Utility-line accidents increasing: Workers are asked to call before digging

By Knight Ridder Tribune


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The phone and power companies say they have been dealing with a high rate of accidents resulting from people digging up underground service lines.

But blackouts and service disruptions aren't the only result of workers and homeowners coming into contact with utilities. Power lines are a lethal threat to cable installers, construction workers and the unaware homeowner trimming a tree or installing satellite dish. And damaging other utility lines can result in costly construction delays.

AT&T has been sending repair crews out to patch breaks in its lines several times a week since it repaired its phone and data network after Katrina. "We do have an ongoing issue with construction crews cutting our cables," said Sue Perry, a spokeswoman for AT&T Mississippi.

"We have about 20 a month, leading to service disruptions." Both construction crews and homeowners have been digging up and breaking the new hi-tech fiber-optic cables running underground. Most people, she said, do not realize an entirely new network has been installed south of I-10 since the 2005 hurricane. That network, which supplies high-speed Internet access for business and residential customers, runs in sealed conduits below ground rather than up high on the old-fashioned utility poles. Mississippi Power also runs electricity through underground lines. Some of those lines carry more than 600 volts.

"Mississippi Power averages two accidents a month from diggers who are unaware of the utility lines below," said spokeswoman Cindy Duvall. "Accident reports show it's when workers are repairing and putting in a fence or building new construction on a piece of property that didn't have any existing structure."

Duvall recommended homeowners or construction crews who are about to dig call Mississippi's One-Call System at 8-1-1 at least 48 hours before they start. She said utility crews will come out and mark underground water, sewerage, electrical, gas, cable and phone lines.

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Ottawa hands N.L. $5.2 billion for troubled Muskrat Falls hydro project

Muskrat Falls funding deal delivers federal relief to Newfoundland and Labrador: Justin Trudeau outlines loan guarantees, transmission investment, Hibernia royalties, and $10-a-day child care to stabilize hydroelectric costs and curb electricity rate hikes.

 

Key Points

A $5.2b federal plan aiding NL hydro via loan guarantees, transmission funds, and Hibernia royalties to curb power rates.

✅ $1b for transmission and $1b in federal loan guarantees

✅ $3.2b via Hibernia royalty transfers through 2047

✅ Limits power rate hikes; adds $10-a-day child care in NL

 

Prime Minister Justin Trudeau was in Newfoundland and Labrador Wednesday to announce a $5.2-billion ratepayer protection plan to help the province cover the costs of a troubled hydroelectric project ahead of an expected federal election call.

Trudeau's visit to St. John's, N.L., wrapped up a two-day tour of Atlantic Canada that featured several major funding commitments, and he concluded his day in Newfoundland and Labrador by announcing the province will become the fourth to strike a deal with Ottawa for a $10-a-day child-care program.

As he addressed reporters, the prime minister was flanked by the six Liberal members of Parliament from the province. He alluded to the mismanagement that led the over-budget Muskrat Falls hydroelectric project to become what Liberal Premier Andrew Furey has called an "anchor around the collective souls" of the province.

"The pressures and challenges faced by Newfoundlanders and Labradorians for mistakes made in the past is something that Canadians all needed to step up on, and that's exactly what we did," Trudeau said.

Furey, who joined Trudeau for the two announcements and was effusive in his praise for the federal government, said the federal funding will help Newfoundland and Labrador avoid a spike in electricity rates as customers start paying for Muskrat Falls ahead of when the project begins generating power this November.

"Muskrat Falls has been the No. 1 issue facing Newfoundlanders and Labradorians now for well over a decade," Furey said, adding that he is regularly asked by people whether their electricity rates are going to double, a concern other provinces address through rate legislation in Ontario as well.

"We landed on a deal today that I think -- I know -- is a big deal for Newfoundland and Labrador and will finally get the muskrat off our back," he said.

The agreement-in-principle between the two governments includes a $1-billion investment from Ottawa in a transmission through Quebec portion of the project, as well as $1 billion in loan guarantees. The rest will come from annual transfers from Ottawa equivalent to its annual royalty gains from its share in the Hibernia offshore oilfield, which sits off the coast of St. John's. Those transfers are expected to add up to about $3.2 billion between now and 2047, when the oilfield is expected to run dry.

