Writeoff wonÂ’t impact customers, Hydro says

By Toronto Star


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Good news and bad news for Toronto finances.

The good: A pat on the back for the city's financial performance from Standard & Poor's Rating Services.

The bad: City-owned Toronto Hydro has taken a $13 million writedown on asset-backed commercial paper, the notes that have rocked financial markets in the U.S.

Even so, Toronto Hydro paid city hall a dividend equal to the previous year, to the tune of $46.2 million.

And the writedown won't affect customer rates.

Standard & Poor's gave Toronto a modest nudge upward.

Its rating stays at AA, but with a "positive" outlook rather than "stable."

While a notch below AAA, the rating is very solid. It means Toronto's bonds are suitable for conservative portfolios and the city can borrow at relatively low interest rates.

The solid rating "reflects the city's robust economic performance, improved financial flexibility and modest debt burden," the credit agency said in a release.

Standard & Poor's welcomed two new municipal taxes – on land transfers and vehicle registrations – that provoked a political firestorm when Mayor David Miller introduced them last year.

Councillors stalled the taxes last spring, but Miller managed to push them through later.

The new taxes, "coupled with increasing grants from senior governments," will shore up the city's finances, the agency says.

It also predicts "the local economy will continue to produce solid results."

Toronto Hydro reported its net profit dropped to $82.8 million in 2007, from $92.4 million the year before, which it attributed in part to a milder summer and the impact of energy conservation programs.

Even so, the company paid out $46.2 million to the city.

One cloud is a revelation that the utility holds $88 million in asset-backed commercial paper, an exotic type of financial note underpinned in part by shaky U.S. mortgages.

Toronto's Hydro's financial statements say the notes matured in the third quarter of 2007 but weren't repaid "due to liquidity issues" and there's no market for them now.

It says a group of banks, investors and financial experts has been working on a solution that would repay note holders eventually.

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UCP scraps electricity price cap, some will see $7 bill increase this month

Edmonton Electricity Rate Increase signals Alberta RRO changes as the UCP ends the NDP price cap; kilowatt-hour rises to 7.5 cents, raising energy bills for typical households by 3.9 percent in December.

 

Key Points

The end of Alberta’s RRO cap lifts kWh to 7.5 cents, raising an average Edmonton home’s bill about 3.9% in December.

✅ RRO price cap scrapped; kWh set at 7.5 cents in December.

✅ Average 600 kWh home pays about $7.37 more vs November.

✅ UCP ends NDP-era cap after stakeholder and consumer feedback.

 

Electricity will be more expensive for some Edmontonians in December after the UCP government scrapped a program that capped rates amid prices spiking in Alberta this year.

Effective Nov. 30, the province got rid of the consumer price cap program for Regulated Rate Option customers.

In 2017, the NDP government capped the kilowatt per hour price at 6.8 cents under a consumer price cap policy, meaning Edmontonians would pay the market rate and not more than the capped price.

In December, kWh will cost 7.5 cents amid expert warnings to lock in rates across Alberta. Typical Edmonton homes use an average of 600 kWh, increasing bills by $7.37, or 3.9 per cent, compared to November.

In Calgary, electricity bills have been rising as well, reflecting similar market pressures.

The NDP created the capacity system to bring price stability to Albertans, though a Calgary retailer urged scrapping the market overhaul at the time.

Energy Minister Sonya Savage said the UCP decided to scrap it after "overwhelming" feedback from consumers and industry stakeholders, as the province introduced new electricity rules earlier this year. 

 

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Hydroelectricity Under Pumped Storage Capacity

Pumped Storage Hydroelectricity balances renewable energy, stabilizes the grid, and provides large-scale energy storage using reservoirs and reversible turbines, delivering flexible peak power, frequency control, and rapid response to variable wind and solar generation.

 

Key Points

A reversible hydro system that stores energy by pumping water uphill, then generates flexible peak power.

