Addition to Nuclear Plants' Capacity Questioned

By New York Times


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WASHINGTON — Safety experts are questioning an effort by the nation's nuclear industry that has expanded its output by the equivalent of three large reactors without adding a single new plant.

In the last two decades, nuclear plants have won permits to uprate, meaning add capacity to reactors, with almost no opposition. With these upgrades, plus expanded working hours and 20-year extensions on operating licenses, the nuclear industry has expanded its electrical output to a point that safety experts say could be dangerous.

For their part, plant owners say they are modernizing in way that can improve safety.

But a battle line has been drawn over an application by Entergy Nuclear to raise a reactor's power output by 20 percent.

Some nuclear engineers outside the company hope they can mount a serious technical challenge to this application so it will not sail through as the previous 99 applications have.

Entergy Nuclear applied in September to the Nuclear Regulatory Commission for permission to raise the power output of a 32-year-old reactor it owns, the Vermont Yankee, by 20 percent.

In considering additions of capacity the commission has changed the way it measures the risk that emergency cooling water, which is needed to dissipate heat at the higher power level, will boil into steam during an accident.

If the water turned into steam, it would make cooling impossible, the fuel could melt, and radioactive material would be released.

The Vermont plant is exempt from some government safety regulations because it was licensed before they were written, and it is now trying to reduce its safety margin "far beyond anything that could be licensed today," said Paul M. Blanch, an engineer with decades of experience in the nuclear field.

While no one has ordered a new nuclear plant in this country since 1973, except for those that were canceled before completion, the 103 reactors now licensed have not only added capacity but will add the equivalent of another two or three plants in the next few years, industry and government experts say.

These uprates, involving mostly minor changes that allow more power production, helped allow the nuclear industry's share of American power production to stay around 20 percent even with no new plants.

Plant managers say that the Vermont Yankee, in Vernon, Vt., just north of the Massachusetts border, was built with enormous unused capacity. And nuclear experts, even some who say that Vermont Yankee's application should receive extra close scrutiny, say that increasing power output can make a plant safer because modernization may include installing more precise, reliable components.

According to Entergy's plans, when Vermont Yankee is next refueled with fresh uranium, technicians will put in more of the type that is easily split to produce energy, and workers will install water pumps that will deliver more water so the reactor can produce more steam. The company will also install a new turbine, which takes the energy of the steam and uses it to turn a shaft, and a new generator, which uses the shaft's energy to make electricity.

The reactor's current capacity of 524 megawatts of electricity would rise to 634; one megawatt would keep 1,000 window air-conditioners running. Experts say this upgrade will probably cost about $60 million — far less expensive than creating the equivalent by building a new plant. Fuel expenses would rise somewhat, but not the long-term labor and maintenance costs.

That economic logic has appealed to the nuclear industry, especially as the electric industry restructured over the last few years and some reactors were sold.

"As people began to look at competitive markets and renewing the operating licenses, they said, `If I make a little more investment in this plant, I can uprate it even further,' " said Marvin Fertel, the chief nuclear officer at the Nuclear Energy Institute, an industry trade group.

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Ford Threatens to Cut U.S. Electricity Exports Amid Trade Tensions

Ontario Electricity Export Retaliation signals tariff-fueled trade tensions as Doug Ford leverages cross-border energy flows to the U.S., risking grid reliability, higher power prices, and escalating a Canada-U.S. trade war over protectionist policies.

 

Key Points

A policy threat by Ontario to cut power exports to U.S. states in response to tariffs, leveraging grid dependence.

✅ Powers about 1.5M U.S. homes in NY, MI, and MN

✅ Risks price spikes, shortages, and legal challenges

✅ Part of Canada's CAD 30B retaliatory tariff package

 

In a move that underscores the escalating trade tensions between Canada and the United States, Ontario Premier Doug Ford has threatened to halt electricity exports to U.S. states in retaliation for the Trump administration's recent tariffs. This bold stance highlights Ontario's significant role in powering regions across the U.S. and serves as a warning about the potential consequences of trade disputes.

