The Ontario Teachers' Pension Plan will have more than $1.6-billion invested in Chilean infrastructure after buying the country's second-largest electricity distributor with partner Morgan Stanley Investment Management.
Teachers is buying half of SAESA Group, which has about 8 per cent of Chile's electricity distribution market, in a deal worth $870-million (US). Morgan Stanley Infrastructure, an arm of the New York-based asset manager, will take the remaining $435-million stake.
The acquisition from Public Service Enterprise Group Inc. of New Jersey also includes the assumption of more than $200-million in existing company debt by each of the partners.
The deal will add to Teachers' $1-billion (Canadian) investment last year in two companies that control about 20 per cent of Chile's water and sewage industry.
Since the early 1990s, Chile has encouraged direct foreign investment to help fix previously neglected infrastructure, including roads, ports and water systems.
Its attractive tax system, stable investment policies and other benefits have proven a lure for investors around the world.
Canada, which also has strong ties to Chile through mining investments there, was the third-largest investor in the country in 2006, behind the United States and Spain. Infrastructure is making up a growing amount of that total.
"This is yet another step in a long, deep look into Chile and infrastructure assets there. It's a great country to be in," Stephen Dowd, Teachers' vice-president of infrastructure, said in an interview from Vancouver.
Teachers will continue to look for investments in markets with good protection for investors and transparent regulatory regimes, although few are as progressive in these respects as Chile, Mr. Dowd added.
The country's unique characteristics are making it a crowded place to do business. Mr. Dowd said the auction process initiated by SAESA's New Jersey owner earlier this year was very competitive, although he did not know how many other bid groups participated.
Other Canadian investors active in Chile include Brookfield Asset Management Inc., the Canada Pension Plan Investment Board and British Columbia Investment Management Corp. In 2006, the three investors teamed up to buy Chile's largest electricity transmission firm, HQI Transelec Chile SA, for $1.55-billion (US).
Mr. Dowd also said Teachers would be interested in investing in Canadian infrastructure, if it could find projects that meet its criteria.
"There are some really good opportunities in infrastructure, but they're of a smaller size than what we look at," Mr. Dowd said.
Last year, Finance Minister Jim Flaherty told reporters he wanted to find ways to encourage large pension funds to invest in Canada, and introduced a new Crown corporation in this year's budget to encourage public-private partnerships.
U.S. Russian Uranium Import Ban reshapes nuclear fuel supply, bolstering energy security, domestic enrichment, and sanctions policy while diversifying reactor-grade uranium sources and supply chains through allies, waivers, and funding to sustain utilities and reliability.
Key Points
A U.S. law halting Russian uranium imports to boost energy security diversify nuclear fuel and revive U.S. enrichment.
✅ Funds U.S. enrichment; supports reactor fuel supply.
✅ Enables waivers to prevent utility shutdowns.
In a move aimed at reducing reliance on Russia and fostering domestic energy security for the long term, the United States has banned imports of Russian uranium, a critical component of nuclear fuel. This decision, signed into law by President Biden in May 2024, marks a significant shift in the U.S. nuclear fuel supply chain and has far-reaching economic and geopolitical implications.
For decades, Russia has been a major supplier of enriched uranium, a processed form of uranium used to power nuclear reactors. The U.S. relies on Russia for roughly a quarter of its enriched uranium needs, feeding the nation's network of 94 nuclear reactors operated by utilities which generate nearly 20% of the country's electricity. This dependence has come under scrutiny in recent years, particularly following Russia's invasion of Ukraine.
The ban on Russian uranium is a multifaceted response. First and foremost, it aims to cripple a key revenue stream for the Russian government. Uranium exports are a significant source of income for Russia, and by severing this economic tie, the U.S. hopes to weaken Russia's financial capacity to wage war.
Second, the ban serves as a national energy security measure. Relying on a potentially hostile nation for such a critical resource creates vulnerabilities. The possibility of Russia disrupting uranium supplies, either through political pressure or in the event of a wider conflict, is a major concern. Diversifying the U.S. nuclear fuel supply chain mitigates this risk.