✅ Balances variable wind and solar with rapid ramping

✅ Stores off-peak electricity in upper reservoirs

✅ Enhances grid stability, frequency control, and reserves

 

The expense of hydroelectricity is moderately low, making it a serious wellspring of sustainable power. The hydro station burns-through no water, dissimilar to coal or gas plants. The commonplace expense of power from a hydro station bigger than 10 megawatts is 3 to 5 US pennies for every kilowatt hour, and Niagara Falls powerhouse upgrade projects show how modernization can further improve efficiency and reliability. With a dam and supply it is likewise an adaptable wellspring of power, since the sum delivered by the station can be shifted up or down quickly (as meager as a couple of moments) to adjust to changing energy requests.

When a hydroelectric complex is developed, the task creates no immediate waste, and it for the most part has an extensively lower yield level of ozone harming substances than photovoltaic force plants and positively petroleum product fueled energy plants, with calls to invest in hydropower highlighting these benefits. In open-circle frameworks, unadulterated pumped storage plants store water in an upper repository with no normal inflows, while pump back plants use a blend of pumped storage and regular hydroelectric plants with an upper supply that is renewed to a limited extent by common inflows from a stream or waterway.

Plants that don't utilize pumped capacity are alluded to as ordinary hydroelectric plants, and initiatives focused on repowering existing dams continue to expand clean generation; regular hydroelectric plants that have critical capacity limit might have the option to assume a comparable function in the electrical lattice as pumped capacity by conceding yield until required.

The main use for pumped capacity has customarily been to adjust baseload powerplants, however may likewise be utilized to decrease the fluctuating yield of discontinuous fuel sources, while emerging gravity energy storage concepts broaden long-duration options. Pumped capacity gives a heap now and again of high power yield and low power interest, empowering extra framework top limit.

In specific wards, power costs might be near zero or once in a while negative on events that there is more electrical age accessible than there is load accessible to retain it; despite the fact that at present this is infrequently because of wind or sunlight based force alone, expanded breeze and sun oriented age will improve the probability of such events.

All things considered, pumped capacity will turn out to be particularly significant as an equilibrium for exceptionally huge scope photovoltaic age. Increased long-distance bandwidth, including hydropower imports from Canada, joined with huge measures of energy stockpiling will be a critical piece of directing any enormous scope sending of irregular inexhaustible force sources. The high non-firm inexhaustible power entrance in certain districts supplies 40% of yearly yield, however 60% might be reached before extra capaciy is fundamental.

Pumped capacity plants can work with seawater, despite the fact that there are extra difficulties contrasted with utilizing new water. Initiated in 1966, the 240 MW Rance flowing force station in France can incompletely function as a pumped storage station. At the point when elevated tides happen at off-top hours, the turbines can be utilized to pump more seawater into the repository than the elevated tide would have normally gotten. It is the main enormous scope power plant of its sort.

Alongside energy mechanism, pumped capacity frameworks help control electrical organization recurrence and give save age. Warm plants are substantially less ready to react to abrupt changes in electrical interest, and can see higher thermal PLF during periods of reduced hydro generation, conceivably causing recurrence and voltage precariousness.

Pumped storage plants, as other hydroelectric plants, including new BC generating stations, can react to stack changes in practically no time. Pumped capacity hydroelectricity permits energy from discontinuous sources, (for example, sunlight based, wind) and different renewables, or abundance power from consistent base-load sources, (for example, coal or atomic) to be put something aside for times of more popularity.

The repositories utilized with siphoned capacity are tiny when contrasted with ordinary hydroelectric dams of comparable force limit, and creating periods are regularly not exactly a large portion of a day. This technique produces power to gracefully high top requests by moving water between repositories at various heights.

Now and again of low electrical interest, the abundance age limit is utilized to pump water into the higher store. At the point when the interest gets more noteworthy, water is delivered once more into the lower repository through a turbine. Pumped capacity plans at present give the most monetarily significant methods for enormous scope matrix energy stockpiling and improve the every day limit factor of the age framework. Pumped capacity isn't a fuel source, and shows up as a negative number in postings.

