UTC encouraged by Canadian moves on spectrum

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The Utilities Telecom Council is hoping recent moves by Industry Canada, Canada's equivalent to the U.S. Federal Communications Commission, in allocating a block of spectrum nationwide for the smart grid will influence the FCC in granting spectrum to utilities in the U.S.

Back in December, Industry Canada announced it would allocate the 1800 MHz to 1830 MHz band for radio systems carrying traffic exclusively for maintenance and management of the electrical grid. It is expected to release final rules for the spectrum soon.

Meanwhile, the UTC has been lobbying the FCC for spectrum in the same bands in the U.S. Such a move would facilitate an interoperable smart grid in North America. That spectrum, however, is currently encumbered by government users.

"That band is federal here, and we have been working with the NTIA (National Telecommunications and Information Administration) and some federal agencies to share that spectrum under the federal spectrum-sharing initiative, but we have a ways to go," said Jill Lyon, UTC vice president and general counsel. "If it's not in that band, we want something compatible."

In 2008, the FCC designated 10 MHz of spectrum in the 470 MHz-512 MHz band as a Spectrum Sharing Innovation Test-Bed, which is intended to offer a venue for interested entities to develop techniques designed to enable the sharing of airwaves between federal government and non-federal radio users.

Earlier this year, the UTC presented an analysis to the FCC concerning U.S. electric, gas and water utilities' radio-spectrum needs. In the analysis, the UTC asked government officials for at least 30 MHz of dedicated spectrum in order to support utilities' wireless network applications.

Lyon said access to at least 30 MHz of dedicated radio spectrum would support wireless technologies that make up the smart grid and its applications, such as wireless metering and capturing electricity from remote wind farms. Currently, available spectrum is scattered across small band segments: land mobile from 50 MHz-512 MHz, plus 800 MHz and 900 MHz; unlicensed in 900 MHz; point to multipoint in parts of 900 MHz; and fixed service from 4 GHz-11 GHz. Lyon said there is no dedicated spectrum other than six channel pairs in the 900 MHz band for railroads that total just 150 kHz.

"We're having trouble maintaining the reliability we have now, and we have to do more with less spectrum," Lyon said.

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OEB issues decision on Hydro One's first combined T&D rates application

OEB Hydro One Rate Decision 2023-2027 sets approved transmission and distribution rates in Ontario, with a settlement reducing revenue requirement, modest bill impacts, higher productivity factors, inflation certainty, DVA credits, and First Nations participation measures.

 

Key Points

OEB-approved Hydro One 2023-2027 transmission and distribution rates settlement, lowering costs and limiting bill impacts.

✅ $482.7M revenue reductions vs. original proposal

✅ Avg bill impact: +$0.69 trans., +$2.43 distr. per month

✅ Faster DVA refunds; productivity and efficiency incentives

 

The Ontario Energy Board (OEB) issued its Decision and Order on an application filed by Hydro One Networks Inc. (Hydro One) on August 5, 2021 seeking approval for changes to the rates it charges for electricity transmission and distribution, beginning January 1, 2023 and for each subsequent year through to December 31, 2027. 

The proceeding resulted in the filing of a settlement proposal that the OEB has now approved after concluding that it is in the public interest. 

The negotiated reductions in Hydro One's transmission and distribution revenue requirements over the 2023 to 2027 period total $482.7 million compared to the requests made by Hydro One in its application.

The OEB found that the reductions in Hydro One's proposed capital expenditure and operating, maintenance and administration costs were reasonable, and should not compromise the safety and reliability of Hydro One's transmission and distribution systems. It also concluded that the estimated bill impacts for both transmission and distribution customers are reasonable, and that the January 1, 2023 implementation and effective date of the new rates is appropriate.

In the broader Canadian context, pressures on utility finances at other companies, such as Manitoba Hydro's debt provide additional background for stakeholders.

 

Bill Impacts

This proceeding related to both transmission and distribution operations.

 

Transmission

The new transmission revenue requirement will affect Ontario electricity consumers across the province because it will be incorporated into updated transmission rates, which are paid by electricity distributors and other large consumers connected directly to the transmission system, and distributors then pass this cost on to their customers.

