Electricity Credit Program Launched

Alberta coal phaseout accelerates as utilities convert to natural gas, cutting emissions under TIER regulations and deploying hydrogen-ready, carbon capture capable plants, alongside new solar projects in a competitive, deregulated electricity market.

Key Points

A provincewide shift from coal to natural gas and renewables, cutting power emissions years ahead of the 2030 target.

✅ Capital Power, TransAlta converting coal units to gas

✅ TIER pricing drives efficiency, carbon capture readiness

✅ Hydrogen-ready turbines, solar projects boost renewables

Alberta is set to meet its goal to eliminate coal-fired electricity production years earlier than its 2030 target, amid a broader shift to cleaner energy in the province, thanks to recently announced utility conversion projects.

Capital Power Corp.’s plan to spend nearly $1 billion to switch two coal-fired power units west of Edmonton to natural gas, and stop using coal entirely by 2023, was welcomed by both the province and the Pembina Institute environmental think-tank.

In 2014, 55 per cent of Alberta’s electricity was produced from 18 coal-fired generators. The Alberta government announced in 2015 it would eliminate emissions from coal-fired electricity generation by 2030.

Dale Nally, associate minister of Natural Gas and Electricity, said Friday that decisions by Capital Power and other utilities to abandon coal will be good for the environment and demonstrates investor confidence in Alberta’s deregulated electricity market, where the power price cap has come under scrutiny.

He credited the government’s Technology Innovation and Emissions Reduction (TIER) regulations, which put a price on industrial greenhouse gas emissions, as a key factor in motivating the conversions.

“Capital Power’s transition to gas is a great example of how private industry is responding effectively to TIER, as it transitions these facilities to become carbon capture and hydrogen ready, which will drive future emissions reductions,” Nally said in an email.

Capital Power said direct carbon dioxide emissions at its Genesee power facility near Edmonton will be about 3.4 million tonnes per year lower than 2019 emission levels when the project is complete.

It says the natural gas combined cycle units it’s installing will be the most efficient in Canada, adding they will be capable of running on 30 per cent hydrogen initially, with the option to run on 95 per cent hydrogen in future with minor investments.

In November, Calgary-based TransAlta Corp. said it will end operations at its Highvale thermal coal mine west of Edmonton by the end of 2021 as it switches to natural gas at all of its operated coal-fired plants in Canada four years earlier than previously planned.

The Highvale surface coal mine is the largest in Canada, and has been in operation on the south shore of Wabamun Lake in Parkland County since 1970.

The moves by the two utilities and rival Atco Ltd., which announced three years ago it would convert to gas at all of its plants by this year, mean significant emissions reduction and better health for Albertans, said Binnu Jeyakumar, director of clean energy for Pembina.

“Alberta’s early coal phaseout is also a great lesson in good policy-making done in collaboration with industry and civil society,” she said.

“As we continue with this transformation of our electricity sector, it is paramount that efforts to support impacted workers and communities are undertaken.”

She added the growing cost-competitiveness of renewable energy, such as wind power, makes coal plant retirements possible, applauding Capital Power’s plans to increase its investments in solar power.

In Ontario, clean power policy remains a focus as the province evaluates its energy mix.

The company announced it would go ahead with its 75-megawatt Enchant Solar power project in southern Alberta, investing between $90 million and $100 million, and that it has signed a 25-year power purchase agreement with a Canadian company for its 40.5-MW Strathmore Solar project now under construction east of Calgary.
 

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UK Nuclear Power Expansion is vital for low-carbon baseload, energy security, and Net Zero, complementing renewables like wind and solar, reducing gas reliance, and unlocking investment through clear financing rules and proven, dependable reactor technology.

Key Points

Accelerating reactor build-out for low-carbon baseload to boost energy security and help deliver the UK Net Zero target.

✅ Cuts gas dependence and stabilizes grids with firm capacity.

✅ Complements wind and solar for reliable, low-carbon supply.

✅ Needs clear financing to unlock investment and lower costs.

Leading nuclear industry figures will today call for a major programme of new power stations to hit ambitious emissions reduction targets.

The 19th Nuclear Industry Association annual conference in London will highlight the need for a proven, dependable source of low carbon electricity generation alongside growth in weather-dependent solar and wind power, and particularly the rapid expansion of wind and solar generation across the UK.

Without this, they argue, the country risks embedding a major reliance on carbon-emitting gas fired power stations as Europe loses nuclear capacity at a critical time for energy security for generations to come.

