Russia could go 100 renewable in 15 years and save tons of energy costs in the process

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Russia could go 100 renewable by 2030, and cut their energy costs by 20, say researchers. A study found that the cheapest option for Russia and Central Asia in the long term is to go renewable, based on the abundance of resources in the continent.

The researchers, from Lappeenranta University of Technology in Finland, modeled an energy system for Russia and Central Asia based on solely renewable energy resources, including wind, hydropower, solar, biomass and geothermal energy. They found it is more than achievable, and their energy costs would be around 50 lower than a system which used nuclear technology, or carbon capture and storage.

"We think that this is the first ever 100 renewable energy system modeling for Russia and Central Asia," said Christian Breyer, one of the authors of the study. "It demonstrates that Russia can become one of the most energy-competitive regions in the world."

Most of the countries used in the model are heavily-reliant on fossil fuels and nuclear power, meaning a drastic change would be needed. Thirteen countries formed part of the model, including Russia, Belarus, Kazakhstan, Uzbekistan, Armenia and Azerbaijan. Should the featured countries adopt the 100 renewable model, their energy costs will be reduced by 20.

The results were based upon a number of assumptions. These included that each country provided its own electricity supply, and a 'Super Grid' is built to distribute each different source of renewable energy.

The model also used wind for 60 of all energy production, using smaller, even amounts of solar, biomass and hydrothermal energy. The total capacity of the renewable system would be 550 gigawatts, according to the model – 162 gigawatts more than the current system.

The research was part of the Neo-Carbon Energy research project. The project has also carried out similar investigations in North-East Asia, South-East Asia, South America and Finland.

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How the dirtiest power station in western Europe switched to renewable energy

Drax Biomass Conversion accelerates renewable energy by replacing coal with wood pellets, sustainable forestry feedstock, and piloting carbon capture and storage, supporting the UK grid, emissions cuts, and a net-zero pathway.

 

Key Points

Drax Biomass Conversion is Drax's shift from coal to biomass with CCS pilots to cut emissions and aid UK's net-zero.

✅ Coal units converted to biomass wood pellets

✅ Sourced from sustainable forestry residues

✅ CCS pilots target lifecycle emissions cuts

 

A power station that used to be the biggest polluter in western Europe has made a near-complete switch to renewable energy, mirroring broader shifts as Denmark's largest energy company plans to end coal by 2023.

The Drax Power Station in Yorkshire, England, used to spew out millions of tons of carbon dioxide a year by burning coal. But over the past eight years, it has overhauled its operations by converting four of its six coal-fired units to biomass. The plant's owners say it now generates 15% of the country's renewable power, as Britain recently went a full week without coal power for the first time.

The change means that just 6% of the utility's power now comes from coal, as the wider UK coal share hits record lows across the national electricity system. The ultimate goal is to stop using coal altogether.

"We've probably reduced our emissions more than any other utility in the world by transforming the way we generate power," Will Gardner, CEO of the Drax Group, told CNN Business.

Subsidies have helped finance the switch to biomass, which consists of plant and agricultural matter and is viewed as a promising substitute for coal, and utilities such as Nova Scotia Power are also increasing biomass use. Last year, Drax received £789 million ($1 billion) in government support.

 

Is biomass good for the environment?

While scientists disagree over the extent to which biomass as a fuel is environmentally friendly, and some environmentalists urge reducing biomass use amid concerns about lifecycle emissions, Drax highlights that its supplies come from from sustainably managed and growing forests.

Most of the biomass used by Drax consists of low-grade wood, sawmill residue and trees with little commercial value from the United States. The material is compressed into sawdust pellets.

Gardner says that by purchasing bits of wood not used for construction or furniture, Drax makes it more financially viable for forests to be replanted. And planting new trees helps offset biomass emissions.

Forests "absorb carbon as they're growing, once they reach maturity, they stop absorbing carbon," said Raphael Slade, a senior research fellow at Imperial College London.

But John Sterman, a professor at MIT's Sloan School of Management, says that in the short term burning wood pellets adds more carbon to the atmosphere than burning coal.

That carbon can be absorbed by new trees, but Sterman says the process can take decades.

"If you're looking at five years, [biomass is] not very good ... If you're looking at a century-long time scale, which is the sort of time scale that many foresters plan, then [biomass] can be a lot more beneficial," says Slade.

 

Carbon capture

Enter carbon capture and storage technology, which seeks to prevent CO2 emissions from entering the atmosphere and has been touted as a possible solution to the climate crisis.

