researcher said the SASAC has been researching possible consolidation in the coal-fired power sector since 2017, but added: “It’s easier said than done.”

“No one is willing to hand in their high quality assets and there is no point in merging the bad assets,” the government researcher said.

 

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Bill Gates’ Nuclear Startup Unveils Mini-Reactor Design Including Molten Salt Energy Storage

Natrium small modular reactor pairs a sodium-cooled fast reactor with molten salt storage to deliver load-following, dispatchable nuclear power, enhancing grid flexibility and peaking capacity as TerraPower and GE Hitachi pursue factory-built, affordable deployment.

 

Key Points

A TerraPower-GE Hitachi SMR joining a sodium-cooled reactor with molten salt storage for flexible, dispatchable power.

✅ 345 MW base; 500 MW for 5.5 hours via thermal storage

✅ Sodium-cooled coolant and molten salt storage enable load-following

✅ Backed by major utilities; factory-built modules aim lower costs

 

Nuclear power is the Immovable Object of generation sources. It can take days just to bring a nuclear plant completely online, rendering it useless as a tool to manage the fluctuations in the supply and demand on a modern energy grid.  

Now a firm launched by Bill Gates in 2006, TerraPower, in partnership with GE Hitachi Nuclear Energy, believes it has found a way to make the infamously unwieldy energy source a great deal nimbler, drawing on next-gen nuclear ideas — and for an affordable price. 

The new design, announced by TerraPower on August 27th, is a combination of a "sodium-cooled fast reactor" — a type of small reactor in which liquid sodium is used as a coolant — and an energy storage system. While the reactor could pump out 345 megawatts of electrical power indefinitely, the attached storage system would retain heat in the form of molten salt and could discharge the heat when needed, increasing the plant’s overall power output to 500 megawatts for more than 5.5 hours. 

“This allows for a nuclear design that follows daily electric load changes and helps customers capitalize on peaking opportunities driven by renewable energy fluctuations,” TerraPower said. 

Dubbed Natrium after the Latin name for sodium ('natrium'), the new design will be available in the late 2020s, said Chris Levesque, TerraPower's president and CEO.

TerraPower said it has the support of a handful of top U.S. utilities, including Berkshire Hathaway Energy subsidiary Pacificorp, Energy Northwest, and Duke Energy. 

The reactor's molten salt storage add-on would essentially reprise the role currently played by coal- or gas-fired power stations or grid-scale batteries: each is a dispatchable form of power generation that can quickly ratchet up or down in response to changes in grid demand or supply. As the power demands of modern grids become ever more variable with additions of wind and solar power — which only provide energy when the wind is blowing or the sun shining — low-carbon sources of dispatchable power are needed more and more, and Europe is losing nuclear power at a difficult moment for energy security. California’s rolling blackouts are one example of what can happen when not enough power is available to be dispatched to meet peak demand. 

The use of molten salt, which retains heat at extremely high temperatures, as a storage technology is not new. Concentrated solar power plants also collect energy in the form of molten salt, although such plants have largely been abandoned in the U.S. The technology could enjoy new life alongside nuclear plants: TerraPower and GE Hitachi Nuclear are only two of several private firms working to develop reactor designs that incorporate molten salt storage units, including U.K.- and Canada-based developer Moltex Energy.

The Gates-backed venture and its partner touted the "significant cost savings" that would be achieved by building major portions of their Natrium plants through not a custom but an industrial process — a defining feature of the newest generation of advanced reactors is that their parts can be made in factories and assembled on-site — although more details on cost weren't available. Reuters reported earlier that each plant would cost around $1 billion.

NuScale Power

A day after TerraPower and GE Hitachi's unveiled their new design, another nuclear firm — Portland, Oregon-based NuScale Power — announced that the U.S. Nuclear Regulatory Commission (NRC) had completed its final safety evaluation of NuScale’s new small modular reactor design.

It was the first small modular reactor design ever to receive design approval from the NRC, NuScale said. 