Annual public opinion polling released today to coincide with the conference revealed 75% of the population want the UK Government to take more action to reduce CO2 emissions.

The survey, conducted by YouGov in October 2019, has tracked opinion trends on nuclear for more than a decade. It shows continued and consistent public support for an energy mix including nuclear and renewables, with 72% of respondents agreeing this was needed to ensure a reliable supply of electricity.

Nuclear power was also perceived as the most secure energy source for keeping the lights on, compared to other sources such as oil, gas, coal, wind power, fracking and solar power.

Last month both the Labour and Conservative Parties committed to new nuclear power as part of their election Manifestos and the government's wider green industrial revolution plans for clean growth. At the same time, 27 leading figures in the fields of environment, energy, and industry signed an open letter addressed to parliamentary candidates, which set out the benefits of nuclear and underscored the consequences of not, at least, replacing the UK's current fleet of power stations.

The Nuclear Industry Association said there is no time to be lost in clarifying the ambition and the financing rules for new nuclear power which would bring down costs and unlock a major programme of investment.

Tom Greatrex, Chief Executive of the NIA, said "We have to grow the industry's contribution to a low carbon economy. The independent Committee on Climate Change said earlier this year that we need a variety of technologies including nuclear power/1 for net zero to reach the UK's Net Zero emissions target by 2050".

"This is a proven, dependable, technology with lower lifecycle CO2 emissions than solar power and the same as offshore wind/2. It is also an important economic engine for the UK, supporting uses beyond electricity and creating high quality direct and indirect employment for around 155,000 people."

"Right now nuclear provides 20%/3 of all the UK's electricity but all but one of our existing fleet will close over the next decade, amid the debate over nuclear's decline as power demand will only increase with a shift to electric heating and vehicles."

"The countries and regions which have most successfully decarbonised, like Sweden, France and Ontario in Canada, have done so by relying on nuclear, aligning with Canada's climate goals for affordable, safe power today. You are not serious about tackling climate change if you are not serious about nuclear".

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India Electricity Production 2017 surged to 1,160 BU, ranking third globally; rising TWh output with 334 GW capacity, strong renewables and thermal mix, 7% CAGR in generation, and growing demand, investments, and FDI inflows.

Key Points

India's 2017 power output reached 1,160 BU, third globally, supported by 334 GW capacity, rising renewables, and 7% CAGR.

✅ 1,160 BU generated; third after China and the US

✅ Installed capacity 334 GW; 65% thermal, rising renewables

✅ Generation CAGR ~7%; demand, FDI, investments rising

India now generates around 1,160.1 billion units of electricity in financial year 2017, up 4.72% from the previous year, and amid surging global electricity demand that is straining power systems. The country is behind only China which produced 6,015 terrawatt hours (TWh. 1 TW = 1,000,000 megawatts) and the US (4,327 TWh), and is ahead of Russia, Japan, Germany, and Canada.

India’s electricity production grew 34% over seven years to 2017, and the country now produces more energy than Japan and Russia, which had 27% and 8.77% more electricity generation capacity installed, respectively, than India seven years ago.

India produced 1,160.10 billion units (BU) of electricity–one BU is enough to power 10 million households (one household using average of about 3 units per day) for a month–in financial year (FY) 2017. Electricity production stood at 1,003.525 BU between April 2017-January 2018, according to a February 2018 report by India Brand Equity Foundation (IBEF), a trust established by the commerce ministry.

#google#

With a production of 1,423 BU in FY 2016, India was the third largest producer and the third largest consumer of electricity in the world, behind China (6,015 BU) and the United States (4,327 BU).

With an annual growth rate of 22.6% capacity addition over a decade to FY 2017, renewables beat other power sources–thermal, hydro and nuclear. Renewables, however, made up only 18.79% of India’s energy, up 68.65% since 2007, and globally, low-emissions sources are expected to cover most demand growth in the coming years. About 65% of installed capacity continues to be thermal.

As of January 2018, India has installed power capacity of 334.4 gigawatt (GW), making it the fifth largest installed capacity in the world after European Union, China, United States and Japan, and with much of the fleet coal-based, imported coal volumes have risen at times amid domestic supply constraints.

The government is targeting capacity addition of around 100 GW–the current power production of United Kingdom–by 2022, as per the IBEF report.

Electricity generation grew at 7% annually

India achieved a 34.48% growth in electricity production by producing 1,160.10 BU in 2017 compared to 771.60 BU in 2010–meaning that in these seven years, electricity production in India grew at a compound annual growth rate (CAGR) of 7.03%, while thermal power plants' PLF has risen recently amid higher demand and lower hydro.