Drax, for example, is developing a system to capture the carbon it produces from burning biomass. But that could be 10 years away.

 

The Coal King is racing to avoid bankruptcy

The power station is currently capturing just 1 metric ton of CO2 emissions per day. Gardner says it hopes to increase this to 10,000 metric tons per day by the mid to late 2020s.

"The technology works but scaling it up and rolling it out, and financing it, are going to be significant challenges," says Slade.

The Intergovernmental Panel on Climate Change shares this view. The group said in a 2018 report that while the potential for CO2 capture and storage was considerable, its importance in the fight against climate change would depend on financial incentives for deployment, and whether the risks of storage could be successfully managed. These include a potential CO2 pipeline break.

In the United Kingdom, the government believes that carbon capture and storage will be crucial to reaching its goal of achieving net-zero greenhouse gas emissions by 2050, even as low-carbon generation stalled in 2019 according to industry analysis.

It has committed to consulting on a market-based industrial carbon capture framework and in June awarded £26 million ($33 million) in funding for nine carbon capture, usage and storage projects, amid record coal-free generation on the British grid.

 

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Manchin Calls For Stronger U.S. Canada Energy And Mineral Partnership

U.S.-Canada Energy and Minerals Partnership strengthens energy security, critical minerals supply chains, and climate objectives with clean oil and gas, EV batteries, methane reductions, cross-border grid reliability, and allied trade, countering Russia and China dependencies.

 

Key Points

A North American alliance to secure energy, refine critical minerals, cut emissions, and fortify supply chains.

✅ Integrates oil, gas, and electricity trade for reliability

✅ Builds EV battery and critical minerals processing capacity

✅ Reduces methane, diversifies away from Russia and China

 

Today, U.S. Senator Joe Manchin (D-WV), Chairman of the Senate Energy and Natural Resources Committee, delivered the following remarks during a full committee hearing to examine ways to strengthen the energy and mineral partnership between the U.S. and Canada to address energy security and climate objectives.

The hearing also featured testimony from the Honorable Jason Kenney (Premier, Alberta, Canada), the Honorable Nathalie Camden (Associate Deputy Minister of Mines, Ministry of Energy and Natural Resource, Québec, Canada), the Honorable Jonathan Wilkinson (Minister, Natural Resources Canada) and Mr. Francis Bradley (President and CEO, Electricity Canada). Click here to read their testimony.

Chairman Manchin’s remarks can be viewed as prepared here or read below:

Today we’re welcoming our friends from the North, from Canada, to continue this committee’s very important conversation about how we pursue two critical goals – ensuring energy security and addressing climate change.

These two goals aren’t mutually exclusive, and it’s imperative that we address both.

We all agree that Putin has used Russia’s oil and gas resources as a weapon to inflict terrible pain on the Ukrainian people and on Europe.

And other energy-rich autocracies are taking note. We’d be fools to think Xi Jinping won’t consider using a similar playbook, leveraging China’s control over global critical minerals supply chains.

But Putin’s aggression is bringing the free world closer together, setting the stage for a new alliance around energy, minerals, and climate.
Building this alliance should start here in North America. And that’s why I’m excited to hear today about how we can strengthen the energy and minerals partnership between the U.S. and Canada.

I recently had the privilege of being hosted in Alberta by Premier Kenney, where I spent two days getting a better understanding of our energy, minerals, and manufacturing partnership through meetings with representatives from Alberta, Saskatchewan, the Northwest Territories, the federal government, and tribal and industry partners.

Canadians and Americans share a deep history and are natural partners, sharing the longest land border on the planet.

Our people fought side-by-side in two world wars. In fact, some of the uranium used by the Manhattan Project and broader nuclear innovation was mined in Canada’s Northwest Territories and refined in Ontario.

We have cultivated a strong manufacturing partnership, particularly in the automotive industry, with Canada today being our biggest export market for vehicles. Cars assembled in Canada contain, on average, more than 50% of U.S. value and parts.

Today we also trade over 58 terawatt hours of electricity, including green power from Canada across the border, 2.4 billion barrels of petroleum products, and 3.6 trillion cubic feet of natural gas each year.

In fact, energy alone represents $120 billion of the annual trade between our countries. Across all sectors the U.S. and Canada trade more than $2 billion per day.
There is no better symbol of our energy relationship than our interconnected power grid and evolving clean grids that are seamless and integral for the reliable and affordable electricity citizens and industries in both our countries depend on.

And we’re here for each other during times of need. Electricity workers from both the U.S. and Canada regularly cross the border after extreme weather events to help get the power back on.