Third, the ban is intended to revitalize the domestic uranium mining and enrichment industry, building on earlier initiatives such as Trump's uranium order announced previously. The U.S. has historically been a major uranium producer, but environmental concerns and competition from cheaper foreign sources led to a decline in domestic production. The ban, coupled with $2.7 billion in federal funding allocated to expand domestic uranium enrichment capacity, aims to reverse this trend.
The transition away from Russian uranium won't be immediate. The law includes a grace period until mid-August 2024, and waivers can be granted to utilities facing potential shutdowns if alternative suppliers aren't readily available. Finding new sources of enriched uranium will require forging partnerships with other uranium-producing nations like Kazakhstan, Canada on minerals cooperation, and Australia.
The long-term success of this strategy hinges on several factors. First, successfully ramping up domestic uranium production will require overcoming regulatory hurdles and addressing environmental concerns, alongside nuclear innovation to modernize the fuel cycle. Second, securing reliable alternative suppliers at competitive prices is crucial, and supportive policy frameworks such as the Nuclear Innovation Act now in law can help. Finally, ensuring the continued safe and efficient operation of existing nuclear reactors is paramount.
The ban on Russian uranium is a bold move with significant economic and geopolitical implications. While challenges lie ahead, the potential benefits of a more secure and domestically sourced nuclear fuel supply chain are undeniable. The success of this initiative will be closely watched not only by the U.S. but also by other nations seeking to lessen their dependence on Russia for critical resources.
Alberta Power Grid Level 2 Alert signals AESO reserve power usage, load management, supply shortage from generator outages, low wind, and limited imports, urging peak demand conservation to avoid blackouts and preserve grid reliability.
Key Points
An AESO status where reserves power the grid and load management is used during supply constraints to prevent blackouts.
✅ Triggered by outages, low wind, and reduced import capacity
✅ Peak hours 4 to 7 pm saw conservation requests
✅ Several hundred MW margin from Level 3 load shedding
Alberta's energy grid ran on reserves Wednesday, after multiple factors led to a supply shortage, a scenario explored in U.S. grid COVID response discussions as operators plan for contingencies.
At 3:52 p.m. Wednesday, the Alberta Electric System Operator issued a Level 2 alert, meaning that reserves were being used to supply energy requirements and that load management procedures had been implemented, while operators elsewhere adopted Ontario power staffing lockdown measures during COVID-19 for continuity. The alert ended at 6:06 p.m.
"This is due to unplanned generator outages, low wind and a reduction of import capability," the agency said in a post to social media. "Supply is tight but still meeting demand."
AESO spokesperson Mike Deising said the intertie with Saskatchewan had tripped off, and an issue on the British Columbia side of the border, as seen during BC Hydro storm response events, meant the province couldn't import power.
"There are no blackouts … this just means we're using our reserve power, and that's a standard procedure we'll deploy," he said.
AESO had asked that people reduce their energy consumption between 4 and 7 p.m., similar to Cal ISO conservation calls during grid strain, which is typically when peak use occurs.
Deising said the system was several hundred MWs away from needing to move to an alert Level 3, with utilities such as FortisAlberta precautions in place to support continuity, which is when power is cut off to some customers in order to keep the system operating. Deising said Level 2 alerts are fairly rare and occur every few years. The last Level 3 alert was in 2013.
According to the supply and demand report on AESO's website, the load on the grid at 5 p.m. was 10,643 MW.
That's down significantly from last week, when a heat wave pushed demand to record highs on the grid, with loads in the 11,700 MW range, contrasting with Ontario demand drop during COVID when many stayed home.
A heat warning was issued Wednesday for Edmonton and surrounding areas shortly before 4 p.m., with temperatures above 29 C expected over the next three days, with many households seeing residential electricity use up during such periods.
Crosbie Hydro Energy Action Plan outlines rate mitigation for Muskrat Falls, leveraging Nalcor oil revenues, export sales, Holyrood savings, and potential Hydro-Quebec taxation to keep Newfoundland and Labrador electricity rates near 14.67 cents/kWh.
Key Points
PC plan to cap post-Muskrat rates by using Nalcor revenues, exports, and savings, with optional Accord funds.