The Leverage of Ontario's Electricity

Ontario's electricity exports are not merely supplementary; they are essential to the energy supply of several U.S. states. The province provides power to approximately 1.5 million homes in states such as New York, Michigan, and Minnesota, even as it eyes energy independence through domestic initiatives. This substantial export positions Ontario as a key player in the regional energy market, giving the province considerable leverage in trade negotiations.

Premier Ford's Ultimatum

Responding to the Trump administration's imposition of a 25% tariff on Canadian imports, Premier Ford, following a Washington meeting, declared, "If they want to play tough, we can play tough." He further emphasized his readiness to act, stating, "I’ll cut them off with a smile on my face." This rhetoric underscores Ontario's willingness to use its energy exports as a bargaining chip in the trade dispute.

Economic and Political Ramifications

The potential cessation of electricity exports to the U.S. would have profound economic implications. U.S. states that rely on Ontario's power could face energy shortages, leading to increased prices, particularly New York energy prices, and potential disruptions. Such an action would not only strain the energy supply but also escalate political tensions, potentially affecting other areas of bilateral cooperation.

Canada's Retaliatory Measures

Ontario's threat is part of a broader Canadian strategy to counteract U.S. tariffs. Prime Minister Justin Trudeau has announced retaliatory tariffs on U.S. goods worth approximately CAD 30 billion, targeting products such as food, textiles, and furniture. These measures aim to pressure the U.S. administration into reconsidering its trade policies.

The Risk of Escalation

While leveraging energy exports provides Ontario with a potent tool, it also carries significant risks, as experts warn against cutting Quebec's energy exports amid tariff tensions. Such actions could lead to a full-blown trade war, with both countries imposing tariffs and export restrictions. The resulting economic fallout could affect various sectors, from manufacturing to agriculture, and lead to job losses and increased consumer prices.

International Trade Relations

The dispute also raises questions about the stability of international trade agreements and the rules governing cross-border energy transactions. Both Canada and the U.S. are signatories to various trade agreements that promote the free flow of goods and services, including energy. Actions like export bans could violate these agreements and lead to legal challenges.

Public Sentiment and Nationalism

The trade tensions have sparked a surge in Canadian nationalism, with public sentiment largely supporting tariffs on energy and minerals as retaliatory measures. This sentiment is evident in actions such as boycotting American products and expressing discontent at public events. However, while national pride is a unifying force, it does not mitigate the potential economic hardships that may result from prolonged trade disputes.

The Path Forward

Navigating this complex situation requires careful diplomacy and negotiation. Both Canada and the U.S. must weigh the benefits of trade against the potential costs of escalating tensions. Engaging in dialogue, seeking compromise, and adhering to international trade laws are essential steps to prevent further deterioration of relations and to ensure the stability of both economies.

Ontario's threat to cut off electricity exports to the U.S. serves as a stark reminder of the interconnectedness of global trade and the potential consequences of protectionist policies. While such measures can be effective in drawing attention to grievances, they also risk significant economic and political fallout. As the situation develops, it will be crucial to monitor the responses of both governments and the impact on industries and consumers alike, including growing support for Canadian energy projects among stakeholders.

 

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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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What's at stake if Davis-Besse and other nuclear plants close early?

FirstEnergy Nuclear Plant Closures threaten Ohio and Pennsylvania jobs, tax revenue, and grid stability, as Nuclear Matters and Brattle Group warn of higher carbon emissions and market pressures from PJM and cheap natural gas.

 

Key Points

Planned shutdowns of Davis-Besse, Perry, and Beaver Valley, with regional economic and carbon impacts.

✅ Over 3,000 direct jobs and local tax revenue at risk

✅ Emissions may rise until renewables scale, possibly into 2034

✅ Debate over subsidies, market design, and PJM capacity rules

 

A national nuclear lobby wants to remind people what's at stake for Ohio and Pennsylvania if FirstEnergy Solutions follows through with plans to shut down three nuclear plants over the next three years, including its Davis-Besse nuclear plant east of Toledo.

A report issued Monday by Nuclear Matters largely echoes concerns raised by FES, a subsidiary of FirstEnergy Corp., and other supporters of nuclear power about economic and environmental hardships and brownout risks that will likely result from the planned closures.

