Premier defends new green fee on energy bill

US SF6 Emissions Decline as NOAA analysis and EPA mitigation show progress, with atmospheric measurements and Greenhouse Gas Reporting verifying reductions from the electric power grid; sulfur hexafluoride's extreme global warming potential underscores inventory improvements.

Key Points

A documented drop in US sulfur hexafluoride emissions, confirmed by NOAA atmospheric data and EPA reporting reforms.

✅ NOAA towers and aircraft show 2007-2018 decline

✅ EPA reporting and utility mitigation narrowed inventory gaps

✅ Winter leaks and servicing signal further reduction options

A new NOAA analysis shows U.S. emissions of the super-potent greenhouse gas sulfur hexafluoride (SF6) have declined between 2007-2018, likely due to successful mitigation efforts by the Environmental Protection Agency (EPA) and the electric power industry, with attention to SF6 in the power industry across global markets. 

At the same time, significant disparities that existed previously between NOAA’s estimates, which are based on atmospheric measurements, and EPA’s estimates, which are based on a combination of reported emissions and industrial activity, have narrowed following the establishment of the EPA's Greenhouse Gas Reporting Program. The findings, published in the journal Atmospheric Chemistry and Physics, also suggest how additional emissions reductions might be achieved. 

SF6 is most commonly used as an electrical insulator in high-voltage equipment that transmits and distributes electricity, and its emissions have been increasing worldwide as electric power systems expand, even as regions hit milestones like California clean energy surpluses in recent years. Smaller amounts of SF6 are used in semiconductor manufacturing and in magnesium production. 

SF6 traps 25,000 times more heat than carbon dioxide over a 100-year time scale for equal amounts of emissions, and while CO2 emissions flatlined in 2019 globally, that comparison underscores the potency of SF6. That means a relatively small amount of the gas can have a significant impact on climate warming. Because of its extremely large global warming potential and long atmospheric lifetime, SF6 emissions will influence Earth’s climate for thousands of years.

In this study, researchers from NOAA’s Global Monitoring Laboratory, as record greenhouse gas concentrations drive demand for better data, working with colleagues at EPA, CIRES, and the University of Maryland, estimated U.S. SF6 emissions for the first time from atmospheric measurements collected at a network of tall towers and aircraft in NOAA’s Global Greenhouse Gas Reference Network. The researchers provided an estimate of SF6 emissions independent from the EPA’s estimate, which is based on reported SF6 emissions for some industrial facilities and on estimated SF6 emissions for others.

“We observed differences between our atmospheric estimates and the EPA’s activity-based estimates,” said study lead author Lei Hu, a Global Monitoring Laboratory researcher who was a CIRES scientist at the time of the study. “But by closely collaborating with the EPA, we were able to identify processes potentially responsible for a significant portion of this difference, highlighting ways to improve emission inventories and suggesting additional emission mitigation opportunities, such as forthcoming EPA carbon capture rules for power plants, in the future.” 

In the 1990s, the EPA launched voluntary partnerships with the electric power, where power-sector carbon emissions are falling as generation shifts, magnesium, and semiconductor industries to reduce SF6 emissions after the United States recognized that its emissions were significant. In 2011, large SF6 -emitting facilities were required to begin tracking and reporting their emissions under the EPA Greenhouse Gas Reporting Program. 

Hu and her colleagues documented a decline of about 60 percent in U.S. SF6 emissions between 2007-2018, amid global declines in coal-fired power in some years—equivalent to a reduction of between 6 and 20 million metric tons of CO2 emissions during that time period—likely due in part to the voluntary emission reduction partnerships and the EPA reporting requirement. A more modest declining trend has also been reported in the EPA’s national inventories submitted annually under the United Nations Framework Convention on Climate Change. 

Examining the differences between the NOAA and EPA independent estimates, the researchers found that the EPA’s past inventory analyses likely underestimated SF6 emissions from electrical power transmission and distribution facilities, and from a single SF6 production plant in Illinois. According to Hu, the research collaboration has likely improved the accuracy of the EPA inventories. The 2023 draft of the EPA’s U.S. Greenhouse Gas Emissions and Sinks: 1990-2021 used the results of this study to support revisions to its estimates of SF6 emissions from electrical transmission and distribution. 

The collaboration may also lead to improvements in the atmosphere-based estimates, helping NOAA identify how to expand or rework its network to better capture emitting industries or areas with significant emissions, according to Steve Montzka, senior scientist at GML and one of the paper’s authors.