Generation capacity grew at 10% annually

Of 334.5 GW installed capacity as of January 2018–up 60% from 132.30 GW in 2007–thermal installed capacity was 219.81 GW. Hydro and renewable energy installed capacity totaled 44.96 GW and 62.85 GW, respectively, said the report.

The CAGR in installed capacity over a decade to 2017 was 10.57% for thermal power, 22.06% for renewable energy–the fastest among all sources of power–2.51% for hydro power and 5.68% for nuclear power.

Growing demand, higher investments will drive future growth

Growing population and increasing penetration of electricity connections, along with increasing per-capita usage would provide further impetus to the power sector, said the report.

Power consumption is estimated to increase from 1,160.1 BU in 2016 to 1,894.7 BU in 2022, as per the report, though electricity demand fell sharply in one recent period.

Increasing investment remained one of the driving factors of power sector growth in the country.

Power sector has a 100% foreign direct investment (FDI) permit, which boosted FDI inflows in the sector.

Total FDI inflows in the power sector reached $12.97 billion (Rs 83,713 crore) during April 2000 to December 2017, accounting for 3.52% of FDI inflows in India, the report said.

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Canadian Industrial IoT Cybersecurity Standards aim to unify device security for utilities, smart grids, SCADA, and OT systems, aligning with NERC CIP, enabling certification, trust marks, compliance testing, and safer energy sector deployments.

Key Points

National standards to secure industrial IoT for utilities and grids, enabling certification and NERC CIP alignment.

✅ Aligns with NERC CIP and NIST frameworks for energy sector security

✅ Defines certification, testing tools, and a trusted device repository

✅ Enhances OT, SCADA, and smart grid resilience against cyber threats

The Canadian energy sector has been buying Internet-connected sensors for monitoring a range of activities in generating plants, distribution networks facing harsh weather risks and home smart meters for several years. However, so far industrial IoT device makers have been creating their own security standards for devices, leaving energy producers and utilities at their mercy.

The industry hopes to change that by creating national cybersecurity standards for industrial IoT devices, with the goal of improving its ability to predict, prevent, respond to and recover from cyber threats, such as emerging ransomware attacks across the grid.

To help, the federal government today announced an $818,000 grant support a CIO Strategy Council project oversee the setting of standards.

In an interview council executive director Keith Jansa said the money will help a three-year effort that will include holding a set of cross-country meetings with industry, government, academics and interest groups to create the standards, tools to be able to test devices against the standards and the development of product repository of IoT safe devices companies can consult before making purchases.

“The challenge is there are a number of these devices that will be coming online over the next few years,” Jansa said. “IoT devices are designed for convenience and not for security, so how do you ensure that a technology an electricity utility secures is in fact safeguarded against cyber threats? Currently, there is no associated trust mark or certification that gives confidence associated with these devices.”

He also said the council will work with the North American Electric Reliability Corporation (NERC), which sets North American-wide utility safety procedural standards and informs efforts on protecting the power grid across jurisdictions. The industrial IoT standards will be product standards.

According to Robert Wong, vice-president and CIO of Toronto Hydro, all the big provincial utilities are subject to adhering to NERC CIP standards which have requirements for both cyber and physical security. Ontario is different from most provinces in that it has local distribution companies — like Toronto Hydro — which buy electricity in bulk and resell it to customers.  These LDCs don’t own or operate critical infrastructure and therefore don’t have to follow the NERC CIP standards.

Regional reforms, such as regulatory changes in Atlantic Canada, aim to bring greener power options to the grid.

Electricity is considered around the world as one of a country’s critical national infrastructure. Threats to the grid can be used for ransom or by a country for political pressure. Ukraine had its power network knocked offline in 2015 and 2016 by what were believed to be Russian-linked attackers operating against utilities.

All the big provincial utilities operate “critical infrastructure” and are subject to adhering to NERC CIP (critical infrastructure protection) standards, which have requirements for both cyber and physical security, as similar compromises at U.S. electric utilities have highlighted recently.  There are audited on a regular basis for compliance and can face hefty fines if they fail to meet the requirements.  The LDCs in Ontario don’t own or operate “critical infrastructure” and therefore are not required to adopt NERC CIP standards (at least for now).

