U.S. freezes solar energy projects

By New York Times


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Faced with a surge in the number of proposed solar power plants, the federal government has placed a moratorium on new solar projects on public land until it studies their environmental impact, which is expected to take about two years.

The Bureau of Land Management says an extensive environmental study is needed to determine how large solar plants might affect millions of acres it oversees in six Western states — Arizona, California, Colorado, Nevada, New Mexico and Utah.

But the decision to freeze new solar proposals temporarily, reached late in May, has caused widespread concern in the alternative-energy industry, as fledgling solar companies must wait to see if they can realize their hopes of harnessing power from swaths of sun-baked public land, just as the demand for viable alternative energy is accelerating.

“It doesn’t make any sense,” said Holly Gordon, vice president for legislative and regulatory affairs for Ausra, a solar thermal energy company in Palo Alto, Calif. “The Bureau of Land Management land has some of the best solar resources in the world. This could completely stunt the growth of the industry.”

Much of the 119 million surface acres of federally administered land in the West is ideal for solar energy, particularly in Arizona, Nevada and Southern California, where sunlight drenches vast, flat desert tracts.

Galvanized by the national demand for clean energy development, solar companies have filed more than 130 proposals with the Bureau of Land Management since 2005. They center on the companiesÂ’ desires to lease public land to build solar plants and then sell the energy to utilities.

According to the bureau, the applications, which cover more than one million acres, are for projects that have the potential to power more than 20 million homes.

All involve two types of solar plants, concentrating and photovoltaic. Concentrating solar plants use mirrors to direct sunlight toward a synthetic fluid, which powers a steam turbine that produces electricity. Photovoltaic plants use solar panels to convert sunlight into electric energy.

Much progress has been made in the development of both types of solar technology in the last few years. Photovoltaic solar projects grew by 48 percent in 2007 compared with 2006. Eleven concentrating solar plants are operational in the United States, and 20 are in various stages of planning or permitting, according to the Solar Energy Industries Association.

The manager of the Bureau of Land ManagementÂ’s environmental impact study, Linda Resseguie, said that many factors must be considered when deciding whether to allow solar projects on the scale being proposed, among them the impact of construction and transmission lines on native vegetation and wildlife. In California, for example, solar developers often hire environmental experts to assess the effects of construction on the desert tortoise and Mojave ground squirrel.

Water use can be a factor as well, especially in the parched areas where virtually all of the proposed plants would be built. Concentrating solar plants may require water to condense the steam used to power the turbine.

“Reclamation is another big issue,” Ms. Resseguie said. “These plants potentially have a 20- to 30-year life span. How to restore that land is a big question for us.”

Another benefit of the study will be a single set of environmental criteria to weigh future solar proposals, which will ultimately speed the application process, said the assistant Interior Department secretary for land and minerals management, C. Stephen Allred. The land agency’s manager of energy policy, Ray Brady, said the moratorium on new applications was necessary to “ensure that we are doing an adequate level of analysis of the impacts.”

In the meantime, bureau officials emphasized, they will continue processing the more than 130 applications received before May 29, measuring each oneÂ’s environmental impact.

While proponents of solar energy agree on the need for a sweeping environmental study, many believe that the freeze is unwarranted. Some, like Ms. Gordon, whose company has two pending proposals for solar plants on public land, say small solar energy businesses could suffer if they are forced to turn to more expensive private land for development.

The industry is already concerned over the fate of federal solar investment tax credits, which are set to expire at the end of the year unless Congress renews them. The moratorium, combined with an end to tax credits, would deal a double blow to an industry that, solar advocates say, has experienced significant growth without major environmental problems.

“The problem is that this is a very young industry, and the majority of us that are involved are young, struggling, hungry companies,” said Lee Wallach of Solel, a solar power company based in California that has filed numerous applications to build on public land and was considering filing more in the next two years. “This is a setback.”

At a public hearing in Golden, Colo., on Monday, one of a series by the Bureau of Land Management across the West, reaction to the moratorium was mixed.

Alex Daue, an outreach coordinator for the Wilderness Society, an environmental conservation group, praised the government for assessing the implications of large-scale solar development.

Others warned the bureau against becoming mired in its own bureaucratic processes on solar energy, while parts of the West are already humming with new oil and gas development.

