Progress Energy plans paths for new lines

Muskrat Falls funding deal delivers federal relief to Newfoundland and Labrador: Justin Trudeau outlines loan guarantees, transmission investment, Hibernia royalties, and $10-a-day child care to stabilize hydroelectric costs and curb electricity rate hikes.

Key Points

A $5.2b federal plan aiding NL hydro via loan guarantees, transmission funds, and Hibernia royalties to curb power rates.

✅ $1b for transmission and $1b in federal loan guarantees

✅ $3.2b via Hibernia royalty transfers through 2047

✅ Limits power rate hikes; adds $10-a-day child care in NL

Prime Minister Justin Trudeau was in Newfoundland and Labrador Wednesday to announce a $5.2-billion ratepayer protection plan to help the province cover the costs of a troubled hydroelectric project ahead of an expected federal election call.

Trudeau's visit to St. John's, N.L., wrapped up a two-day tour of Atlantic Canada that featured several major funding commitments, and he concluded his day in Newfoundland and Labrador by announcing the province will become the fourth to strike a deal with Ottawa for a $10-a-day child-care program.

As he addressed reporters, the prime minister was flanked by the six Liberal members of Parliament from the province. He alluded to the mismanagement that led the over-budget Muskrat Falls hydroelectric project to become what Liberal Premier Andrew Furey has called an "anchor around the collective souls" of the province.

"The pressures and challenges faced by Newfoundlanders and Labradorians for mistakes made in the past is something that Canadians all needed to step up on, and that's exactly what we did," Trudeau said.

Furey, who joined Trudeau for the two announcements and was effusive in his praise for the federal government, said the federal funding will help Newfoundland and Labrador avoid a spike in electricity rates as customers start paying for Muskrat Falls ahead of when the project begins generating power this November.

"Muskrat Falls has been the No. 1 issue facing Newfoundlanders and Labradorians now for well over a decade," Furey said, adding that he is regularly asked by people whether their electricity rates are going to double, a concern other provinces address through rate legislation in Ontario as well.

"We landed on a deal today that I think -- I know -- is a big deal for Newfoundland and Labrador and will finally get the muskrat off our back," he said.

The agreement-in-principle between the two governments includes a $1-billion investment from Ottawa in a transmission through Quebec portion of the project, as well as $1 billion in loan guarantees. The rest will come from annual transfers from Ottawa equivalent to its annual royalty gains from its share in the Hibernia offshore oilfield, which sits off the coast of St. John's. Those transfers are expected to add up to about $3.2 billion between now and 2047, when the oilfield is expected to run dry.

The money will help cover costs set to come due when the Labrador project comes online, preventing rate increases that would have been needed to pay the bills, and officials have discussed a lump-sum bill credit to help households. Though electricity rates in the province will still rise, to 14.7 cents per kilowatt hour from the current 12.5 cents, that's well below the projected 23 cents that officials had said would be needed to cover the project's costs.

Muskrat Falls was commissioned in 2012 at a cost of $7.4 billion, but its price tag has since ballooned to $13.1 billion. Ottawa previously backed the project with billions of dollars in loan guarantees, and in December, Trudeau announced he had appointed Serge Dupont, former deputy clerk of the Privy Council, to oversee rate mitigation talks with the province about financially restructuring the project.

Its looming impact on the provincial budget is set against an already grim financial situation: the province projected an $826-million deficit in its latest budget, and a recent financial update from the provincial energy corporation reflected pandemic impacts, coupled with $17.2 billion in net debt.

After visiting with children from a daycare centre in the College of the North Atlantic, Trudeau and Furey announced that in 2023, the average cost of regulated child care in the province for children under six would be cut to $10 a day from $25 a day. Trudeau said that within five years, almost 6,000 new daycare spaces would be created in the province.

"As part of the agreement, a new full-day, year-round pre-kindergarten program for four-year-olds will also start rolling out in 2023," the prime minister told reporters. "For parents, this agreement is huge."

Newfoundland and Labrador is the fourth province, after Prince Edward Island, Nova Scotia and British Columbia, to sign on to the federal government's child-care program.

Related News

• Electricity Forum News

• Energy Policy News

BC Hydro COVID-19 Bill Relief provides payment deferrals, no-penalty payment plans, Crisis Fund grants up to $600, and utility bill assistance as customers face pandemic layoffs, social distancing, and increased home power usage.

Key Points

A BC Hydro program offering bill deferrals, no-penalty plans, and up to $600 Crisis Fund grants during COVID-19.

