Halve worldÂ’s emissions by 2050: Danes

By Reuters


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The world should agree to halve greenhouse gas emissions by 2050 from 1990 levels as part of a UN climate pact in Copenhagen in mid-December, according to a suggested text by hosts Denmark.

The text, a copy of which was seen by Reuters, said rich countries should account for 80 percent of the global emission cuts by 2050. But it did not spell out shorter-term emission targets for rich countries, a key demand from poorer nations.

India, the world's number four emitter, said it opposed the suggested text. Denmark, meanwhile, insisted it was merely consulting and had made no formal proposals for breaking deadlock between rich and poor nations at the December 7-18 meeting.

"If the Denmark draft is any indication then we are heading to a dead end," Indian Environment Minister Jairam Ramesh told reporters in New Delhi.

China and India have opposed agreeing to a goal of halving world emissions unless rich nations, which have burned fossil fuels since the Industrial Revolution, take the lead by setting far tougher reductions by 2020.

"The Danish government has not put forward a proposal," Danish Prime Minister Lars Lokke Rasmussen told reporters in Copenhagen.

Danish Climate Minister Connie Hedegaard, who will preside at Copenhagen, told Reuters earlier that consultations were "based on a variety of draft text proposals." She added that Denmark would not propose any formal compromises until the meeting.

The text seen by Reuters also suggests that the world's greenhouse gas emissions, mainly from burning fossil fuels, should peak in 2020. Emissions have been rising fast in recent years but are set to dip by up to 3 percent in 2009 because of recession.

And it suggested efforts to keep the rise in global average temperatures to within 2 degrees Celsius (3.6 Fahrenheit) above pre-industrial times to avoid the worst of heatwaves, floods, species extinctions and rising sea levels.

The UN talks have run out of time to settle a legally binding deal after arguments between rich and poor nations about who should cut emissions, by how much and who should pay.

But hopes are growing that a substantive political pact can be agreed at the December meeting, including setting a 2010 deadline for tying up a legal text. U.S. President Barack Obama will attend on December 9 with most other leaders at the end.

In Beijing, Premier Wen Jiabao told the European Union that Beijing would deliver on a promise to slow the rise of its carbon dioxide output, the main greenhouse gas emitted by burning fossil fuels.

China plans to cut its "carbon intensity" — the carbon dioxide released in generating each yuan of output — by 40 to 45 percent by 2020 from 2005 levels. Such a goal would still allow a doubling of emissions, assuming projected economic growth rates, analysts say.

Swedish Prime Minister Fredrik Reinfeldt said in Beijing that the world was not ambitious enough in setting cuts. "More needs to be done," Reinfeldt said. Sweden holds the rotating presidency of the 27-member European Union.

Developing countries led by China and India are also expected to table a text in Copenhagen that they would like to be turned into the basis for negotiations. China, the United States, Russia and India are the top emitters.

Denmark's Rasmussen has said he wants a 5-8 page "politically binding" agreement, with annexes outlining each country's obligations.

Developed countries such as Britain and France have put an offer of a $10-billion-a-year Copenhagen Launch Fund on the table, but while developing countries welcomed what they called "interim financing," they said much more, perhaps up to $300 billion, might be needed to make a global climate deal work.

In Canberra, Australia's key policy to fight global warming limped closer to defeat with parliament set to delay or reject the government's carbon emissions trade scheme, raising the chances of an early election.

In Sydney, Tibet's exiled Buddhist spiritual leader the Dalai Lama also urged governments to take climate change seriously. "In some cases in order to protect global issues, some sacrifice of national interest (is needed)," he said.

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Cheap material converts heat to electricity

Polycrystalline Tin Selenide Thermoelectrics enable waste heat recovery with ZT 3.1, matching single crystals while cutting costs, powering greener car engines, industrial furnaces, and thermoelectric generators via p-type and emerging n-type designs.

 

Key Points

Low-cost tin selenide devices that turn waste heat into power, achieving ZT 3.1 and enabling p-type and n-type modules.

✅ Oxygen removal prevents heat-leaking tin oxide grain skins.

✅ Polycrystalline ingots match single-crystal ZT 3.1 at lower cost.

✅ N-type tin selenide in development to pair with p-type.

 

So-called thermoelectric generators turn waste heat into electricity without producing greenhouse gas emissions, providing what seems like a free lunch. But despite helping power the Mars rovers, the high cost of these devices has prevented their widespread use. Now, researchers have found a way to make cheap thermoelectrics that work just as well as the pricey kind. The work could pave the way for a new generation of greener car engines, industrial furnaces, and other energy-generating devices.

“This looks like a very smart way to realize high performance,” says Li-Dong Zhao, a materials scientist at Beihang University who was not involved with the work. He notes there are still a few more steps to take before these materials can become high-performing thermoelectric generators. However, he says, “I think this will be used in the not too far future.”

Thermoelectrics are semiconductor devices placed on a hot surface, like a gas-powered car engine or on heat-generating electronics using thin-film converters to capture waste heat. That gives them a hot side and a cool side, away from the hot surface. They work by using the heat to push electrical charges from one to the other, a process of turning thermal energy into electricity that depends on the temperature gradient. If a device allows the hot side to warm up the cool side, the electricity stops flowing. A device’s success at preventing this, as well as its ability to conduct electrons, feeds into a score known as the figure of merit, or ZT.