Hu and her colleagues also found a seasonal variation in SF6 emissions from the atmosphere-based analysis, with higher emissions in winter than in summer. Industry representatives identified increased servicing of electrical power equipment in the southern states and leakage from aging brittle sealing materials in the equipment in northern states during winter as likely explanations for the enhanced wintertime emissions—findings that suggest opportunities for further emissions reductions.

“This is a great example of the future of greenhouse gas emission tracking, where inventory compilers and atmospheric scientists work together to better understand emissions and shed light on ways to further reduce them,” said Montzka.

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Barakah Unit 4 Cold Hydrostatic Testing validates reactor coolant system integrity at the Barakah Nuclear Energy Plant in Abu Dhabi, UAE, confirming safety, quality, and commissioning readiness under ENEC and KEPCO oversight.

Key Points

Pressure test of Unit 4's reactor coolant system, confirming integrity and safety for commissioning at Barakah.

✅ 25% above normal operating pressure verified.

✅ Welds, joints, and high-pressure components inspected.

✅ Supports safe, reliable, emissions-free baseload power.

The Emirates Nuclear Energy Corporation (ENEC) has successfully completed Cold Hydrostatic Testing (CHT) at Unit 4 of the Barakah Nuclear Energy Plant, the Arab world’s first nuclear energy plant being built in the Al Dhafra region of Abu Dhabi, UAE. The testing incorporated the lessons learned from the previous three units and is a crucial step towards the completion of Unit 4, the final unit of the Barakah plant.

As a part of CHT, the pressure inside Unit 4’s systems was increased to 25 per cent above what will be the normal operating pressure, demonstrating, as seen across global nuclear projects, the quality and robust nature of the Unit’s construction. Prior to the commencement of CHT, Unit 4’s Nuclear Steam Supply Systems were flushed with demineralised water, and the Reactor Pressure Vessel Head and Reactor Coolant Pump Seals were installed. During the Cold Hydrostatic Testing, the welds, joints, pipes and components of the reactor coolant system and associated high-pressure systems were verified.

Mohammed Al Hammadi, Chief Executive Officer of ENEC said: “I am proud of the continued progress being made at Barakah despite the circumstances we have all faced in relation to COVID-19. The UAE leadership’s decisive and proactive response to the pandemic supported us in taking timely, safety-led actions to protect the health and safety of our workforce and our plant. These actions, alongside the efforts of our talented and dedicated workforce, have enabled the successful completion of CHT at Unit 4, which was completed in adherence to the highest standards of safety, quality, and security.

“With this accomplishment, we move another step closer to achieving our goal of supplying up to a quarter of our nation’s electricity needs through the national grid and powering its future growth with safe, reliable, and emissions-free electricity,” he added.

By the end of 2019, ENEC and Korea Electric Power Corporation (KEPCO), working with Korea Hydro & Nuclear Power (KHNP) on the project, had successfully completed all major construction work including major concrete pouring, installation of the Turbine Generator, and the internal components of the Reactor Pressure Vessel (RPV) of Unit 4, which paved the way for the commencement of testing and commissioning.

The testing at Unit 4 represents a significant achievement in the development of the UAE Peaceful Nuclear Energy Program, following the successful completion of fuel assembly loading into Unit 1 in March 2020, confirming that the UAE has officially become a peaceful nuclear energy operating nation. Preparations are now in the final stages for the safe start-up of Unit 1, which subsequently reached 100% power ahead of commercial operations, in the coming months.

ENEC is currently in the final stages of construction of units 2, 3 and 4 of the Barakah Nuclear Energy Plant, as China’s nuclear program continues its steady development globally. The overall construction of the four units is more than 94% complete. Unit 4 is more than 84 per cent, Unit 3 is more than 92 per cent and Unit 2 is more than 95 per cent. The four units at Barakah will generate up to 25 per cent of the UAE’s electricity demand by producing 5,600 MW of clean baseload electricity, as projects such as new reactors in Georgia take shape, and preventing the release of 21 million tons of carbon emissions each year – the equivalent of removing 3.2 million cars off the roads annually.

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EIA U.S. Power Outlook 2023-2024 forecasts lower electricity demand, softer wholesale prices, and faster renewable growth from solar and wind, with steady natural gas, reduced coal generation, slight nuclear gains, and ERCOT market moderation.

Key Points

An EIA forecast of a 2023 demand dip, 2024 rebound, lower prices, and a higher renewable share in the U.S. power mix.

✅ Demand dips to 4,000 billion kWh in 2023; rebounds in 2024.