As a result of the settlement approved on the transmission portion of the application, it is estimated that for a typical Hydro One residential customer with a monthly consumption of 750 kWh, the total bill impact averaged over the 2023-2027 period will be an increase of $0.69 per month or 0.5%, which follows the 2021 electricity rate reductions that affected many businesses.

 

Distribution

The new OEB-approved distribution rates will affect Hydro One's distribution customers, including areas served through acquisitions such as the Peterborough Distribution sale which expanded its customer base.

As a result of the settlement reached on the distribution portion of the application, it is estimated that for a typical residential distribution customer of Hydro One with a monthly consumption of 750 kWh, the total bill impact averaged over the 2023-2027 period will be an increase of $2.43 per month or 1.5%.
This proceeding included 24 approved intervenors representing a wide variety of customer classes and other interests. Representatives of 18 of those intervenors participated in the settlement conference. Having this diversity of perspective enriches the already thorough examination of evidence and argument that the OEB routinely undertakes when considering an application.

Other features of the settlement proposal include:

  • A commitment by Hydro One to include, in future operational and capital investment plans, a discussion of how the proposed spending will directly support the achievement of Hydro One's climate change policy.
  • Eliminating further updates to reflect changes to inflation in 2022 and 2023 as originally proposed, to provide Hydro One's customers with greater certainty as to the potential impacts of inflation on their bills.
  • Increases in the productivity factors and supplemental stretch factors for both the distribution and transmission business segments which will provide Hydro One with additional incentives to achieve greater efficiencies during the 2023 to 2027 period.
  • Undertaking certain measures to seek economic participation or equity investment opportunities from First Nations.
  • Disposition of net credit balances in deferral and variance accounts (DVAs) owed to customers will be returned over a shorter period of time:
  • Transmission DVA – $22.5M over a one-year period in 2023 (versus five years)
  • Distribution DVA – $85.9M over a three-year period – 2023-2025 (versus five years)
  • Undertaking certain measures to continue examining cost-effective transmission and distribution line losses
  • In the decision, the OEB acknowledged the efforts involved by parties to participate in this entire proceeding, including the settlement conference, considering the number of participants, the complexity of the issues, and the challenging logistics of a "virtual" proceeding. The OEB commended the parties and OEB staff for achieving a comprehensive settlement on all issues.

 

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To Limit Climate Change, Scientists Try To Improve Solar And Wind Power

Wisconsin Solar and Wind Energy advances as rooftop solar, utility-scale farms, and NREL perovskite solar cells improve efficiency; wind turbines gain via wake modeling, yaw control, and grid-scale battery storage to cut carbon emissions.

 

Key Points

It is Wisconsin's growth in rooftop and utility-scale solar plus optimized wind turbines to cut carbon emissions.

✅ Perovskite solar cells promise higher efficiency, need longevity

✅ Wake modeling and yaw control optimize wind farm output

✅ Batteries and bids can offset reliance on natural gas

 

Solar energy in Wisconsin continued to grow in 2019, as more homeowners had rooftop panels installed and big utilities started building multi-panel solar farms.

Wind power is increasing more slowly in the state. However, renewable power developers are again coming forward with proposals for multiple turbines.

Nationally, researchers are working on ways to get even more energy from solar and wind, with the U.S. moving toward 30% electricity from wind and solar in coming years, as states like Wisconsin aim to reduce their carbon emissions over the next few decades.

One reason solar energy is growing in Wisconsin is due to the silicon panels becoming more efficient. But scientists haven't finished trying to improve panel efficiency. The National Renewable Energy Laboratory (NREL) in Golden, Col., is one of the research facilities experimenting with brushing a lab-made solution called perovskite onto a portion of a panel called a solar cell.

In a demonstration video supplied by NREL, senior scientist Maikel van Hest said that, in the lab anyway, the painted cell and its electrical connections called contacts, produce more energy:

"There you go! That's how you paint a perovskite solar cell. And you imagine that ultimately what you could do is you could see a company come in with a truck in front of your house and they would basically paint on the contacts first, dry those, and paint the perovskite over it. That you would have photovoltaic cells on the side of your house, put protective coating on it, and we're done."

Another NREL scientist, David Moore, says the new solar cells could be made faster and help meet what's expected to be a growing global demand for energy. However, Moore says the problem has been lack of stability.

"A solar cell with perovskites will last a couple years. We need to get that to 20-25 years, and that's the big forefront in perovskite research, is getting them to last longer," Moore told members of the Society of Environmental Journalists during a recent tour of NREL.