Canada has ramped up oil exports to the U.S. to offset Russian crude after members of our committee led legislation to cut off the energy purchases fueling Putin’s war machine.

Canada is also a leading supplier of uranium and critical minerals to the U.S., including those used in advanced batteries—such as cobalt, graphite, and nickel.
The U.S-Canada energy partnership is strong, but also not without its challenges, including tariff threats that affect projects on both sides. I’ve not been shy in expressing my frustration that the Biden administration cancelled the Keystone XL pipeline.

In light of Putin’s war in Ukraine and the global energy price surge, I think a lot of us wish that project had moved forward.

But to be clear, I’m not holding this hearing to re-litigate the past. We are here to advance a stronger and cleaner U.S.-Canada energy partnership for the future.
Our allies and trading partners in Europe are begging for North American oil and gas to offset their reliance on Russia.

There is no reason whatsoever we shouldn’t be able to fill that void, and do it cleaner than the alternatives.

That’s because American oil and gas is cleaner than what is produced in Russia – and certainly in Iran and Venezuela. We can do better, and learn from our Canadian neighbors.

On average, Canada produces oil with 37% lower methane emissions than the U.S., and the Canadian federal government has set even more aggressive methane reduction targets.

That’s what I mean by climate and security not being mutually exclusive – replacing Russian product has the added benefit of reducing the emissions profile of the energy Europe needs today.

According to the International Energy Agency, stationary and electric vehicle batteries will account for about half of the mineral demand growth from clean energy technologies over the next twenty years.

Unfortunately, China controls 80% of the world’s battery material processing, 60% of the world’s cathode production, 80% of the world’s anode production, and 75% of the world’s lithium ion battery cell production. They’ve cornered the market.

I also strongly believe we need to be taking national energy security into account as we invest in climate solutions.

It makes no sense whatsoever for us to so heavily invest in electric vehicles as a climate solution when that means increasing our reliance on China, because right now we’re not simultaneously increasing our mining, processing, and recycling capacity at the same rate in the United States.

The Canadians are ahead of us on critical minerals refining and processing, and we have much to learn from them about how they’re able to responsibly permit these activities in timelines that blow ours out of the water.

I’m sure our Canadian friends are happy to export minerals to us, but let me be clear, the United States also needs to contribute our part to a North American minerals alliance.

So I’m interested in discussing how we can create an integrated network for raw minerals to move across our borders for processing and manufacturing in both of our countries, and how B.C. critical minerals decisions may affect that.

I believe there is much we can collaborate on with Canada to create a powerful North American critical minerals supply chain instead of increasing China’s geopolitical leverage.

During this time when the U.S., Canada, and our allies and friends are threatened both by dictators weaponizing energy and by intense politicization over climate issues, we must work together to chart a responsible path forward that will ensure security and unlock prosperity for our nations.

We are the superpower of the world, and blessed with abundant energy and minerals resources. We cannot just sit back and let other countries fill the void and find ourselves in a more dire situation in the years ahead.

We must be leaning into the responsible production of all the energy sources we’re going to need, and strengthening strategic partnerships – building a North American Energy Alliance.

 

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Tesla reduces Solar + home battery pricing following California blackouts

Tesla Solar and Powerwall Discount offers a ~10% installation price cut amid PG&E blackouts, helping California homeowners with solar panels, battery storage, and backup power, while supporting renewable energy and resilient Supercharger infrastructure.

 

Key Points

A ~10% installation discount on Tesla solar panels and Powerwall batteries to boost backup power during PG&E blackouts.

✅ ~10% off installation for solar plus Powerwall

✅ Helps during PG&E shutoffs and wildfire mitigation

✅ Supports resilience, backup power, and EV charging

 

Pacific Gas & Electric’s (PG&E) shutoff of electric supply to residents in California’s Bay Area has caught the attention of Tesla and SpaceX CEO Elon Musk, who, while highlighting a huge future for Tesla Energy in coming years, has announced that he would be offering a price reduction of approximately 10% for a solar panel and Tesla Powerwall battery installation. The discount will be available to anyone interested in powering their homes with solar energy, not just the 800,000 affected homes in the Bay Area.

After initially tweeting a link to Tesla’s Solar page on Tesla.com, Musk added that he would be offering a “~10% price reduction” in installation price for solar panels and Powerwall batteries for anyone, as California explores EVs for grid stability during emergencies, including those who have lost power in response to PG&E’s power shutoff. The blackout induced by the California-based power company is a part of an effort to reduce the possibility of wildfires. PG&E lines were the cause of multiple fires in the past, so the company is taking every necessary precaution to reduce the probability of its lines causing another fire in the future.