✅ ERCOT on-peak prices average about $35/MWh versus $80/MWh in 2022.

✅ Renewables grow to 24% share; coal falls to 17%; nuclear edges up.

U.S. power consumption is expected to slip about 1% in 2023 from the previous year as milder weather slows usage from the record high hit in 2022, consistent with recent U.S. consumption trends observed over the past several years, the U.S. Energy Information Administration (EIA) said in its Short-Term Energy Outlook (STEO).

EIA projected that electricity demand is on track to slide to 4,000 billion kilowatt-hours (kWh) in 2023 from a historic high of 4,048 billion kilowatt-hours (kWh) in 2022, reflecting patterns seen during COVID-19 demand shifts in prior years, before rising to 4,062 billion kWh in 2024 as economic growth ramps up.

Less demand coupled with more electricity generation from cheap renewable power sources and lower natural gas prices is forecast to slash wholesale power prices this year, the EIA said.

The on-peak wholesale price at the North hub in Texas’ ERCOT power market is expected to average about $35 per megawatt-hour (MWh) in 2023 compared with an average of nearly $80/MWh in 2022 after the 2022 price surge in power markets.

As capacity for renewables like solar and wind ramp up and as natural gas prices ease amid the broader energy crisis pressures, the EIA said it expects coal-fired power generation to be 17% less in the spring of 2023 than in the spring of 2022.

Coal will provide an average of 17% of total U.S. generation this year, down from 20% last year, as utilities shift investments toward electricity delivery and away from new power production, the EIA said.

The share of total generation supplied by natural gas is seen remaining at about the same this year at 39%. The nuclear share of generation is seen rising slightly to 20% this year from 19% in 2022. Generation from renewable energy sources grows the most in the forecast, increasing to 24% this year from a share of 22% last year, even as residential electricity bills rose in 2022 across the U.S.

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Germany Industrial Electricity Price Subsidy weighs subsidies for energy-intensive industries to bolster competitiveness as Germany shifts to renewables, expands grid capacity, and debates free-market tax cuts versus targeted relief and long-term policies.

Key Points

Policy to subsidize power for energy-intensive industry, preserving competitiveness during the energy transition.

✅ SPD backs 5-7 cents per kWh for 10-15 years

✅ FDP prefers tax cuts and free-market pricing

✅ Scholz urges cheap renewables and grid expansion first

Germany’s three-party coalition is debating whether electricity prices for energy-intensive industries should be subsidised in a market where rolling back European electricity prices can be tougher than it appears, to prevent companies from moving production abroad.

Calls to reduce the electricity bill for big industrial producers are being made by leading politicians, who, like others in Germany, fear the country could lose its position as an industrial powerhouse as it gradually shifts away from fossil fuel-based production, amid historic low energy demand and economic stagnation concerns.

“It is in the interest of all of us that this strong industry, which we undoubtedly have in Germany, is preserved,” Lars Klingbeil, head of Germany’s leading government party SPD (S&D), told Bayrischer Rundfunk on Wednesday.

To achieve this, Klingbeil is advocating a reduced electricity price for the industry of about 5 to 7 cents per Kilowatt hour, which the federal government would subsidise. This should be introduced within the next year and last for about 10 to 15 years, he said.

Under the current support scheme, which was financed as part of the €200 billion “rescue shield” against the energy crisis, energy-intensive industries already pay 13 cents per Kilowatt hour (KWh) for 70% of their previous electricity needs, which is substantially lower than the 30 to 40 cents per KWh that private consumers pay.

“We see that the Americans, for example, are spending $450 billion on the Inflation Reduction Act, and we see what China is doing in terms of economic policy,” Klingbeil said.

“If we find out in 10 years that we have let all the large industrial companies slip away because the investments are not being made here in Germany or Europe, and jobs and prosperity and growth are being lost here, then we will lose as a country,” he added.

However, not everyone in the German coalition favours subsidising electricity prices.

Finance Minister Christian Lindner of the liberal FDP (Renew), for example, has argued against such a step, instead promoting free-market principles and, amid rising household energy costs, reducing taxes on electricity for all.

“Privileging industrial companies would only be feasible at the expense of other electricity consumers and taxpayers, for example, private households or the small trade sector,” Lindner wrote in an op-ed for Handelsblatt on Tuesday.

“Increasing competitiveness for some would mean a loss of competitiveness for others,” he added.

Chancellor Olaf Scholz, himself a member of SPD, was more careful with his words, amid ongoing EU electricity reform debates in Brussels.