The approval means customers can now pursue plans to develop its reactor design confident that the NRC has signed off on its safety aspects. NuScale said it has signed agreements with interested parties in the U.S., Canada, Romania, the Czech Republic, and Jordan, and is in the process of negotiating more. 

NuScale previously said that construction on one of its plants could begin in Utah in 2023, with the aim of completing the first Power Module in 2026 and the remaining 11 modules in 2027.

NuScale
An artist’s rendering of NuScale Power’s small modular nuclear reactor plant. NUSCALE POWER
NuScale’s reactor is smaller than TerraPower’s. Entirely factory-built, each of its Power Modules would generate 60 megawatts of power. The design, typical of advanced reactors, uses pressurized water reactor technology, with one power plant able to house up to 12 individual Power Modules. 

In a sign of the huge amounts of time and resources it takes to get new nuclear technology to the market’s doorstep, NuScale said it first completed its Design Certification Application in December 2016. NRC officials then spent as many as 115,000 hours reviewing it, NuScale said, in what was only the first of several phases in the review process. 

In January 2019, President Donald Trump signed into law the Nuclear Energy Innovation and Modernization Act (NEIMA), designed to speed the licensing process for advanced nuclear reactors, and the DOE under Secretary Rick Perry moved to advance nuclear development through parallel initiatives. The law had widespread bipartisan support, underscoring Democrats' recent tentative embrace of nuclear power.

An industry eager to turn the page

After a boom in the construction of massive nuclear power plants in the 1960s and 70s, the world's aging fleet of nuclear plants suffers from rising costs and flagging public support. Nuclear advocates have for years heralded so-called small modular reactors or SMRs as the cheaper and more agile successors to the first generation of plants, and policy moves such as the UK's green industrial revolution lay out pathways for successive waves of reactors. But so far a breakthrough on cost has proved elusive, and delays in development timelines have been abundant. 

Edwin Lyman, the director of nuclear power safety at the Union of Concerned Scientists, suggested on Twitter that the nuclear designs used by TerraPower and GE Hitachi had fallen short of a major innovation. “Oh brother. The last thing the world needs is a fleet of sodium-cooled fast reactors,” he wrote.  

Still, climate scientists view nuclear energy as a crucial source of zero-carbon energy, with analyses arguing that net-zero emissions may be impossible without nuclear in many scenarios, if the world stands a chance at limiting global temperature increases to well below 2 degrees Celsius above pre-industrial levels. Nearly all mainstream projections of the world’s path to keeping the temperature increase below those levels feature nuclear energy in a prominent role, including those by the United Nations and the International Energy Agency (IEA). 

According to the IEA: “Achieving the clean energy transition with less nuclear power is possible but would require an extraordinary effort.”

 

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Hydro once made up around half of Alberta's power capacity. Why does Alberta have so little now?

Alberta Hydropower Potential highlights renewable energy, dams, reservoirs, grid flexibility, contrasting wind and solar growth with limited investment, regulatory hurdles, river basin resources, and decarbonization pathways across Athabasca, Peace, and Slave River systems.

 

Key Points

It is the technical capacity for new hydro in Alberta's river basins to support a more reliable, lower carbon grid.

✅ 42,000 GWh per year developable hydro identified in studies.

✅ Major potential in Athabasca, Peace, and Slave River basins.

✅ Barriers include high capital costs, market design, water rights.

 

When you think about renewable energy sources on the Prairies, your mind may go to the wind farms in southern Alberta, or even the Travers Solar Project, southeast of Calgary.

Most of the conversation around renewable energy in the province is dominated by advancements in solar and wind power, amid Alberta's renewable energy surge that continues to attract attention. 

But what about Canada's main source of electricity — hydro power?

More than half of Canada's electricity is generated from hydro sources, with 632.2 terawatt-hours produced as of 2019. That makes it the fourth largest installed capacity of hydropower in the world. 

But in Alberta, it's a different story. 

Currently, hydro power contributes between three and five per cent of Alberta's energy mix, while fossil fuels make up about 89 per cent.

According to Canada's Energy Future report from the Canada Energy Regulator, by 2050 it will make up two per cent of the province's electricity generation shares.