Craig Cox, the executive director of the Interwest Energy Alliance, a renewable energy trade group, said he worried that the freeze would “throw a monkey wrench” into the solar energy industry at precisely the wrong time.

“I think it’s good to have a plan,” Mr. Cox said, “but I don’t think we need to stop development in its tracks.”

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Minnesota Power energizes Great Northern Transmission Line

Great Northern Transmission Line delivers 250 MW of carbon-free hydropower from Manitoba Hydro, strengthening Midwest grid reliability, enabling wind storage balancing, and advancing Minnesota Power's EnergyForward strategy for cleaner, renewable energy across the region.

 

Key Points

A 500 kV cross-border line delivering 250 MW of carbon-free hydropower, strengthening reliability and enabling renewables.

✅ 500 kV, 224-mile line from Manitoba to Minnesota

✅ Delivers 250 MW hydropower via ALLETE-Minnesota Power

✅ Enables wind storage and grid balancing with Manitoba Hydro

 

Minnesota Power, a utility division of ALLETE Inc. (NYSE:ALE), has energized its Great Northern Transmission Line, bringing online an innovative delivery and storage system for renewable energy that spans two states and one Canadian province, similar to the Maritime Link project in Atlantic Canada.

The 500 kV line is now delivering 250 megawatts of carbon-free hydropower from Manitoba, Canada, to Minnesota Power customers.

Minnesota Power completed the Great Northern Transmission Line (GNTL) in February 2020, ahead of schedule and under budget. The 224-mile line runs from the Canadian border in Roseau County to a substation near Grand Rapids, Minnesota. It consists of 800 tower structures which were fabricated in the United States and used 10,000 tons of North American steel. About 2,200 miles of wire were required to install the line's conductors. The GNTL also is contributing significant property tax revenue to local communities along the route.

"This is such an incredible achievement for Minnesota Power, ALLETE, and our region, and is the culmination of a decade-long vision brought to life by our talented and dedicated employees," said ALLETE President and CEO Bethany Owen. "The GNTL will help Minnesota Power to provide our customers with 50 percent renewable energy less than a year from now. As part of our EnergyForward strategy, it also strengthens the grid across the Midwest and in Canada, enhancing reliability for all of our customers."

With the GNTL energized and connected to Manitoba Hydro's recently completed Manitoba-Minnesota Transmission Project at the border, the companies now have a unique "wind storage" mechanism that quickly balances energy supply and demand in Minnesota and Manitoba, and enables a larger role for renewables in the North American energy grid.

The GNTL and its delivery of carbon-free hydropower are important components of Minnesota Power's EnergyForward strategy to transition away from coal and add renewable power sources while maintaining reliable and affordable service for customers, echoing interties like the Maritime Link that facilitate regional power flows. It also is part of a broader ALLETE strategy to advance and invest in critical regional transmission and distribution infrastructure, such as the TransWest Express transmission project, to ensure grid integrity and enable cleaner energy to reduce carbon emissions.

"The seed for this renewable energy initiative was planted in 2008 when Minnesota Power proposed purchasing 250 megawatts of hydropower from Manitoba Hydro. Beyond the transmission line, it also included a creative asset swap to move wind power from North Dakota to Minnesota, innovative power purchase agreements, and a remarkable advocacy process to find an acceptable route for the GNTL," said ALLETE Executive Chairman Al Hodnik. "It marries wind and water in a unique connection that will help transform the energy landscape of North America and reduce carbon emissions related to the existential threat of climate change."

Minnesota Power and Manitoba Hydro, a provincial Crown Corporation, coordinated on the project from the beginning, navigating National Energy Board reviews along the way. It is based on the companies' shared values of integrity, environmental stewardship and community engagement.

"The completion of Minnesota Power's Great Northern Transmission Line and our Manitoba-Minnesota Transmission Project is a testament to the creativity, perseverance, cooperation and skills of hundreds of people over so many years on both sides of the border," said Jay Grewal, president and CEO of Manitoba Hydro. "Perhaps even more importantly, it is a testament to the wonderful, longstanding relationship between our two companies and two countries. It shows just how much we can accomplish when we all work together toward a common goal."

