U.S., Canada to mandate use of carbon capture

BC Hydro Cryptocurrency Mining Suspension pauses new grid connections for Bitcoin data centers, preserving electricity for EVs, heat pumps, and industry electrification, as Site C capacity and megawatt demand trigger provincial energy policy review.

Key Points

An 18-month pause on new crypto-mining grid hookups to preserve electricity for EVs, heat pumps, and electrification.

✅ 18-month moratorium on new BC Hydro crypto connections

✅ Preserves capacity for EVs, heat pumps, and industry

✅ 21 pending mines sought 1,403 MW; Site C adds 1,100 MW

New cryptocurrency mining businesses in British Columbia are now temporarily banned from being hooked up to BC Hydro’s electrical grid.

The 18-month suspension on new electricity-connection requests is intended to provide the electrical utility and provincial government with the time needed, a move similar to N.B. Power's pause during a crypto review, to create a permanent framework for any future additional cryptocurrency mining operations.

Currently, BC Hydro already provides electricity to seven cryptocurrency mining operations, and six more are in advanced stages of being connected to the grid, with a combined total power consumption of 273 megawatts. These existing operations, unlike the Siwash Creek project now in limbo, will not be affected by the temporary ban.

The electrical utility’s suspension comes at a time when there are 21 applications to open cryptocurrency mining businesses in BC, even as electricity imports supplement the grid during peaks, which would have a combined total power consumption of 1,403 megawatts — equivalent to the electricity needed for 570,000 homes or 2.3 million battery-electric vehicles annually.

In fact, the 21 cryptocurrency mining businesses would completely wipe out the new electrical capacity gained by building the $16 billion Site C hydroelectric dam, alongside two newly commissioned stations that add supply, which has an output capacity of 1,100 megawatts or enough power for the equivalent of 450,000 homes. Site C is expected to be operational by 2025.

Cryptocurrency mining, such as Bitcoin, use a very substantial amount of electricity to operate high-powered computers around the clock, which perform complex cryptographic and math problems to verify transactions. High electricity needs are the result of not only to run the racks of computers, but to provide extreme cooling given the significant heat produced.

“We are suspending electricity connection requests from cryptocurrency mining operators to preserve our electricity supply for people who are switching to electric vehicles, amid BC Hydro's first call for power in 15 years, and heat pumps, and for businesses and industries that are undertaking electrification projects that reduce carbon emissions and generate jobs and economic opportunities,” said Josie Osborne, the BC minister of energy, mines and low carbon innovation, adding that cryptocurrency mining creates very few jobs for the local economy.

Such businesses are attracted to BC due to the availability of its clean, plentiful, and cheap hydroelectricity, which LNG companies continue to seek for their operations as well.

If left unchecked, the provincial government suggests BC Hydro’s long-term electrical capacity could be wiped out by cryptocurrency mining operations, even as debates over going nuclear persist among residents across the province.

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U.S. Grid Modernization is critical for renewable energy integration, EV adoption, climate resilience, and reliability, requiring transmission upgrades, inter-regional links, hardened substations, and smart grid investments to handle extreme weather and decarbonization targets.

Key Points

U.S. Grid Modernization upgrades power networks to improve reliability, integrate renewables, and support EV demand.

✅ $2T+ investment needed for transmission upgrades

✅ Extreme weather doubling outages since 2017

✅ Regulatory fragmentation slows inter-regional lines

After decades of struggle, the U.S. clean-energy business is booming, with soaring electric-car sales and fast growth in wind and solar power. That’s raising hopes for the fight against climate change.

All this progress, however, could be derailed, as the green revolution stalls without a massive overhaul of America’s antiquated electric infrastructure – a task some industry experts say requires more than $2 trillion. The current network of transmission wires, substations and transformers is decaying with age and underinvestment, a condition highlighted by catastrophic failures during increasingly frequent and severe weather events.

Power outages over the last six years have more than doubled in number compared to the previous six years, according to a Reuters examination of federal data. In the past two years, power systems have collapsed in Gulf Coast hurricanes, West Coast wildfires, Midwest heat waves and a Texas deep freeze and recurring Texas grid crisis risks, causing long and sometimes deadly outages.

Compounding the problem, the seven regional grid operators in the United States are underestimating the growing threat of severe weather caused by climate change, Reuters found in a review of more than 10,000 pages of regulatory documents and operators’ public disclosures. Their risk models, used to guide transmission-network investments, consider historical weather patterns extending as far back as the 1970s. None account for scientific research documenting today’s more extreme weather and how it can disrupt grid generation, transmission and fuel supplies simultaneously.