Another part of improving renewable energy is making wind turbines more productive. At NREL's Insight Center, a large screen showing energy model simulations dominates an otherwise darkened room. Visualization scientist Nicholas Brunhart-Lupo points to a display on the screen that shows how spinning turbines at one edge of a wind farm can cause an airflow called a wake, which curtails the power generation of other turbines.

"So what we find in these simulations is these four turbines back here, since they have this used air, this low-velocity wake being blown to their faces, they're only generating about 20% of the energy they should be generating," he explains.

Brunhart-Lupo says the simulations can help wind farm developers with placement of turbines as well as adjustments to the rotor and blades called the yaw system.

Continued progress with renewables may be vital to any state or national pledges to reduce use of fossil fuels and carbon emissions linked to climate change, including Biden's solar expansion plan as a potential pathway. Some scientists say to limit a rise in global temperature, there must be a big decline in emissions by 2050.

But even utilities that say they support use of more renewables, as why the grid isn't 100% renewable yet makes clear, aren't ready to let go of some energy sources. Jonathan Adelman of Xcel Energy, which serves part of Western Wisconsin, says Xcel is on track to close its last two coal-fired power plants in Minnesota. But he says the company will need more natural gas plants, even though they wouldn't run as often.

"It's not perfect. And it is in conflict with our ultimate goal of being carbon-free," says Adelman. "But if we want to facilitate the transition, we still need resources to help that happen."

Some in the solar industry would like utilities that say they need more natural gas plants to put out competitive bids to see what else might be possible. Solar advocates also note that in some states, energy regulators still favor the utilities.

Meanwhile, solar slowly marches ahead, including here in southeastern Wisconsin, as Germany's solar power boost underscores global momentum.

On the roof of a ranch-style home in River Hills, a work crew from the major solar firm Sunrun recently installed mounting brackets for solar panels.

Sunrun Public Policy Director Amy Heart says she supports research into more efficient renewables. But she says another innovation may have to come in the way regulators think.

"Instead of allowing and thinking about from the perspective of the utility builds the power plant, they replace one plant with another one, they invest in the infrastructure; is really thinking about how can these distributed solutions like rooftop solar, peer-to-peer energy sharing, and especially rooftop solar paired with batteries how can that actually reduce some of what the utility needs?

Large-scale energy storage batteries are already being used in some limited cases. But energy researchers continue to make improvements to them, too, with cheap solar batteries beginning to make widespread adoption more feasible as scientists race to reduce the expected additional harm of climate change.

 

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UK Lockdown knocks daily electricity demand by 10 per cent

Britain Electricity Demand During Lockdown is around 10 percent lower, as industrial consumers scale back. National Grid reports later morning peaks and continues balancing system frequency and voltage to maintain grid stability.

 

Key Points

Measured drop in UK power use, later morning peaks, and grid actions to keep frequency and voltage within safe limits.

✅ Daily demand about 10 percent lower since lockdown.

✅ Morning peak down nearly 18 percent and occurs later.

✅ National Grid balances frequency and voltage using flexible resources.

 

Daily electricity demand in Britain is around 10% lower than before the country went into lockdown last week due to the coronavirus outbreak, data from grid operator National Grid showed on Tuesday.

The fall is largely due to big industrial consumers using less power across sectors, the operator said.

Last week, Prime Minister Boris Johnson ordered Britons to stay at home to halt the spread of the virus, imposing curbs on everyday life without precedent in peacetime.

Morning peak demand has fallen by nearly 18% compared to before the lockdown was introduced and the normal morning peak is later than usual because the times people are getting up are later and more spread out with fewer travelling to work and school, a pattern also seen in Ottawa during closures, National Grid said.

Even though less power is needed overall, the operator still has to manage lower demand for electricity, as well as peaks, amid occasional short supply warnings from National Grid, and keep the frequency and voltage of the system at safe levels.

Last August, a blackout cut power to one million customers and caused transport chaos as almost simultaneous loss of output from two generators caused by a lightning strike caused the frequency of the system to drop below normal levels, highlighting concerns after the emergency energy plan stalled.

National Grid said it can use a number of tools to manage the frequency, such as working with flexible generators to reduce output or draw on storage providers to increase demand, and market conditions mean peak power prices have spiked at times.