 

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Ireland goes 25 days without using coal to generate electricity

Ireland Coal-Free Electricity Record: EirGrid reports 25 days without coal on the all-island grid, as wind power, renewables, and natural gas dominated generation, cutting CO2 emissions, with Moneypoint sidelined by market competitiveness.

 

Key Points

It is a 25-day period when the grid used no coal, relying on gas and renewables to reduce CO2 emissions.

✅ 25 days coal-free between April 11 and May 7

✅ Gas 60%, renewables 30% of generation mix

✅ Eurostat: 6.8% drop in Ireland's CO2 emissions

 

The island of Ireland has gone a record length of time without using coal-fired electricity generation on its power system, Britain's week-long coal-free run providing a recent comparator, Eirgrid has confirmed.

The all-island grid operated without coal between April 11th and May 7th – a total of 25 days, it confirmed. This is the longest period of time the grid has operated without coal since the all-island electricity market was introduced in 2007, echoing Britain's record coal-free stretch seen recently.

Ireland’s largest generating station, Moneypoint in Co Clare, uses coal, with recent price spikes in Ireland fueling concerns about dispatchable capacity, as do some of the larger generation sites in Northern Ireland.

The analysis coincides with the European statistics agency, Eurostat publishing figures showing annual CO2 emissions in Ireland fell by 6.8 per cent last year; partly due to technical problems at Moneypoint.

Over the 25-day period, gas made up 60 per cent of the fuel mix, while renewable energy, mainly wind, accounted for 30 per cent, echoing UK wind surpassing coal in 2016 across the market. Coal-fired generation was available during this period but was not as competitive as other methods.

EirGrid group chief executive Mark Foley said this was “a really positive development” as coal was the most carbon intense of all electricity sources, with its share hitting record lows in the UK in recent years.

“We are acutely aware of the challenges facing the island in terms of meeting our greenhouse gas emission targets, mindful that low-carbon generation stalled in the UK in 2019, through the deployment of more renewable energy on the grid,” he added.

Last year 33 per cent of the island’s electricity came from renewable energy sources, German renewables surpassing coal and nuclear offering a parallel milestone, a new record. Coal accounted for 9 per cent of electricity generation, down from 12.9 per cent in 2017.

 

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Nevada on track to reach RPS mandate of 50% renewable electricity by 2030: report

Nevada Renewable Portfolio Standard 2030 targets 50% clean energy, advancing solar, geothermal, and wind, cutting GHG emissions, phasing out coal, and expanding storage, EV infrastructure, and in-state renewables under PUCN oversight and tax abatements.

 

Key Points

A state mandate requiring 50% of electricity from renewables by 2030, driving solar, geothermal, wind, and storage.

✅ 50% clean power by 2030; 100% carbon-free target by 2050

✅ Growth in solar, geothermal, wind; coal phase-out; natural gas remains

✅ RETA incentives spur 6.1 GW capacity, jobs, and in-state investment

 

Nevada is on track to meet its Renewable Portfolio Standard of 50% of electricity generated by renewable energy sources by 2030, according to the Governor's Office of Energy's annual Status of Energy Report.

Based on compliance reports the Public Utilities Commission of Nevada has received, across all providers, about 20% of power is currently generated by renewable resources, and, nationally, renewables ranked second in 2020 as filings show Nevada's investor-owned utility and other power providers have plans to reach the state's ambitious RPS of 50% by 2030, according to the report released Jan. 28.