The decrepit power infrastructure of the world’s largest economy is among the biggest obstacles to expanding clean energy and combating climate change on the ambitious schedule laid out by U.S. President Joe Biden. His administration promises to eliminate or offset carbon emissions from the power sector by 2035 and from the entire U.S. economy by 2050. Such rapid clean-energy growth would pressure the nation’s grid in two ways: Widespread EV adoption will spark a huge surge in power demand; and increasing dependence on renewable power creates reliability problems on days with less sun or wind, as seen in Texas, where experts have outlined reliability improvements that address these challenges.

The U.S. transmission network has seen outages double in recent years amid more frequent and severe weather events, driven by climate change and a utility supply-chain crunch that slows critical repairs. The system needs a massive upgrade to handle expected growth in clean energy and electric cars. 

“Competition from renewables is being strangled without adequate and necessary upgrades to the transmission network,” said Simon Mahan, executive director of the Southern Renewable Energy Association, which represents solar and wind companies.

The federal government, however, lacks the authority to push through the massive grid expansion and modernization needed to withstand wilder weather and accommodate EVs and renewable power. Under the current regulatory regime, and amid contentious electricity pricing proposals in recent years, the needed infrastructure investments are instead controlled by a Byzantine web of local, state and regional regulators who have strong political incentives to hold down spending, according to Reuters interviews with grid operators, federal and state regulators, and executives from utilities and construction firms.

“Competition from renewables is being strangled without adequate and necessary upgrades to the transmission network.”

Paying for major grid upgrades would require these regulators to sign off on rate increases likely to spark strong opposition from consumers and local and state politicians, who are keen to keep utility bills low. In addition, utility companies often fight investments in transmission-network improvements because they can result in new connections to other regional grids that could allow rival companies to compete on their turf, even as coal and nuclear disruptions raise brownout risks in some regions. With the advance of green energy, those inter-regional connections will become ever more essential to move power from far-flung solar and wind installations to population centers.

The power-sharing among states and regions with often conflicting interests makes it extremely challenging to coordinate any national strategy to modernize the grid, said Alison Silverstein, an independent industry consultant and former senior adviser to the U.S. Federal Energy Regulatory Commission (FERC).

“The politics are a freakin’ nightmare,” she said.

The FERC declined to comment for this story. FERC Commissioner Mark Christie, a Republican, acknowledged the limitations of the agency’s power over the U.S. grid in an April 21 agency meeting involving transmission planning and costs.

“We can’t force states to do anything,” Christie said.

The White House and Energy Department did not comment in response to detailed questions from Reuters on the Biden administration’s plans to tackle U.S. grid problems and their impact on green-energy expansion.

The administration said in an April news release that it plans to offer $2.5 billion in grants for grid-modernization projects as part of Biden’s $1 trillion infrastructure package, complementing a proposed clean electricity standard to accelerate decarbonization over the next decade. A modernized grid, the release said, is the “linchpin” of Biden’s clean-energy agenda.

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Alberta Electricity Market Reform reshapes policy under the UCP, weighing a capacity market versus energy-only design, AESO reliability rules, renewables targets, coal phase-out, carbon pricing, consumer rates, and investment certainty before AUC decisions.

Key Points

Alberta Electricity Market Reform is the UCP plan to reassess capacity vs energy-only, renewables, and carbon pricing.

✅ Reviews capacity market timeline and AESO procurement

✅ Alters subsidies for renewables; slows wind and solar growth

✅ Adjusts industrial carbon levy; audits Balancing Pool losses

Hearings kicked off this week into the future of the province’s electricity market design, amid an electricity market reshuffle pledged by the province, but a high-stakes decision about the industry’s fate — affecting billions of dollars in investment and consumer costs — won’t be made inside the meeting room of the Alberta Utilities Commission.

Instead, it will take place in the office of Jason Kenney, as the incoming premier prepares to pivot away from the seismic reforms to Alberta’s electricity sector introduced by the Notley government.

The United Conservative Party has promised to adopt market-based policies, reflecting changes to how Alberta produces and pays for power, that will reset how the sector operates, from its approach to renewable energy and carbon pricing to re-evaluating the planned transition to an electricity “capacity market.”

“Every ball in electricity is up in the air right now,” Vittoria Bellissimo, of the Industrial Power Consumers Association of Alberta, said Tuesday during a break in the commission hearings.

Industry players are uncertain how quickly the UCP will change direction on power policies, but there’s little doubt Kenney’s government will take a strikingly different approach to the sector that keeps the lights on in Alberta.