Along with Davis-Besse, Perry nuclear plant east of Cleveland and the twin-reactor Beaver Valley nuclear complex west of Pittsburgh are slated to close.

#google#

"If these plants close, the livelihoods of thousands of Ohio and Pennsylvania residents will disappear. The over 3,000 highly skilled individuals directly employed by these sites will leave to seek employment at other facilities still operating around the country," Lonnie Stephenson, International Brotherhood of Electrical Workers president, said in a statement distributed by Nuclear Matters. Mr. Stephenson also serves on the Nuclear Matters advocacy council.

This new report and others like it are part of an extensive campaign by nuclear energy advocates to court state and federal legislators one more time for tens of millions of dollars of financial support or at least legislation that better suits the nuclear industry. Critics allege such pleas amount to a request for massive government bailouts, arguing that deregulated electricity markets should not subsidize nuclear.

The latest report was prepared for Nuclear Matters by the Brattle Group, a firm that specializes in analyzing economic, finance, and regulatory issues for corporations, law firms, and governments.

"These announced retirements create a real urgency to learn what would happen if these plants are lost," Dean Murphy, the Brattle report's lead author, said.

More than 3,000 jobs would be lost, as would millions of dollars in tax revenue. It also could take as long as 2034 for the region's climate-altering carbon emissions to be brought back down to existing levels, based on current growth projections for solar- and wind-powered projects, and initiatives such as ending coal by 2032 by some utilities, Mr. Murphy said.

His group's report only takes into account nuclear plant operations, though. Many of those who oppose nuclear power have long pointed out that mining uranium for nuclear plant fuel generates substantial emissions, as does the process of producing steel cladding for fuel bundles and the enrichment-production of that fuel. Still, nuclear has ranked among the better performers in reports that have taken such a broader look at overall emissions.

FES has accused the regional grid operator, PJM Interconnection, of creating market conditions that favor natural gas and, thus, make it almost impossible for nuclear to compete throughout its 13-state region, a debate intensified by proposed electricity pricing changes at the federal level.

PJM has strongly denied those accusations, and has said it anticipates no shortfalls in energy distribution if those nuclear plants close prematurely, even as a recent FERC decision on grid policy drew industry criticism.

FES, citing massive losses, has filed for Chapter 11 bankruptcy. The target dates for closures of the FES properties are May 31, 2020 for Davis-Besse; May 31, 2021 for Perry and Beaver Valley Unit 1, and Oct. 31, 2021 for Beaver Valley Unit 2.

In addition to the three FES sites, the report includes information about the Three Mile Island Unit 1 plant near Harrisburg, Pa., which Chicago-based Exelon Generation Corp. has previously announced will be shut down in 2019. That plant and others are experiencing similar difficulties the FES plants face by competing in a market radically changed by record-low natural gas prices.

 

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Europe's Renewables Are Crowding Out Gas as Coal Phase-Out Slows

EU Renewable Energy Shift is cutting gas dependence as wind and solar expand, reshaping Europe's power mix, curbing emissions, and pressuring coal use amid a supply crisis and rising natural gas prices.

 

Key Points

An EU trend where wind and solar growth reduce gas reliance, curb coal, and lower power-sector emissions.

✅ Wind and solar displace gas in EU power mix

✅ Coal use rises as gas prices surge

✅ Emissions fall, but not fast enough for 1.5 C target

 

The European Union’s renewable energy sources are helping reduce its dependence on natural gas, under the current European electricity pricing framework, that’s still costing the region dearly.

Renewables growth has helped reduce the EU’s dependence on gas, as wind and solar outpaced gas across the bloc last year, which has soared in price since the middle of last year as the region grapples with a supply crisis that’s dealt blows to industries as well as ordinary consumers’ pockets. More than half of new renewable generation since 2019 has replaced gas power, according to a study by London-based climate think tank Ember, with the rest replacing mainly nuclear and coal sources.

“These are moments and paradigm shifts when governments and businesses start taking this much more seriously,” said Charles Moore, the lead author on the study, amid Covid-19 responses accelerating the transition across Europe. “The alternatives are available, they are cheaper, and they are likely to get even cheaper and more competitive. Renewables are now an opportunity, not a cost.”