✅ Defer payments or set no-penalty payment plans

✅ Apply for up to $600 Customer Crisis Fund grants

✅ Measures to ensure reliable power and remote customer service

BC Hydro is implementing a program, including bill relief measures, to help people pay their bills if they’re affected by the novel coronavirus.

The Crown corporation says British Columbians are facing a variety of financial pressures related to the COVID-19 pandemic, as some workplaces close or reduce staffing levels and commercial power consumption plummets across the province.

BC Hydro said it also expects increased power usage as more people stay home amid health officials’ requests that people take social distancing measures, even as electricity demand is down 10% provincewide.

Under the new program, customers will be able to defer bill payments or arrange a payment plan with no penalty, though a recent report on deferred operating costs outlines long-term implications for the utility.

BC Hydro says some customers could also be eligible for grants of up to $600 under its Customer Crisis Fund, if facing power disconnection due to job loss, illness or loss of a family member, while in other jurisdictions power bills were cut for households during the pandemic.

The company says it has taken precautions to keep power running by isolating key facilities, including its control centre, and by increasing its cleaning schedule, a priority even as some utilities face burgeoning debt amid COVID-19.

It has also closed its walk-in customer service desks to reduce risk from face-to-face contact and suspended all non-essential business travel, public meetings and site tours, and warned businesses about BC Hydro impersonation scams during this period.

Related News

• Electricity Forum News

• Climate Change News

Cape Town Renewable Energy Plan targets 450+ MW via solar, wind, and battery storage, cutting Eskom reliance, lowering greenhouse gas emissions, stabilizing electricity prices, and boosting grid resilience through municipal procurement, PPAs, and city-owned plants.

Key Points

A municipal plan to procure over 450 MW, cut Eskom reliance, stabilize prices, and reduce Cape Town emissions.

✅ Up to 150 MW from private plants within the city

✅ 300 MW to be purchased from outside Cape Town later

✅ City financing 100-200 MW of its own generation

Cape Town is seeking to secure more than 450 megawatts of power from renewable sources to cut reliance on state power utility Eskom Holdings SOC Ltd., where wind procurement cuts were considered during lockdown, and reduce greenhouse gas emissions.

South Africa’s second-biggest city is looking at a range of options, including geothermal exploration in comparable markets, and expects the bulk of the electricity to be generated from solar plants, Kadri Nassiep, the city’s executive director of energy and climate change, said in an interview.

On July 14 the city of 4.6 million people released a request for information to seek funding to build its own plants. This month or next it will seek proposals for the provision of as much as 150 megawatts from privately owned plants, largely solar additions, to be built and operated within the city, he said. As much as 300 megawatts may also be purchased at a later stage from plants outside of Cape Town, according to Nassiep.

The city could secure finance to build 100 to 200 megawatts of its own generation capacity, Nassiep said. “We realized that it is important for the city to be more in control around the pricing of the power,” he added.

Power Outages

Cape Town’s foray into the securing of power from sources other than Eskom comes after more than a decade of intermittent electricity outages, while elsewhere in Africa coal projects face scrutiny from lenders, because the utility can’t meet national demand. The government last year said municipalities could find alternative suppliers.

Earlier this month Ethekwini, the municipal area that includes the city of Durban, issued a request for information for the provision of 400 megawatts of power, similar to BC Hydro’s call for power driven by EV uptake.

The City of Johannesburg will in September seek information and proposals for the construction of a 150-megawatt solar plant, reflecting moves like Ontario’s new wind and solar procurements to tackle supply gaps, 50 megawatts of rooftop solar panels and the refurbishment of an idle gas-fired plant that could generate 20 megawatts, it said in June. It will also seek information for the installation of 100 megawatts of battery storage.

Cape Town, which uses a peak of 1,800 megawatts of electricity in winter, hopes to start generating some of its own power next year, aligning with SaskPower’s 2030 renewables plan seen in Canada, according to a statement that accompanied its request for financing proposals.
 

Related News

• Electricity Forum News

• Power Generation News

B.C. EV Charging Rebates boost CleanBC incentives as NRCan and ZEVIP funding covers up to 75% of Level 2 and DC fast-charger purchase and installation costs for homes, workplaces, condos, apartments, and fleet operators.

Key Points

Incentives in B.C. cover up to 75% of Level 2 and DC fast charger costs for homes, workplaces, and fleets.

✅ Up to 75% back; Level 2 max $5,000; DC fast max $75,000 for fleets.

✅ Eligible sites: homes, workplaces, condos, apartments, fleet depots.

✅ Funded by CleanBC with NRCan ZEVIP; time-limited top-up.

The Province and Natural Resources Canada (NRCan) are making it more affordable for people to install electric vehicle (EV) charging stations in their homes, businesses and communities, as EV demand ramps up across the province.