So why is it that a province so rich in mountains and rivers has so little hydro power?


Hydro's history in Alberta
Hydro power didn't always make up such a small sliver of Alberta's electricity generation. Hydro installations began in the early 20th century as the province's population exploded. 

Grant Berg looks after engineering for hydro for TransAlta, Alberta's largest producer of hydro power with 17 facilities across the province.

"Our first plant was Horseshoe, which started in 1911 that we formed as Calgary Power," he said. 

"It was really in response to the City of Calgary growing and having some power needs."

Berg said in 1913, TransAlta's second installation, the Kananaskis Plant, started as Calgary continued to grow.

A historical photo of a hydro-electric dam in Kananaskis Alta. taken in 1914.
Hydro power plant in Kananaskis as seen in 1914. (Glenbow Archives)
Some bigger installations were built in the 1920s, including Ghost reservoir, but by mid-century population growth increased.

"Quite a large build out really, I think in response to the growth in Alberta following the war. So through the 1950s really quite a large build out of hydro from there."

By the 1950s, around half of the province's installed capacity was hydro power.

"Definitely Calgary power was all hydro until the 1950s," said Berg. 


Hydro potential in the province 
Despite the current low numbers in hydroelectricity, Alberta does have potential. 

According to a 2010 study, there is approximately 42,000 gigawatt-hours per year of remaining developable hydroelectric energy potential at identified sites. 

An average home in Alberta uses around 7,200 kilowatt-hours of electricity per year, meaning that the hydro potential could power 5.8 million homes each year. 

"This volume of energy could be sufficient to serve a significant amount of Alberta's load and therefore play a meaningful role in the decarbonization of the province's electric system," the Alberta Electric System Operator said in its 2022 Pathways to Net-Zero Emissions report.

Much of that potential lies in northern Alberta, in the Athabasca, Peace and Slave River basins.

The AESO report says that despite the large resource potential, Alberta's energy-only market framework has attracted limited investment in hydroelectric generation. 

Hydro power was once a big deal in Alberta, but investment in the industry has been in decline since the 1950s. Climate change reporter Christy Climenhaga explains why.
So why does Alberta leave out such a large resource potential on the path to net zero?

The government of Alberta responded to that question in a statement. 

"Hydro facilities, particularly large scale ones involving dams, are associated with high costs and logistical demands," said the Ministry of Affordability and Utilities. 

"Downstream water rights for other uses, such as irrigation, further complicate the development of hydro projects."

The ministry went on to say that wind and solar projects have increased far more rapidly because they can be developed at relatively lower cost and shorter timelines, and with fewer logistical demands.

"Sources from wind power and solar are increasingly more competitive," said Jean-Denis Charlebois, chief economist with the Canadian Energy Regulator. 


Hydro on the path to net zero
Hydro power is incredibly important to Canada's grid, and will remain so, despite growth in wind and solar power across the province.

Charlebois said that across Canada, the energy make-up will depend on the province. 

"Canadian provinces will generate electricity in very different ways from coast to coast. The major drivers are essentially geography," he said. 

Charlebois says that in British Columbia, Manitoba, Quebec and Newfoundland and Labrador, hydropower generation will continue to make up the majority of the grid.

"In Alberta and Saskatchewan, we see a fair bit of potential for wind and solar expansion in the region, which is not necessarily the case on Canada's coastlines," he said.

And although hydro is renewable, it does bring its adverse effects to the environment — land use changes, changes in flow patterns, fish populations and ecosystems, which will have to be continually monitored. 

"You want to be able to manage downstream effects; make sure that you're doing all the proper things for the environment," said Ryan Braden, director of mining and hydro at TransAlta.

Braden said hydro power still has a part to play in Alberta, even with its smaller contributions to the future grid. 

"It's one of those things that, you know, the wind doesn't blow or the sun doesn't shine, this is here. The way we manage it, we can really support that supply and demand," he said.