"Because transportation and electricity generation are Nevada's two largest contributors to greenhouse gas emissions, GOE's program work in 2021 underscored our focus on transportation electrification and reaching the state's legislatively required renewable portfolio standard," GOE Director David Bobzien said in a statement Jan. 28. "While electricity generated from renewable resources currently accounts for about 25% of the state's electricity, a share similar to projections that renewables will soon provide about one-fourth of U.S. electricity overall, we continue to collaborate with the Public Utilities Commission of Nevada, electricity providers, the renewable energy industry and conservation organizations to ensure Nevada reaches our target of 50% clean energy by 2030."

The state's RPS, enacted in 1997 and last modified in 2019, requires an increase in renewable energy, starting with 22% in 2020 and increasing to 50% by 2030. The increase in renewables will reduce GHG emissions and help the state reach its goal of 100% carbon-free power by 2050, while states like Rhode Island have a 100% by 2030 plan, highlighting varying timelines.

Renewable additions
The state added 1.332 GW of renewable capacity in 2021 as part of the Renewable Energy Tax Abatement program, at a time when U.S. renewable energy hit a record 28% in April, for a total renewable capacity of 6.117 GW, according to the report.

The RETA program awards partial sales and use tax and partial property-tax abatements to eligible renewable energy facilities, which increase Nevada's tax revenue and create jobs in a growing industry. Eligible projects must employ at least 50% Nevada workers, pay 175% of Nevada's average wage during construction, and offer health care benefits to workers and their dependents.

Since its adoption in 2010, the GOE has approved 60 projects, including large-scale solar PV, solar thermal, biomass, geothermal and wind projects throughout the state, according to the report. Projects granted abatements in 2021 include:

  • 100-MW Citadel Solar Project
  • 150-MW Dry Lake Solar + Storage Project
  • 714-MW Gemini Solar Project
  • 55-MW North Valley Power Geothermal Project
  • 113-MW Boulder Flats Solar Project
  • 200-MW Arrow Canyon Solar Project

"Nevada does not produce fossil fuels of any significant amount, and gasoline, jet fuel and natural gas for electricity or direct use must be imported," according to the report. "Transitioning to domestically produced renewable resources and electrified transportation can provide cost savings to Nevada residents and businesses, as seen in Idaho's largely renewable mix today, while reducing GHG emissions. About 86% of the fuel for energy that Nevada consumes comes from outside the state."

Phasing out coal plants
Currently, more than two-thirds of the state's electricity is produced by natural gas-fired power plants, with renewables covering most of the remaining generation, according to the report. Nevada continues to phase out its remaining coal power plants, as renewables surpassed coal nationwide in 2022, which provide less than 10% of produced electricity.

"Nevada has seen a significant increase in capturing its abundant renewable energy resources such as solar and geothermal," according to the report. "Renewable energy production continues to grow, powering Nevada homes and business and serves to diversify the state's economy by exporting solar and geothermal to neighboring states, as California neared 100% renewable electricity for the first time. Nevada has more than tripled its renewable energy production since 2011."

 

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Hinkley C nuclear reactor roof lifted into place

Hinkley Point C dome lift marks a nuclear reactor milestone in Somerset, as EDF used Big Carl crane to place a 245-tonne steel roof, enabling 2027 startup amid costs, delays, and precision indoor welding.

 

Key Points

A 245-tonne dome lifted onto Hinkley Point C's first reactor, finishing the roof and enabling fit-out for a 2027 startup.

✅ 245-tonne steel dome lifted by Big Carl onto 44m-high reactor

✅ Indoor welding avoided weather defects seen at Flamanville

✅ Cost now £33bn; first power targeted by end of 2027

 

Engineers have lifted a steel roof onto a building which will house the first of two nuclear reactors at Hinkley Point in Somerset.

Hundreds of people helped with the delicate operation to get the 245-tonne steel dome into position.

It means the first reactor can be installed next year, ready to be switched on in June 2027.

Engineers at EDF said the "challenging job" was completed in just over an hour.

They first broke the ground on the new nuclear station in March 2017. Now, some 10,000 people work on what is Europe's largest building site.

Yet many analysts note that Europe is losing nuclear power even as demand for reliable energy grows.