 

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Electricity deal clinches $100M bitcoin mining operation in Medicine Hat

Medicine Hat Bitcoin Mining Deal delivers 42 MW electricity to Hut 8, enabling blockchain data centres, cryptocurrency mining expansion, and economic diversification in Alberta with low-cost power, land lease, and rapid construction near Unit 16.

 

Key Points

A pact to supply 42 MW and lease land, enabling Hut 8's blockchain data centres and crypto mining growth in Alberta.

✅ 42 MW electricity from city; land lease near Unit 16

✅ Hut 8 expands to 60.7 MW; blockchain data centres

✅ 100 temporary jobs; 42 ongoing roles in Alberta

 

The City of Medicine Hat has agreed to supply electricity and lease land to a Toronto-based cryptocurrency mining company, at a time when some provinces are pausing large new crypto loads in a deal that will see $100 million in construction spending in the southern Alberta city.

The city will provide electric energy capacity of about 42 megawatts to Hut 8 Mining Corp., which will construct bitcoin mining facilities near the city's new Unit 16 power plant.

The operation is expected to be running by September and will triple the company's operating power to 60.7 megawatts, Hut 8 said, amid broader investments in new turbines across Canada.

#google#

"The signing of the electricity supply agreement and the land lease represents a key component in achieving our business plan for the roll-out of our BlockBox Data Centres in low-cost energy jurisdictions," said the company's board chairman, Bill Tai, in a release.

"[Medicine Hat] offers stable, cost-competitive utility rates and has been very welcoming and supportive of Hut 8's fast-paced growth plans."

In bitcoin mining operations, rows upon rows of power-consuming computers are used to solve mathematical puzzles in exchange for bitcoins and confirm crytopcurrency transactions. The verified transactions are then added to the public ledger known as the blockchain.

Hut 8's existing 18.7-megawatt mining operation at Drumheller, Alta. — a gated compound filled with rows of shipping containers housing the computers — has so far mined 750 bitcoins. Bitcoin was trading Tuesday morning for about $11,180.

Medicine Hat Mayor Ted Clugston says the deal is part of the city's efforts to diversify its economy.

We've made economic development a huge priority down here because we were hit very, very hard by the oil and gas decline," he said, noting that being the generator and vendor of its own electricity puts the city in a uniquely good position.

"Really we're just turning gas into electricity and they're taking that electricity and turning it into blockchain, or ones and zeroes."

Elsewhere in Canada, using more electricity for heat has been urged by green energy advocates, reflecting broader electrification debates.

Hut 8 says construction of the facility is starting right away and will create about 100 temporary jobs. The project is expected to be finished by the third-quarter of this year.

The Medicine Hat mining operation will generate 42 ongoing jobs for electricians, general labourers, systems technicians and security staff.

 

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Greening Ontario's electricity grid would cost $400 billion: report

Ontario Electricity Grid Decarbonization outlines the IESO's net-zero pathway: $400B investment, nuclear expansion, renewables, hydrogen, storage, and demand management to double capacity by 2050 while initiating a 2027 natural gas moratorium.

 

Key Points

A 2050 plan to double capacity, retire gas, and invest $400B in nuclear, renewables, and storage for a net-zero grid.

✅ $400B over 25 years to meet net-zero electricity by 2050

✅ Capacity doubles to 88,000 MW; demand grows ~2% annually

✅ 2027 gas moratorium; build nuclear, renewables, storage

 

Ontario will need to spend $400 billion over the next 25 years in order to decarbonize the electricity grid and embrace clean power according to a new report by the province’s electricity system manager that’s now being considered by the Ford government.

The Independent System Electricity Operator (IESO) was tasked with laying out a path to reducing Ontario’s reliance on natural gas for electricity generation and what it would take to decarbonize the entire electricity grid by 2050.

Meeting the goal, the IESO concluded, will require an “aggressive” approach of doubling the electricity capacity in Ontario over the next two-and-a-half decades — from 42,000 MW to 88,000 MW — by investing in nuclear, hydrogen and wind and solar power while implementing conservation policies and managing demand.

“The process of fully eliminating emissions from the grid itself will be a significant and complex undertaking,” IESO president Lesley Gallinger said in a news release.

