Hydro One provides update on storm impact

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Approximately 140,000 Hydro One customers are without power as a result of severe winds that moved across parts of Ontario all day January 9.

Hydro One crews mobilized and deployed to assess and repair the damage resulting from the wind storm report that they continue to see significant numbers of downed poles and trees on lines.

While winds have subsided in parts of the province, some areas continue to experience windy conditions; causing new outages and hampering restoration efforts.

The company expects that some customers in the hardest hit and remote areas may be without power until the end of the week.

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Jolting the brain's circuits with electricity is moving from radical to almost mainstream therapy

Brain Stimulation is transforming neuromodulation, from TMS and DBS to closed loop devices, targeting neural circuits for addiction, depression, Parkinsons, epilepsy, and chronic pain, powered by advanced imaging, AI analytics, and the NIH BRAIN Initiative.

 

Key Points

Brain stimulation uses pulses to modulate neural circuits, easing symptoms in depression, Parkinsons, and epilepsy.

✅ Noninvasive TMS and invasive DBS modulate specific brain circuits

✅ Closed loop systems adapt stimulation via real time biomarker detection

✅ Emerging uses: addiction, depression, Parkinsons, epilepsy, chronic pain

 

In June 2015, biology professor Colleen Hanlon went to a conference on drug dependence. As she met other researchers and wandered around a glitzy Phoenix resort’s conference rooms to learn about the latest work on therapies for drug and alcohol use disorders, she realized that out of the 730 posters, there were only two on brain stimulation as a potential treatment for addiction — both from her own lab at Wake Forest School of Medicine.

Just four years later, she would lead 76 researchers on four continents in writing a consensus article about brain stimulation as an innovative tool for addiction. And in 2020, the Food and Drug Administration approved a transcranial magnetic stimulation device to help patients quit smoking, a milestone for substance use disorders.

Brain stimulation is booming. Hanlon can attend entire conferences devoted to the study of what electrical currents do—including how targeted stimulation can improve short-term memory in older adults—to the intricate networks of highways and backroads that make up the brain’s circuitry. This expanding field of research is slowly revealing truths of the brain: how it works, how it malfunctions, and how electrical impulses, precisely targeted and controlled, might be used to treat psychiatric and neurological disorders.

In the last half-dozen years, researchers have launched investigations into how different forms of neuromodulation affect addiction, depression, loss-of-control eating, tremor, chronic pain, obsessive compulsive disorder, Parkinson’s disease, epilepsy, and more. Early studies have shown subtle electrical jolts to certain brain regions could disrupt circuit abnormalities — the miscommunications — that are thought to underlie many brain diseases, and help ease symptoms that persist despite conventional treatments.

The National Institute of Health’s massive BRAIN Initiative put circuits front and center, distributing $2.4 billion to researchers since 2013 to devise and use new tools to observe interactions between brain cells and circuits. That, in turn, has kindled interest from the private sector. Among the advances that have enhanced our understanding of how distant parts of the brain talk with one another are new imaging technology and the use of machine learning, much as utilities use AI to adapt to shifting electricity demand, to interpret complex brain signals and analyze what happens when circuits go haywire.

Still, the field is in its infancy, and even therapies that have been approved for use in patients with, for example, Parkinson’s disease or epilepsy, help only a minority of patients, and in a world where electricity drives pandemic readiness expectations can outpace evidence. “If it was the Bible, it would be the first chapter of Genesis,” said Michael Okun, executive director of the Norman Fixel Institute for Neurological Diseases at University of Florida Health.

As brain stimulation evolves, researchers face daunting hurdles, and not just scientific ones. How will brain stimulation become accessible to all the patients who need it, given how expensive and invasive some treatments are? Proving to the FDA that brain stimulation works, and does so safely, is complicated and expensive. Even with a swell of scientific momentum and an influx of funding, the agency has so far cleared brain stimulation for only a handful of limited conditions. Persuading insurers to cover the treatments is another challenge altogether. And outside the lab, researchers are debating nascent issues, such as the ethics of mind control, the privacy of a person’s brain data—concerns that echo efforts to develop algorithms to prevent blackouts during rising ransomware threats—and how to best involve patients in the study of the human brain’s far-flung regions.

Neurologist Martha Morrell is optimistic about the future of brain stimulation. She remembers the shocked reactions of her colleagues in 2004 when she left full-time teaching at Stanford (she still has a faculty appointment as a clinical professor of neurology) to direct clinical trials at NeuroPace, then a young company making neurostimulator systems to potentially treat epilepsy patients.

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“When I started working on this, everybody thought I was insane,” said Morrell. Nearly 20 years in, she sees a parallel between the story of jolting the brain’s circuitry and that of early implantable cardiac devices, such as pacemakers and defibrillators, which initially “were used as a last option, where all other medications have failed.” Now, “the field of cardiology is very comfortable incorporating electrical therapy, device therapy, into routine care. And I think that’s really where we’re going with neurology as well.”


Reaching a ‘slope of enlightenment’
Parkinson’s is, in some ways, an elder in the world of modern brain stimulation, and it shows the potential as well as the limitations of the technology. Surgeons have been implanting electrodes deep in the brains of Parkinson’s patients since the late 1990s, and in people with more advanced disease since the early 2000s.

In that time, it’s gone through the “hype cycle,” said Okun, the national medical adviser to the Parkinson’s Foundation since 2006. Feverish excitement and overinflated expectations have given way to reality, bringing scientists to a “slope of enlightenment,” he said. They have found deep brain stimulation to be very helpful for some patients with Parkinson’s, rendering them almost symptom-free by calming the shaking and tremors that medications couldn’t. But it doesn’t stop the progression of the disease, or resolve some of the problems patients with advanced Parkinson’s have walking, talking, and thinking.