The high price of gas relative to coal has meant utilities are leaning more on coal as a back-up for renewable generation, as stunted hydro and nuclear output has constrained low-carbon alternatives in parts of Europe, which risks the trajectory of Europe’s phase-out of the dirtiest fossil fuel. Last year, the EU’s coal use jumped disproportionately high relative to the rise in power generation as high gas prices boosted the relative profitability of burning coal instead.


Europe Coal Use Jumps as Costly Gas Turns Firms to Dirty Fuel
EU power generation from renewables reached a record high in 2021 of 547 terawatt-hours last year, accounting for an 11% increase compared to two years before, according to Ember’s Europe Electricity Review. It’s more than doubled in a decade, representing a 157% increase since 2011. 

Gas use declined last year for the second year in a row, as Europe explores storing electricity in gas pipelines to leverage existing infrastructure, reaching a level 8.1% lower than 2019. By contrast, coal use fell just 3.3% in the same period. Put simply, wind and solar did a great job of replacing coal during 2011-2019 but since then renewables have mostly been nudging out gas-fired power stations.

Ember’s Moore warned that the slowing phase-out of coal might require legislation to accelerate. The International Energy Agency recommends OECD countries cease using coal by the end of the decade to ensure alignment with the Paris Agreement target of keeping the world’s temperature increase below 1.5 Celsius, with renewables poised to eclipse coal globally by the mid-2020s lending momentum. 

“Europe can accelerate the phasing out of coal by building more renewable energy and faster,” said Felicia Aminoff,  an energy-transition analyst at BloombergNEF. “Wind and solar have no fuel costs, so as soon as you have made the initial investments to build wind and solar capacity it will start replacing generation that uses any kind of fuel, whether it is coal or gas.”

Overall, EU power sector emissions fell at less than half the rate required to hit that target, Ember’s report said. Spain produced the largest emissions reduction in the last two years, with renewables adding about 25 TWh and gas falling 15 TWh, and in Germany renewables topped coal and nuclear for the first time to support the shift. In contrast, heavy use of coal dragged down the bloc’s climate progress in Poland, where coal use rose about 8 TWh and renewables gained only 4 TWh.

 

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NEW Hydro One shares down after Ontario government says CEO, board out

Hydro One Leadership Shakeup unsettles investors as Ontario government ousts CEO and board, pressuring shares; analysts cite political and regulatory risk, stock volatility, trimmed price targets, and dividend stability at the regulated utility.

 

Key Points

An abrupt CEO exit and board overhaul at Hydro One, driving share declines and raising political and regulatory risk.

✅ Shares fall as CEO retires and board resigns under provincial pressure.

✅ Analysts cut price targets; warn of political, regulatory risks.

✅ New board to pick CEO; province consults on compensation.

 

Hydro One Ltd. shares slid Thursday with some analysts sounding warnings of greater uncertainty after the new Ontario government announced the retirement of the electrical utility's chief executive and the replacement of its board of directors.

 After sagging by almost eight per cent in early trading on the Toronto Stock Exchange, following news that Q2 profit plunged 23% amid weaker electricity revenue, shares of the company were later down four per cent, or 81 cents, at $19.36 as of 11:42 a.m. ET.

On Wednesday, after stock markets had closed for the day, Ontario Premier Doug Ford announced the immediate retirement of Hydro One CEO Mayo Schmidt. He leaves with a $400,000 payout in lieu of post-retirement benefits and allowances, Hydro One said.

Doug Ford's government forces out Hydro One '$6-million man'

During the recent provincial election campaign, Ford vowed to fire Schmidt, who earned $6.2 million last year and whose salary wouldn't be reduced despite calls to cut electricity costs.

Paul Dobson, Hydro One's chief financial officer, will serve as acting CEO until a new top executive is selected.

Ford also said the entire board of directors of the utility would resign. Hydro One said a new board — four members of which will be nominated by the province — will select the company's next CEO, and the province will be consulted on the next leader's compensation.

A new board is expected to be formed by mid-August.

The provincial government is the largest single investor in Hydro One, holding a 47 per cent stake. The company was partly privatized by the former Liberal government in 2015, while the NDP has proposed to make hydro public again in Ontario to change course.

