Algerian food product manufacturer and distributor Cevital SpA is in talks with international financiers to fund a planned 2,000-megawatt MW solar power complex in Algeria. Cevital is Algeria's largest privately owned company.
According to Cevital Renewable Energies Project Manager Boukhalfa Yaici, the project has an estimated cost of $8 billion, and the solar power generated will be exported to European customers. The electricity generated from the project would be the equivalent of that produced by a mid-tier nuclear power plant.
Foreign investors are keen to cash in on the abundant sunlight available in North African countries to supply electricity to Europe. However, in spite of the fact that many such internationally funded projects are under way in countries such as Morocco, the Algerian government itself is averse to encouraging such foreign invested projects in the country. This is primarily because the country wishes to nurture and enhance indigenous projects.
Yaici said, "What will determine the speed is the contribution of European Union companies to developing this energy project. Our partners can contribute through the construction of undersea lines, for example, from Algeria to Italy and Spain. All options are on the table."
Cevital is part of the consortium comprising the solar power enterprise known as the Desertec Industrial Initiative GmbH DII. The consortium consists of many European companies, including electronics and electrical engineering company Siemens AG, electricity and gas transmission firm RWE AG and global investment bank Deutsche Bank AG, and the Desertec Foundation.
DII is promoting the Desertec concept in a bid to utilize solar energy in the North African and Middle Eastern deserts. The $400 billion Desertec consortium will use solar power from deserts such as the Sahara and work to generating the electricity that will contribute to 15 of Europe's power requirements by 2050.
However, in spite of the fact that Cevital is a member of the consortium, the Algerian government is restricting investments by foreign firms and is reported to have said that it does not desire to have "foreigners exploiting its solar energy resources." However, the government is open to such projects and investments in the country if domestic firms play a pivotal role in them.
Mirroring the government's thoughts, Yaici said that Cevital's planned solar power complex will be in line with the government's policy of promoting home-grown firms and encouraging exports other than the oil and gas arena, which is most prominent in the country today. "It would be good to find a viable alternative solution to make possible these kinds of exports. Cevital aims to be the biggest exporter of non-hydrocarbon products," Yaici said.
Yaici did not elaborate on how the company's solar power project would meld in with the DII project. But he did stress the fact that the DII project still had Cevital support.
Meanwhile, in response to allegations that the DII project will inevitably exploit the resources of developing nations, Yaici countered by assuring local media that the project would provide solar-generated electricity to a large portion of North Africa. In addition, it would also aid the development of domestic industries involved with renewable energy.
"Many components can be made locally. We want to be an industrial partner for this project," Yaici said. "The Desertec project is feasible and profitable for both exporters and importers. Financial problems will not arise."
Cevital is involved in the sugar refining industry, automobile imports, the vegetable oil and margarine industry, and hypermarkets.
Boeing 787 More-Electric Architecture replaces pneumatics with bleedless pressurization, VFSG starter-generators, electric brakes, and heated wing anti-ice, leveraging APU, RAT, batteries, and airport ground power for efficient, redundant electrical power distribution.
Key Points
An integrated, bleedless electrical system powering start, pressurization, brakes, and anti-ice via VFSGs, APU and RAT.
✅ VFSGs start engines, then generate 235Vac variable-frequency power
✅ Bleedless pressurization, electric anti-ice improve fuel efficiency
✅ Electric brakes cut hydraulic weight and simplify maintenance
The 787 Dreamliner is different to most commercial aircraft flying the skies today. On the surface it may seem pretty similar to the likes of the 777 and A350, but get under the skin and it’s a whole different aircraft.
When Boeing designed the 787, in order to make it as fuel efficient as possible, it had to completely shake up the way some of the normal aircraft systems operated. Traditionally, systems such as the pressurization, engine start and wing anti-ice were powered by pneumatics. The wheel brakes were powered by the hydraulics. These essential systems required a lot of physical architecture and with that comes weight and maintenance. This got engineers thinking.