In 2015, the same year Hanlon found only her lab’s research on brain stimulation at the addiction conference, Kevin O’Neill watched one finger on his left hand start doing something “funky.” One finger twitched, then two, then his left arm started tingling and a feeling appeared in his right leg, like it was about to shake but wouldn’t — a tremor.

“I was assuming it was anxiety,” O’Neill, 62, told STAT. He had struggled with anxiety before, and he had endured a stressful year: a separation, selling his home, starting a new job at a law firm in California’s Bay Area. But a year after his symptoms first began, O’Neill was diagnosed with Parkinson’s.

In the broader energy context, California has increasingly turned to battery storage to stabilize its strained grid.

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Doctors prescribed him pills that promote the release of dopamine, to offset the death of brain cells that produce this messenger molecule in circuits that control movement. But he took them infrequently because he worried about insomnia as a side effect. Walking became difficult — “I had to kind of think my left leg into moving” — and the labor lawyer found it hard to give presentations and travel to clients’ offices.

A former actor with an outgoing personality, he developed social anxiety and didn’t tell his bosses about his diagnosis for three years, and wouldn’t have, if not for two workdays in summer 2018 when his tremors were severe and obvious.

O’Neill’s tremors are all but gone since he began deep brain stimulation last May, though his left arm shakes when he feels tense.

It was during that period that he learned about deep brain stimulation, at a support group for Parkinson’s patients. “I thought, ‘I will never let anybody fuss with my brain. I’m not going to be a candidate for that,’” he recalled. “It felt like mad scientist science fiction. Like, are you kidding me?”

But over time, the idea became less radical, as O’Neill spoke to DBS patients and doctors and did his own research, and as his symptoms worsened. He decided to go for it. Last May, doctors at the University of California, San Francisco surgically placed three metal leads into his brain, connected by thin cords to two implants in his chest, just near the clavicles. A month later, he went into the lab and researchers turned the device on.

“That was a revelation that day,” he said. “You immediately — literally, immediately — feel the efficacy of these things. … You go from fully symptomatic to non-symptomatic in seconds.”

When his nephew pulled up to the curb to pick him up, O’Neill started dancing, and his nephew teared up. The following day, O’Neill couldn’t wait to get out of bed and go out, even if it was just to pick up his car from the repair shop.

In the year since, O’Neill’s walking has gone from “awkward and painful” to much improved, and his tremors are all but gone. When he is extra frazzled, like while renovating and moving into his new house overlooking the hills of Marin County, he feels tense and his left arm shakes and he worries the DBS is “failing,” but generally he returns to a comfortable, tremor-free baseline.

O’Neill worried about the effects of DBS wearing off but, for now, he can think “in terms of decades, instead of years or months,” he recalled his neurologist telling him. “The fact that I can put away that worry was the big thing.”

He’s just one patient, though. The brain has regions that are mostly uniform across all people. The functions of those regions also tend to be the same. But researchers suspect that how brain regions interact with one another — who mingles with whom, and what conversation they have — and how those mixes and matches cause complex diseases varies from person to person. So brain stimulation looks different for each patient.

Related: New study revives a Mozart sonata as a potential epilepsy therapy
Each case of Parkinson’s manifests slightly differently, and that’s a bit of knowledge that applies to many other diseases, said Okun, who organized the nine-year-old Deep Brain Stimulation Think Tank, where leading researchers convene, review papers, and publish reports on the field’s progress each year.

“I think we’re all collectively coming to the realization that these diseases are not one-size-fits-all,” he said. “We have to really begin to rethink the entire infrastructure, the schema, the framework we start with.”

Brain stimulation is also used frequently to treat people with common forms of epilepsy, and has reduced the number of seizures or improved other symptoms in many patients. Researchers have also been able to collect high-quality data about what happens in the brain during a seizure — including identifying differences between epilepsy types. Still, only about 15% of patients are symptom-free after treatment, according to Robert Gross, a neurosurgery professor at Emory University in Atlanta.

“And that’s a critical difference for people with epilepsy. Because people who are symptom-free can drive,” which means they can get to a job in a place like Georgia, where there is little public transit, he said. So taking neuromodulation “from good to great,” is imperative, Gross said.


Renaissance for an ancient idea
Recent advances are bringing about what Gross sees as “almost a renaissance period” for brain stimulation, though the ideas that undergird the technology are millenia old. Neuromodulation goes back to at least ancient Egypt and Greece, when electrical shocks from a ray, called the “torpedo fish,” were recommended as a treatment for headache and gout. Over centuries, the fish zaps led to doctors burning holes into the brains of patients. Those “lesions” worked, somehow, but nobody could explain why they alleviated some patients’ symptoms, Okun said.

Perhaps the clearest predecessor to today’s technology is electroconvulsive therapy (ECT), which in a rudimentary and dangerous way began being used on patients with depression roughly 100 years ago, said Nolan Williams, director of the Brain Stimulation Lab at Stanford University.

Related: A new index measures the extent and depth of addiction stigma
More modern forms of brain stimulation came about in the United States in the mid-20th century. A common, noninvasive approach is transcranial magnetic stimulation, which involves placing an electromagnetic coil on the scalp to transmit a current into the outermost layer of the brain. Vagus nerve stimulation (VNS), used to treat epilepsy, zaps a nerve that contributes to some seizures.

The most invasive option, deep brain stimulation, involves implanting in the skull a device attached to electrodes embedded in deep brain regions, such as the amygdala, that can’t be reached with other stimulation devices. In 1997, the FDA gave its first green light to deep brain stimulation as a treatment for tremor, and then for Parkinson’s in 2002 and the movement disorder dystonia in 2003.

Even as these treatments were cleared for patients, though, what was happening in the brain remained elusive. But advanced imaging tools now let researchers peer into the brain and map out networks — a recent breakthrough that researchers say has propelled the field of brain stimulation forward as much as increased funding has, paralleling broader efforts to digitize analog electrical systems across industry. Imaging of both human brains and animal models has helped researchers identify the neuroanatomy of diseases, target brain regions with more specificity, and watch what was happening after electrical stimulation.