✅ $575.4M yearly to hold rates near 14.67 cents/kWh
Newfoundland and Labrador PC Leader Ches Crosbie says Muskrat Falls won't drive up electricity rates, a goal consistent with an agreement to shield ratepayers from cost overruns, if he's elected premier.
According to Crosbie, who presented the party's Crosbie Hydro Energy Action Plan — acronym CHEAP — at a press conference Monday, $575.4 million is needed per year in order to keep rates from ballooning past 14.67 cents per kilowatt hour.
Here's where he thinks the money could come from:
Hydro rates and dividends — $123.4 million
Export sales — $40.1 million
Nalcor restructuring — $30 million
Holyrood savings — $150 million
Nalcor oil revenue — $231 million
The oil money, Crosbie said, isn't going into government coffers but being invested into the offshore which, he said, is a good place for it.
"But the plan from the beginning around Muskrat Falls was that if there was need for it — for mitigation for rates — that those revenues and operating cash flows from Nalcor oil and gas would be available to be recycled into rate mitigation, as reflected in a recent financial update on the pandemic's impact. and that's what we're going to have to do," he said.
According to Crosbie, his numbers come from the preliminary stage of the Public Utilities Board process, even as rate mitigation talks have lacked public details.
This is a recent aerial view of the Muskrat Falls project in central Labrador. The project is more than 90 per cent complete, with first power forecast for late 2019, alongside Ottawa's $5.2B support for the project. (Nalcor)
"I'm telling you this is the best information available to anyone outside of government," he said. "We're working on what we can."
The PUB estimated Nalcor restructuring could save between $10 million and $15 million, according to Crosbie, but he figures there's "enough duplication and overpayment involved in the way things are now set up that we can find $30 million there."
Crosbie's $575.4-million figure would put rates at 14.67 cents per kilowatt-hour in 2021, where his plan pledges to keep them.
A recent Public Utilities Board Report says there's a potential $10 million to $15 million in savings from Nalcor, but Crosbie says he can find $30 million. (CBC)
"The promise is that Muskrat Falls, when it comes online — comes in service — will not increase your rates. Between now and when that happens there are rate increases already in the pipeline up to that level of [14.67 cents per kilowatt-hour] … so that is the baseline target rate at which rates will be kept.
"In other words, Muskrat will not drive up prices for electricity to consumers beyond that point."
In addition to those savings, Crosbie's plan outlined two further steps.
"We think it could be done out of the resources that I've just identified now, but if there's a problem with that, and as a temporary measure, we can use a modest amount of the Atlantic Accord review, fiscal review, revenues," he said.
Plan 'nothing new'
Premier Dwight Ball slammed the plan at the House of Assembly on Monday, saying it lacked insight.
"It was a copy and paste exercise," he told reporters. "There's nothing new in that plan. Not at all."
"We're not leaving any stone unturned of where the opportunity would be to actually generate revenue," he said. "We are genuinely concerned about rate mitigation and we've got to get a plan in place."
Potential to tax Hydro-Québec
Crosbie also said there's potential to tax Hydro-Québec.
According to Crosbie, tax exemptions that expired in 2016 allow the province to tax exports from the Upper Churchill, which, he said, could result in "hundreds of millions or billions" in revenue.
"It's not my philosophy to immediately go and do that because that would generate litigation — who needs more of that? — but we do need to let Quebec know that we're very aware of that, and aware of that opportunity, and invite them to come talk about a whole host of issues," Crosbie said.
Crosbie said the tax would also have to be applied to domestic consumption.
"But so massive is the potential revenue from the Upper Churchill export that there would be ways to mitigate that and negate the effect of that on consumers in the province."
Crosbie said with the Atlantic Accord revenue, he could still present a balanced budget by 2022.
National Grid power supply warning highlights electricity shortage risks amid low wind output, generator outages, and cold weather, reducing capacity margins and grid stability; considering demand response and reserve power to avoid blackout risk.
Key Points
An alert that reduced capacity from low wind and outages requires actions to maintain UK grid stability.