The money will help cover costs set to come due when the Labrador project comes online, preventing rate increases that would have been needed to pay the bills, and officials have discussed a lump-sum bill credit to help households. Though electricity rates in the province will still rise, to 14.7 cents per kilowatt hour from the current 12.5 cents, that's well below the projected 23 cents that officials had said would be needed to cover the project's costs.

Muskrat Falls was commissioned in 2012 at a cost of $7.4 billion, but its price tag has since ballooned to $13.1 billion. Ottawa previously backed the project with billions of dollars in loan guarantees, and in December, Trudeau announced he had appointed Serge Dupont, former deputy clerk of the Privy Council, to oversee rate mitigation talks with the province about financially restructuring the project.

Its looming impact on the provincial budget is set against an already grim financial situation: the province projected an $826-million deficit in its latest budget, and a recent financial update from the provincial energy corporation reflected pandemic impacts, coupled with $17.2 billion in net debt.

After visiting with children from a daycare centre in the College of the North Atlantic, Trudeau and Furey announced that in 2023, the average cost of regulated child care in the province for children under six would be cut to $10 a day from $25 a day. Trudeau said that within five years, almost 6,000 new daycare spaces would be created in the province.

"As part of the agreement, a new full-day, year-round pre-kindergarten program for four-year-olds will also start rolling out in 2023," the prime minister told reporters. "For parents, this agreement is huge."

Newfoundland and Labrador is the fourth province, after Prince Edward Island, Nova Scotia and British Columbia, to sign on to the federal government's child-care program.

 

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Ontario faces growing electricity supply gap, study finds

Ontario Electricity Capacity Gap threatens reliability as IESO forecasts shortfalls from the Pickering shutdown and rapid electrification, requiring new low-emission nuclear generation to meet net-zero targets, maintain baseload, and stabilize the grid.

 

Key Points

Expected 2030 shortfalls from Pickering closure and electrification, requiring new low-emission nuclear to meet net-zero.

✅ IESO projects a 3.6-9.5 GW capacity gap by 2030

✅ Pickering shutdown removes baseload, stressing reliability

✅ New low-emission nuclear needed to meet net-zero targets

 

Ontario faces an electricity supply shortage and reliability risks in the next four to eight years and will not meet net-zero objectives without building new low-emission, nuclear generation starting as soon as possible, according to a report released yesterday by the Power Workers' Union (PWU). The capacity needed to fill the expected supply gap will be equivalent to doubling the province's planned nuclear fleet in eight years.

The planned closure of the Pickering nuclear power plant in 2025 and the increase in demand from electrification of the economy are the drivers behind a capacity gap in 2030 of at least 3.6 GW which could widen to as much as 9.5 GW, Electrification Pathways for Ontario to Reduce Emissions, finds. Ontario's Independent Electricity System Operator (IESO) has since 2013 been forecasting a significant gap in the province's electricity supply due the closure of Pickering, but has been underestimating the impact of electrification, the report says.

In addition, the electrification of buildings, transport and industry sectors that will be needed to achieve goals of net-zero emissions by 2050 that being set by the federal government and civil society will see the province's electricity demand increase by at least 130% over current planning forecasts, and potentially by over 190%. Leveraging electricity, natural gas and hydrogen synergies can reduce supply needs, but 55 GW of new electricity capacity, including new large-scale nuclear plants, will still be needed by 2050 - four times Ontario's current nuclear and hydro assets - the report finds.

These findings underscore the urgent need for a paradigm shift in Ontario's electricity planning and procurement process, the authors say, adding that immediate action is needed both to mitigate the system reliability risks and enable the significant societal benefits needed to pursue net-zero objectives. Planning for procurement to replace Pickering's capacity, or to pursue life extension options, must begin as soon as possible.

"Policymakers around the world realise climate change can't be tackled without nuclear. Ontario's nuclear fleet has delivered emissions reductions for over 50 years," PWU President Jeff Parnell said. "In fact, without building new nuclear units, Ontario will miss its emission reduction targets and carbon emissions from electricity generation will rise dramatically, as explored in why Ontario's power could get dirtier today."