Another key step has been the shift from open-loop stimulation — a constant stream of electricity — to closed-loop stimulation that delivers targeted, brief jolts in response to a symptom trigger. To make use of the futuristic technology, labs need people to develop artificial intelligence tools, informed by advances in machine learning for the energy transition, to interpret large data sets a brain implant is generating, and to tailor devices based on that information.

“We’ve needed to learn how to be data scientists,” Morrell said.

Affinity groups, like the NIH-funded Open Mind Consortium, have formed to fill that gap. Philip Starr, a neurosurgeon and developer of implantable brain devices at the University of California at San Francisco Health system, leads the effort to teach physicians how to program closed-loop devices, and works to create ethical standards for their use. “There’s been extraordinary innovation after 20 years of no innovation,” he said.

The BRAIN Initiative has been critical, several researchers told STAT. “It’s been a godsend to us,” Gross said. The NIH’s Brain Research through Advancing Innovative Neurotechnologies (BRAIN) Initiative was launched in 2013 during the Obama administration with a $50 million budget. BRAIN now spends over $500 million per year. Since its creation, BRAIN has given over 1,100 awards, according to NIH data. Part of the initiative’s purpose is to pair up researchers with medical technology companies that provide human-grade stimulation devices to the investigators. Nearly three dozen projects have been funded through the investigator-devicemaker partnership program and through one focused on new implantable devices for first-in-human use, according to Nick Langhals, who leads work on neurological disorders at the initiative.

The more BRAIN invests, the more research is spawned. “We learn more about what circuits are involved … which then feeds back into new and more innovative projects,” he said.

Many BRAIN projects are still in early stages, finishing enrollment or small feasibility studies, Langhals said. Over the next couple of years, scientists will begin to see some of the fruits of their labor, which could lead to larger clinical trials, or to companies developing more refined brain stimulation implants, Langhals said.

Money from the National Institutes of Mental Health, as well as the NIH’s Helping to End Addiction Long-term (HEAL), has similarly sweetened the appeal of brain stimulation, both for researchers and industry. “A critical mass” of companies interested in neuromodulation technology has mushroomed where, for two decades, just a handful of companies stood, Starr said.

More and more, pharmaceutical and digital health companies are looking at brain stimulation devices “as possible products for their future,” said Linda Carpenter, director of the Butler Hospital TMS Clinic and Neuromodulation Research Facility.


‘Psychiatry 3.0’
The experience with using brain stimulation to stop tremors and seizures inspired psychiatrists to begin exploring its use as a potentially powerful therapy for healing, or even getting ahead of, mental illness.

In 2008, the FDA approved TMS for patients with major depression who had tried, and not gotten relief from, drug therapy. “That kind of opened the door for all of us,” said Hanlon, a professor and researcher at the Center for Research on Substance Use and Addiction at Wake Forest School of Medicine. The last decade saw a surge of research into how TMS could be used to reset malfunctioning brain circuits involved in anxiety, depression, obsessive-compulsive disorder, and other conditions.

“We’re certainly entering into what a lot of people are calling psychiatry 3.0,” Stanford’s Williams said. “Whereas the first iteration was Freud and all that business, the second one was the psychopharmacology boom, and this third one is this bit around circuits and stimulation.”

Drugs alleviate some patients’ symptoms while simultaneously failing to help many others, but psychopharmacology clearly showed “there’s definitely a biology to this problem,” Williams said — a biology that in some cases may be more amenable to a brain stimulation.

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The exact mechanics of what happens between cells when brain circuits … well, short-circuit, is unclear. Researchers are getting closer to finding biomarkers that warn of an incoming depressive episode, or wave of anxiety, or loss of impulse control. Those brain signatures could be different for every patient. If researchers can find molecular biomarkers for psychiatric disorders — and find ways to preempt those symptoms by shocking particular brain regions — that would reshape the field, Williams said.

Not only would disease-specific markers help clinicians diagnose people, but they could help chip away at the stigma that paints mental illness as a personal or moral failing instead of a disease. That’s what happened for epilepsy in the 1960s, when scientific findings nudged the general public toward a deeper understanding of why seizures happen, and it’s “the same trajectory” Williams said he sees for depression.

His research at the Stanford lab also includes work on suicide, and obsessive-compulsive disorder, which the FDA said in 2018 could be treated using noninvasive TMS. Williams considers brain stimulation, with its instantaneity, to be a potential breakthrough for urgent psychiatric situations. Doctors know what to do when a patient is rushed into the emergency room with a heart attack or a stroke, but there is no immediate treatment for psychiatric emergencies, he said. Williams wonders: What if, in the future, a suicidal patient could receive TMS in the emergency room and be quickly pulled out of their depressive mental spiral?

Researchers are also actively investigating the brain biology of addiction. In August 2020, the FDA approved TMS for smoking cessation, the first such OK for a substance use disorder, which is “really exciting,” Hanlon said. Although there is some nuance when comparing substance use disorders, a primal mechanism generally defines addiction: the eternal competition between “top-down” executive control functions and “bottom-up” cravings. It’s the same process that is at work when one is deciding whether to eat another cookie or abstain — just exacerbated.

Hanlon is trying to figure out if the stop and go circuits are in the same place for all people, and whether neuromodulation should be used to strengthen top-down control or weaken bottom-up cravings. Just as brain stimulation can be used to disrupt cellular misfiring, it could also be a tool for reinforcing helpful brain functions, or for giving the addicted brain what it wants in order to curb substance use.