✅ Low wind output and generator outages reduce capacity margins
✅ ESO exploring demand response and reserve generation options
✅ Aim: maintain grid stability and avoid blackout risk
National Grid has warned that Britain’s electricity will be in short supply over the next few days after a string of unplanned power plant outages and unusually low wind speeds this week, as cheap wind power wanes across the system.
The electricity system operator said it will take action to “make sure there is enough generation” during the cold weather spell, including virtual power plants and other demand-side measures, to prevent a second major blackout in as many years.
“Unusually low wind output coinciding with a number of generator outages means the cushion of spare capacity we operate the system with has been reduced,” the company told its Twitter followers.
“We’re exploring measures and actions to make sure there is enough generation available to increase our buffer of capacity.”
A spokeswoman for National Grid said the latest electricity supply squeeze was not expected to be as severe as recorded last month, following reports that the government’s emergency energy plan was not going ahead, and added that the company did not expect to issue an official warning in the next 24 hours.
“We’re monitoring how the situation develops,” she said.
The warning is the second from the electricity system operator in recent weeks. In mid-September the company issued an official warning to the electricity market as peak power prices climbed, that its ‘buffer’ of power reserves had fallen below 500MW and it may need to call on more power plants to help prevent a blackout. The notice was later withdrawn.
Concerns over National Grid’s electricity supplies have been relatively rare in recent years. It was forced in November 2015 to ask businesses to cut their demand as a “last resort” measure to keep the lights on after a string of coal plant breakdowns.
But since then, National Grid’s greater challenge has been an oversupply of electricity, partly due to record wind generation, which has threatened to overwhelm the grid during times of low electricity demand.
National Grid has already spent almost £1bn on extra measures to prevent blackouts over the first half of the year by paying generators to produce less electricity during the coronavirus lockdown, as daily demand fell.
The company paid wind farms to turn off, and EDF Energy to halve the nuclear generation from its Sizewell B nuclear plant, to avoid overwhelming the grid when demand for electricity fell by almost a quarter from last year.
The electricity supply squeeze comes a little over a year after National Grid left large parts of England and Wales without electricity after the biggest blackout in a decade left a million homes in the dark. National Grid blamed a lightning strike for the widespread power failure.
Similar supply strains have recently caused power cuts in China, underscoring how weather and generation mix can trigger blackouts.
ITER Nuclear Fusion advances tokamak magnetic confinement, heating deuterium-tritium plasma with superconducting magnets, targeting net energy gain, tritium breeding, and steam-turbine power, while complementing laser inertial confinement milestones for grid-scale electricity and 2025 startup goals.
Key Points
ITER Nuclear Fusion is a tokamak project confining D-T plasma with magnets to achieve net energy gain and clean power.
✅ Tokamak magnetic confinement with high-temp superconducting coils
✅ Deuterium-tritium fuel cycle with on-site tritium breeding
✅ Targets net energy gain and grid-scale, low-carbon electricity
It sounds like the stuff of dreams: a virtually limitless source of energy that doesn’t produce greenhouse gases or radioactive waste. That’s the promise of nuclear fusion, often described as the holy grail of clean energy by proponents, which for decades has been nothing more than a fantasy due to insurmountable technical challenges. But things are heating up in what has turned into a race to create what amounts to an artificial sun here on Earth, one that can provide power for our kettles, cars and light bulbs.
Today’s nuclear power plants create electricity through nuclear fission, in which atoms are split, with next-gen nuclear power exploring smaller, cheaper, safer designs that remain distinct from fusion. Nuclear fusion however, involves combining atomic nuclei to release energy. It’s the same reaction that’s taking place at the Sun’s core. But overcoming the natural repulsion between atomic nuclei and maintaining the right conditions for fusion to occur isn’t straightforward. And doing so in a way that produces more energy than the reaction consumes has been beyond the grasp of the finest minds in physics for decades.
But perhaps not for much longer. Some major technical challenges have been overcome in the past few years and governments around the world have been pouring money into fusion power research as part of a broader green industrial revolution under way in several regions. There are also over 20 private ventures in the UK, US, Europe, China and Australia vying to be the first to make fusion energy production a reality.