Minnesota Power engaged federal, state and local agencies; the sovereign Red Lake Nation and other tribes, reflecting First Nations involvement in major transmission planning; and landowners along the proposed routes beginning in 2012. Through 75 voluntary meetings and other outreach forums, a preferred route was selected with strong support from stakeholders that was approved by the Minnesota Public Utilities Commission in April 2016.

A four-year state and federal regulatory process culminated in late 2016 when the federal Department of Energy approved a Presidential Permit for the GNTL, similar to the New England Clean Power Link process, needed because of the international border crossing. Construction of the line began in early 2017.

"A robust stakeholder process is essential to the success of any project, but especially when building a project of this scope," Owen said. "We appreciated the early engagement and support from stakeholders, local communities and tribes, agencies and regulators through the many approval milestones to the completion of the GNTL."

 

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Global push needed to ensure "clean, affordable and sustainable electricity" for all

SDG7 Energy Progress Report assesses global energy access, renewables, clean cooking, and efficiency, citing COVID-19 setbacks, financing needs, and UN-led action by IEA, IRENA, World Bank, and WHO to advance sustainable, reliable, affordable power.

 

Key Points

A joint study by IEA, IRENA, UN, World Bank, and WHO tracking energy access, renewables, efficiency, and financing gaps.

✅ Tracks disparities in electricity access amid COVID-19 setbacks

✅ Emphasizes renewables, clean cooking, and efficiency targets

✅ Calls for scaled public finance to unlock private investment

 

The seventh Sustainable Development Goal (SDG), SDG7, aims to ensure access to affordable, reliable, sustainable and modern energy for all.  

However, those nations which remain most off the grid, are set to enter 2030 without meeting this goal unless efforts are significantly scaled up, warns the new study entitled Tracking SDG 7: The Energy Progress Report, published by the International Energy Agency (IAE), International Renewable Energy Agency (IRENA), UN Department of Economic and Social Affairs (UN DESA), World Bank, and World Health Organization (WHO). 

“Moving towards scaling up clean and sustainable energy is key to protect human health and to promote healthier populations, particularly in remote and rural areas”, said Maria Neira, WHO Director of the Department of Environment, Climate Change and Health.  

COVID setbacks 
The report outlines significant but unequal progress on SDG7, noting that while more than one billion people globally gained access to electricity over the last decade, COVID’s financial impact so far, has made basic electricity services unaffordable for 30 million others, mostly in Africa, intensifying calls for funding for access to electricity across the region.  

“The Tracking SDG7 report shows that 90 per cent of the global population now has access to electricity, but disparities exacerbated by the pandemic, if left unaddressed, may keep the sustainable energy goal out of reach, jeopardizing other SDGs and the Paris Agreement’s objectives”, said Mari Pangestu, Managing Director of Development Policy and Partnerships at the World Bank. 

While the report also finds that the COVID-19 pandemic has reversed some progress, Stefan Schweinfest, DESA’s Director of the Statistics Division, pointed out that this has presented “opportunities to integrate SDG 7-related policies in recovery packages and thus to scale up sustainable development”. 

Modernizing renewables 
The publication examines ways to bridge gaps to reach SDG7, chief among them the scaling up of renewables, as outlined in the IRENA renewables report, which have proven more resilient than other parts of the energy sector during the COVID-19 crisis. 

While sub-Saharan Africa, facing a major electricity challenge, has the largest share of renewable sources in its energy supply, they are far from “clean” – 85 per cent use biomass, such as burning wood, crops and manure. 

“On a global path to achieving net-zero emissions by 2050, we can reach key sustainable energy targets by 2030, aligning with renewable ambition in NDCs as we expand renewables in all sectors and increase energy efficiency”, said IAE Executive Director, Fatih Birol.  

And although the private sector continues to source clean energy investments, the public sector remains a major financing source, central in leveraging private capital, particularly in developing countries, including efforts to put Africa on a path to universal electricity access, and in a post-COVID context. 

Amid the COVID-19 pandemic, which has dramatically increased investors’ risk perception and shifting priorities in developing countries, international financial flows in public investment terms, are more critical than ever to underpin a green energy recovery that can leverage the investment levels needed to reach SDG 7, according to the report.   