Evidence suggests many people with schizophrenia smoke cigarettes (a leading cause of early death for this population) because nicotine reduces the “hyperconnectivity” that characterizes the brains of people with the disease, said Heather Ward, a research fellow at Boston’s Beth Israel Deaconess Medical Center. She suspects TMS could mimic that effect, and therefore reduce cravings and some symptoms of the disease, and she hopes to prove that in a pilot study that is now enrolling patients.

If the scientific evidence proves out, clinicians say brain stimulation could be used alongside behavioral therapy and drug-based therapy to treat substance use disorders. “In the end, we’re going to need all three to help people stay sober,” Hanlon said. “We’re adding another tool to the physician’s toolbox.”

Decoding the mysteries of pain
Afavorable outcome to the ongoing research, one that would fling the doors to brain stimulation wide open for patients with myriad disorders, is far from guaranteed. Chronic pain researchers know that firsthand.

Chronic pain, among the most mysterious and hard-to-study medical phenomena, was the first use for which the FDA approved deep brain stimulation, said Prasad Shirvalkar, an assistant professor of anesthesiology at UCSF. But when studies didn’t pan out after a year, the FDA retracted its approval.

Shirvalkar is working with Starr and neurosurgeon Edward Chang on a profoundly complex problem: “decoding pain in the brain states, which has never been done,” as Starr told STAT.

Part of the difficulty of studying pain is that there is no objective way to measure it. Much of what we know about pain is from rudimentary surveys that ask patients to rate how much they’re hurting, on a scale from zero to 10.

Using implantable brain stimulation devices, the researchers ask patients for a 0-to-10 rating of their pain while recording up-and-down cycles of activity in the brain. They then use machine learning to compare the two streams of information and see what brain activity correlates with a patient’s subjective pain experience. Implantable devices let researchers collect data over weeks and months, instead of basing findings on small snippets of information, allowing for a much richer analysis.

 

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Ontario First Nations urge government to intervene in 'urgently needed' electricity line

East-West Transmission Project Ontario connects Thunder Bay to Wawa, facing OEB bidding, Hydro One vs NextBridge, First Nations consultation, environmental assessment, Pukaskwa National Park route, and reliability needs for Northwestern Ontario industry and communities.

 

Key Points

A 450 km Thunder Bay-Wawa power line proposal facing OEB bidding, Hydro One competition, and First Nations consultation.

✅ Competing bids: Hydro One vs NextBridge under OEB rules

✅ First Nations cite duty to consult and environmental review gaps

✅ Route debate: Pukaskwa Park vs bypass; jobs and reliability at stake

 

Leaders of six First Nations are urging the Ontario government to "clean up" the bureaucratic process that determines who will build an "urgently needed" high-capacity power transmission line to service northern Ontario.

The proposed 450 kilometre East-West Transmission Project is set to stretch from Thunder Bay to Wawa, providing much-needed electricity to northern Ontario. NextBridge Infrastructure, in partnership with Bamkushwada Limited Partnership (BLP) — an entity the First Nations created in order to become co-owners and active participants in the economic development of the line — have been the main proponents of the project since 2012 and were awarded the right to construct.

In 2018, Hydro One appealed to the previous Liberal government with a proposal to build the transmission line with lower maintenance costs. On Dec. 20, the Ontario Energy Board (OEB) issued a decision that said it will issue the contract to construct the project to the company with the lowest bid, even as a Manitoba Hydro line delay followed a board recommendation in a comparable case.

The transmission regime in Ontario allows competing bids at the beginning of a project to designate a transmitter, and then again at the end of the project to award leave to construct.

As a result, the Hydro One was permitted to submit a competing bid, five years after it was first proposed. The chiefs of the six First Nations say that will delay the project by two years, impede their land and violate their rights. The former Liberal government under which the project was initiated "left the door open" for competition to enter this late in the construction, according to the community leaders.

"The former government created this mess and Hydro One has taken advantage of this loophole," Fort William First Nation Chief Peter Collins said in a Queen's Park news conference on Thursday. "Hydro One is an interloper coming in at the last minute, trying taking over the project and all the hard work that has been done, without doing the work it needs to do."

 

Mess will explode, says chief

According to Collins, the Ontario Energy Board is likely to choose Hydro One's late submission in February, "causing this mess to explode." The electricity and distribution utility has not completed any of the legal requirements demanded by a project of this magnitude, Collins said, including extensive consultations with First Nations, such as oral traditional evidence hearings that inform regulators, and thorough environment assessments. He speculated that by ignoring these two things, even though in B.C. Ottawa did not oppose a Site C work halt pending a treaty rights challenge, Hydro One's bid will be the lowest cost.

"Hydro One's interference is a big problem," said Collins. He was flanked by the leaders of the Pic Mobert First Nation, Opwaaganasiniing (also known as the Red Rock Indian Band), Michipicoten, Biigtigong Nishnaabeg — or Pic River First Nation — and Pays Plat First Nation.

Collins also highlighted that Hydro One's proposed route for the transmission line will go through Pukaskwa National Park on which there are Aboriginal title claims, and noted that an opponent of the Site C dam has been sharing concerns with northerners, underscoring the need for meaningful engagement. NextBridge's proposal, Collins said, will go around the park.

If Hydro One is awarded the construction project, at risk, too, are as many as 1,000 job opportunities in northern Ontario (including the Ring of Fire) that are expected from NextBridge's proposal, as well as the "many millions" in contracting opportunities for the communities, Collins said.

"That companies such as Hydro One can do this and dissolve all that has been developed by NextBridge and our [partnership] and all the opportunities we have created will signal to ... everyone in Ontario that Ontario's not open for business, at least fair business," Collins said.

 

Ontario Energy Minister 'disappointed' by OEB's decision

In an email statement to National Observer, Energy Minister Greg Rickford's press secretary said the government acknowledged the concerns of the First Nations leaders, and is "disappointed that the OEB continues to stall on this important project."

"The East-West Tie project is a priority for Ontario because it is needed to provide a reliable and adequate supply of electricity to northwestern Ontario to support economic growth," she wrote.