What if the brakes didn’t need the hydraulics? What if the engines could be started without the pneumatic system? What if the pressurisation system didn’t need bleed air from the engines? Imagine if all these systems could be powered electrically… so that’s what they did.
Power sources
The 787 uses a lot of electricity. Therefore, to keep up with the demand, it has a number of sources of power, much as grid operators track supply on the GB energy dashboard to balance loads. Depending on whether the aircraft is on the ground with its engines off or in the air with both engines running, different combinations of the power sources are used.
Engine starter/generators
The main source of power comes from four 235Vac variable frequency engine starter/generators (VFSGs). There are two of these in each engine. These function as electrically powered starter motors for the engine start, and once the engine is running, then act as engine driven generators.
The generators in the left engine are designated as L1 and L2, the two in the right engine are R1 and R2. They are connected to their respective engine gearbox to generate electrical power directly proportional to the engine speed. With the engines running, the generators provide electrical power to all the aircraft systems.
APU starter/generators
In the tail of most commercial aircraft sits a small engine, the Auxiliary Power Unit (APU). While this does not provide any power for aircraft propulsion, it does provide electrics for when the engines are not running.
The APU of the 787 has the same generators as each of the engines — two 235Vac VFSGs, designated L and R. They act as starter motors to get the APU going and once running, then act as generators. The power generated is once again directly proportional to the APU speed.
The APU not only provides power to the aircraft on the ground when the engines are switched off, but it can also provide power in flight should there be a problem with one of the engine generators.
Battery power
The aircraft has one main battery and one APU battery. The latter is quite basic, providing power to start the APU and for some of the external aircraft lighting.
The main battery is there to power the aircraft up when everything has been switched off and also in cases of extreme electrical failure in flight, and in the grid context, alternatives such as gravity power storage are being explored for long-duration resilience. It provides power to start the APU, acts as a back-up for the brakes and also feeds the captain’s flight instruments until the Ram Air Turbine deploys.
Ram air turbine (RAT) generator
When you need this, you’re really not having a great day. The RAT is a small propeller which automatically drops out of the underside of the aircraft in the event of a double engine failure (or when all three hydraulics system pressures are low). It can also be deployed manually by pressing a switch in the flight deck.
Once deployed into the airflow, the RAT spins up and turns the RAT generator. This provides enough electrical power to operate the captain’s flight instruments and other essentials items for communication, navigation and flight controls.
External power
Using the APU on the ground for electrics is fine, but they do tend to be quite noisy. Not great for airports wishing to keep their noise footprint down. To enable aircraft to be powered without the APU, most big airports will have a ground power system drawing from national grids, including output from facilities such as Barakah Unit 1 as part of the mix. Large cables from the airport power supply connect 115Vac to the aircraft and allow pilots to shut down the APU. This not only keeps the noise down but also saves on the fuel which the APU would use.
The 787 has three external power inputs — two at the front and one at the rear. The forward system is used to power systems required for ground operations such as lighting, cargo door operation and some cabin systems. If only one forward power source is connected, only very limited functions will be available.
The aft external power is only used when the ground power is required for engine start.
Circuit breakers
Most flight decks you visit will have the back wall covered in circuit breakers — CBs. If there is a problem with a system, the circuit breaker may “pop” to preserve the aircraft electrical system. If a particular system is not working, part of the engineers procedure may require them to pull and “collar” a CB — placing a small ring around the CB to stop it from being pushed back in. However, on the 787 there are no physical circuit breakers. You’ve guessed it, they’re electric.
Within the Multi Function Display screen is the Circuit Breaker Indication and Control (CBIC). From here, engineers and pilots are able to access all the “CBs” which would normally be on the back wall of the flight deck. If an operational procedure requires it, engineers are able to electrically pull and collar a CB giving the same result as a conventional CB.
Not only does this mean that the there are no physical CBs which may need replacing, it also creates space behind the flight deck which can be utilised for the galley area and cabin.