Asked about a subsidised electricity price for the industry at a town hall event on Monday, Scholz said he does not “want to make any promises now”.

“First of all, we have to make sure that we have cheap electricity in Germany in the first place,” Scholz said, promoting the expansion of renewable energy such as wind and solar, as local utilities cry for help, as well as more electricity grid infrastructure.

“What we will not be able to do as an economy, even as France’s new electricity pricing scheme advances, is to subsidise everything that takes place in normal economic activity,” Scholz said. “We should not get into the habit of doing that,” he added.

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U.S. Data Center Power Demand is straining electric utilities and grid reliability as AI, cloud computing, and streaming surge, driving transmission and generation upgrades, demand response, and renewable energy sourcing amid rising electricity costs.

Key Points

The rising electricity load from U.S. data centers, affecting utilities, grid capacity, and energy prices.

✅ AI, cloud, and streaming spur hyperscale compute loads

✅ Grid upgrades: transmission, generation, and substations

✅ Demand response, efficiency, and renewables mitigate strain

U.S. electric utilities are facing a significant new challenge as the explosive growth of data centers puts unprecedented strain on power grids across the nation. According to a new report from Reuters, data centers' power demands are expected to increase dramatically over the next few years, raising concerns about grid reliability and potential increases in electricity costs for businesses and consumers.

What's Driving the Data Center Surge?

The explosion in data centers is being fueled by several factors, with grid edge trends offering early context for these shifts:

• Cloud Computing: The rise of cloud computing services, where businesses and individuals store and process data on remote servers, significantly increases demand for data centers.
• Artificial Intelligence (AI): Data-hungry AI applications and machine learning algorithms are driving a massive need for computing power, accelerating the growth of data centers.
• Streaming and Video Content: The growth of streaming platforms and high-definition video content requires vast amounts of data storage and processing, further boosting demand for data centers.

Challenges for Utilities

Data centers are notorious energy hogs. Their need for a constant, reliable supply of electricity places  heavy demand on the grid, making integrating AI data centers a complex planning challenge, often in regions where power infrastructure wasn't designed for such large loads. Utilities must invest significantly in transmission and generation capacity upgrades to meet the demand while ensuring grid stability.

Some experts warn that the growth of data centers could lead to brownouts or outages, as a U.S. blackout study underscores ongoing risks, especially during peak demand periods in areas where the grid is already strained. Increased electricity demand could also lead to price hikes, with utilities potentially passing the additional costs onto consumers and businesses.

Sustainable Solutions Needed

Utility companies, governments, and the data center industry are scrambling to find sustainable solutions, including using AI to manage demand initiatives across utilities, to mitigate these challenges:

• Energy Efficiency: Data center operators are investing in new cooling and energy management solutions to improve energy efficiency. Some are even exploring renewable energy sources like onsite solar and wind power.
• Strategic Placement: Authorities are encouraging the development of data centers in areas with abundant renewable energy and access to existing grid infrastructure. This minimizes the need for expensive new transmission lines.
• Demand Flexibility: Utility companies are experimenting with programs as part of a move toward a digital grid architecture to incentivize data centers to reduce their power consumption during peak demand periods, which could help mitigate power strain.

The Future of the Grid

The rapid growth of data centers exemplifies the significant challenges facing the aging U.S. electrical grid, with a recent grid report card highlighting dangerous vulnerabilities. It highlights the need for a modernized power infrastructure, capable of accommodating increasing demand spurred by new technologies while addressing climate change impacts that threaten reliability and affordability.  The question for utilities, as well as data center operators, is how to balance the increasing need for computing power with the imperative of a sustainable and reliable energy future.

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EV Decarbonization Strategy weighs life-cycle emissions and climate targets, highlighting mode shift to public transit, cycling, and walking, grid decarbonization, renewable energy, and charging infrastructure to cut greenhouse gases while reducing private car dependence.

Key Points

A plan to cut transport emissions by pairing EV adoption with mode shift, clean power, and less private car use.

✅ Prioritize mode shift: transit, cycling, and walking.

✅ Electrify remaining vehicles with clean, renewable power.

✅ Expand charging, improve batteries, and manage critical minerals.

California recently announced that it plans to ban the sales of gas-powered vehicles by 2035, a move similar to a 2035 electric vehicle mandate seen elsewhere, Ontario has invested $500 million in the production of electric vehicles (EVs) and Tesla is quickly becoming the world's highest-valued car company.