"This report clearly shows that Ontario cannot sustain the low-carbon status of its hydro and nuclear-based electricity system, decarbonise its economy and meet its carbon reduction targets without new nuclear or continued operation at Pickering in the near term. Most disturbing is the fact that we are already well behind and needed to start planning for this capacity yesterday," he said.

The six operating Candu reactors at Ontario Power Generation's Pickering plant have been kept in operation to provide baseload electricity during the refurbishment of units at the Darlington and Bruce plants. Currently, the company plans to shut down Pickering units 1 and 4 in 2024 and units 5 to 8 in 2025, even as Ontario moves to refurbish Pickering B to extend life.

 

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Elizabeth May wants a fully renewable electricity grid by 2030. Is that possible?

Green Party Mission Possible 2030 outlines a rapid transition to renewable energy, electric vehicles, carbon pricing, and grid modernization, phasing out oil and gas while creating green jobs, public transit upgrades, and building retrofits.

 

Key Points

A Canadian climate roadmap to decarbonize by 2030 via renewables, EVs, carbon pricing, and grid upgrades.

✅ Ban on new gas cars by 2030; accelerate EV adoption and charging.

✅ 100 percent renewable-powered grid with interprovincial links.

✅ Just transition: retraining, green jobs, and building retrofits.

 

Green Party Leader Elizabeth May has a vision for Canada in 2030. In 11 years, all new cars will be electric. A national ban will prohibit anyone from buying a gas-powered vehicle. No matter where you live, charging stations will make driving long distances easy and affordable. Alberta’s oil industry will be on the way out, replaced by jobs in sectors such as urban farming, renewable energy and retrofitting buildings for energy efficiency. The electric grid will be powered by 100 per cent renewable energy as Canada’s race to net-zero accelerates.

It’s all part of the Greens’ “Mission Possible” – a detailed plan released Monday with a level of ambition made clear by its very name. May insists it’s the only way to confront the climate crisis head-on before it’s too late.

“We have to set our targets on what needs to be done. You can’t negotiate with physics,” May told CTV’s Power Play on Monday.

But is that 2030 vision realistic?

CTVNews.ca spoke with experts in economics, political policy, renewable energy and climate science to explore how feasible May’s plan is, how much it would cost and what transitioning to an environmentally-centred economy would look like for everyday Canadians.

 

MOVING TO A GREEN ECONOMY

Recent polling from Nanos Research shows that the environment and climate change is the top issue among voters this election.

If the Greens win a majority on Oct. 21 – an outcome that May herself acknowledged isn’t likely – it would signal a major restructuring of the Canadian economy.

According to the party’s platform, jobs in the fuels sectors, such as oil and gas production in Alberta, would eventually disappear. The Greens say those job losses would be replaced by opportunities in a variety of fields including renewable energy, farming, public transportation, manufacturing, construction and information technology.

The party would also introduce a guaranteed livable income and greater support for technical and educational training to help workers transition to new jobs.

But Jean-Thomas Bernard, an economist who specializes in energy markets, said plenty of people in today’s energy sector, such as oil and gas workers, wouldn’t have the skills to make that transition.

“Quite a few of these jobs have low technical requirements. Driving a truck is driving a truck. So quite few of these people will not have the capacity to be recycled into well-paid jobs in the renewable sector,” he said.

“Maybe this would be for the young generation, but not people who are 40, 45, 50.”

Ryan Katz-Rosene is an associate professor at the University of Ottawa who researches environmental policy. He says May’s overall pitch is technically possible but would require a huge amount of enthusiasm on behalf of the public. 

“The plan in itself is not physically impossible. It is theoretically achievable. But it would require a major, major change in the urgency and the level of action, the level of investment, the level of popular urgency, the level of political commitment,” he said.

“But it’s not completely fantastical in it being theoretically impossible.”

 

PHASING OUT BITUMEN PRODUCTION

Katz-Rosene said that, under the Greens’ plan, Canadians would need to pay for a bold carbon pricing plan that helps shift the country away from fossil fuels and has significant implications for electricity grids, he said. It would also mean dramatically upscaling the capacity of Canada’s existing electrical grid to account for millions of new electric cars, reflecting the need for more electricity to hit net-zero as demand grows.