“People are saying, ‘If it really is the ultimate solution, let’s find out whether it works or not,’” says Dr Tim Luce, head of science and operation at the International Thermonuclear Experimental Reactor (ITER), being built in southeast France. ITER is the biggest throw of the fusion dice yet.
Its $22bn (£15.9bn) build cost is being met by the governments of two-thirds of the world’s population, including the EU, the US, China and Russia, at a time when Europe is losing nuclear power and needs energy, and when it’s fired up in 2025 it’ll be the world’s largest fusion reactor. If it works, ITER will transform fusion power from being the stuff of dreams into a viable energy source.
Constructing a nuclear fusion reactor ITER will be a tokamak reactor – thought to be the best hope for fusion power. Inside a tokamak, a gas, often a hydrogen isotope called deuterium, is subjected to intense heat and pressure, forcing electrons out of the atoms. This creates a plasma – a superheated, ionised gas – that has to be contained by intense magnetic fields.
The containment is vital, as no material on Earth could withstand the intense heat (100,000,000°C and above) that the plasma has to reach so that fusion can begin. It’s close to 10 times the heat at the Sun’s core, and temperatures like that are needed in a tokamak because the gravitational pressure within the Sun can’t be recreated.
When atomic nuclei do start to fuse, vast amounts of energy are released. While the experimental reactors currently in operation release that energy as heat, in a fusion reactor power plant, the heat would be used to produce steam that would drive turbines to generate electricity, even as some envision nuclear beyond electricity for industrial heat and fuels.
Tokamaks aren’t the only fusion reactors being tried. Another type of reactor uses lasers to heat and compress a hydrogen fuel to initiate fusion. In August 2021, one such device at the National Ignition Facility, at the Lawrence Livermore National Laboratory in California, generated 1.35 megajoules of energy. This record-breaking figure brings fusion power a step closer to net energy gain, but most hopes are still pinned on tokamak reactors rather than lasers.
In June 2021, China’s Experimental Advanced Superconducting Tokamak (EAST) reactor maintained a plasma for 101 seconds at 120,000,000°C. Before that, the record was 20 seconds. Ultimately, a fusion reactor would need to sustain the plasma indefinitely – or at least for eight-hour ‘pulses’ during periods of peak electricity demand.
A real game-changer for tokamaks has been the magnets used to produce the magnetic field. “We know how to make magnets that generate a very high magnetic field from copper or other kinds of metal, but you would pay a fortune for the electricity. It wouldn’t be a net energy gain from the plant,” says Luce.
One route for nuclear fusion is to use atoms of deuterium and tritium, both isotopes of hydrogen. They fuse under incredible heat and pressure, and the resulting products release energy as heat
The solution is to use high-temperature, superconducting magnets made from superconducting wire, or ‘tape’, that has no electrical resistance. These magnets can create intense magnetic fields and don’t lose energy as heat.
“High temperature superconductivity has been known about for 35 years. But the manufacturing capability to make tape in the lengths that would be required to make a reasonable fusion coil has just recently been developed,” says Luce. One of ITER’s magnets, the central solenoid, will produce a field of 13 tesla – 280,000 times Earth’s magnetic field.
The inner walls of ITER’s vacuum vessel, where the fusion will occur, will be lined with beryllium, a metal that won’t contaminate the plasma much if they touch. At the bottom is the divertor that will keep the temperature inside the reactor under control.
“The heat load on the divertor can be as large as in a rocket nozzle,” says Luce. “Rocket nozzles work because you can get into orbit within minutes and in space it’s really cold.” In a fusion reactor, a divertor would need to withstand this heat indefinitely and at ITER they’ll be testing one made out of tungsten.
Meanwhile, in the US, the National Spherical Torus Experiment – Upgrade (NSTX-U) fusion reactor will be fired up in the autumn of 2022, while efforts in advanced fission such as a mini-reactor design are also progressing. One of its priorities will be to see whether lining the reactor with lithium helps to keep the plasma stable.