A normal flight
While it’s useful to have all these systems, they are never all used at the same time, and, as the power sector’s COVID-19 mitigation strategies showed, resilience planning matters across operations. Depending on the stage of the flight, different power sources will be used, sometimes in conjunction with others, to supply the required power.
On the ground
When we arrive at the aircraft, more often than not the aircraft is plugged into the external power with the APU off. Electricity is the blood of the 787 and it doesn’t like to be without a good supply constantly pumping through its system, and, as seen in NYC electric rhythms during COVID-19, demand patterns can shift quickly. Ground staff will connect two forward external power sources, as this enables us to operate the maximum number of systems as we prepare the aircraft for departure.
Whilst connected to the external source, there is not enough power to run the air conditioning system. As a result, whilst the APU is off, air conditioning is provided by Preconditioned Air (PCA) units on the ground. These connect to the aircraft by a pipe and pump cool air into the cabin to keep the temperature at a comfortable level.
APU start
As we near departure time, we need to start making some changes to the configuration of the electrical system. Before we can push back , the external power needs to be disconnected — the airports don’t take too kindly to us taking their cables with us — and since that supply ultimately comes from the grid, projects like the Bruce Power upgrade increase available capacity during peaks, but we need to generate our own power before we start the engines so to do this, we use the APU.
The APU, like any engine, takes a little time to start up, around 90 seconds or so. If you remember from before, the external power only supplies 115Vac whereas the two VFSGs in the APU each provide 235Vac. As a result, as soon as the APU is running, it automatically takes over the running of the electrical systems. The ground staff are then clear to disconnect the ground power.
If you read my article on how the 787 is pressurised, you’ll know that it’s powered by the electrical system. As soon as the APU is supplying the electricity, there is enough power to run the aircraft air conditioning. The PCA can then be removed.
Engine start
Once all doors and hatches are closed, external cables and pipes have been removed and the APU is running, we’re ready to push back from the gate and start our engines. Both engines are normally started at the same time, unless the outside air temperature is below 5°C.
On other aircraft types, the engines require high pressure air from the APU to turn the starter in the engine. This requires a lot of power from the APU and is also quite noisy. On the 787, the engine start is entirely electrical.
Power is drawn from the APU and feeds the VFSGs in the engines. If you remember from earlier, these fist act as starter motors. The starter motor starts the turn the turbines in the middle of the engine. These in turn start to turn the forward stages of the engine. Once there is enough airflow through the engine, and the fuel is igniting, there is enough energy to continue running itself.
After start
Once the engine is running, the VFSGs stop acting as starter motors and revert to acting as generators. As these generators are the preferred power source, they automatically take over the running of the electrical systems from the APU, which can then be switched off. The aircraft is now in the desired configuration for flight, with the 4 VFSGs in both engines providing all the power the aircraft needs.
As the aircraft moves away towards the runway, another electrically powered system is used — the brakes. On other aircraft types, the brakes are powered by the hydraulics system. This requires extra pipe work and the associated weight that goes with that. Hydraulically powered brake units can also be time consuming to replace.
By having electric brakes, the 787 is able to reduce the weight of the hydraulics system and it also makes it easier to change brake units. “Plug in and play” brakes are far quicker to change, keeping maintenance costs down and reducing flight delays.
In-flight
Another system which is powered electrically on the 787 is the anti-ice system. As aircraft fly though clouds in cold temperatures, ice can build up along the leading edge of the wing. As this reduces the efficiency of the the wing, we need to get rid of this.
Other aircraft types use hot air from the engines to melt it. On the 787, we have electrically powered pads along the leading edge which heat up to melt the ice.
Not only does this keep more power in the engines, but it also reduces the drag created as the hot air leaves the structure of the wing. A double win for fuel savings.
Once on the ground at the destination, it’s time to start thinking about the electrical configuration again. As we make our way to the gate, we start the APU in preparation for the engine shut down. However, because the engine generators have a high priority than the APU generators, the APU does not automatically take over. Instead, an indication on the EICAS shows APU RUNNING, to inform us that the APU is ready to take the electrical load.