 “Given Canada’s slow attempt to climate action and pretty lacklustre results in these years, to be frank, this plan is very, very difficult to achieve. We’re talking 11 years from now. But things change, people change, and sometimes that change can occur very quickly. Just look at the type of climate mobilization we’re seen among young people in the last year, or the last five years.”

Bernard, the economist, is less optimistic. He cited international agreements such as the Kyoto Protocol from 1997 and the more recent Paris Climate Agreement and said that little has come of those plans.

A climate solution with teeth, he suggests, would need to be global – something that no federal government can completely control.

“I find a lot this talk to be overly optimistic. I don’t know why we keep having this talk that is overly optimistic,” he said, adding that he believes humankind is already beyond the point of being able to stop irreversible climate change. 

“I think we are moving toward a mess, but the effort to control that is still not there.”

As for transitioning away from Canada’s oil industry, Bernard said May’s plan simply wouldn’t work.

“Trying to block some oil production here and there means more oil will be produced elsewhere,” he said. “Canada could become a clean country, but worldwide it would not be much.”

Mike Hudema, a climate organizer with Greenpeace Canada, thinks the Green Party’s promises for 2030 are big – and that’s kind of the point.

“They are definitely ambitious, but ambition is exactly what these times call for.  Unfortunately our government has delayed acting on this problem for so long that we have a very short timeline which we have to turn the ship,” he said.

“So this is the type of ambition that the science is calling for. So yes, I believe that if we here in Canada were to put our minds to addressing this problem, then we have the ability to reach it in that 2030 timeframe.”

In a statement to CTVNews.ca, a Green Party spokesperson said the 2030 timeline is intended to meet the 45 per cent reduction in emissions by 2030 as laid out by the Intergovernmental Panel on Climate Change.

“If we miss the 2030 target, we risk triggering runaway global warming,” the spokesperson said.

 

GREENING THE GRID BY 2030

Greening Canada’s existing electric grid – a goal May has pegged to 2030 – is quite feasible, Katz-Rosene said, and cleaning up Canada’s electricity is critical to meeting climate pledges. Already, 82 per cent of the country’s electric grid is run off of renewable resources, which makes Canada a world leader in the field, he said.

Hudema agrees.

“It is feasible. Canada does have a grid already that has a lot of renewables in it. So yes we can definitely make it over the hump and complete the transition. But we do need investments in our electric grid infrastructure to ensure a certain capability. That comes with tremendous job growth. That’s the exciting part that people keep missing,” Hudema said.

But Bernard said switching the grid to 100 per cent renewables would be quite difficult. He suggested that the Greens’ 2030 vision would require Ontario and Quebec’s hydro production to help power the Prairies.

“To think we could boost (hydro production) much more in order to meet Saskatchewan and Alberta’s needs? Oh boy. To do this before 2030? I think that’s not reasonable, not feasible.”

In a statement to CTV News, the Greens said their strategy includes building new connections between eastern Manitoba and western Ontario to transmit clean energy. They would also upgrade existing connections between New Brunswick and Nova Scotia and between B.C. and Alberta to boost reliability.

A number of “micro-grids” in local communities capable of storing clean energy would help reduce the dependency on nationwide distribution systems, the party said.

Even so, the Greens acknowledged that, by 2030, some towns and cities will still be using some fossil fuels, and that even by 2050 – the goal for achieving overall carbon neutrality – some “legacy users” of fossil fuels will remain.

However, according to party projections, the emissions of these “legacy users” would be at most 8 per cent of today’s levels and those emissions would be “more than completely offset” by re-forestation and new technologies, such as CO2 capture and storage.

 

ELECTRIC VEHICLE REVOLUTION

The Green Party’s platform promises to revolutionize the Canadian auto sector. By 2030, all new cars made in Canada would be electric and federal EV sales regulations would prohibit the sale of cars powered by gasoline.

Danny Harvey, a geography professor with the University of Toronto who specializes in renewable energy, said he thinks May’s plan for making a 100 per cent renewable-powered electric grid is feasible.

On cars, however, he thinks the emphasis on electric vehicles is “misplaced.”