The CIO Strategy Council is a forum for chief information officers that is helping set standards in a number of areas. In January it announced a partnership with the Internet Society’s Canada Chapter to create standards of practice for IoT security for consumer devices. As part of the federal government’s updated national cybersecurity strategy it is also developing a national cybersecurity standard for small and medium-sized businesses. That strategy would allow SMBs to advertise to customers that they meet minimum security requirements.

“The security of Canadians and our critical infrastructure is paramount,” federal minister of natural resources Seamus O’Regan said in a statement with today’s announcement. “Cyber attacks are becoming more common and dangerous. That’s why we are supporting this innovative project to protect the Canadian electricity sector.”

The announcement was welcomed by Robert Wong, Toronto Hydro’s vice-president and CIO. “Any additional investment towards strengthening the safeguards against cyberattacks to Canada’s critical infrastructure is definitely good news.  From the perspective of the electricity sector, the convergence of IT and OT (operational technology) has been happening for some time now as the traditional electricity grid has been transforming into a Smart Grid with the introduction of smart meters, SCADA systems, electronic sensors and monitors, smart relays, intelligent automated switching capabilities, distributed energy resources, and storage technologies (batteries, flywheels, compressed air, etc.).

“In my experience, many OT device and system manufacturers and vendors are still lagging the traditional IT vendors in incorporating Security by Design philosophies and effective security features into their products.  This, in turn, creates greater risks and challenges for utilities to protecting their critical infrastructures and ensuring a reliable supply of electricity to its customers.”

The Ontario Energy Board, which regulates the industry in the province, has led an initiative for all utilities to adopt the National Institute of Standards and Technology (NIST) Cybersecurity Framework, along with the ES-C2M2 maturity and Privacy By Design models, he noted.  Toronto Hydro has been managing its cybersecurity practice in adherence to these standards, as the city addresses growing electricity needs as well, he said.

“Other jurisdictions, such as Israel, have invested heavily on a national level in developing its cybersecurity capabilities and are seen as global leaders.  I am confident that given the availability of talent, capabilities and resources in Canada (especially around the GTA) if we get strong support and leadership at a federal level we can also emerge as a leader in this area as well.”

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Schott Green Electricity CPPA secures renewable energy via a solar park in Schleswig-Holstein, supporting decarbonization in German glass manufacturing; the corporate PPA with ane.energy delivers about 14.5 GWh annually toward climate-neutral production by 2030.

Key Points

Corporate PPA for 14.5 GWh solar in Germany, cutting Schott plant emissions and advancing climate-neutral operations.

✅ 14.5 GWh solar from Schleswig-Holstein via ane.energy

✅ Powers Mainz HQ and plants in GrFCnenplan, Mitterteich, Landshut

✅ Two-year CPPA covers ~5% of Schott's German electricity needs

Schott, a leading specialty glass manufacturer, is advancing its sustainability initiatives in step with Germany's energy transition by integrating green electricity into its operations. Through a Corporate Power Purchase Agreement (CPPA) with green energy specialist ane.energy, Schott aims to significantly reduce its carbon footprint and move closer to its goal of climate-neutral production by 2030.

Transition to Renewable Energy

As of February 2025, amid a German renewables milestone for the power sector, Schott has committed to sourcing approximately 14.5 gigawatt-hours of clean energy annually from a solar park in Schleswig-Holstein, Germany. This renewable energy will power Schott's headquarters in Mainz and its plants in Grünenplan, Mitterteich, and Landshut. The CPPA covers about 5% of the company's annual electricity needs in Germany and is initially set for a two-year term, reflecting lessons from extended nuclear power during recent supply challenges.

Strategic Implementation

To achieve climate-neutral production by 2030, Schott is focusing on transitioning from gas to electricity sourced from renewable sources like photovoltaics, alongside complementary pathways such as hydrogen-ready power plants being developed nationally. Operating a single melting tank requires energy equivalent to the annual consumption of up to 10,000 single-family homes. Therefore, Schott has strategically selected suitable plants for this renewable energy supply to meet its substantial energy requirements.

Industry Leadership

Schott's collaboration with ane.energy demonstrates the company's commitment to sustainability and its proactive approach to integrating renewable energy into industrial operations. This partnership not only supports Schott's decarbonization goals but also sets a precedent for other manufacturers in the glass industry to adopt green energy solutions, mirroring advances like green hydrogen steel in heavy industry.

Schott's initiative to power its German glass plants with green electricity underscores the company's dedication to environmental responsibility and its strategic efforts to achieve climate-neutral production by 2030, aligning with the national coal and nuclear phaseout underway. This move reflects a broader trend in the manufacturing sector toward sustainable practices and the adoption of renewable energy sources, even as debates continue over a possible nuclear phaseout U-turn in Germany.