Shutdown
With the park brake set, it’s time to shut the engines down. A final check that the APU is indeed running is made before moving the engine control switches to shut off. Plunging the cabin into darkness isn’t a smooth move. As the engines are shut down, the APU automatically takes over the power supply for the aircraft. Once the ground staff have connected the external power, we then have the option to also shut down the APU.
However, before doing this, we consider the cabin environment. If there is no PCA available and it’s hot outside, without the APU the cabin temperature will rise pretty quickly. In situations like this we’ll wait until all the passengers are off the aircraft until we shut down the APU.
Once on external power, the full flight cycle is complete. The aircraft can now be cleaned and catered, ready for the next crew to take over.
Bottom line
Electricity is a fundamental part of operating the 787. Even when there are no passengers on board, some power is required to keep the systems running, ready for the arrival of the next crew. As we prepare the aircraft for departure and start the engines, various methods of powering the aircraft are used.
The aircraft has six electrical generators, of which only four are used in normal flights. Should one fail, there are back-ups available. Should these back-ups fail, there are back-ups for the back-ups in the form of the battery. Should this back-up fail, there is yet another layer of contingency in the form of the RAT. A highly unlikely event.
The 787 was built around improving efficiency and lowering carbon emissions whilst ensuring unrivalled levels safety, and, in the wider energy landscape, perspectives like nuclear beyond electricity highlight complementary paths to decarbonization — a mission it’s able to achieve on hundreds of flights every single day.
Brazil ICMS Tax Cap limits state VAT on fuels, natural gas, electricity, communications, and transit, promising short-term price relief amid inflation, with federal compensation to states and potential legal challenges affecting investments and ANP auctions.
Key Points
A policy capping state VAT at 17-18 percent on fuels, electricity, and services to temper prices and inflation.
✅ Caps VAT to 17-18% on fuels, power, telecom, transit
✅ Short-term relief; medium-long term impact uncertain
✅ Federal compensation; potential court challenges, investment risk
Brazil’s congress approved a bill that limits the ICMS tax rate that state governments can charge on fuels, natural gas, electricity, communications, and public transportation.
Local lawyers told BNamericas that the measure may reduce fuel and power prices in the short term, similar to Brazil power sector relief loans seen during the pandemic, but it is unlikely to produce any major effects in the medium and long term.
In most states the ceiling was set at 17% or 18% and the federal government will pay compensation to the states for lost tax revenue until December 31, via reduced payments on debts that states owe the federal government.
The bill will become law once signed by President Jair Bolsonaro, who pushed strongly for the proposal with an eye on his struggling reelection campaign for the October presidential election. Double-digit inflation has turned into a major election issue and fuel and electricity prices have been among the main inflation drivers, as seen in EU energy-driven inflation across the bloc this year. Congress’ approval of the bill is seen by analysts as political victory for the Brazilian leader.
How much difference will it make?
Marcus Francisco, tax specialist and partner at Villemor Amaral Advogados, said that in the formation of fuel and electricity prices there are other factors, including high natural gas prices, that drive increases.
“In the case of fuels, if the barrel of oil [price] increases, automatically the final price for the consumer will go up. For electricity, on the other hand, there are several subsidies and policy choices such as Florida rejecting federal solar incentives that are part of the price and that can increase the rate [paid],” he said.
There is also a possibility that some states will take the issue to the supreme court since ICMS is a key source of revenue for them, Francisco added.
Tiago Severini, a partner at law firm Vieira Rezende, said the comparison between the revenue impact and the effective price reduction, based on the estimates made by the states and the federal government, seems disproportionate, and, as seen in Europe, rolling back European electricity prices is often tougher than it appears.
“In other words, a large tax collection impact is generated, which is quite unequal among the different states, for a not so strong price reduction,” he said.