“At this point in time we should be requiring automobiles to transition, by 2030, to making cars that can go three times further on a litre of gasoline than at present. This would require selling only advanced hybrid-electric vehicles (HEVs), which would run entirely on gasoline (like current HEVs),” he said.

“After that, and when the grid is fully ready, we could make the transition to fully electric or plugin hybrid electric vehicles, possibly using H2 for long-distance driving.”

At the moment, zero-emissions vehicles account for just over 2 per cent of annual vehicle sales in Canada. Katz-Rosene said that “isn’t a whole lot,” but the industry is on an exponential growth curve that doesn’t show any signs of slowing.

The trouble with May’s 2030 goal on electric vehicles, he said, has to do with Canadians’ taste in vehicles. In short: Canadians like trucks.

“The biggest obstacle I see is that I don’t even think it’s possible to get a light-duty truck, a Ford F150, in an electric model in Canada. And that’s the most popular type of vehicle,” he said.

However, if a zero emissions truck were on the market – something that automakers are already working on – then that could potentially shake things up, especially if the government introduces incentives for electric vehicles and higher taxes on gasoline, he said.

 

WHAT ABOUT THE COST?

CTVNews.ca reached out to the Green Party to ask how it would pay to revamp the electrical grid. The party did not give a precise figure but said that the plan “has been estimated to cost somewhat less” than the Trans Mountain Pipeline expansion.

The Greens have vowed to scrap the expansion and put that money toward the project.

Upgrading the electric grid to 100 per cent sustainable energy would also be a cost-effective, long-term solution, the Greens believe, though critics say Ottawa is making electricity more expensive for Albertans amid the transition.

“Current projects for renewable energy in Canada and worldwide are consistently at lower capital and operating costs than any type of fossil, hydro or nuclear energy project,” the party spokesperson said.

The party’s platform includes other potential sources of money, including closing tax loopholes for the wealthy, cracking down on offshore tax dodging and a new corporate tax on e-commerce companies, such as Facebook, Amazon and Netflix. The Greens have also vowed to eliminate all fossil fuel subsidies.

As for the economic realities, Katz-Rosene acknowledged that May’s plan may appeal to “radical” voters who view economic growth as anathema to addressing climate change.

But while May’s plan would be disruptive, it isn’t anti-capitalist, he said.

“It’s restrained capitalism. But it by no means an anti-capitalist platform, and none of the parties have an anti-capitalist platform by any stretch of the imagination,” Katz-Rosene said.

From an economist’s perspective, Bernard said the plan is still “very costly” and that taxes can only go so far.

“In the end, no corporation operates at a loss. At some stage, these taxes have to go to the users,” he said.

But conversations around money must also consider the cost of inaction on climate change, Hudema said.

“Costing (Elizabeth May) is always a concern and how we’re going to afford these things is something we definitely need to keep top of mind. But within that conversation we need to look at what is the cost of not doing what is in line with what the science is saying. I would say that cost is much more substantial.”

“The forecast, if we don’t act – it’s astronomical.”

 

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Entergy Creates COVID-19 Emergency Relief Fund to Help Customers in Need

Entergy COVID-19 Emergency Relief Fund provides financial assistance to ALICE households, low-income seniors, and disabled customers via United Way grants for rent, mortgage, utilities, food, and bill payment support during COVID-19, alongside a disconnect moratorium.

 

Key Points

A shareholder-funded program offering essential grants and bill support to Entergy customers affected by COVID-19.

✅ Shareholders commit $700,000; grants distributed via United Way partners.

✅ Focus on ALICE families, low-income seniors, and disabled customers.

✅ Disconnects suspended; bill tools and LIHEAP advocacy underway.

 

In an effort to help working families experiencing financial hardships as a result of the coronavirus pandemic, the Entergy Charitable Foundation has established the COVID-19 Emergency Relief Fund, recognizing the need for electricity across communities.

"The health and safety of our customers, employees and communities is Entergy's top priority," said Leo Denault, chairman and CEO of Entergy Corporation. "For more than 100 years, Entergy has never wavered in our commitment to supporting our customers and the communities we serve. This pandemic is no different. During this challenging time, we are helping lessen the impact of this crisis on the most vulnerable in our communities. I strongly encourage our business partners to join us in this effort."