“There’s some things they are going to change that are going to impact the electricity industry significantly,” said Duane Reid-Carlson, chief executive of consultancy EDC Associates.

“But I don’t think it’s going to be upheaval. I think the new government will proceed with caution because electricity is the foundation of our economy.”

Alberta’s electricity market has been turned on its head in recent years due to the recession, power prices dropping to near two-decade lows and several transformative policies initiated by the NDP.

The Notley government’s climate plan included an accelerated phase-out of all coal-fired generation and set targets for more renewable energy.

The most significant, but least-understood, move has been the planned shift to an electricity capacity market in 2021.

Under the strategy, generators will no longer solely be paid for the power produced and sold into the market; they will also receive payments for having electricity capacity available to the grid on demand.

The change was recommended by the Alberta Electric System Operator (AESO) as a way to reduce price volatility and provide more reliability than the current energy-only market, which some argue needs more competition to deliver better outcomes.

The independent system operator and industry officials have spent more than two years planning the transition since the switch was announced in late 2016. Proposed rules for the new system, outlining market changes, are now being discussed at the Alberta Utilities Commission hearings.

However, there is no ironclad guarantee the system remake will go ahead following the UCP’s election victory last week — amid calls to scrap the overhaul from a Calgary retailer — it plans to study the issue further — while other substantive electricity changes are already in store.

The UCP has promised to end “costly subsidies” to renewable energy developments and abandon the NDP’s pledge to have such energy sources make up 30 per cent of all power generation by 2030.

It will remove the planned phase-out of coal-fired electricity generation, although federal regulations for a 2030 prohibition remain in place.

It will also ask the auditor general to conduct a special audit of the massive losses sustained by the province’s Balancing Pool due to power purchase arrangements being handed back to the agency three years ago.

While Kenney has pledged to cancel the provincewide carbon tax, a levy on large industrial greenhouse gas emitters (such has power plants) will still be charged, although at a reduced rate of $20 a tonne.

The biggest unknown remains the power market’s structure, which underpins how the entire system operates.

The UCP has promised to consult on the shift to the capacity market and report back to Albertans within 90 days.

The complex issue may sound like an eye-glazer, but it will have a profound effect on industry investment, as well as how much consumers pay on their monthly electricity bills.

A number of industry players worry the capacity market will lead AESO to procure more power than is necessary, foisting unnecessary costs onto all Albertans.

“I still have concerns for what the impact on consumers is going to be,” said energy market consultant Sheldon Fulton. “I’d love to see the capacity market go away.”

An analysis by EDC Associates found the transition to a capacity market will procure additional electricity before it’s needed, requiring consumers to pay up to 40 per cent more — an extra $1.4 billion — for power in 2021-22 than under the existing market structure.

“I don’t think there’s any prejudged outcome,” said Blake Shaffer, former head trader at TransAlta Corp. and a fellow-in-residence at the C.D. Howe Institute.

“But it really matters about getting this right.”

Evan Bahry, executive director of the Independent Power Producers Society of Alberta, said the fact the UCP’s review was confined to just 90 days is helpful, as it avoids throwing the entire industry into a prolonged period of uncertainty.

As for the greening of Alberta’s power grid, amid growing attention to clean grids and storage, the demise of the NDP’s Renewable Electricity Program will likely slow down the rapid pace of wind and solar development. But it’s unlikely to stop the growth trend as costs continue to fall for such developments.

“Renewables over the last number of years have evolved to the point that they make sense on a subsidy-free basis,” said Dan Balaban, CEO of Greengate Power Corp., which has developed 480 MW of wind power in Alberta and Ontario.

“There is a path to clean electricity ahead.”

Chris Varcoe is a Calgary Herald columnist.

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Houston Power Outage Heatwave intensifies a prolonged blackout, straining the grid and infrastructure resilience; emergency response, cooling centers, and power restoration efforts race to protect vulnerable residents amid extreme temperatures and climate risks.

Key Points

A multi-day blackout and heatwave straining Houston's grid, limiting cooling, and prompting emergency response.

✅ Fourth day without power amid dangerous heat

✅ Grid failures expose infrastructure vulnerabilities

✅ Cooling centers, aid groups support vulnerable residents

Houston is enduring significant frustration and hardship as a power outage stretches into its fourth day amid a sweltering heatwave. The extended blackout has exacerbated the challenges faced by residents in one of the nation’s largest and most dynamic cities, underscoring the critical need for reliable infrastructure and effective emergency response systems.