The road to decarbonization, the IESO said, begins with a moratorium on natural gas power generation starting in 2027 as long as the province has “sufficient, non-emitting supply” to meet the growing demands on the grid.

The approach, however, comes with significant risks.

The IESO said hydroelectric and nuclear facilities can take 10 to 15 years to build and if costs aren’t controlled the plan could drive up the price of clean electricity, turning homeowners and businesses away from electrification.

“Rapidly rising electricity costs could discourage electrification, stifle economic growth or hurt consumers with low incomes,” the report states.

The IESO said the province will need to take several “no regret” actions, including selecting sites and planning to construct new large-scale nuclear plants as well as hydroelectric and energy storage projects and expanding energy-efficiency programs beyond 2024.

READ MORE: Ontario faces calls to dramatically increase energy efficiency rebate programs

Ontario’s minister of energy didn’t immediately commit to implementing the recommendations, citing the need to consult with stakeholders first.

“I look forward to launching a consultation in the new year on next steps from today’s report, including the potential development of major nuclear, hydroelectric and transmissions projects,” Todd Smith said in a statement.

Currently, electricity demand is increasing by roughly two per cent per year, raising concerns Ontario could be short of electricity in the coming years as the manufacturing and transportation sectors electrify and as more sectors consider decarbonization.

At the same time, the province’s energy supply is facing “downward pressure” with the Pickering nuclear power plant slated to wind down operations and the Darlington nuclear generating station under active refurbishment.

To meet the energy need, the Ford government said it intended to extend the life of the Pickering plant until 2026.

READ MORE: Ontario planning to keep Pickering nuclear power station open until 2026

But to prepare for the increase, the Ontario government was told the province would also need to build new natural gas facilities to bridge Ontario’s electricity supply gap in the near term — a recommendation the Ford government agreed to.

The IESO said a request for proposals has been opened and the province is looking for host communities, with the expectation that existing facilities would be upgraded before projects on undeveloped land would be considered.

The IESO said the contract for any new facilities would expire in 2040, and all natural gas facilities would be retired in the 2040s.

 

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Hydro wants B.C. residents to pay an extra $2 a month for electricity

BC Hydro Rate Increase proposes a 2.3% hike from April, with BCUC review, aligning below inflation and funding clean energy, electrification, and grid upgrades across British Columbia while keeping electricity prices among North America's lowest.

 

Key Points

A proposed 2.3% BC Hydro hike from April, under BCUC review, funds clean energy and keeps average bills below inflation.

✅ Adds about $2 per month to average residential bill

✅ Sixth straight increase below inflation since 2018

✅ Supports renewable projects and grid modernization

 

The British Columbia government says the province’s Crown power utility is applying for a 2.3-per-cent rate increase starting in April, with higher BC Hydro rates previously outlined, adding about $2 a month to the average residential bill.

A statement from the Energy Ministry says it’s the sixth year in a row that BC Hydro has applied for an increase below the rate of inflation, similar to a 3 per cent rise noted in a separate approval, which still trailed inflation.

It says rates are currently 15.6 per cent lower than the cumulative rate of inflation over the last seven years, starting in 2017-2018, with a provincial rate freeze among past measures, and 12.4 per cent lower than the 10-year rates plan established by the previous government in 2013.

The ministry says the “modest” rate increase application comes after consideration of a variety of options and their long-term impacts, including scenarios like a 3.75% two-year path evaluated alongside others, and the B.C. Utilities Commission is expected to decide on the plan by the end of February.

Chris O’Riley, president of BC Hydro, says the rates application would keep electricity costs in the province among the lowest in North America, even as a BC Hydro fund surplus prompted calls for changes, while supporting investments in clean energy to power vehicles, homes and businesses.

Energy Minister Josie Osborne says it’s more important than ever to keep electricity bills down, especially as Ontario hydro rates increase in a separate jurisdiction, as the cost of living rises at rates that are unsustainable for many.

“Affordable, stable BC Hydro rates are good for people, businesses and climate as we work together to power our growing economy with renewable energy instead of fossil fuels,” Osborne says in a statement issued Monday.

Earlier this year, the ministry said BC Hydro provided $315 million in cost-of-living bill credits, while in another province Manitoba Hydro scaled back an increase to ease pressure, to families and small businesses in the province, including those who receive their electricity service from FortisBC or a municipal utility.

 

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