They have faced delays from Covid restrictions and other recent setbacks, and the budget has doubled to £33bn, so getting the roof on the first of the two reactor buildings is a big deal.

EDF's nuclear island director Simon Parsons said it was a "fantastic night".

"Lifting the dome into place is a celebration of all the work done by a fantastic team. The smiles on people's faces this morning were something else.

"Now we can get on with the fitting of equipment, pipes and cables, including the first reactor which is on site and ready to be installed next year."

Nuclear minister Andrew Bowie hailed the "major milestone" in the building project, citing its role in the UK's green industrial revolution ambitions.

He said: "This is a key part of the UK Government's plans to revitalise nuclear."

But many still question whether Hinkley Point C will be worth all the money, especially after Hitachi's project freeze in Britain, with Roy Pumfrey of the Stop Hinkley campaign describing the project as "shockingly bad value".


Why lift the roof on?

The steel dome is bigger than the one on St Paul's Cathedral in London.

To lift it onto the 44-metre-high reactor building, they needed the world's largest land-based crane, dubbed Big Carl by engineers.

So why not just build the roof on top of the building?

The answer lies in a remote corner of Normandy in France, near a village called Flamanville.

EDF has been building a nuclear reactor there since 2007, ten years before they started in west Somerset.

The project is now a decade behind schedule and has still not been approved by French regulators.

Why? Because of cracks found in the precision welding on the roof of the reactor building.

In nuclear-powered France, they built the roof in situ, out in the open. 

Engineers have decided welding outside, exposed to wind and rain, compromised the high standards needed for a nuclear reactor.

So in Somerset they built a temporary workshop, which looks like a fair sized building itself. All the welding has been done inside, and then the completed roof was lifted into place.


Is it on time or on budget?

No, neither. When Hinkley C was first approved a decade ago, EDF said it would cost £14bn.

Four years later, in 2017, they finally started construction. By now the cost had risen to £19.5bn, and EDF said the plant would be finished by the end of 2025.

Today, the cost has risen to £33bn, and it is now hoped Hinkley C will produce electricity by the end of 2027.

"Nobody believes it will be done by 2027," said campaigner Roy Pumfrey.

"The costs keep rising, and the price of Hinkley's electricity will only get dearer," they added.

On the other hand, the increase in costs is not a problem for British energy bill payers, or the UK government.

EDF agreed to pay the full cost of construction, including any increases.

When I met Grant Shapps, then the UK Energy Secretary, at the site in April, he shrugged off the cost increases.

He said: "I think we should all be rather pleased it is not the British tax payer - it is France and EDF who are paying."

In return, the UK government agreed a set rate for Hinkley's power, called the Strike Price, back in 2013. The idea was this would guarantee the income from Hinkley Point for 35 years, allowing investors to get their money back.


Will it be worth the money?

Back in 2013, the Strike Price was set at £92.50 for each megawatt hour of power. At the time, the wholesale price of electricity was around £50/MWh, so Hinkley C looked expensive.

But since then, global shocks like the war in Ukraine have increased the cost of power substantially, and advocates argue next-gen nuclear could deliver smaller, cheaper, safer designs.

 

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Ontario Drops Starlink Deal, Eyes Energy Independence

Ontario Starlink Contract Cancellation underscores rising tariffs, trade tensions, and retaliation, as SpaceX's Elon Musk loses a rural broadband deal; Ontario pivots to procurement bans, energy resilience, and nuclear power to boost grid independence.

 

Key Points

Ontario ended a C$100M Starlink deal over U.S. tariffs, prompting a shift to rural broadband alternatives.

✅ Triggered by U.S. tariffs; Ontario adopts retaliatory procurement bans.

✅ Ends plan to connect 15,000 rural homes and businesses with broadband.

✅ Signals push for energy resilience, nuclear power, and grid independence.