 

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Salmon and electricity at center of Columbia River treaty negotiations

Columbia River Treaty Negotiations involve Canada-U.S. talks on B.C. dams, flood control, hydropower sharing, and downstream benefits, prioritizing ecosystem health, First Nations rights, and salmon restoration while balancing affordable electricity for northwest consumers.

 

Key Points

Talks to update flood control, hydropower, and ecosystem terms for fair benefits to B.C. and U.S. communities.

✅ Public consultations across B.C.'s Columbia Basin

✅ First Nations priorities include salmon restoration

✅ U.S. seeks cheaper power; B.C. defends downstream benefits

 

With talks underway between Canada and the U.S. on the future of the Columbia River Treaty, the B.C. New Democrats have launched public consultations in the region most affected by the high-stakes negotiation.

“We want to ensure Columbia basin communities are consulted, kept informed and have their voices heard,” said provincial cabinet minister Katrine Conroy via a press release announcing meetings this month in Castlegar, Golden, Revelstoke, Nakusp, Nelson and other communities.

As well as having cabinet responsibility for the talks, Conroy’s Kootenay West riding includes several places that were inundated under the terms of the 1964 flood control and power generation treaty.

“We will continue to work closely with First Nations affected by the treaty, to ensure Indigenous interests are reflected in the negotiations,” she added by way of consolation to Indigenous people who’ve been excluded from the negotiating teams on both sides of the border.

#google#

The stakes are also significant for the province as a whole. The basics of the treaty saw B.C. build dams to store water on this side of the border, easing the flood risk in the U.S. and allowing the flow to be evened out through the year. In exchange, B.C. was entitled to a share of the additional hydro power that could be generated in dams on the U.S. side.

B.C.’s sale of those downstream benefits to the U.S has poured almost $1.4 billion into provincial coffers over the past 10 years, albeit at a declining rate these days amid scrutiny from a regulator report on BC Hydro that raised concerns, because of depressed prices for cross-border electricity sales.

Politicians on the U.S. side have long sought to reopen the treaty, believing there was now a case for reducing B.C.’s entitlement.

They did not get across the threshold under President Barack Obama.

Then, last fall his successor Donald Trump served notice of intent, initiating the formal negotiations that commenced with a two day session last week in Washington, D.C. The next round is set for mid-August in B.C.

American objectives in the talks include “continued, careful management of flood risk; ensuring a reliable and economical power supply; and better addressing ecosystem concerns,” with recognition of recent BC Hydro demand declines during the pandemic.

“Economical power supply,” being a diplomatic euphemism for “cheaper electricity for consumers in the northwest states,” achievable by clawing back most of B.C.’s treaty entitlement.

On taking office last summer, the NDP inherited a 14-point statement of principles setting out B.C. hopes for negotiations to “continue the treaty” while “seeking improvements within the existing framework” of the 54-year-old agreement.

The New Democrats have endorsed those principles in a spirit of bipartisanship, even as Manitoba Hydro governance disputes play out elsewhere in Canada.

“Those principles were developed with consultation from throughout the region,” as Conroy advised the legislature this spring. “So I was involved, as well, in the process and knew what the issues were, right as they would come up.”

The New Democrats did chose to put additional emphasis on some concerns.

“There is an increase in discussion with Canada and First Nations on the return of salmon to the river,” she advised the house, recalling how construction of the enormous Grand Coulee Dam on the U.S. side in the 1930s wiped out salmon runs on the upper Columbia River.

“There was no consideration then for how incredibly important salmon was, especially to the First Nations people in our region. We have an advisory table that is made up of Indigenous representation from our region, and also we are discussing with Canada that we need to see if there’s feasibility here.”

As to feasibility, the obstacles to salmon migration in the upper reaches of the Columbia include the 168-metre high Grand Coulee and the 72-metre Chief Joseph dams on the U.S. side, plus the Keenleyside (52 metres), Revelstoke (175 metres) and Mica (240 metres) dams on the Canadian side.

Still, says Conroy “the First Nations from Canada and the tribes from the United States, have been working on scientific and technical documents and research to see if, first of all, the salmon can come up, how they can come up, and what the things are that have to be done to ensure that happens.”