The power outage began early in the week, coinciding with a severe heatwave that has driven temperatures to dangerous levels. With the city experiencing some of the highest temperatures of the year, the lack of electricity has left residents without essential cooling, contributing to widespread discomfort and health risks. The heatwave has placed an added strain on Houston's already overburdened power grid, which has struggled to cope with the soaring demand for air conditioning and cooling.

The prolonged outage has led to escalating frustration among residents. Many households are grappling with sweltering indoor temperatures, leading to uncomfortable living conditions and concerns about the impact on vulnerable populations, including the elderly, young children, and individuals with pre-existing health conditions. The lack of power has also disrupted daily routines, as morning routine disruptions in London demonstrate, including access to refrigeration for food, which has led to spoilage and further complications.

Emergency services and utility companies have been working around the clock to restore power, but progress has been slow, echoing how Texas utilities struggled to restore power during Hurricane Harvey, as crews contended with access constraints. The complexity of the situation, combined with the high demand for repairs and the challenging weather conditions, has made it difficult to address the widespread outages efficiently. As the days pass, the situation has become increasingly dire, with residents growing more impatient and anxious about when they might see a resolution.

Local officials and utility providers have been actively communicating with the public, providing updates on the status of repairs and efforts to restore power. However, the communication has not always been timely or clear, leading to further frustration among those affected. The sense of uncertainty and lack of reliable information has compounded the difficulties faced by residents, who are left to manage the impacts of the outage with limited guidance.

The situation has also raised questions about the resilience of Houston’s power infrastructure. The outage has highlighted vulnerabilities in the city's energy grid, similar to how a recent windstorm caused significant outages elsewhere, which has faced previous challenges but has not experienced an extended failure of this magnitude in recent years. The inability of the grid to withstand the extreme heat and maintain service during a critical time underscores the need for infrastructure improvements and upgrades to better handle similar situations in the future.

In response to the crisis, community organizations and local businesses have stepped up to provide support to those in need, much like Toronto's cleanup after severe flooding mobilized volunteers and services, in order to aid affected residents. Cooling centers have been established to offer relief from the heat, providing a respite for individuals who are struggling to stay cool at home. Additionally, local food banks and charitable organizations are distributing essential supplies to those affected by food spoilage and other challenges caused by the power outage.

The power outage and heatwave have also sparked broader discussions about climate resilience and preparedness. Extreme weather events and prolonged heatwaves are becoming increasingly common due to climate change, as strong winds knocked out power across the Miami Valley recently, raising concerns about how cities and infrastructure systems can adapt to these new realities. The current situation in Houston serves as a stark reminder of the importance of investing in resilient infrastructure and developing comprehensive emergency response plans to mitigate the impacts of such events.

As the outage continues, there is a growing call for improved strategies to manage power grid failures, with examples like the North Seattle outage affecting 13,000 underscoring the need, and better support for residents during crises. Advocates are urging for a reevaluation of emergency response protocols, increased investment in infrastructure upgrades, and enhanced communication systems to ensure that the public receives timely and accurate information during emergencies.

In summary, Houston's power outage, now extending into its fourth day amid extreme heat, has caused significant frustration and hardship for residents. The prolonged disruption has underscored the need for more resilient energy infrastructure, as seen when power outages persisted for hundreds in Toronto, and effective emergency response measures. With temperatures soaring and the situation continuing to unfold, the city faces a critical challenge in restoring power, managing the impacts on its residents, and preparing for future emergencies. The crisis highlights broader issues related to infrastructure resilience and climate adaptation, emphasizing the need for comprehensive strategies to address and mitigate the effects of extreme weather events.

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Egypt-ENI Hydrogen MoU outlines joint feasibility studies for green and blue hydrogen using renewable energy, carbon capture, and CO2 storage, targeting domestic demand, exports, and net-zero goals within Egypt's energy transition.

Key Points

A pact to study green and blue hydrogen in Egypt, leveraging renewables, CO2 storage, and export/demand pathways.

✅ Feasibility study for green and blue hydrogen projects

✅ Uses renewables, SMR, carbon capture, and CO2 storage

✅ Targets local demand, exports, and net-zero alignment

The Egyptian Electricity Holding Company (EEHC) and the Egyptian Natural Gas Holding Company (EGAS) signed a memorandum of understanding (MoU) with the Italian energy giant Eni to assess the technical and commercial feasibility of green and blue hydrogen production projects in Egypt, which many see as central to power companies' future strategies worldwide today.

Under the MoU, a study will be conducted to assess joint projects for the production of green hydrogen using electricity generated from renewable energy and supported by regional electricity interconnections where relevant, and blue hydrogen using the storage of CO2 in depleted natural gas fields, according to a statement by the Ministry of Petroleum on Thursday.