Choosing a fuel Instead of just using deuterium as the fusion fuel, ITER will use deuterium mixed with tritium, another hydrogen isotope. The deuterium-tritium blend offers the best chance of getting significantly more power out than is put in. Proponents of fusion power say one reason the technology is safe is that the fuel needs to be constantly fed into the reactor to keep fusion happening, making a runaway reaction impossible.
Deuterium can be extracted from seawater, so there’s a virtually limitless supply of it. But only 20kg of tritium are thought to exist worldwide, so fusion power plants will have to produce it (ITER will develop technology to ‘breed’ tritium). While some radioactive waste will be produced in a fusion plant, it’ll have a lifetime of around 100 years, rather than the thousands of years from fission.
At the time of writing in September, researchers at the Joint European Torus (JET) fusion reactor in Oxfordshire were due to start their deuterium-tritium fusion reactions. “JET will help ITER prepare a choice of machine parameters to optimise the fusion power,” says Dr Joelle Mailloux, one of the scientific programme leaders at JET. These parameters will include finding the best combination of deuterium and tritium, and establishing how the current is increased in the magnets before fusion starts.
The groundwork laid down at JET should accelerate ITER’s efforts to accomplish net energy gain. ITER will produce ‘first plasma’ in December 2025 and be cranked up to full power over the following decade. Its plasma temperature will reach 150,000,000°C and its target is to produce 500 megawatts of fusion power for every 50 megawatts of input heating power.
“If ITER is successful, it’ll eliminate most, if not all, doubts about the science and liberate money for technology development,” says Luce. That technology development will be demonstration fusion power plants that actually produce electricity, where advanced reactors can build on decades of expertise. “ITER is opening the door and saying, yeah, this works – the science is there.”
Maryland Renewable Energy Violations highlight RPS compliance gaps as facilities selling renewable energy certificates, including waste-to-energy, biomass, and paper mills, face emissions and permit issues, prompting PSC and Attorney General scrutiny of environmental standards.
Key Points
Alleged RPS noncompliance by REC-eligible plants, prompting PSC review and potential decertification under Maryland law.
✅ Complaint targets waste-to-energy, biomass plants, and paper mills
✅ Facilities risk loss of REC certification for environmental violations
✅ PSC may investigate nonreporting; AG reviewing evidence
Many facilities that supply Maryland with renewable energy have exceeded pollution limits or otherwise broken environmental rules, violating a state law, according to a complaint sent by environmental groups to state energy and law enforcement officials.
Maryland law says that any company that contributes to a state renewable energy goal — half the state’s energy portfolio must come from renewable sources by 2030 — must “substantially comply” with rules on air and water quality and waste management. The complaint says more than two dozen power generators, including paper mills and trash incinerators, have records of formal or informal enforcement actions by environmental authorities.
For years, environmental groups have criticized Maryland policy that counts power plants that produce planet-warming carbon dioxide and health-threatening pollution as “renewable” energy generation, and similar tensions have emerged in California’s reliance on fossil fuels despite ambitious targets, but lawmakers concerned about protecting industrial jobs have resisted reforms. The renewable label qualifies the companies for subsidies drawn from energy bills across the state.
In a complaint filed this week, the groups asked the attorney general and Public Service Commission to step in.
“We’re subsidizing companies to produce dirty energy, but we’re also using ratepayer money to support companies that in many instances are paying environmental fines or just flouting the law,” said Timothy Whitehouse, executive director of Public Employees for Environmental Responsibility. “There’s no one to hold them to account in Maryland.”
A spokeswoman for Attorney General Brian Frosh said his office would review the complaint, which was signed by Whitehouse and Mike Ewall, executive director of the Energy Justice Network.
Public Service Commission officials said the facilities must notify them if found out of compliance with environmental rules, while at the federal level FERC action on aggregated DERs is shaping market participation, and the commission can then revoke certification under the state renewable energy program. In a statement, commission officials said they would launch an investigation if any facility had failed to notify them of any environmental violations, and encouraged anyone with evidence of such a transgression to file a complaint.
Companies named in the document accused the groups of painting an inaccurate picture.
“This complaint is based on misleading arguments designed to halt waste-to-energy practices that have clear environmental benefits recognized by the global scientific community,” said Jim Connolly, vice president of environment, health and safety for Wheelabrator, which owns a Baltimore trash incinerator.