Tesla Solar recently offered a subscription program that would allow homeowners to lease panels for a fraction of the cost. The service is available to both residential and commercial customers, and costs as little as $45 a month in some states, particularly appealing in California where EV sales top 20% recently. The option to lease solar panels carries no long-term contracts that would tie down customers to a lengthy commitment.

Wildfires have always been an issue in California. Currently, fires are ripping through Los Angeles county, presumably caused by the winds of the Autumn season. The effort to reduce the environmental impact of forest fires in the state has been increasingly more prevalent over the years. But 2019 is a different story, underscoring that California may need a much bigger grid to support electrification, considering the previous year was noted as the deadliest wildfire season in California’s history. Over 8,500 fires destroyed over 1.89 million acres of land burned due to fires, causing the California Department of Forestry and Fire Protection to spend $432 million through the end of August 2018, according to the Associated Press.

In reaction to the news of the power shutoffs, Tesla added words of advice to vehicle affected owners on its app. The company posted a message encouraging drivers to keep their vehicles charged to 100% and highlighted that EVs can power homes for up to three days during outages, in order to prevent interruptions in driving. Those who are driving ICE vehicles are feeling the effects of the blackout too, as gas stations in California’s affected region have begun to shut down. Musk also tweeted that he would be installing Tesla Powerpacks at all Supercharger stations in the affected region, a move that can help ease strain on state power grids during outages, in order to allow owners to charge their vehicles.

In addition to the efforts that Tesla has already put into place, Musk plans to transition all Supercharger stations to solar power as soon as possible. But the sunny climate of California offers residents a great opportunity to move from gas and electric, even as some warn of a looming green car wreck in the state, to a more eco-friendly, sun-powered option. Tesla solar will completely eliminate power blackouts that are used to control wildfires in California.

 

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New England Is Burning the Most Oil for Electricity Since 2018

New England oil-fired generation surges as ISO New England manages a cold snap, dual-fuel switching, and a natural gas price spike, highlighting winter reliability challenges, LNG and pipeline limits, and rising CO2 emissions.

 

Key Points

Reliance on oil-burning power plants during winter demand spikes when natural gas is costly or constrained.

✅ Driven by dual-fuel switching amid high natural gas prices

✅ ISO-NE winter reliability rules encourage oil stockpiles

✅ Raises CO2 emissions despite coal retirements and renewables growth

 

New England is relying on oil-fired generators for the most electricity since 2018 as a frigid blast boosts demand for power and natural gas prices soar across markets. 

Oil generators were producing more than 4,200 megawatts early Thursday, accounting for about a quarter of the grid’s power supply, according to ISO New England. That was the most since Jan. 6, 2018, when oil plants produced as much as 6.4 gigawatts, or 32% of the grid’s output, said Wood Mackenzie analyst Margaret Cashman.  

Oil is typically used only when demand spikes, because of higher costs and emissions concerns. Consumption has been consistently high over the past three weeks as some generators switch from gas, which has surged in price in recent months. New England generators are producing power from oil at an average rate of almost 1.8 gigawatts so far this month, the highest for January in at least five years. 

Oil’s share declined to 16% Friday morning ahead of an expected snowstorm, which was “a surprise,” Cashman said. 

“It makes me wonder if some of those generators are aiming to reserve their fuel for this weekend,” she said.

During the recent cold snap, more than a tenth of the electricity generated in New England has been produced by power plants that haven’t happened for at least 15 years.

Burning oil for electricity was standard practice throughout the region for decades. It was once our most common fuel for power and as recently as 2000, fully 19% of the six-state region’s electricity came from burning oil, according to ISO-New England, more than any other source except nuclear power at the time.

Since then, however, natural gas has gotten so cheap that most oil-fired plants have been shut or converted to burn gas, to the point that just 1% of New England’s electricity came from oil in 2018, whereas about half our power came from natural gas generation regionally during that period. This is good because natural gas produces less pollution, both particulates and greenhouse gasses, although exactly how much less is a matter of debate.

But as you probably know, there’s a problem: Natural gas is also used for heating, which gets first dibs. Prolonged cold snaps require so much gas to keep us warm, a challenge echoed in Ontario’s electricity system as supply tightens, that there might not be enough for power plants – at least, not at prices they’re willing to pay.