“Greater efforts to mobilize and scale up investment are essential to ensure that energy access progress continues in developing economies”, he added.  

Scaling up clean and sustainable energy is key to protect human health -- WHO's Maria Neira

Other key targets 
The report highlighted other crucial actions needed on clean cooking, energy efficiency and international financial flows. 

A healthy and green recovery from COVID-19 includes the importance of ensuring a quick transition to clean and sustainable energy”, said Dr. Neira. 

Feeding into autumn summit 
This seventh edition of the report formerly known as the Global Tracking Framework comes at a crucial time as Governments and others are gearing up for the UN High-level Dialogue on Energy in September 2021 aimed to examine what is needed to achieve SDG7 by 2030, including discussions on fossil fuel phase-out strategies, and mobilize voluntary commitments and actions through Energy Compacts.  

The report will inform the summit-level meeting on the current progress towards SDG 7, “four decades after the last high-level event dedicated to energy under the auspices of UN General Assembly”, said Mr. Schweinfest. 

 

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Spain's power demand in April plummets under COVID-19 lockdown

Spain Electricity Demand April 2020 saw a 17.3% year-on-year drop as COVID-19 lockdown curbed activity; renewables and wind power lifted the emission-free share, while combined cycle plants dominated islands, per REE data.

 

Key Points

A 17.3% y/y decline amid COVID-19 lockdown, with 47.9% renewables and wind at 21.3% of the national power mix.

✅ Mainland demand -17%; Balearic -27.6%; Canary -20.3%.

✅ Emission-free share: 49.7% on the peninsula in April.

✅ Combined cycle led islands; coal absent in Balearics.

 

Demand for electricity in Spain dropped by 17.3% year-on-year to an estimated 17,104 GWh in April, aligning with a 15% global daily demand dip during the pandemic, while the country’s economy slowed down under the national state of emergency and lockdown measures imposed to curb the spread of COVID-19.

According to the latest estimates by Spanish grid operator Red Electrica de Espana (REE), the decline in demand was registered across Spain’s entire national territory, similar to a 10% UK drop during lockdown. On the mainland, it decreased by 17% to 16,191 GWh, while on the Balearic and the Canary Islands it plunged by 27.6% and 20.3%, respectively.

Renewables accounted for 47.9% of the total national electricity production in April, echoing Britain’s cleanest electricity trends during lockdown. Wind power production went down 20% year-on-year to 3,730 GWh, representing a 21.3% share in the total power mix.

During April, electricity generation in the peninsula was mostly based on emission-free technologies, reflecting an accelerated power-system transition across Europe, with renewables accounting for 49.7%. Wind farms produced 3,672 GWh, 20.1% less compared to April 2019, while contributing 22% to the power mix, even as global demand later surpassed pre-pandemic levels in subsequent periods.

In the Balearic Islands, electricity demand of 323,296 MWh was for the most part met by combined cycle power plants, even as some European demand held firm in later lockdowns, which accounted for 78.3% of the generation. Renewables and emission-free technologies had a combined share of 6.4%, while coal was again absent from the local power mix, completing now four consecutive months without contributing a single MWh.

In the Canary Islands system, demand for power decreased to 558,619 MWh, even as surging demand elsewhere strained power systems across the world. Renewables and emission-free technologies made up 14.3% of the mix, while combined cycle power plants led with a 45.3% share.

 

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Solar changing shape of electricity prices in Northern Europe

EU Solar Impact on Electricity Prices highlights how rising solar PV penetration drives negative pricing, shifts peak hours, pressures wholesale markets, and challenges grid balancing, interconnection, and flexibility amid changing demand and renewables growth.

 

Key Points

Explains how rising solar PV cuts wholesale prices, shifts negative-price hours, and strains grid flexibility.

✅ Negative pricing events surge with higher solar penetration.

✅ Afternoon price dips replace night-time wind-led lows.

✅ Grid balancing, interconnectors, and flexibility become critical.

 

The latest EU electricity market report has confirmed the affect deeper penetration of solar is having on wholesale electricity prices more broadly.

The Quarterly Report on European Electricity Markets for the final three months of last year noted the number of periods of negative electricity pricing doubled from 2019, to almost 1,600 such events, as global renewables set new records in deployment across markets.