The New Democrats also put more emphasis on preserving the ecosystem, aligning with clean-energy efforts with First Nations that support regional sustainability.

“I know that certainly didn’t happen in 1964, but that is something that’s very much on the minds of people in the Columbia basin,” said Conroy. “If we are going to tweak the treaty, what can we do to make sure the voices of the basin are heard and that things that were under no consideration in the ’60s are now a topic for consideration?”

With those new considerations, there’s still the status quo concern of preserving the downstream benefits as a trade off for the flooding and other impacts on this side of the border.

The B.C. position on that score is the same under the New Democrats as it was under the Liberals, despite a B.C. auditor general report on deferred BC Hydro costs.

“The level of benefits to B.C., which is currently solely in the form of the (electricity) entitlement, does not account for the full range of benefits in the U.S. or the impacts in B.C.,” says the statement of principle.

“All downstream U.S. benefits such as flood risk management, hydropower, ecosystems, water supply (including municipal, industrial and agricultural uses), recreation, navigation and other related benefits should be accounted for and such value created should be shared equitably between the two countries.”

No surprise if the Americans do not see it the same way.  But that is a topic for another day.

 

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Florida Court Blocks Push to Break Electricity Monopolies

Florida Electricity Deregulation Ruling highlights the Florida Supreme Court decision blocking a ballot measure on retail choice, preserving utility monopolies for NextEra and Duke Energy, while similar deregulation efforts arise in Virginia and Arizona.

 

Key Points

A high court decision removing a retail choice ballot measure, keeping Florida utility monopolies intact for incumbents.

✅ Petition language deemed misleading for 2020 ballot

✅ Preserves NextEra and Duke Energy market dominance

✅ Similar retail choice pushes in VA and AZ

 

Florida’s top court ruled against a proposed constitutional amendment that would have allowed customers to pick their electricity provider, even as Florida solar incentives face rejection by state leaders, threatening monopolies held by utilities such as NextEra Energy Inc. and Duke Energy Corp.

In a ruling Thursday, the court said the petition’s language is “misleading” and doesn’t comply with requirements to be included on the 2020 ballot, reflecting debates over electricity pricing changes at the federal level. The measure’s sponsor, Citizens for Energy Choice, said the move ends the initiative, even as electricity future advocacy continues nationwide.

“While we were confident in our plan to gather the remaining signatures required, we cannot overcome this last obstacle,” the group’s chair, Alex Patton, noting ongoing energy freedom in the South efforts, said in a statement.

The proposed measure was one of several efforts underway to deregulate U.S. electricity markets, including New York’s review of retail energy markets this year. Earlier this week, two Virginia state lawmakers unveiled a bill to allow residents and businesses to pick their electricity provider, threatening Dominion Energy Inc.’s longstanding local monopoly. And in Arizona, where Arizona Public Service Co. has long reigned, regulators are considering a similar move, while in New England Hydro-Quebec’s export bid has been energized by a court decision.

 

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Alberta is a powerhouse for both green energy and fossil fuels

Alberta Renewable Energy Market is accelerating as wind and solar prices fall, corporate PPAs expand, and a deregulated, energy-only system, AESO outlooks, and TIER policy drive investment across the province.

 

Key Points

An open, energy-only Alberta market where wind and solar growth is driven by corporate PPAs, AESO outlooks, and TIER.

✅ Energy-only, deregulated grid enables private investment

✅ Corporate PPAs lower costs and hedge power price risk

✅ AESO forecasts and TIER policy support renewables

 

By Chris Varcoe, Calgary Herald

A few things are abundantly clear about the state of renewable energy in Alberta today.

First, the demise of Alberta’s Renewable Electricity Program (REP) under the UCP government isn’t going to see new projects come to a screeching halt.

In fact, new developments are already going ahead.

And industry experts believe private-sector companies that increasingly want to purchase wind or solar power are going to become a driving force behind even more projects in Alberta.

BluEarth Renewables CEO Grant Arnold, who spoke Wednesday at the Canadian Wind Energy Association conference, pointed out the sector is poised to keep building in the province, even with the end of the REP program that helped kick-start projects and triggered low power prices.