In October, Rickford wrote to the OEB outlining his expectation that a prompt decision would be made through an efficient and fair process.

Despite the minister’s request, the OEB delayed a decision on this project in December — as in B.C., a utilities watchdog has pressed for answers on Site C dam stability — pushing the service date back to at least 2021. In 2017, NextBridge said that, pending OEB approval, it would start construction in 2018, with completion scheduled for 2020.

Without the transmission line, the community faces a higher likelihood of power outages and less reliable electricity overall.

"Our government takes the duty to consult seriously and it is committed to ensuring that all Indigenous communities are properly consulted and kept informed regardless of the result of the OEB process," Rickford's office's statement said.

In a letter sent to Premier Doug Ford, Rickford and to Environment Minister Rod Phillips, all members of the Bamkushwada Limited Partnership said they will be compelled to appeal the OEB's decision if the right to construct is given to Hydro One.

The entire situation, they wrote in their letter, is "an undeniable mess" that requires government intervention.

"If the Ontario government can correct this looming outcome, it is incumbent on the Ontario government to do so," they wrote, urging the government to "take all legal means to prevent the OEB from rendering an unconstitutional and unjust decision."

"Our First Nations and the north have waited five long years for this transmission project," Collins said. "Enough is enough."

 

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Covid-19 crisis hits solar and wind energy industry

COVID-19 Impact on US Renewable Energy disrupts solar and wind projects, dries up tax equity financing, strains supply chains, delays construction, and slows jobs growth amid limited federal stimulus and uncertain investor appetite.

 

Key Points

COVID-19 has slowed US clean energy growth by curbing tax equity, disrupting supply chains, and delaying projects.

✅ Tax equity dries up as investor profits fall

✅ Supply chain and construction face pandemic delays

✅ Policy aid and credit extensions sought by industry

 

Swinerton Renewable Energy had everything it needed to build a promising new solar farm in Texas. It lined up more than 2,000 acres for the $109 million project estimated to generate 400 jobs while under construction. By its completion date, the solar farm was expected to produce 200 megawatts of energy — enough to power about 25,000 homes — and generate big tax breaks for its investors as part of a government program to incentivize clean energy.

But the coronavirus pandemic put everything on hold. The solar farm’s backers aren’t sure they will make enough money from other investments during the pandemic-fueled downturn for those tax breaks to be worth it. So the project has been delayed at least six months.

“This is not a shortage of materials. It is not a pricing issue,” said George Hershman, president of Swinerton Renewable Energy. “Everything was pointing to successful projects.”

The coronavirus crisis is not only battering the oil and gas industry. It’s drying up capital and disrupting supply chains for businesses trying to move the country toward cleaner sources of energy.

While President Trump has promised lifelines for airlines and oil companies struggling with a drastic decrease in demand as Americans remain under stay-at-home orders, there is little focus in Washington on economic relief for this sector, despite a power coalition's call for action to address the pandemic — unlike during the Great Recession a decade ago, when Congress and the Obama administration earmarked an unprecedented sum for renewable energy and more efficient automobiles in a stimulus bill.

“We don’t want to lose our great oil companies,” Trump said during an April 1 news briefing. He so far has not made a similar promise to help wind and solar firms, and none of the four economic rescue and stimulus packages that Congress has passed to respond to the coronavirus crisis set aside any money for renewable energy specifically.

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The impact of the crisis is already clear: About 106,000 clean-energy workers have already filed for unemployment in March alone, according to an analysis of Bureau of Labor Statistics data by Environmental Entrepreneurs, an advocacy group.

The layoffs are a blow to a sector that has prided itself on official projections that solar installers and wind turbine technicians would be the two fastest growing occupations over the next decade.

The job losses include not just wind and solar construction workers, but also those assembling electric cars and installing energy-efficient appliances, lighting, heating and air conditioning.

“These aren’t left-wing coastal hippies,” said Bob Keefe, executive director of Environmental Entrepreneurs. “These are construction workers who get up every day and lace up their boots and pull on their gloves and go to work putting insulation in our attics.”

Despite the economic turmoil, climate experts say the coronavirus pandemic could be an opportunity to make drastic shifts in the energy landscape, with green investments potentially driving a robust recovery. They say governments around the world should help fund renewable energy and use the turmoil in energy markets to remake the industry and slash carbon dioxide emissions, which will tumble 8 percent this year, according to the International Energy Agency.

The agency said that while global energy demand fell 3.8 percent in the first quarter, renewables were the only source to post an increase in demand, rising 1.5 percent thanks to new renewable power plants, low operating costs and priority on some electricity grids.

But many investors, who rely on a broad mix of investments, are spooked. “Everything is quiet because people want to see where we land with the current crisis, and people are holding on to cash,” said Daniel Klier, the global head of sustainable finance at HSBC bank. “As soon as people have a bit of confidence that the market is recovering, they can get projects going.”

Social distancing and the country’s stay-at-home orders are also having a deep effect on daily operations. The areas hardest hit are installing solar panels on rooftops and adding energy-efficiency measures inside homes — work that often requires face-to-face interactions. Sungevity, once one of the nation’s leading solar-installation companies, laid off 377 workers, most of its workforce, in late March, according to filings with California’s Employment Development Department. The company, which had emerged from a 2017 bankruptcy, cited economic conditions.

The push to promote a more fuel-efficient automobile fleet has also veered off track. The electric car maker Tesla was forced to shut down its factory in Fremont, Calif., just as it was turning up production on its new crossover vehicle, the Model Y.

Lockdown orders across the country led Tesla’s outspoken chief executive, Elon Musk, to launch into an expletive-laden rant during an earnings call last week in which Tesla posted a lukewarm profit of $16 million.

“To say that they cannot leave their house and they will be arrested if they do,” Musk said, “this is fascist.”