The study will also estimate the potential local market consumption of hydrogen and export opportunities, taking cues from Ontario's hydrogen economy proposal to align electricity rates for growth.

This agreement is part of Eni's objective to achieve zero net emissions by 2050 and Egypt's strategy towards diversifying the energy mix and developing hydrogen projects in collaboration with major international companies, taking note of Italy's green hydrogen initiatives in Sicily as a comparable effort.

It signed the deal with Egyptian Natural Gas Holding (EGAS) and Egyptian Electricity Holding Co. (EEHC).

The companies will carry out a joint study on producing renewable energy powered green hydrogen, informed by electrolyzer investments in similar projects, where applicable. They will also work on blue hydrogen. This involves reforming natural gas and capturing the resulting CO2, in this instance in depleted natural gas fields.

The study will also consider domestic hydrogen use and export options, including funding models like the Hydrogen Innovation Fund now in Ontario.

Eni said the MoU was in line with its plans to eliminate net emissions and emissions cancel emission intensity by 2050. The company noted the agreement was in line with Egypt’s plan for the energy transition, in which it pursues hydrogen plans with major international companies, alongside broader clean-tech collaboration such as Tesla cooperation discussions in Dubai, to accelerate progress.

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Saamis Solar Park advances Medicine Hat's renewable energy strategy, as DP Energy secures AUC approval for North America's largest urban solar, repurposing contaminated land; capacity phased from 325 MW toward an initial 75 MW.

Key Points

A 325 MW solar project in Medicine Hat, Alberta, repurposing contaminated land; phased to 75 MW under city ownership.

✅ City acquisition scales capacity to 75 MW in phased build

✅ AUC approval enables construction and grid integration

✅ Reuses phosphogypsum-impacted land near fertilizer plant

DP Energy, an Irish renewable energy developer, has finalized the sale of the Saamis Solar Park—a 325 megawatt (MW) solar project—to the City of Medicine Hat in Alberta, Canada. This transaction marks the development of North America's largest urban solar initiative, while mirroring other Canadian clean-energy deals such as Canadian Solar project sales that signal market depth.

Project Development and Approval

DP Energy secured development rights for the Saamis Solar Park in 2017 and obtained a development permit in 2021. In 2024, the Alberta Utilities Commission (AUC) granted approval for construction and operation, reflecting Alberta's solar growth trends in recent years, paving the way for the project's advancement.

Strategic Acquisition by Medicine Hat

The City of Medicine Hat's acquisition of the Saamis Solar Park aligns with its commitment to enhancing renewable energy infrastructure. Initially, the project was slated for a 325 MW capacity, which would significantly bolster the city's energy supply. However, the city has proposed scaling the project to a 75 MW capacity, focusing on a phased development approach, and doing so amid challenges with solar expansion in Alberta that influence siting and timing. This adjustment aims to align the project's scale with the city's current energy needs and strategic objectives.

Utilization of Contaminated Land

An innovative aspect of the Saamis Solar Park is its location on a 1,600-acre site previously affected by industrial activity. The land, near Medicine Hat's fertilizer plant, was previously compromised by phosphogypsum—a byproduct of fertilizer production. DP Energy's decision to develop the solar park on this site exemplifies a productive reuse of contaminated land, transforming it into a source of clean energy.

Benefits to Medicine Hat

The development of the Saamis Solar Park is poised to deliver multiple benefits to Medicine Hat:

• Energy Supply Enhancement: The project will augment the city's energy grid, much like municipal solar projects that provide local power, providing a substantial portion of its electricity needs.

• Economic Advantages: The city anticipates financial savings by reducing carbon tax liabilities, as lower-cost solar contracts have shown competitiveness, through the generation of renewable energy.

• Environmental Impact: By investing in renewable energy, Medicine Hat aims to reduce its carbon footprint and contribute to global sustainability efforts.

DP Energy's Ongoing Commitment

Despite the sale, DP Energy maintains a strong presence in Canada, where Indigenous-led generation is expanding, with a diverse portfolio of renewable energy projects, including solar, onshore wind, storage, and offshore wind initiatives. The company continues to focus on sustainable development practices, striving to minimize environmental impact while maximizing energy production efficiency.

The transfer of the Saamis Solar Park to the City of Medicine Hat represents a significant milestone in renewable energy development. It showcases effective land reutilization, strategic urban planning, and a shared commitment to sustainable energy solutions, aligning with federal green electricity procurement that reinforces market demand. This project not only enhances the city's energy infrastructure but also sets a precedent for integrating large-scale renewable energy projects within urban environments.

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