As devastating and disruptive as this crisis is for everyone, we know from past experience that those most heavily impacted are ALICE households (low-wage working families) and low-income elderly and disabled customers, who often face energy insecurity during such events - roughly 40%-50% of Entergy's customer base.

"We know from experience that working families and low-income elderly and disabled customers are hardest hit during times of crisis," said Patty Riddlebarger, vice president of Entergy's corporate social responsibility. "We are working quickly to make funds available to community partners that serve vulnerable households to lessen the economic impact of the COVID-19 crisis and ensure that families have the resources they need to get by during this time of uncertainty."

To support our most vulnerable customers, Entergy shareholders are committing $700,000 to the COVID-19 Emergency Relief Fund to help qualifying customers with basic needs such as food and nutrition, rent and mortgage assistance, and other critical needs, alongside measures like Texas utilities waiving fees that ease household costs, until financial situations become more stable. Grants from the fund will be provided to United Way organizations and other nonprofit partners across Entergy's service area that are providing services to impacted households.

Company shareholders will also match employee contributions to the COVID-19 relief efforts of local United Way organizations up to $100,000 to maximize impact.

In addition to establishing the COVID-19 Emergency Relief Fund, Entergy is taking additional steps to support and protect our customers during this crisis, similar to PG&E's pandemic response measures, including:

With support from our regulators, we are temporarily suspending customer disconnects, as seen in New Jersey and New York policies, as we continue to monitor the situation.

We are working with our network of community advocates, as the industry coordination with federal partners continues, to request a funding increase of the Low Income Home Energy Assistance Program to help alleviate financial hardships caused by COVID-19 on vulnerable households.

We are developing bill payment solutions and tools to help customers pay their accumulated balances once the disconnect moratorium is lifted.

Already in place to support vulnerable customers is Entergy's The Power to Care program, which provides emergency bill payment assistance to seniors and disabled individuals. To mark the 20th anniversary of Entergy's low-income customer initiative, the limit of shareholders' dollar for dollar match of customer donations was increased from $500,000 to $1 million per year. Shareholders continue to match employee donations dollar for dollar with no limit.

 

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U.S. Electric Vehicle Market Share Dips in Q1 2024

U.S. EV Market Share Dip Q1 2024 reflects slower BEV adoption, rising PHEV demand, affordability concerns, charging infrastructure gaps, tax credit shifts, range anxiety, and automaker strategy adjustments across the electric vehicle market.

 

Key Points

Q1 2024 EV and hybrid share slipped as BEV sales lag, PHEVs rise, and affordability and charging concerns temper demand.

✅ BEV share fell to 7.0% as affordable models remain limited

✅ PHEV sales rose 50% YoY, easing range anxiety concerns

✅ Policy shifts and charging gaps weigh on consumer adoption

 

The U.S. electric vehicle (EV) market, once a beacon of unbridled growth, appears to be experiencing a course correction. Data from the U.S. Energy Information Administration (EIA) reveals that the combined market share of electric vehicles (battery electric vehicles, or BEVs) and hybrids dipped slightly in the first quarter of 2024, marking the first decline since the onset of the COVID-19 pandemic, even as EU EV share rose during lockdowns in 2020.

This news comes as a surprise to many analysts who predicted continued exponential growth for the EV market. While overall sales of electric vehicles surged into 2024 and did increase by 7% compared to Q1 2023, this growth wasn't enough to keep pace with the overall rise in vehicle sales. The result: a decline in market share from 18.8% in Q4 2023 to 18.0% in Q1 2024.

Several factors may be contributing to this shift. One potential culprit is a slowdown in battery electric vehicle sales. BEVs saw their share of the market dip from 8.1% to 7.0% in the same period. This could be attributed to a lack of readily available affordable options, with many popular EV models still commanding premium prices and concerns that EV supply may miss demand in the near term.

Another factor could be the rising interest in plug-in hybrid electric vehicles (PHEVs). PHEV sales witnessed a significant jump of 50% year-over-year, reflecting how gas-electric hybrids are getting a boost from major automakers, potentially indicating a consumer preference for vehicles that offer both electric and gasoline powertrain options, addressing concerns about range anxiety often associated with BEVs.