B.C. residents, businesses and municipalities can receive higher rebates for EV charging stations through the CleanBC Go Electric EV Charger Rebate and Fleets programs. For a limited time, funding will cover as much as 75% of eligible purchase and installation costs for EV charging stations, which is an increase from the previous 50% coverage.

“With electric vehicles representing 13% of all new light-duty vehicles sold in B.C. last year, our province has the strongest adoption rate of electric vehicles in Canada. We’re positioning ourselves to become leaders in the EV industry,” said Bruce Ralston, B.C.’s Minister of Energy, Mines and Low Carbon Innovation. “We’re working with our federal partners to increase rebates for home, workplace and fleet charging, and making it easier and more affordable for people to make the switch to electric vehicles.”

With a $2-million investment through NRCan’s Zero-Emission Vehicle Infrastructure Program (ZEVIP) to top up the Province’s EV Charger Rebate program, workplaces, condominiums and apartments can get a rebate for a Level 2 charging station for as much as 75% of purchase and installation costs to a maximum of $5,000. As many as 360 EV chargers will be installed through the program.

“We’re making electric vehicles more affordable and charging more accessible where Canadians live, work and play,” said Jonathan Wilkinson, federal Minister of Natural Resources. “Investing in more EV chargers, like the ones announced today in British Columbia, will put more Canadians in the driver’s seat on the road to a net-zero future and help achieve our climate goals.”

Through the CleanBC Go Electric Fleets program and in support of B.C. businesses that own and operate fleet vehicles, NRCan has invested $1.54 million through ZEVIP to top up rebates. Fleet operators can get combined rebates from NRCan and the Province for a Level 2 charging station as much as 75% to a maximum of $5,000 of purchase and installation costs, and 75% to a maximum of $75,000 for a direct-current, fast-charging station. As many as 450 EV chargers will be installed through the program.

CleanBC is a pathway to a more prosperous, balanced and sustainable future. It supports government’s commitment to climate action to meet B.C.’s emission targets and build a cleaner, stronger economy.

Quick Facts:

• A direct-current fast charger on the BC Electric Highway allows an EV to get 100-300 kilometres of range from 30 minutes of charging.
• Faster chargers, which give more range in less time, are coming out every year.
• A Level 2 charger allows an EV to get approximately 30 kilometres of range per hour of charging.
• It uses approximately the same voltage as a clothes dryer and is usually installed in homes, workplaces or for fleets to get a faster charge than a regular outlet, or in public places where people might park for a longer time.
• A key CleanBC action is to strengthen the Zero-Emission Vehicles Act to require light-duty vehicle sales to be 26% zero-emission vehicles (ZEVs) by 2026, 90% by 2030 and 100% by 2035, five years ahead of the original target.
• At the end of 2021, B.C. had more than 3,000 public EV charging stations and almost 80,000 registered ZEVs.

Learn More:

To learn more about home and workplace EV charging-station rebates, eligibility and application processes, visit: https://goelectricbc.gov.bc.ca/   

To learn more about the Fleets program, visit: https://pluginbc.ca/go-electric-fleets/    

To learn more about Natural Resources Canada’s Zero-Emission Vehicle Infrastructure Program, visit:
https://www.nrcan.gc.ca/energy-efficiency/transportation-alternative-fuels/zero-emission-vehicle-infrastructure-program/21876

Related News

• Electricity Forum News

• EV Infrastructure News

SaskPower 10% Electricity Rebate promises one-year bill relief for households, farms, businesses, hospitals, schools, and universities in Saskatchewan, boosting affordability amid COVID-19, offsetting rate hikes, and countering carbon tax impacts under Scott Moe's plan.

Key Points

One-year 10% SaskPower rebate lowering bills for residents, farms, and institutions, funded by general revenue.

✅ Applies automatically to all customers for 12 months from Dec 2020.

✅ Average savings: $215 residential; $845 farm; broad sector coverage.

✅ Cost $261.6M, paid from the general revenue fund; separate from carbon tax.

Saskatchewan Party leader Scott Moe says SaskPower customers can expect a one-year, 10 per cent rebate on electricity if they are elected government.

Moe said the pledge aims to make life more affordable for people, including through lower electricity rates initiatives seen in other provinces. The rate would apply to everyone, including residential customers, farmers, businesses, hospitals, schools and universities.

The plan, which would cost government $261.6 million, expects to save the average residential customer $215 over the course of the year and the average farm customer $845.  