“Due to the lack of clarity regarding the precision of the calculations involved, it’s difficult even to assess the adequacy of the offsets the federal government has been considering, and international cases such as France's new electricity pricing scheme illustrate how complex it can be to align fiscal offsets with regulatory constraints, to cover the cost it would have with the compensation for the states” Severini added.
The compensation ideas that are known so far include hiking other taxes, such as the social contribution on net profits (CSLL) that is paid by oil and gas firms focused on exploration and production.
“This can generate severe adverse effects, such as legal disputes, reduced investments in the country, and reduced attractiveness of the new auctions by [sector regulator] ANP, and costly interventions like the Texas electricity market bailout after extreme weather events,” Severini said.
Bruce Power Major Component Replacement secures Ontario-made nuclear components via $914M contracts, supporting refurbishment, clean energy, low-cost electricity, and advanced manufacturing, extending reactor life to 2064 while boosting jobs, supply chain growth, and economy.
Key Points
A refurbishment program investing $914M in advanced manufacturing to extend reactors and deliver low-cost, clean power.
✅ $914M Ontario-made components for steam generators, tubes, fittings
✅ Extends reactor life to 2064; clean, low-cost electricity for Ontario
✅ Supports 22,000 jobs annually; boosts supply chain and economy
Today, Bruce Power signed $914 million in advanced manufacturing contracts for its Major Component Replacement, which gets underway in 2020, as the reactor refurbishment begins across the site and will allow the site to provide low-cost, carbon-free electricity to Ontario through 2064.
The Major Component Replacement (MCR) Project agreements include:
$642 million to BWXT Canada Inc. for the manufacturing of 32 steam generators to be produced at BWXT’s Cambridge facility.
$144 million to Laker Energy Products for end fittings, liners and flow elements, which will be manufactured at its Oakville location.
$62 million to Cameco Fuel Manufacturing, in Cobourg, for calandria tubes and annulus spacers for all six MCRs.
$66 million for Nu-Tech Precision Metals, in Arnprior, for the production of zirconium alloy pressure tubes for Units 6 and 3.
Bruce Power’s Life-Extension Program, which started in January 2016 with Asset Management Program investments and includes the MCRs on Units 3-8, remains on time and on budget.”
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By signing these contracts today, we have secured ‘Made in Ontario‘ solutions for the components we will need to successfully complete our MCR Projects, extending the life of our site to 2064,” said Mike Rencheck, Bruce Power’s President and CEO.
“Today’s announcements represent a $914 million investment in Ontario’s highly skilled workforce, which will create untold economic opportunities for the communities in which they operate for many years to come.”We look forward to growing our already excellent relationships with these supplier partners and unions as we work toward our common goal, supported by an operating record, of continuing to keep Canada’s largest infrastructure project on time and on budget."
By extending the life of Bruce Power’s reactors to 2064, the company will create and sustain 22,000 jobs annually, both directly and indirectly, across Ontario, while investing $4 billion a year into the province’s economy, underscoring the economic benefits of nuclear development across Canada.
At the same time, Bruce Power will produce 30 per cent of Ontario’s electricity at 30 per cent less than the average cost to generate residential power, while also producing zero carbon emissions, aligning with Pickering NGS life extensions across the province.The Hon. Glenn Thibeault, Minister of Energy, said today’s announcement is good news for the people of Ontario.”
Bruce Power’s Life-Extension Program makes sense for Ontario, and the announcements made today will create good jobs and benefit our economy for decades to come,” Minister Thibeault said.
“Moving forward with the refurbishment project is part of our government’s plan to support care and opportunity, while producing affordable, reliable and clean energy for the people of Ontario.”Kim Rudd, Parliamentary Secretary to the Minister of Natural Resources and MP for Northumberland-Peterborough South, offered her support and congratulations.”
Canada’s nuclear industry, including its advanced manufacturing capability, is respected internationally,” Rudd said. “Bruce Power’s announcement today related to the advanced manufacturing of key components throughout Ontario as part of its Life-Extension Program will allow these suppliers to have a secure base to not only meet Canada’s needs, but export internationally.”