Industry experts offer mixed interpretations of this data. Some downplay the significance of the dip, attributing it to a temporary blip, even though EVs remain behind gas cars in total sales. They point to the ongoing commitment from major automakers to invest in EV production and the potential for new, more affordable models to hit the market soon.

Others express more concern, citing Europe's recent EV slump and suggesting this might be a sign of maturing consumer preferences. They argue that simply increasing the number of EVs on the market might not be enough. Automakers need to address issues like affordability, charging infrastructure, and range anxiety to maintain momentum.

The role of government incentives also remains a question mark. The federal tax credit for electric vehicles is currently set to phase out gradually, potentially impacting consumer purchasing decisions in the future. Continued government support, through incentives or infrastructure development, could be crucial in maintaining consumer interest.

The coming quarters will be crucial in determining the long-term trajectory of the U.S. EV market, especially after the global electric car market's rapid expansion in recent years. Whether this is a temporary setback or a more lasting trend remains to be seen. Addressing consumer concerns, ensuring a diverse range of affordable EV options, and continued government support will all be essential in ensuring the continued growth of this critical sector.

This development also presents an opportunity for traditional automakers. By capitalizing on the growing PHEV market and addressing consumer concerns about affordability and range anxiety, they can carve out a strong position in the evolving automotive landscape.

 

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State-owned electricity generation firm could save Britons nearly 21bn a year?

Great British Energy could cut UK electricity costs via public ownership, investing in clean energy like wind, solar, tidal, and nuclear, curbing windfall profits, stabilizing bills, and reinvesting returns through a state-backed generator.

 

Key Points

A proposed state-backed UK generator investing in clean power to cut costs and return gains to taxpayers.

✅ Publicly owned investment in wind, solar, tidal, and nuclear

✅ Cuts electricity bills by reducing generators' windfall profits

✅ Funded via bonds or asset buyouts; non-profit operations

 

A publicly owned electricity generation firm could save Britons nearly £21bn a year, according to new analysis that bolsters Labour’s case to launch a national energy company if the party gains power.

Thinktank Common Wealth has calculated that the cost of generating electricity to power homes and businesses could be reduced by £20.8bn or £252 per household a year under state ownership, according to a report seen by the Guardian.

The Labour leader, Keir Starmer, has committed to creating “a publicly owned national champion in clean energy” named Great British Energy.

Starmer is yet to lay out the exact structure of the mooted company, although he has said it would not involve nationalising existing assets, or become involved in the transmission grid or retail supply of energy.

Starmer instead hopes to create a state-backed entity that would invest in clean energy – wind, solar, tidal, nuclear, large-scale storage and other emerging technologies – creating jobs and ensuring windfalls from the growth in low carbon power feed back to the government.

The Common Wealth report, which analysed scenarios for reforming the electricity market, said that a huge saving on electricity costs could be made by buying out assets such as wind, solar and biomass generators on older contracts and running them on a non-profit basis. Funding the measure could require a government bond issuance, or some form of compulsory purchase process.

Last year the government attempted to get companies operating low carbon generators, including nuclear power plants, on older contracts to switch to contracts for difference (CfD), allowing any outsized profits to flow back to taxpayers. However, the government later decided to tax eligible firms through the electricity generator levy instead.

The Common Wealth study concluded that a publicly owned low carbon energy generator would best deliver on Britain’s climate and economic goals, would eliminate windfall profits made by generators and would cut household bills significantly.

MPs and campaigners have argued that Britain’s energy companies should be nationalised since the energy crisis, even as coal-free records have multiplied and renewables still need more support, which has resulted in North Sea oil and gas producers and electricity generators making windfall profits, and a string of retail suppliers collapsing, costing taxpayers billions. Detractors of nationalisation in energy argue it can stifle innovation and expose taxpayers to huge financial risks.

Common Wealth pointed out that more than 40% of the UK’s offshore wind generation capacity was publicly owned by overseas national entities, meaning the benefits of high electricity prices linked to the war in Ukraine had flowed back to other governments.

The study found the publicly owned generator model would create more savings than other options, including a drive for voluntary CfDs; splitting the generation market between low carbon and fossil fuel sources at a time when wind and solar have outproduced nuclear, and a “single buyer model” with nationalised retail suppliers.

 

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