“This is a very equitable way to ensure that we are not only providing that opportunity for those dollars to go back into our economy and foster the economic recovery that we are working towards here, in Saskatchewan, across Canada and around the globe, but it also speaks to the affordability for our Saskatchewan families, reducing the dollars a day off to pay for their for their power bill,” Moe said.

The rebate would be applied automatically to all SaskPower bills for 12 months, starting in December 2020. 

Moe said residential customers who are net metering and generating their own power, such as solar power, would receive a $215 rebate over the 12-month period, which is the equivalent of the average residential rebate.

The $261.6 million in costs would be covered by the government’s general revenue fund.   

The Saskatchewan NDP said the proposed reduction is "a big change in direction from the Sask. Party’s long history of making life more expensive for Saskatchewan families." and recently took aim at a SaskPower rate hike approval as part of that critique.

Trent Wotherspoon, NDP candidate for Regina Rosemont and former finance critic, called the pledge criticized the one year time frame and said Saskatchewan people need long term, reliable affordability, noting that the Ontario-Quebec hydro deal has not reduced hydro bills for consumers. Something, he said, is reflected in the NDP plan.

“We've already brought about announcements that bring about affordability, such as the break on SGI auto insurance that'll happen, year after year after year, affordable childcare which has been already announced and committed to things like a decent minimum wage instead of having the lowest minimum wage in Canada,” Wotherspoon said.

The NDP pointed out SaskPower bills have increased by 57 per cent since 2007 for families with an average household income of $75,000, while Nova Scotia's 14% rate hike was recently approved by its regulator.

It said the average bill for such household was $901 in 2007-08 and is now $1,418 in 2019-20, while in neighbouring provinces Manitoba rate increases of 2.5 per cent annually have also been proposed for three years.

"This is on top of the PST increases that the Sask. Party put on everyday families – costing them more than $700 a year," the NDP said.

Moe took aim at the federal Liberal government’s carbon tax, citing concerns that electricity prices could soar under national policies.

He said if the Saskatchewan government wins its court fight against Ottawa, all SaskPower customers can expect to save an additional $150 million per year, and he questioned the federal 2035 net-zero electricity grid target in that context.

“As it stands right now, the Trudeau government plans to raise the carbon tax from $30 to $40 a tonne on Jan. 1,” Moe said. “Trudeau plans to raise taxes and your SaskPower bill, in the middle of a pandemic.  The Saskatchewan Party will give you a break by cutting your power bill.”

Related News

• Electricity Forum News

• Energy Policy News

Amur-Heihe ETL Power Supply Tripling will expand Russia-China electricity exports, extending 750 MW DC full-load hours to stabilize northeast China grids amid coal shortages, peak demand spikes, and cross-border energy security concerns.

Key Points

Russia will triple electricity via Amur-Heihe ETL, boosting 750 MW DC operations to relieve shortages in northeast China.

✅ 500 kV converter station increases full-load hours from 5 to 16

✅ Supports Heilongjiang, Liaoning, and Jilin grids amid coal shortfall

✅ Cross-border 750 MW DC link enhances reliability, peak demand coverage

Russia will triple electricity supplies via the Amur-Heihe electric transmission line (ETL) starting October 1, China Central Television has reported, a move seen within broader shifts in China's electricity sector by observers.

"Starting October 1, the overhead convertor substation of 500 kW (750 MW DC) will increase its daily time of operation with full loading from 5 to 16 hours per day," the TV channel said.

"This measure will make it possible to dramatically ease the situation with the electricity supply," the report said. Electricity from this converting station is used in three northeastern provinces of China - Heilongjiang, Liaoning and Jilin, while regional markets are strained as India rations coal supplies amid surging demand today. In 29 years, Russia supplied over 30 bln kilowatt hours of electricity, according to the channel.

The Amur-Heihe overhead transnational power line was constructed for increasing electricity exports to China, where projections see electricity to meet 60% of energy use by 2060 according to Shell. It was commissioned in 2012. Its maximum capacity is 750 MW.

China’s Jiemian News reported on September 27 that, amid nationwide power cuts affecting grids, 20 regions were limited in electricity supplies to a various extent due to the ongoing coal deficit. In particular, in China’s northeastern provinces, restrictions on power consumption were imposed not only on industrial enterprises, but also on households, as well as on office premises, raising concerns for U.S. solar supply chains among downstream manufacturers.

Later, China’s financial media Zhongxin Jingwei noted that the coal deficit had been triggered by price hikes brought on by tightened national environmental standards and efforts to reduce coal power production across the country. Reduced coal imports amid disruptions in the work of foreign suppliers due to the coronavirus pandemic was an additional reason, and earlier power demand drops as factories shuttered compounded imbalances.
 

Related News

• Electricity Forum News

• Power Generation News