Georgia Cities Clean Energy IRP Coalition unites Savannah, Atlanta, Decatur, and Athens-Clarke to shape Georgia Power's Integrated Resource Plan, accelerating renewables, energy efficiency, community solar, and coal retirements through Georgia Public Service Commission hearings.
Key Points
Georgia cities working to steer Georgia Power's IRP toward renewables, energy efficiency, and community solar.
✅ Targets coal retirements and doubling renewables by 2035
✅ Advocates data access, transparency, and energy efficiency
✅ Seeks affordable community solar options for low-income customers
Savannah is among several Georgia cities that have led the charge forward in recent years to push for clean energy. Now, several of the state's largest municipalities are banding together to demand action from Georgia's largest energy provider.
Hearings regarding Georgia Power's Integrated Resource Plan (IRP) happen every three years, but this year for the first time the cities of Savannah, Decatur, Atlanta and Athens-Clarke and DeKalb counties were at the table.
"It's pretty unprecedented. It's such an important opportunity to get to represent ourselves and our citizens," said City of Savannah Energy Analyst Alicia Brown, the Savannah representative for the Georgia Coalition for Local Governments.
The IRP, which essentially maps out how the company will use its various forms of energy over the next 20 years was filed with the Georgia Public Service Commission (GPSC) in January, the 200-page IRP outlines Georgia Power's plans to shutter nearly all Georgia Power-controlled coal units, similar to Tucson Electric Power's coal exit timelines elsewhere, which could begin later this year.
The company is also planning to double its renewable energy generation by 2035. The IRP also outlines plans for several programs, including an Income-Qualified Community Solar Pilot, reflecting momentum for community energy programs in other states as well.
During the hearings the coalition, alongside the other groups, had the ability to question Georgia Power officials about the plan to include the proposed increase per kilowatt for the company's Simple Solar program, Behind-the-Meter Solar program study and various other components, amid debates over solar strategy in the South that could impact lower income customers.
"The established and open IRP process is central to effective, long-term energy planning in Georgia and is part of our commitment to 2.7 million customers to deliver clean, safe, reliable and affordable energy. In continuing our longstanding relationship with the City of Savannah, we welcome their interest and participation in the IRP process," John Kraft, Georgia Power spokesman said in an email.
Brown said the coalition's areas of interest fall into three categories: energy efficiency and demand response, data access and transparency and renewable energy for citizens as well as the governments in the coalition.
"We have these renewable goals and just the way the current regulations are set, the way the current laws are on the books, and developments like consumer choice in California show how policy shifts can reshape utility markets, it's very challenging for us to meet those renewable energy goals without Georgia Power setting up programs that are workable for us," she said.
The city of Savannah is already taking action locally to reduce carbon emissions and move toward clean and renewable energy through the 100% Savannah Clean Energy Plan, which was adopted by Savannah City Council in December.
The plan aims to achieve 100% renewable electricity community-wide by 2035 and 100% renewable energy for all energy needs by 2050.
Council previously approved the 100% Clean Energy Resolution needed to develop the plan in March 2020, making Savannah the fifth city in the state to pledge to pursue a lower carbon future to fight climate change.
The final plan includes 45 strategies that fall into five categories: energy efficiency; renewable energy; transportation and mobility; community and economic development; and education and engagement.
Brown said the education and engagement component is central to the plan, but the pandemic has hindered community education and awareness efforts, and utilities have warned customers about pandemic-related scams that complicate outreach, something the city hopes to catapult in the coming weeks.
"With the 100% Savannah resolution passing right before the pandemic, we haven't had as many opportunities to raise awareness about the initiative and to educate the public about clean energy as we would like. This transition will present a lot of opportunities for our communities, but only if people know that they are there to be taken," she said.
"... We also want to engage the community so that they feel like they are developing this vision for a healthy, prosperous, clean community alongside us. It's not just us telling them, 'we're going to have a clean energy future and it's going to look like this,' but really helping them to develop and realize a collective vision for what 100% Savannah should be."