After we came close to rolling brownouts during the polar vortex in the 2017-18 winter because gas-fired power plants cut back so much, ISO-NE, which has oversight of the power grid, established “winter reliability” rules. The most important change was to pay power plants to become dual-fuel, meaning they can switch quickly between natural gas and oil, and to stockpile oil for winter cold snaps.

We’re seeing that practice in action right now, as many dual-fuel plants have switched away from gas to oil, just as was intended.

That switch is part of the reason EPA says the region’s carbon emissions have gone up in the pandemic, from 22 million tons of CO2 in 2019 to 24 million tons in 2021. That reverses a long trend caused partly by closing of coal plants and partly by growing solar and offshore wind capacity: New England power generation produced 36 million tons of CO2 a decade ago.

So if we admit that a return to oil burning is bad, and it is, what can we do in future winters? There are many possibilities, including tapping more clean imports such as Canadian hydropower to diversify supply.

The most obvious solution is to import more natural gas, especially from fracked fields in New York state and Pennsylvania. But efforts to build pipelines to do that have been shot down a couple of times and seem unlikely to go forward and importing more gas via ocean tanker in the form of liquefied natural gas (LNG) is also an option, but hits limits in terms of port facilities.

Aside from NIMBY concerns, the problem with building pipelines or ports to import more gas is that pipelines and ports are very expensive. Once they’re built they create a financial incentive to keep using natural gas for decades to justify the expense, similar to moves such as Ontario’s new gas plants that lock in generation. That makes it much harder for New England to decarbonize and potentially leaves ratepayers on the hook for a boatload of stranded costs.

 

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Community-generated green electricity to be offered to all in UK

Community Power Tariff UK delivers clean electricity from community energy projects, sourcing renewable energy from local wind and solar farms, with carbon offset gas, transparent provenance, fair pricing, and reinvestment in local generators across Britain.

 

Key Points

UK energy plan delivering 100% community renewable power with carbon-offset gas, sourced from local wind and solar.

✅ 100% community-generated electricity from UK wind and solar

✅ Fair prices with profits reinvested in local projects

✅ Carbon-offset gas and verified, transparent provenance

 

UK homes will soon be able to plug into community wind and solar farms from anywhere in the country through the first energy tariff to offer clean electricity exclusively from community projects.

The deal from Co-op Energy comes as green energy suppliers race to prove their sustainability credentials amid rising competition for eco-conscious customers and “greenwashing” in the market.

The energy supplier will charge an extra £5 a month over Co-op’s regular tariff to provide electricity from community energy projects and gas which includes a carbon offset in the price.

Co-op, which is operated by Octopus Energy after it bought the business from the Midcounties Co-operative last year, will source the clean electricity for its new tariff directly from 90 local renewable energy generation projects across the UK, including the Westmill wind and solar farms in Oxfordshire. It plans to use all profits to reinvest in maintaining the community projects and building new ones.

Phil Ponsonby, the chief executive of Midcounties Co-operative, said the tariff is the UK’s only one to be powered by 100% community-generated electricity and would ensure a fair price is paid to community generators too, amid a renewable energy auction boost that supports wider deployment.

Customers on the Community Power tariff will be able to “see exactly where it is being generated at small scale sites across the UK, and, with new rights to sell solar power back to energy firms, they know it is benefiting local communities”, he said.

Co-op, which has about 300,000 customers, has set itself apart from a rising number of energy supply deals which are marked as 100% renewable, but are not as green as they seem, even as many renewable projects are on hold due to grid constraints.

Consumer group Which? has found that many suppliers offer renewable energy tariffs but do not generate renewable electricity themselves or have contracts to buy any renewable electricity directly from generators.

Instead, the “pale green” suppliers exploit a loophole in the energy market by snapping up cheap renewable energy certificates, without necessarily buying energy from renewables projects.

The certificates are issued by the regulator to renewable energy developers for each megawatt generated, but these can be sold separately from the electricity for a fraction of the price.

A survey conducted last year found that one in 10 people believe that a renewables tariff means that the supplier generates at least some of its electricity from its own renewable energy projects.

Ponsonby said the wind and solar schemes that generate electricity for the Community Power tariff “plough the profits they make back into their neighbourhoods or into helping other similar projects get off the ground”.

Greg Jackson, the chief executive of Octopus Energy, said being able to buy locally-sourced clean, green energy is “a massive jump in the right direction” which will help grow the UK’s green electricity capacity nationwide.

“Investing in more local energy infrastructure and getting Britain’s homes run by the sun when it’s shining and wind energy when it’s blowing can end our reliance on dirty fossil fuels sooner than we hoped,” he said.