It almost seems like owning an electric vehicle is a silver bullet in the fight against climate change, but it isn't, as a U of T study explains today. What we should also be focused on is whether anyone should use a private vehicle at all.
 
As a researcher in sustainable mobility, I know this answer is unsatisfying. But this is where my latest research has led.

Battery EVs, such as the Tesla Model 3 - the best selling EV in Canada in 2020 - have no tailpipe emissions. But they do have higher production and manufacturing emissions than conventional vehicles, and often run on electricity that comes from fossil fuels.

Almost 18 per cent of the electricity generated in Canada came from fossil fuels in 2019, and even as Canada's EV goals grow more ambitious today, the grid mix varies from zero in Quebec to 90 per cent in Alberta.
 
Researchers like me compare the greenhouse gas emissions of an alternative vehicle, such as an EV, with those of a conventional vehicle over a vehicle lifetime, an exercise known as a life-cycle assessment. For example, a Tesla Model 3 compared with a Toyota Corolla can provide up to 75 per cent reduction in greenhouse gases emitted per kilometre travelled in Quebec, but no reductions in Alberta.

Hundreds of millions of new cars

To avoid extreme and irreversible impacts on ecosystems, communities and the overall global economy, we must keep the increase in global average temperatures to less than 2 C - and ideally 1.5 C - above pre-industrial levels by the year 2100.

We can translate these climate change targets into actionable plans. First, we estimate greenhouse gas emissions budgets using energy and climate models for each sector of the economy and for each country. Then we simulate future emissions, taking alternative technologies into account, as well as future potential economic and societal developments.

I looked at the U.S. passenger vehicle fleet, which adds up to about 260 million vehicles, while noting the potential for Canada-U.S. collaboration in this transition, to answer a simple question: Could the greenhouse gas emissions from the sector be brought in line with climate targets by replacing gasoline-powered vehicles with EVs?

The results were shocking. Assuming no changes to travel behaviours and a decarbonization of 80 per cent of electricity, meeting a 2 C target could require up to 300 million EVs, or 90 per cent of the projected U.S. fleet, by 2050. That would require all new purchased vehicles to be electric from 2035 onwards.

To put that into perspective, there are currently 880,000 EVs in the U.S., or 0.3 per cent of the fleet. Even the most optimistic projections, despite hype about an electric-car revolution gaining steam, from the International Energy Agency suggest that the U.S. fleet will only be at about 50 per cent electrified by 2050.

Massive and rapid electrification

Still, 90 per cent is theoretically possible, isn't it? Probably, but is it desirable?

In order to hit that target, we'd need to very rapidly overcome all the challenges associated with EV adoption, such as range anxiety, the higher purchase cost and availability of charging infrastructure.
 
A rapid pace of electrification would severely challenge the electricity infrastructure and the supply chain of many critical materials for the batteries, such as lithium, manganese and cobalt. It would require vast capacity of renewable energy sources and transmission lines, widespread charging infrastructure, a co-ordination between two historically distinct sectors (electricity and transportation systems) and rapid innovations in electric battery technologies. I am not saying it's impossible, but I believe it's unlikely.

Read more: There aren't enough batteries to electrify all cars - focus on trucks and buses instead

So what? Shall we give up, accept our collective fate and stop our efforts at electrification?

On the contrary, I think we should re-examine our priorities and dare to ask an even more critical question: Do we need that many vehicles on the road?

Buses, trains and bikes

Simply put, there are three ways to reduce greenhouse gas emissions from passenger transport: avoid the need to travel, shift the transportation modes or improve the technologies. EVs only tackle one side of the problem, the technological one.

And while EVs do decrease emissions compared with conventional vehicles, we should be comparing them to buses, including leading electric bus fleets in North America, trains and bikes. When we do, their potential to reduce greenhouse gas emissions disappears because of their life cycle emissions and the limited number of people they carry at one time.

If we truly want to solve our climate problems, we need to deploy EVs along with other measures, such as public transit and active mobility. This fact is critical, especially given the recent decreases in public transit ridership in the U.S., mostly due to increasing vehicle ownership, low gasoline prices and the advent of ride-hailing (Uber, Lyft)

Governments need to massively invest in public transit, cycling and walking infrastructure to make them larger, safer and more reliable, rather than expanding EV subsidies alone. And we need to reassess our transportation needs and priorities.

The road to decarbonization is long and winding. But if we are willing to get out of our cars and take a shortcut through the forest, we might get there a lot faster.

Author: Alexandre Milovanoff - Postdoctoral Researcher, Environmental Engineering, University of Toronto 

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