The final round of IRP hearings are scheduled for next month. Those hearings will allow the coalition and other groups to put witnesses on the stand who will make the case for why Georgia Power's IRP should be different, Brown said.
In June, Georgia Power, following a June bill reduction for customers, will have a chance to offer rebuttal testimony and will again be subject to cross examination. Shortly after those hearings, the parties will join together for the settlement process, a sort of compromise on the plan that the commission will vote on toward the beginning of July.
Skinners Pond Transmission Line expands PEI's renewable energy grid, enabling wind power integration, grid reliability, and capacity for the planned 40 MW windfarm, funded through the Green Infrastructure Stream to support sustainable economic growth.
Key Points
A 106-km grid project enabling PEI wind power, increasing capacity and reliability, linking Skinners Pond to Sherbrooke.
✅ 106-km line connects Skinners Pond to Sherbrooke substation
✅ Integrates 40 MW windfarm capacity by 2025
✅ Funded by Canada and PEI via Green Infrastructure Stream
The health and well-being of Canadians are the top priorities of the Governments of Canada and Prince Edward Island. But the COVID-19 pandemic has affected more than Canadians' personal health. It is having a profound effect on the economy.
That is why governments have been taking decisive action together to support families, businesses and communities, and continue to look ahead to planning for our electricity future and see what more can be done.
Today, Bobby Morrissey, Member of Parliament for Egmont, on behalf of the Honourable Catherine McKenna, Minister of Infrastructure and Communities, the Honourable Dennis King, Premier of Prince Edward Island, the Honourable Dennis King, Premier of Prince Edward Island, and the Honourable Steven Myers, Prince Edward Island Minister of Transportation, Infrastructure and Energy, announced funding to build a new transmission line from Sherbrooke to Skinners Pond, as part of broader Canadian collaboration on clean energy, with several premiers nuclear reactor technology to support future needs as well.
The new 106-kilometre transmission line and its related equipment will support future wind energy generation projects in western Prince Edward Island, complementing the Eastern Kings wind farm expansion already advancing. Once completed, the transmission line will increase the province's capacity to manage the anticipated 40 megawatts from the future Skinner's Pond Windfarm planned for 2025 and provide connectivity to the Sherbrooke substation to the northeast of Summerside.
The Government of Canada is investing $21.25 million and the Government of Prince Edward Island is providing $22.75 million in this project, reflecting broader investments in new turbines across Canada, through the Green Infrastructure Stream (GIS) of the Investing in Canada infrastructure program.
This projects is one in a series of important project announcements that will be made across the province over the coming weeks. The Governments of Canada and Prince Edward Island are working cooperatively to support jobs, improve communities and build confidence, while safely and sustainably restoring economic growth, as Nova Scotia increases wind and solar projects across the region.
"Investing in renewable energy infrastructure is essential to building healthy, inclusive, and resilient communities. The new Skinners Pond transmission line will support Prince Edward Island's production of green energy, focusing on wind resources rather than expanded biomass use in the mix. Projects like this also support economic growth and help us build a greener future for the next generation of Islanders."
Bobby Morrissey, Member of Parliament for Egmont, on behalf of the Honourable Catherine McKenna, Minister of Infrastructure and Communities
"We live on an Island that has tremendous potential in further developing renewable energy. We have an opportunity to become more sustainable and be innovative in our approach, and learn from regions where provinces like Manitoba have clean energy to help neighbouring provinces through interties. The strategic investment we are making today in the Skinner's Pond transmission line will allow Prince Edward Island to further harness the natural power of wind to create clean, locally produced and locally used energy that will benefit of all Islanders."
Muskrat Falls rate mitigation offsets Newfoundland Power's rate stabilization decrease as NL Hydro begins cost recovery; Public Utilities Board approval enables collections while Labrador-Island Link nears commissioning, stabilizing electricity rates despite megaproject delays, overruns.