Sungevity and Tesla represent only a sliver of the economic pain in this sector across the country. The Solar Energy Industries Association had anticipated a growth in solar jobs, from 250,000 to 300,000, over the course of the year, said the group’s president, Abigail Ross Hopper. Now, she said, half the workforce is at risk.

“Shelter in place puts limitations on how people can work,” she said. “Literally, people don’t want other people inside their houses to fix electrical boxes. And there are no door-to-door sales.”

Bigger projects are also grappling with the pandemic economy, though not as severely. Hopper said the industry was geared up to increase the number of new solar farms, in part to take advantage of federal tax credits. “We were on track to do almost 20 gigawatts, which would have been the highest year yet,” Hopper said. That would have been enough to power about 3.7 million homes. Now she expects new projects will come closer to last year’s 13.27 gigawatts’ worth of new construction, after a report on utility-scale solar delays warned of widespread slowdowns, enough to run approximately 2.5 million homes.

Wind energy companies, too, are bracing for lost progress unless the federal government steps in. The American Wind Energy Association said projects that would add 25 gigawatts of wind power to the U.S. grid are at risk of being scaled back or canceled outright over the next two years because of the pandemic. Altogether, that work represents about 35,000 jobs.

“2019 was a good year for the wind industry,” said Tom Kiernan, the association’s chief executive. “We were expecting 2020 to be an even stronger year.”

One project put on the back burner: an enormous 9 gigawatt offshore wind venture led by the New York State Energy Research and Development Authority set to be completed by 2035.

With New York City besieged by coronavirus cases, the authority said it would comply with an executive order from Gov. Andrew M. Cuomo (D), “pausing” all on-site work on clean-energy projects until at least May 15. Michigan, New Jersey and Pennsylvania also delayed wind turbine projects by deeming construction on them nonessential.

The Danish offshore wind firm Orsted said that plans for offshore U.S. wind installations would move “at a slower pace than originally expected due to a combination of the Bureau of Ocean Energy Management’s prolonged analysis of the cumulative impacts from the build-out of US offshore wind projects, and now also COVID-19 effects.” The company told investors it expects delays on projects off the coasts of New York, New Jersey and Rhode Island totaling almost 3 gigawatts.

The supply chains have also taken a hit during the pandemic: Even if contractors can get the money to erect wind turbines or lay solar arrays, that doesn’t mean they will have the parts. At least two factories that make wind turbine parts — one in North Dakota and another in Iowa — were forced to pause production because of coronavirus outbreaks. Factory shutdowns in China have constrained solar supplies, too.

The key reason for delaying most big solar and wind projects is the use of tax credits known as “tax equity.” These allow investors, such as banks, to use the credits to directly offset their overall tax burdens. But if an investor doesn’t have enough profit to offset the credits, the tax equity could become worthless.

“If your profitability is going down, you don’t have the same appetite,” Hopper said.

Solar and wind industry leaders are pressing Congress and the Trump administration to extend the eligibility period for tax credits that are due to expire, with senators urging support for clean energy in relief packages, and to make the tax credits refundable, meaning the government would issue a check to investors who do not have enough profit to justify their investments.

Currently, big wind turbines get a 1.5 cents per kilowatt hour tax credit if construction begins before the end of this year. Tax credits for residential renewable energy — solar panels and small wind — phase out by the end of 2021, and debate over a potential solar ITC extension continues to shape expectations in the wind market.

The lack of attention to renewables in Congress’s relief efforts so far is in stark contrast to 2009, when the United States spent $112 billion to boost “green” energy, according to the World Resources Institute. The government’s package then provided a mixture of grants and loans for a variety of renewable energy ventures — including a $465 million loan Tesla used to get its Fremont factory off the ground.

This year, a handful of clean-energy firms, including a Connecticut-based manufacturer of fuel cells and an Ohio-based maker of energy-efficient lighting systems, took money from a federal small-business lending program, before funds ran dry in the middle of last month. Broadwind Energy, a maker of steel wind energy towers based outside Chicago, received $9.5 million in small-business loans, one of the biggest totals in the program.

So far, the Trump administration has shown far more eagerness to help American petroleum producers that the president said were “ravaged” by a sharp drop in energy demand. Last month, Trump met with oil executives at the White House, and Energy Secretary Dan Brouillette has floated the idea of bridge loans for struggling oil firms.

During negotiations for the last relief package, congressional Democrats tried to strike a deal to refill the nation’s Strategic Petroleum Reserve in exchange for extending the clean-energy incentives, but Senate Majority Leader Mitch McConnell (R-Ky.) rebuffed those calls.

“Democrats won’t let us fund hospitals or save small businesses unless they get to dust off the Green New Deal,” McConnell said in March.

Already, Democrats are signaling they will make a push again in the next round of stimulus spending.

“Relief and recovery legislation will shape our society for years to come,” said Rep. A. Donald McEachin (D-Va.), vice chair of the House Sustainable Energy and Environment Coalition, a caucus that supports renewable energy resources. “We must use these bills to build in a climate-smart way.”

But it remains unclear how much appetite the GOP will have for a deal. “I just don’t know how to handicap that at this point,” said Grant Carlisle, an analyst at the Natural Resources Defense Council, a major environmental group.

Kiernan, the head of the American Wind Energy Association, said his group has “gotten a very good reception with the administration and with the Hill” when it comes to coronavirus relief, but he declined to go into specifics.

In other parts of the world, governments have been providing support for renewables. The European Union has its own Green New Deal, and China is expected to support wind and solar to get the economy moving more quickly.

Some energy analysts note that big oil companies don’t have to wait for government stimulus. The price of oil is so low that they would be better off investing in wind and solar, they say.

“For all these oil companies, the returns on these renewable projects are better than what they can do in the oil and gas industry,” said Sarah Ladislaw, director of the energy program at the Center for Strategic and International Studies. “Now is a good time to do that and tell their investors.”