“The fundamentals here are, I think, quite fantastic — strong resource, which leads to really competitive wind prices . . . it’s now the cheapest form of new energy in the province,” he told the audience.

“Alberta is in a fundamentally good place to grow the wind power market.”

Unlike other provinces, Alberta has an open, deregulated marketplace, which create opportunities for private-sector investment and renewable power developers as well.

The recent decision by the Kenney government to stick with the energy-only market, instead of shifting to a capacity market, is seen as positive for Alberta's energy future by renewable electricity developers.

There is also increasing interest from corporations to buy wind and solar power from generators — a trend that has taken off in the United States with players such as Google, General Motors and Amazon — and that push is now emerging in Canada.

“It’s been really important in the U.S. for unlocking a lot of renewable energy development,” said Sara Hastings-Simon, founding director of the Business Renewable Centre Canada, which seeks to help corporate buyers source renewable energy directly from project developers.

“You have some companies where . . . it’s what their investors and customers are demanding. I think we will see in Alberta customers who see this as a good way to meet their carbon compliance requirements.

“And the third motivation to do it is you can get the power at a good price.”

Just last month, Perimeter Solar signed an agreement with TC Energy to supply the Calgary-based firm with 74 megawatts from its solar project near Claresholm.

More deals in the industry are being discussed, and it’s expected this shift will drive other projects forward.

There is increasing interest from corporations to buy solar and wind energy directly from generators.

“The single-biggest change has been the price of wind and solar,” Arnold said in an interview.

“Alberta looks really, really bright right now because we have an open market. All other provinces, for regulatory reasons, we can’t have this (deal) . . . between a generator and a corporate buyer of power. So Alberta has a great advantage there.”

These forces are emerging as the renewable energy industry has seen dramatic change in recent years in Alberta, with costs dropping and an array of wind and solar developments moving ahead, even as solar expansion faces challenges in the province.

The former NDP government had an aggressive target to see green energy sources make up 30 per cent of all electricity generation by 2030.

Last week, the Alberta Electric System Operator put out its long-term outlook, with its base-case scenario projecting moderate demand growth for power over the next two decades. However, the expected load growth — expanding by an average of 0.9 per cent annually until 2039 — is only half the rate seen in the past 20 years.

Natural gas will become the main generation source in the province as coal-fired power (now comprising more than one-third of generation) is phased out.

Renewable projects initiated under the former NDP government’s REP program will come online in the near term, while “additional unsubsidized renewable generation is expected to develop through competitive market mechanisms and support from corporate power purchase agreements,” the report states.

AESO forecasts installed generation capacity for renewables will almost double to about 19 per cent by 2030, with wind and solar increasing to 21 per cent by 2039.

Another key policy issue for the sector will likely come within the next few weeks when the provincial government introduces details of its new Technology Innovation and Emissions Reduction program (TIER).

The initiative will require large industrial emitters to reduce greenhouse gas emissions to a benchmark level, pay into the technology fund, or buy offsets or credits. The carbon price is expected to be around $20 to $30 a tonne, and the system will kick in on Jan. 1, 2020.

Industry players point out the decision to stick with Alberta’s energy-only market along with the details surrounding TIER, and a focus by government on reducing red tape, should all help the sector attract investment.

“It is pretty clear there is a path forward for renewables here in the province,” said Evan Wilson, regional director with the Canadian Wind Energy Association.

All of these factors are propelling the wind and solar sector forward in the province, at the same time the oil and gas sector faces challenges to grow.

But it doesn’t have to be an either/or choice for the province moving forward. We’re going to need many forms of energy in the coming decades, and Alberta is an energy powerhouse, with potential to develop more wind and solar, as well as oil and natural gas resources.

“What we see sometimes is the politics and discussion around renewables or oil becomes a deliberate attempt to polarize people,” Arnold added.

“What we are trying to show, in working in Alberta on renewable projects, is it doesn’t have to be polarizing. There are a lot of solutions.

“The combination of solutions is part of what we need to talk about.”

 

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