Key Points
Muskrat Falls rate mitigation is NL Hydro's cost recovery via power rates to stabilize bills as commissioning nears.
✅ Offsets 6.4% decrease with a 6.1% rate increase
✅ About 6% now funds NL Hydro's rate mitigation
✅ Collections begin as Labrador-Island Link nears commissioning
With their July electricity bill, Newfoundland Power customers have begun paying for Muskrat Falls, though a lump-sum credit was also announced to offset costs and bills haven't significantly increased — yet.
In a July newsletter, Newfoundland Power said electricity bills were set to decrease by 6.4 per cent as part of the annual rate stabilization adjustment, which reflects the cost of electricity generation.
Instead, that decrease has been offset by a 6.1 increase in electricity rates so Newfoundland and Labrador Hydro can begin recovering the cost of Muskrat Falls, with a $5.2-billion federal package also underpinning the project, the $13-billion hydroelectric megaproject that is billions over budget and years behind schedule.
That means for residential customers, electricity rates will decrease to 12.346 cents per kilowatt, though the basic customer charge will go up slightly from $15.81 to $15.83. According to an N.L. Hydro spokesperson, about six per cent of electricity bills will now go toward what it calls a "rate mitigation fund."
N.L. Hydro claims victory in Muskrat Falls arbitration dispute with Astaldi Software troubles blamed for $260M Muskrat Falls cost increase, with N.L. power rates stable for now The spokesperson said N.L. Hydro is expecting the rate increase to result in $43 million this year, according to a recent financial update from the energy corporation — a tiny fraction of the project's cost.
N.L. Hydro asked the Public Utilities Board to approve the rate increase, a process similar to Nova Scotia's recent 14% approval by its regulator, in May. In a letter, Energy, Industry and Technology Minister Andrew Parsons supported the increase, though he asked N.L. Hydro to keep electricity rates "as close to current levels as possible.
Province modifies order in council Muskrat Falls is not yet fully online — largely due to software problems with the Labrador-Island Link transmission line — and an order in council dictated that ratepayers on the island of Newfoundland would not begin paying for the project until the project was fully commissioned.
The provincial government modified that order in council so N.L. Hydro can begin collecting costs associated with Muskrat Falls once the project is "nearing" commissioning.
In June, N.L. Hydro said the project was expected to finally be completed by the end of the year.
In an interview with CBC News, Progressive Conservative interim leader David Brazil said the decision to begin recovering the cost of Muskrat Falls from consumers should have been delayed.
"There was an opportunity here for people to get some reprieve when it came to their electricity bills and this administration chose not to do that, not to help the people while they're struggling," he said.
In a statement, Parsons said reducing the rate was not an option, and would have resulted in increased borrowing costs for Muskrat Falls.
"Reducing the rate for one year to have it increase significantly the following year is not consistent with rate mitigation and also places an increased financial burden on taxpayers one year from now," Parsons said.
Decision 'reasonable': Consumer advocate Brazil said his party didn't know the payments from Muskrat Falls would start in July, and criticized the government for not being more transparent.
A person wearing a blue shirt and black blazer stands outside on a lawn. N.L. consumer advocate Dennis Browne says it makes sense to begin recouping the cost of Muskrat Falls. (Garrett Barry/CBC) Newfoundland and Labrador consumer advocate Dennis Browne said the decision to begin collecting costs from consumers was "reasonable."
"We're into a financial hole due to Muskrat Falls, and what has happened is in order to stabilize rates, we have gone into rate stabilization efforts," he said.
In February, the provincial and federal governments signed a complex agreement to shield ratepayers aimed at softening the worst of the financial impact from Muskrat Falls. Browne noted even with the agreement, the provincial government will have to pay hundreds of millions in order to stabilize electricity rates.
"Muskrat Falls would cost us $0.23 a kilowatt, and that is out of the range of affordability for most people, and that's why we're into rate mitigation," he said. "This was part of a rate mitigation effort, and I accepted it as part of that."
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