This fits in with their broader goals, analysts contend. After all, Royal Dutch Shell recently matched BP’s earlier promise to aim to be net-zero for carbon emissions by 2050.

Shell’s chief executive Ben van Beurden has said the company would try to protect its low-carbon Integrated Gas and New Energies division from the largest spending cuts as it sought to weather the pandemic. “We must maintain focus on the long term,” he said in a video message. “Society expects nothing less.”

 

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Experts Question Quebec's Push for EV Dominance

Quebec EV transition plan aims for 2 million electric vehicles by 2030 and bans new gas cars by 2035, stressing charging infrastructure, incentives, emissions cuts, and industry impacts, with debate over feasibility and economic risks.

 

Key Points

A provincial policy targeting 2M EVs by 2030 and a 2035 gas-car sales ban, backed by charging buildout and incentives.

✅ Requires major charging infrastructure and grid upgrades

✅ Balances incentives with economic impacts and industry readiness

✅ Gas stations persist while EV adoption accelerates cautiously

 

Quebec's ambitious push to dominate the electric vehicle (EV) market, echoing Canada's EV goals in its plan, by setting a target of two million EVs on the road by 2030 and planning to ban the sale of new gas-powered vehicles by 2035 has sparked significant debate among industry experts. While the government's objectives aim to reduce greenhouse gas emissions and promote sustainable transportation, some experts question the feasibility and potential economic impacts of such rapid transitions.

Current Landscape of Gas Stations in Quebec

Contrary to Environment Minister Benoit Charette's assertion that gas stations may become scarce within the next decade, industry experts suggest that the number of gas stations in Quebec is unlikely to decline drastically. Carol Montreuil, Vice President of the Canadian Fuels Association, describes the minister's statement as "wishful thinking," emphasizing that the number of gas stations has remained relatively stable over the past decade. Statistics indicate that in 2023, Quebec residents purchased more gasoline than ever before, and EV shortages and wait times further underscore the continued demand for traditional fuel sources.

Challenges in Accelerating EV Adoption

The government's goal of having two million EVs on Quebec roads by 2030 presents several challenges. Currently, there are approximately 200,000 fully electric cars in the province. Achieving a tenfold increase in less than a decade requires substantial investments in charging infrastructure, consumer incentives, and public education to address concerns such as range anxiety and charging accessibility, especially amid electricity shortage warnings across Quebec and other provinces.

Economic Considerations and Industry Concerns

Industry stakeholders express concerns about the economic implications of rapidly phasing out gas-powered vehicles. Montreuil warns that the industry is already struggling and that attempting to transition too quickly could lead to economic challenges, a view echoed by critics who label the 2035 EV mandate delusional. He suggests that the government may be spending excessive public funds on subsidies for technologies that are still expensive and not yet widely adopted.

Public Sentiment and Adoption Rates

Public sentiment towards EVs is mixed, and experiences in Manitoba suggest the road to targets is not smooth. While some consumers, like Montreal resident Alex Rajabi, have made the switch to electric vehicles and are satisfied with their decision, others remain hesitant due to concerns about vehicle cost, charging infrastructure, and the availability of incentives. Rajabi, who transitioned to an EV nine months ago, notes that while he did not take advantage of the incentive program, he is happy with his decision and suggests that adding charging ports at gas stations could facilitate the transition.

The Need for a Balanced Approach

Experts advocate for a balanced approach that considers the pace of technological advancements, consumer readiness, and economic impacts. While the transition to electric vehicles is essential for environmental sustainability, it is crucial to ensure that the infrastructure, market conditions, and public acceptance are adequately addressed, and to recognize that a share of Canada's electricity still comes from fossil fuels, to make the shift both feasible and beneficial for all stakeholders.

In summary, Quebec's ambitious EV targets reflect a strong commitment to environmental sustainability. However, industry experts caution that achieving these goals requires careful planning, substantial investment, and a realistic assessment of the challenges involved as federal EV sales regulations take shape, in transitioning from traditional vehicles to electric mobility.

 

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Electric shock: China power demand drops as coronavirus shutters plants

China Industrial Power Demand 2020 highlights COVID-19 disruption to electricity consumption as factory output stalls; IHS Markit estimates losses equal to Chile's usage, impacting thermal coal, LNG, and Hubei's industrial load.

 

Key Points

An analysis of COVID-19's hit to China's electricity use, cutting industry demand and fuel needs for coal and LNG.

✅ 73 billion kWh loss equals Chile's annual power use

✅ Cuts translate to 30m tonnes coal or 9m tonnes LNG

✅ Hubei peak load 21 percent below plan amid shutdowns

 

China’s industrial power demand in 2020 may decline by as much as 73 billion kilowatt hours (kWh), according to IHS Markit, as the outbreak of the coronavirus has curtailed factory output and prevented some workers from returning to their jobs.

FILE PHOTO: Smoke is seen from a cooling tower of a China Energy ultra-low emission coal-fired power plant during a media tour, in Sanhe, Hebei province, China July 18, 2019. REUTERS/Shivani Singh
The cut represents about 1.5% of industrial power consumption in China. But, as the country is the world’s biggest electricity consumer and analyses of China's electricity appetite routinely underscore its scale, the loss is equal to the power used in the whole of Chile and it illustrates the scope of the disruption caused by the outbreak.

The reduction is the energy equivalent of about 30 million tonnes of thermal coal, at a time when China aims to reduce coal power production, or about 9 million tonnes of liquefied natural gas (LNG), IHS said. The coal figure is more than China’s average monthly imports last year while the LNG figure is a little more than one month of imports, based on customs data.

China has tried to curtail the spread of the coronavirus that has killed more than 1,400 and infected over 60,000 by extending the Lunar New Year holiday for an extra week and encouraging people to work from home, measures that contributed to a global dip in electricity demand as well.