Maryland launched its renewable energy program in 2004, diversifying the state’s energy portfolio with more environmentally friendly sources of power, even as regional debates over a Maine-Québec transmission line highlight cross-border impacts. Under the program, separate from the electricity they generate and sell to the grid, renewable power facilities can sell what are known as renewable energy certificates. Utilities such as Baltimore Gas and Electric Co. are required to buy a growing number of the certificates each year, essentially subsidizing the renewable energy facilities with money from ratepayer bills.
A dozen types of power generation qualify to sell the certificates: Solar, wind, geothermal and hydroelectric plants, as well as “biomass” facilities that burn wood and other organic matter, waste-to-energy plants that burn household trash and paper mills that burn a byproduct known as black liquor.
The complaint focuses on waste incinerators, biomass plants and paper mills, all of which environmental groups have cast as counter to the renewable energy program’s environmental goals, even as ACORE criticized a coal and nuclear subsidy proposal in federal proceedings.
“By subsidizing these corporations, Maryland is diverting the hard-earned income of Maryland ratepayers to wealthy corporations with poor environmental compliance records and undermining the state’s transition to clean renewable energy,” Whitehouse and Ewall wrote.
For example, they note that the Wheelabrator plant in Southwest Baltimore has been fined for exceeding mercury limits in the past. That occurred in 2011, when the plant settled with state regulators for violations in 2010 and 2009.
Connolly said there is “no question” the facility complies with Maryland’s renewable energy law.
Incinerators in Montgomery County and in Fairfax County, Virginia, that are owned by Covanta and sell the energy certificates in Maryland have been cited for accidental fires inside both facilities. The Maryland incinerator violated emissions rules in 2014, the same year that New Jersey forbade the Virginia facility from selling energy certificates into that state’s renewable energy program over concerns it wasn’t following ash testing regulations.
James Regan, a spokesman for Covanta, said both facilities “have excellent compliance records and they operate well below their permitted limits.” He said the Virginia facility is complying with ash testing requirements, and that both facilities emit far lower levels of pollutants such as particulate matter than vehicles do.
“It’s clear to us there’s a lot of misleading and wrong information in this document," Regan said.
The Environmental Protection Agency endorsed waste-to-energy facilities under former President Barack Obama because, while burning household trash emits carbon dioxide, scientists said that still had a smaller impact on global warming than sending trash to landfills, even as industry groups have backed the EPA in a legal challenge to the ACE rule as regulatory approaches shifted.
Environmentalists and community groups say the facilities still are harmful because they emit high levels of pollutants such as mercury, nitrogen oxides and lead. The concerns prompted Baltimore City Council to pass an ordinance in February that tightened emissions limits on the Wheelabrator facility, even as the new EPA pollution limits for coal and gas plants are being proposed, so dramatically that the company said it would no longer be able to operate once the rules go into effect in 2022.
The complaint does not mention the century-old Luke paper mill in Western Maryland that long faced criticism for its participation in the renewable energy program, but which owner Verso Co. closed this year.
It does say several of paper company WestRock’s mills in North Carolina and Virginia have faced both formal and informal EPA enforcement actions for violation of the Clean Water Act, including evolving EPA wastewater limits for power plants and other facilities, and the Clean Air Act. A WestRock spokesperson could not be reached for comment.
The complaint also says a large biomass facility in South Boston, Virginia, owned by the Northern Virginia Electric Cooperative has a record of noncompliance with the Clean Air Act over three years.
John Rainey, the plant’s operations director, said it “experienced some small exceedances to its permit limits,” but that it addressed the issues with Virginia environmental officials and has installed new technology.
All those plants have sold credits in Maryland.
Whitehouse said the environmental groups’ goal is to clean up Maryland’s renewable energy program. They did not file a lawsuit because he said there was no clear cause of action to take the state to court, but said he hopes the complaint nonetheless spurs action.
“It’s not acceptable in a clean energy program that we’re subsidizing some of the most dirty sources of energy,” he said. “Those sources aren’t even in compliance with the law, and no one seems to care.”