 

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Ontario Energy minister downplays dispute between auditor, electricity regulator

Ontario IESO Accounting Dispute highlights tensions over public sector accounting standards, auditor general oversight, electricity market transparency, KPMG advice, rate-regulated accounting, and an alleged $1.3B deficit understatement affecting Hydro bills and provincial finances.

 

Key Points

A PSAS clash between Ontario's auditor general and the IESO, alleging a $1.3B deficit impact and transparency failures.

✅ Auditor alleges deficit understated by $1.3B

✅ Dispute over PSAS vs US-style accounting

✅ KPMG support, transparency and co-operation questioned

 

The bad blood between the Ontario government and auditor general bubbled to the surface once again Monday, with the Liberal energy minister downplaying a dispute between the auditor and the Crown corporation that manages the province's electricity market, even as the government pursued legislation to lower electricity rates in the province.

Glenn Thibeault said concerns raised by auditor general Bonnie Lysyk during testimony before a legislative committee last week aren't new and the practices being used by the Independent Electricity System Operator are commonly endorsed by major auditing firms.

"(Lysyk) doesn't like the rate-regulated accounting. We've always said we've relied on the other experts within the field as well, plus the provincial controller," Thibeault said.

#google#

"We believe that we are following public sector accounting standards."

Thibeault said that Ontario Power Generation, Hydro One and many other provinces and U.S. states use the same accounting practices.

"We go with what we're being told by those who are in the field, like KPMG, like E&Y," he said.

But a statement from Lysyk's office Monday disputed Thibeault's assessment.

"The minister said the practices being used by the IESO are common in other jurisdictions," the statement said.

"In fact, the situation with the IESO is different because none of the six other jurisdictions with entities similar to the IESOuse Canadian Public Sector Accounting Standards. Five of them are in the United States and use U.S. accounting standards."

Lysyk said last week that the IESO is using "bogus" accounting practices and her office launched a special audit of the agency late last year after the agency changed their accounting to be more in line with U.S. accounting, following reports of a phantom demand problem that cost customers millions.

Lysyk said the accounting changes made by the IESO impact the province's deficit, understating it by $1.3 billion as of the end of 2017, adding that IESO "stalled" her office when it asked for information and was not co-operative during the audit.

Lysyk's full audit of the IESO is expected to be released in the coming weeks and is among several accounting disputes her office has been engaged in with the Liberal government over the past few years.

Last fall, she accused the government of purposely obscuring the true financial impact of its 25% hydro rate cut by keeping billions in debt used to finance that plan off the province's books. Lysyk had said she would audit the IESO because of its role in the hydro plan's complex accounting scheme.

"Management of the IESO and the board would not co-operate with us, in the sense that they continually say they're co-operating, but they stalled on giving us information," she said last week.

Terry Young, a vice-president with the IESO, said the agency has fully co-operated with the auditor general. The IESO opened up its office to seven staff members from the auditor's office while they did their work.

"We recognize the work that she's doing and to that end we've tried to fully co-operate," he said. "We've given her all of the information that we can."

Young said the change in accounting standards is about ensuring greater transparency in transactions in the energy marketplace.

"It's consistent with many other independent electricity system operators are doing," he said.

Lysyk also criticized IESO's accounting firm, KPMG, for agreeing with the IESO on the accounting standards. She was critical of the firm billing taxpayers for nearly $600,000 work with the IESO in 2017, compared to their normal yearly audit fee of $86,500.

KPMG spokeswoman Lisa Papas said the accounting issues that IESO addressed during 2017 were complex, contributing to the higher fees.

The accounting practices the auditor is questioning are a "difference of professional judgement," she said.

"The standards for public sector organizations such as IESO are principles-based standards and, accordingly, require the exercise of considerable professional judgement," she said in a statement.

"In many cases, there is more than one acceptable approach that is compliant with the applicable standards."

Progressive Conservative energy critic Todd Smith said the government isn't being transparent with the auditor general or taxpayers, aligning with calls for cleaning up Ontario's hydro mess in the sector.

"Obviously, they have some kind of dispute but the auditor's office is saying that the numbers that the government is putting out there are bogus.

Those are her words," he said. "We've always said that we believe the auditor general's are the true numbers for the
province of Ontario."

NDP energy critic Peter Tabuns said the Liberal government has decided to "play with accounting rules" to make its books look better ahead of the spring election, despite warnings that electricity prices could soar if costs are pushed into the future.

 

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