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PJM Capacity Auction Price Drop signals PJM Interconnection capacity market shifts, with $50/MW-day clearing, higher renewables and nuclear participation, declining coal, natural gas pressure, and zone impacts in ComEd and EMAAC, amid 21% reserve margins.

Key Points

A decline to $50 per MW-day in PJM capacity prices, shifting resource mix, zonal rates, and reserve margins.

✅ Clearing price fell to $50/MW-day from $140 in 2018

✅ Renewables and nuclear up; coal units down across PJM

✅ Zonal prices: ComEd $68.96, EMAAC $97.86; 21% reserves

Power-plant owners serving the biggest U.S. grid will be paid 64% less next year for being on standby to keep the lights on from New Jersey to Illinois.

Suppliers to PJM Interconnection LLC’s grid, which serves more than 65 million people, will get $50 a megawatt-day to provide capacity for the the year starting June 2022, according to the results of an auction released Wednesday. That’s down sharply from $140 in the previous auction, held in 2018. Analysts had expected the price would fall to about $85.

“Renewables, nuclear and new natural gas generators saw the greatest increases in cleared capacity, while coal units saw the largest decrease,” PJM said in a statement.

The PJM auction is the single most important event for power generators across the eastern U.S., including Calpine Corp., NRG Energy Inc. and Exelon Corp., because it dictates a big chunk of their future revenue. It also plays a pivotal role in shaping the region’s electricity mix, determining how much the region is willing to stick with coal and natural gas plants or replace them with wind and solar even as the aging grid complicates progress nationwide.

The results showed that the capacity price for the Chicago-area zone, known as ComEd, was $68.96 compared with $195.55 in the last auction. The price for the Pennsylvania and New Jersey zone, known as EMAAC, fell to $97.86 percent, from $165.73. All told, 144,477 megawatts cleared, representing a reserve margin of 21%.

Exelon shares fell 0.4% after the results were released. Vistra fell 1.5%. NRG was unchanged.

Blackouts triggered by extreme weather in Texas and California over the last year have reignited a debate over whether other regions should institute capacity systems similar to the one used by PJM, and whether to adopt measures like emergency fuel stock programs in New England as well. The market, which pays generators to be on standby in case extra power is needed, has long been a source of controversy. While it makes the grid more reliable, the system drives up costs for consumers. In the area around Chicago, for instance, these charges total more than $1.7 billion per year, accounting for 20% of customer bills, according to the Illinois Clean Jobs Coalition.

In the 2018 auction, PJM contracted supplies that were about 22% in excess of the peak demand projection at the time. This year, the grid is projected to start summer with a reserve margin of about 26%, as COVID-19 demand shifts persist, according to the market monitor -- far higher than the 16% most engineers say is needed to prevent major outages.

“This certainly doesn’t seem fair to ratepayers,” said Ari Peskoe, director of Harvard Law School’s Electricity Law Initiative.

Fossil-Fuel Advantage
Heading into the auction, analysts expected coal and gas plants to have the advantage. Nuclear reactors and renewables, they said, were poised to struggle amid coal and nuclear disruptions nationwide.

That’s because this is the first PJM auction run under a major pricing change imposed by federal regulators during the Trump administration. The new structure creates a price floor for some bidders, effectively hobbling nuclear and renewables that receive state subsidies while making it easier for fossil fuels to compete.

Those rules triggered contentious wrangling between power providers, PJM and federal regulators, delaying the auction for two years. The new system, however, may be short lived. The Biden administration is moving to overhaul the rules in time for the next auction in December.

Also See: Biden Climate Goals to Take Backseat in Biggest U.S. Power Grid

Dominion Energy Inc., one of the biggest U.S. utility owners, pulled out of the market over the rules. The Virginia-based company, which has a goal to have net-zero carbon emissions by 2050, said the new PJM format will “make renewables more expensive” than delivering clean energy through alternative markets.

Illinois, New Jersey and Maryland have also threatened to leave the capacity market unless the new price floor is eliminated, and Connecticut is leading a market overhaul in New England as well. PJM has already launched a process to do it.

PJM is already one of the most fossil-fuel intensive grids, with 60% of its electricity coming from coal and gas. Power plants that bid into the auction rely on it for the bulk of their revenue. That means plants that win contracts have an incentive to continue operating for as long as they can, even amid a supply-chain crisis this summer.

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