 

Doug Ford promises to keep Pickering nuclear plant open until 2024

In response to the government's move to supplant the utility's board and CEO, some analysts cautioned investors about too many unknowns in the near-term outlook, citing raised political or regulatory risks.

Analyst Jeremy Rosenfield of iA Securities cut his rating on Hydro One shares to hold from buy, and reduced his 12-month price target for the stock to $24 from $26.

Rosenfield said the stock is still a defensive investment supported by stable earnings and cash flows, good earnings growth and healthy dividend.

However, he said in a research note that "the heightened potential for further political interference in the province's electricity market and regulated utility framework represent key risk factors that are likely to outweigh Hydro One's fundamentals over the near term."

 

Potential challenge to find new CEO

Laurentian Bank Securities analyst Mona Nazir said in a research note that the magnitude of change all at once was "surprising but not shocking."

She said the agreement that will see Hydro One consult with the provincial government on matters involving executive pay could have an impact on the hiring of a new CEO for the utility.

"Given the government's open and public criticism of the company and a potential ceiling on compensation, it may be challenging to attract top talent to the position," she wrote.

Laurentian cut its rating on the Hydro One to hold and reduced its price target to $21 from $24.

Analysts at CIBC World Markets said investors face an uncertain future, noting parallels with debates at Manitoba Hydro over political direction.

"In particular, we are are concerned about the government meddling in with [power] rates," wrote Robert Catellier and Archit Kshetrapal in a research note, adding they believe the new provincial government is aiming for a 12 per cent reduction in customers' power bills.

CIBC reduced its price target on Hydro One's shares to $20.50 from its previous target of $24.

 

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Solar farm the size of 313 football fields to be built at Edmonton airport

Airport City Solar Edmonton will deliver a 120-megawatt, 627-acre photovoltaic, utility-scale renewable energy project at EIA, creating jobs, attracting foreign investment, and supplying clean power to Fortis Alberta and airport distribution systems.

 

Key Points

A 120 MW, 627-acre photovoltaic solar farm at EIA supplying clean power to Fortis Alberta and airport systems.

✅ 120 MW utility-scale project over 627 acres at EIA

✅ Feeds Fortis Alberta and airport distribution networks

✅ Drives jobs, investment, and regional sustainability

 

A European-based company is proposing to build a solar farm bigger than 300 CFL football fields at Edmonton's international airport, aligning with Alberta's red-hot solar growth seen across the province.

Edmonton International Airport and Alpin Sun are working on an agreement that will see the company develop Airport City Solar, a 627-acre, 120-megawatt solar farm that reflects how renewable power developers combine resources for stronger projects on what is now a canola field on the west side of the airport lands.

The solar farm will be the largest at an airport anywhere in the world, EIA said in a news release Tuesday, in a region that also hosts the largest rooftop solar array at a local producer.

"It's a great opportunity to drive economic development as well as be better for the environment," Myron Keehn, vice-president, commercial development and air service at EIA, told CBC News, even as Alberta faces challenges with solar expansion that require careful planning.

"We're really excited that [Alpin Sun] has chosen Edmonton and the airport to do it. It's a great location. We've got lots of land, we're geographically located north, which is great for us, because it allows us to have great hours of sunlight.

"As everyone knows in Edmonton, you can golf early in the morning or golf late at night in the summertime here. And in wintertime it's great, because of the snow, and the reflective [sunlight] off the snow that creates power as well."

Airport official Myron Keehn says the field behind him will become home to the world's largest solar farm at an airport. (Scott Neufeld/CBC)

The project will "create jobs, provide sustainable solar power for our region and show our dedication to sustainability," Tom Ruth, EIA president and CEO, said in the news release, while complementing initiatives by Ermineskin First Nation to expand Indigenous participation in electricity generation.

Construction is expected to begin in early 2022, as new solar facilities in Alberta demonstrate lower costs than natural gas. The solar farm would be operational by the end of that year, the release said. 

Alpin Sun says the project will bring in $169 million in foreign investment to the Edmonton metro region amid federal green electricity contracts that are boosting market certainty. 

Power generated by Airport City Solar will feed into Fortis Alberta and airport distribution systems.

 

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