Having experienced just three negative price events in 2019, the Netherlands recorded almost 100 last year “amid a dramatic increase in solar PV capacity,” in the nation, according to the report.

Whilst stressing the exceptional nature of the Covid-19 pandemic on power consumption patterns, the quarterly update also noted a shift in the hours during which negative electric pricing occurred in renewables poster child Germany. Previously such events were most common at night, during periods of high wind speed and low demand, but 2020 saw a switch to afternoon negative pricing. “Thus,” stated the report, “solar PV became the main driver behind prices falling into negative territory in the German market in 2020, as Germany's solar boost accelerated, and also put afternoon prices under pressure generally.”

The report also highlighted two instances of scarce electricity–in mid September and on December 9–as evidence of the problems associated with accommodating a rising proportion of intermittent clean energy capacity into the grid, and called for more joined-up cross-border power networks, amid pushback from Russian oil and gas across the continent.

Rising solar generation–along with higher gas output, year on year–also helped the Netherlands generate a net surplus of electricity last year, after being a net importer “for many years.” The EU report also noted a beneficial effect of rising solar generation capacity on Hungary‘s national electricity account, and cited a solar “boom” in that country and Poland, mirroring rapid solar PV growth in China in recent years.

With Covid-19 falls in demand helping renewables generate more of Europe's electricity (39%) than fossil fuels (36%) for the first time, as renewables surpassed fossil fuels across Europe, the market report observed the 5% of the bloc's power produced from solar closed in on the 6% accounted for by hard coal. In the final three months of the year, European solar output rose 12%, year on year, to 18 TWh and “the increase was almost single-handedly driven by Spain,” the study added.

With coal and lignite-fired power plunging 22% last year across the bloc, it is estimated the European power sector reduced its carbon footprint 14% as part of Europe's green surge although the quarterly report warned cold weather, lower wind speeds and rising gas prices in the opening months of this year are likely to see carbon emissions rebound.

There was good news on the transport front, though, with the report stating the scale of the European “electrically-charged vehicle” fleet doubled in 2020, to 2 million, with almost half a million of the new registrations arriving in the final months of the year. That meant cars with plug sockets accounted for a remarkable 17% of new purchases in Q4, twice the proportion seen in China and a slice of the pie six times bigger than such products claimed in the U.S.

 

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Time running out for Ontario to formally request Pickering nuclear power station extension

Pickering Nuclear Plant Extension faces CNSC approval as Ontario Power Generation pursues license renewal before the June 30, 2023 deadline, amid a 2025 capacity crunch and grid reliability risks from decommissioning and overlapping nuclear outages.

 

Key Points

A plan to run Pickering past 2024 to Sept 2026, pending CNSC license renewal to address Ontario's 2025 capacity gap.

✅ CNSC approval needed for operation beyond Dec 31, 2024

✅ OPG aims to file by June 30, 2023 deadline

✅ Extension targets grid reliability through 2026

 

Ontario’s electricity generator has yet to file an official application to extend the life of the Pickering nuclear power plant, more than eight months after the Ford government announced a plan to continue operating Pickering for longer.

As the province faces an electricity shortfall in 2025 and beyond, the Ford government scrambled to prolong the Pickering power plant until September 2026, in order to guarantee a steady supply of power as the province experiences a rise in demand and shutdowns at other nuclear power plants.

The life extension may come down to the wire, however, as the Canadian Nuclear Safety Commission (CNSC), the federal regulator tasked with approving or denying the extension, tells Global News the province has yet to file key paperwork.

The information is required for the application, including materials related to the proposed Pickering B refurbishment, and the government now has a month before the deadline runs out.

“The Commission requires that Ontario Power Generation submit specific information by June 30, 2023, if it intends to operate the Pickering Nuclear Generating Station beyond December 31, 2024,” the CNSC told Global News in a statement. “The Commission Registry has not yet received an application from Ontario Power Generation.”

If Ontario doesn’t receive the green light, the power plant which currently is responsible for 14 per cent of the province’s energy grid will be decommissioned in 2025, leaving the province with a significant electricity supply gap if replacement sources are not secured.