Last year, industrial users consumed 4.85 trillion kWh electricity, accounting for 67% of the country’s total, even as India's electricity demand showed sharp declines in the region.

Xizhou Zhou, the global head of power and Renewables at IHS Markit, said that in a severe case where the epidemic goes on past March, China’s economic growth will be only 4.2% during 2020, down from an initial forecast of 5.8%, while power consumption will climb by only 3.1%, down from 4.1% initially, even as power cuts and blackouts raise concerns.

“The main uncertainty is still how fast the virus will be brought under control,” said Zhou, adding that the impact on the power sector will be relatively modest from a full-year picture in 2020, even though China's electric power woes are already clouding solar markets.

In Hubei province, the epicenter of the virus outbreak, the peak power load at the end of January was 21% less than planned, mirroring how Japan's power demand was hit during the outbreak, data from Wood Mackenzie showed.

Industrial operating rates point to a firm reduction in power consumption in China.

Utilization rates at plastic processors are between 30% and 60% and the low levels are expected to last for another two week, according to ICIS China.

Weaving machines at textile plants are operating at below 10% of capacity, the lowest in five years, ICIS data showed. China is the world’s biggest textile and garment exporter.

 

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It's CHEAP but not necessarily easy: Crosbie introduces PCs' Newfoundland electricity rate reduction strategy

Crosbie Hydro Energy Action Plan outlines rate mitigation for Muskrat Falls, leveraging Nalcor oil revenues, export sales, Holyrood savings, and potential Hydro-Quebec taxation to keep Newfoundland and Labrador electricity rates near 14.67 cents/kWh.

 

Key Points

PC plan to cap post-Muskrat rates by using Nalcor revenues, exports, and savings, with optional Accord funds.

✅ $575.4M yearly to hold rates near 14.67 cents/kWh

✅ Sources: Nalcor oil $231M, Holyrood $150M, rates/dividends $123.4M

✅ Options: export sales, restructuring, Atlantic Accord, HQ tax

 

Newfoundland and Labrador PC Leader Ches Crosbie says Muskrat Falls won't drive up electricity rates, a goal consistent with an agreement to shield ratepayers from cost overruns, if he's elected premier.

According to Crosbie, who presented the party's Crosbie Hydro Energy Action Plan — acronym CHEAP — at a press conference Monday, $575.4 million is needed per year in order to keep rates from ballooning past 14.67 cents per kilowatt hour.

Here's where he thinks the money could come from:

  • Hydro rates and dividends — $123.4 million
  • Export sales — $40.1 million
  • Nalcor restructuring — $30 million
  • Holyrood savings — $150  million
  • Nalcor oil revenue — $231 million

The oil money, Crosbie said, isn't going into government coffers but being invested into the offshore which, he said, is a good place for it.

"But the plan from the beginning around Muskrat Falls was that if there was need for it — for mitigation for rates — that those revenues and operating cash flows from Nalcor oil and gas would be available to be recycled into rate mitigation, as reflected in a recent financial update on the pandemic's impact. and that's what we're going to have to do," he said.

According to Crosbie, his numbers come from the preliminary stage of the Public Utilities Board process, even as rate mitigation talks have lacked public details.

This is a recent aerial view of the Muskrat Falls project in central Labrador. The project is more than 90 per cent complete, with first power forecast for late 2019, alongside Ottawa's $5.2B support for the project. (Nalcor)

"I'm telling you this is the best information available to anyone outside of government," he said. "We're working on what we can."

The PUB estimated Nalcor restructuring could save between $10 million and $15 million, according to Crosbie, but he figures there's "enough duplication and overpayment involved in the way things are now set up that we can find $30 million there."

Currently, provincial ratepayers pay about 12 cents per kilowatt hour as electricity users have started paying for Muskrat Falls costs.

Crosbie's $575.4-million figure would put rates at 14.67 cents per kilowatt-hour in 2021, where his plan pledges to keep them.

A recent Public Utilities Board Report says there's a potential $10 million to $15 million in savings from Nalcor, but Crosbie says he can find $30 million. (CBC)

"The promise is that Muskrat Falls, when it comes online — comes in service — will not increase your rates. Between now and when that happens there are rate increases already in the pipeline up to that level of [14.67 cents per kilowatt-hour] … so that is the baseline target rate at which rates will be kept.

"In other words, Muskrat will not drive up prices for electricity to consumers beyond that point."

In addition to those savings, Crosbie's plan outlined two further steps.

"We think it could be done out of the resources that I've just identified now, but if there's a problem with that, and as a temporary measure, we can use a modest amount of the Atlantic Accord review, fiscal review, revenues," he said.

 

Plan 'nothing new'

Premier Dwight Ball slammed the plan at the House of Assembly on Monday, saying it lacked insight.

"It was a copy and paste exercise," he told reporters. "There's nothing new in that plan. Not at all."

"We're not leaving any stone unturned of where the opportunity would be to actually generate revenue," he said.  "We are genuinely concerned about rate mitigation and we've got to get a plan in place."

 

Potential to tax Hydro-Québec

Crosbie also said there's potential to tax Hydro-Québec.

According to Crosbie, tax exemptions that expired in 2016 allow the province to tax exports from the Upper Churchill, which, he said, could result in "hundreds of millions or billions" in revenue.

"It's not my philosophy to immediately go and do that because that would generate litigation — who needs more of that? — but we do need to let Quebec know that we're very aware of that, and aware of that opportunity, and invite them to come talk about a whole host of issues," Crosbie said.

Crosbie said the tax would also have to be applied to domestic consumption.

"But so massive is the potential revenue from the Upper Churchill export that there would be ways to mitigate that and negate the effect of that on consumers in the province."

Crosbie said with the Atlantic Accord revenue, he could still present a balanced budget by 2022.

 

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