 

In a decisive move, Ontario Premier Doug Ford announced the cancellation of a C$100 million contract with Elon Musk's Starlink, a subsidiary of SpaceX, in direct response to U.S. President Donald Trump's imposition of tariffs on Canadian imports. This action underscores the escalating trade tensions between Canada and the United States, a theme highlighted during Ford's Washington meeting on energy tariffs earlier this month, and highlights Ontario's efforts to safeguard its economic interests.

The now-terminated agreement, established in November, aimed to provide high-speed internet access to 15,000 homes and businesses in Ontario's remote areas. Premier Ford's decision to "rip up" the contract signifies a broader strategy to distance the province from U.S.-based companies amid the current trade dispute. He emphasized, "Ontario won't do business with people hell-bent on destroying our economy."

This move is part of a series of retaliatory measures by Canadian provinces, including Ford's threat to cut electricity exports to the U.S., following President Trump's announcement of a 25% tariff on nearly all Canadian imports, excluding oil, which faces a 10% surcharge. These tariffs, set to take effect imminently, have prompted concerns about potential economic downturns in Canada. In response, Prime Minister Justin Trudeau declared that Canada would impose 25% tariffs on C$155 billion worth of U.S. goods, aiming to exert pressure on the U.S. administration to reconsider its stance.

Premier Ford's actions reflect a broader sentiment of economic nationalism, as he also announced a ban on American companies from provincial contracts until the U.S. tariffs are lifted. He highlighted that Ontario's government and its agencies allocate $30 billion annually on procurement, and reiterated his earlier vow to fire the Hydro One CEO and board as part of broader reforms aimed at efficiency.

The cancellation of the Starlink contract raises concerns about the future of internet connectivity in Ontario's rural regions. The original deal with Starlink was seen as a significant step toward bridging the digital divide, offering high-speed internet to underserved communities. With the contract's termination, the province faces the challenge of identifying alternative solutions to fulfill this critical need.

Beyond the immediate implications of the Starlink contract cancellation, Ontario is confronting broader challenges in ensuring the resilience and independence of its energy infrastructure. The province's reliance on external entities for critical services, such as internet connectivity and energy, has come under scrutiny, as Canada's electricity exports are at risk amid ongoing trade tensions and policy uncertainty.

Premier Ford has expressed a commitment to expanding Ontario's capacity to generate nuclear power as a means to bolster energy self-sufficiency. While this strategy aims to reduce dependence on external energy sources, it presents its own set of challenges that critics argue require cleaning up Ontario's hydro mess before new commitments proceed. Developing nuclear infrastructure requires substantial investment, rigorous safety protocols, and long-term planning. Moreover, the integration of nuclear power into the province's energy mix necessitates careful consideration of environmental impacts and public acceptance.

The concept of "Trump-proofing" Ontario's electricity grid involves creating a robust and self-reliant energy system capable of withstanding external political and economic pressures. Achieving this goal entails diversifying energy sources, including building on Ontario's electricity deal with Quebec to strengthen interties, investing in renewable energy technologies, and enhancing grid infrastructure to ensure stability and resilience.

However, the path to energy independence is fraught with complexities. Balancing the immediate need for reliable energy with long-term sustainability goals requires nuanced policy decisions, including Ontario's Supreme Court challenge to the global adjustment fee and related regulatory reviews to clarify cost impacts. Additionally, fostering collaboration between government entities, private sector stakeholders, and the public is essential to navigate the multifaceted challenges associated with overhauling the province's energy framework.

Ontario's recent actions, including the cancellation of the Starlink contract, underscore the province's proactive stance in safeguarding its economic and infrastructural interests amid evolving geopolitical dynamics. While such measures reflect a commitment to self-reliance, they also highlight the intricate challenges inherent in reducing dependence on external entities. As Ontario charts its course toward a more autonomous future, strategic planning, investment in sustainable technologies, and collaborative policymaking will be pivotal in achieving long-term resilience and prosperity.

 

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