For its part, the Ford government doesn’t seem concerned about the impending timeline, even though the station was slated to close as planned, suggesting the Crown corporation responsible for the application will get it in on time.

“OPG is on track to submit their application before the end of June and has already started to submit supporting materials as part of the regulatory process toward clean power goals,” a spokesperson for energy minister Todd Smith said.

 

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We Energies refiles rate hike request driven by rising nuclear power costs

We Energies rate increase driven by nuclear energy costs at Point Beach, Wisconsin PSC filings, and rising utility rates, affecting electricity prices for residential, commercial, and industrial customers while supporting WEC carbon reduction goals.

 

Key Points

A 2021 utility rate hike to recover Point Beach nuclear costs, modestly raising Wisconsin electricity bills.

✅ Residential bills rise about $0.73 per month

✅ Driven by $55.82/MWh Point Beach contract price

✅ PSC review and consumer advocates assessing alternatives

 

Wisconsin's largest utility company is again asking regulators to raise rates to pay for the rising cost of nuclear energy.

We Energies says it needs to collect an additional $26.5 million next year, an increase of about 3.4%.

For residential customers, that would translate to about 73 cents more per month, or an increase of about 0.7%, while some nearby states face steeper winter rate hikes according to regulators. Commercial and industrial customers would see an increase of 1% to 1.5%, according to documents filed with the Public Service Commission.

If approved, it would be the second rate increase in as many years for about 1.1 million We Energies customers, who saw a roughly 0.7% increase in 2020 after four years of no change, while Manitoba Hydro rate increase has been scaled back for next year, highlighting regional contrasts.

We Energies' sister utility, Wisconsin Public Service Corp., has requested a 0.13% increase, which would add about 8 cents to the average monthly residential bill, which went up 1.6% this year.

We Energies said a rate increase is needed to cover the cost of electricity purchased from the Point Beach nuclear power plant, which according to filings with the Securities Exchange Commission will be $55.82 per megawatt-hour next year.

So far this year, the average wholesale price of electricity in the Midwestern market was a little more than $25.50 per megawatt-hour, and recent capacity market payouts on the largest U.S. grid have fallen sharply, reflecting broader market conditions.

Owned and operated by NextEra Energy Resources, the 1,200-megawatt Point Beach Nuclear Plant is Wisconsin's last operational reactor. We Energies sold the plant for $924 million in 2007 and entered into a contract to purchase its output for the next two decades.

Brendan Conway, a spokesman for WEC Energy Group, said customers have benefited from the sale of the plant, which will supply more than a third of We Energies' demand and is a key component in WEC's strategy to cut 80% of its carbon emissions by 2050, amid broader electrification trends nationwide.

"Without the Point Beach plant, carbon emissions in Wisconsin would be significantly higher," Conway said.

As part of negotiations on its last rate case, WEC agreed to work with consumer advocates and the PSC to review alternatives to the contracted price increases, which were structured to begin rising steeply in 2018.

Tom Content, executive director of the Citizens Utility Board, said the contract will be an issue for We Energies customers into the next decade

"It's a significant source (of energy) for the entire state," Content said. "But nuclear is not cheap."

WEC filed the rate requests Monday, one week after the withdrawing similar applications. Conway said the largely unchanged filings had "undergone additional review by senior management."

WEC last week raised its second quarter profit forecast to 67 to 69 cents per share, up from the previous range of 58 to 62 cents per share.

The company credited better than expected sales in April and May along with operational cost savings and higher authorized profit margin for American Transmission Company, of which WEC is the majority owner.

Wisconsin's other investor-owned utilities have reported lower than expected fuel costs for 2020 and 2021, even as emergency fuel stock programs in New England are expected to cost millions this year.

Alliant Energy has proposed using about $31 million in fuel savings to help freeze rates in 2021, aligning with its carbon-neutral electricity plans as it rolls out long-term strategy, while Xcel Energy is proposing to lower its rates by 0.8% next year and refund its customers about $9.7 million in fuel costs for this year.

Madison Gas and Electric is negotiating a two-year rate structure with consumer groups who are optimistic that fuel savings can help prevent or offset rate increases, though some utilities are exploring higher minimum charges for low-usage customers to recover fixed costs.

 

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