 Over the past 2 decades, researchers have produced thermoelectric materials with increasing ZTs, while related advances such as nighttime solar cells have broadened thermal-to-electric concepts. The record came in 2014 when Mercouri Kanatzidis, a materials scientist at Northwestern University, and his colleagues came up with a single crystal of tin selenide with a ZT of 3.1. Yet the material was difficult to make and too fragile to work with. “For practical applications, it’s a non-starter,” Kanatzidis says.

So, his team decided to make its thermoelectrics from readily available tin and selenium powders, an approach that, once processed, makes grains of polycrystalline tin selenide instead of the single crystals. The polycrystalline grains are cheap and can be heated and compressed into ingots that are 3 to 5 centimeters long, which can be made into devices. The polycrystalline ingots are also more robust, and Kanatzidis expected the boundaries between the individual grains to slow the passage of heat. But when his team tested the polycrystalline materials, the thermal conductivity shot up, dropping their ZT scores as low as 1.2.

In 2016, the Northwestern team discovered the source of the problem: an ultrathin skin of tin oxide was forming around individual grains of polycrystalline tin selenide before they were pressed into ingots. And that skin acted as an express lane for the heat to travel from grain to grain through the material. So, in their current study, Kanatzidis and his colleagues came up with a way to use heat to drive any oxygen away from the powdery precursors, leaving pristine polycrystalline tin selenide, whereas other devices can generate electricity from thin air using ambient moisture.

The result, which they report today in Nature Materials, was not only a thermal conductivity below that of single-crystal tin selenide but also a ZT of 3.1, a development that echoes nighttime renewable devices showing electricity from cold conditions. “This opens the door for new devices to be built from polycrystalline tin selenide pellets and their applications to be explored,” Kanatzidis says.

Getting through that door will still take some time. The polycrystalline tin selenide the team makes is spiked with sodium atoms, creating what is known as a “p-type” material that conducts positive charges. To make working devices, researchers also need an “n-type” version to conduct negative charges.

Zhao’s team recently reported making an n-type single-crystal tin selenide by spiking it with bromine atoms. And Kanatzidis says his team is now working on making an n-type polycrystalline version. Once n-type and p-type tin selenide devices are paired, researchers should have a clear path to making a new generation of ultra-efficient thermoelectric generators. Those could be installed everywhere from automobile exhaust pipes to water heaters and industrial furnaces to scavenge energy from some of the 65% of fossil fuel energy that winds up as waste heat. 

 

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A resilient Germany is weathering the energy crunch

German Energy Price Brakes harness price signals in a market-based policy, cutting gas consumption, preserving industrial output, and supporting CO2 reduction, showcasing Germany's resilience and adaptation while protecting households and businesses across Europe.

 

Key Points

Fixed-amount subsidies preserving price signals to curb gas use, shield consumers, and sustain industrial output.

✅ Maintains incentives via market-based price signals

✅ Cuts gas consumption without distorting EU markets

✅ Protects households and industry while curbing CO2

 

German industry and society are once again proving much more resilient and adaptable than certain people feared. Horror scenarios of a dangerous energy rationing or a massive slump in our economy have often been bandied about. But we are nowhere near that. With a challenging year just behind us, this is good news — not only for Germany, but also for Europe, where France-Germany energy cooperation has strengthened solidarity.

Companies and households reacted swiftly to the sharp increases in energy prices, in line with momentum in the global energy transition seen across markets. They installed more efficient heating or production facilities, switched to alternatives and imported intermediate products. The results are encouraging: German households and businesses have reduced gas consumption significantly, despite recent cold weather. From the start of the war in Ukraine to mid-December industrial gas consumption in Germany was (temperature-adjusted) around 20 per cent lower than the average level for the preceding three years. Even if some firms have cut back production, especially in energy-intensive sectors, industrial output as a whole has only fallen by about 1 per cent since the start of 2022. Added to this, in a survey released by the Ifo institute in November, over a third of German companies saw the potential to reduce gas consumption further without endangering output.

Instead of imposing excessive laws and regulations, we have relied on price signals and the prudence of market participants to create the right incentives and reduce gas consumption, as falling costs like record-low solar power prices continue to reinforce those signals across sectors.

We will follow this approach in coming months, when energy savings will remain important, even as the EU electricity outlook anticipates sharply higher demand by 2050. Our latest relief measures will not distort price signals. To this end, the Bundestag approved gas and electricity price brakes in its final session in 2022. They are designed to function without any intervention in markets or prices. This system will pay out a fixed amount relative to previous years’ consumption and the current difference to a reference price — regardless of current consumption.

Energy price brakes are the main component of Germany’s “protective shield”, which makes up to €200bn available for measures in 2022 to 2024. Seen in relation to the German economy’s size, its past heavy reliance on Russian energy imports and the fact that the measures will expire in 2024, these are balanced and expedient mechanisms. In contrast to instruments used in other countries, our new arrangements will not affect the price formation process driven by supply and demand, or on incentives to save gas. Companies and households will continue to save the full market price when they reduce consumption by a unit of gas or electricity. In this way, the price brakes also avoid the creation of additional demand for gas at the expense of consumers in other European countries, even as Europe’s Big Oil turning electric signals broader structural shifts in energy markets. No one need fear that competition will be distorted or that gas will be bought up. Indeed, a recent IMF working paper on cushioning the impact of high energy prices on households explicitly praises the German energy price brakes.

Current developments confirm the effectiveness of a market-based approach — and show that we should also rely on price signals when it comes to reducing CO₂ emissions, as suggested by IEA CO2 trends in recent years. Last year, households and companies had only a few weeks to adapt, yet we have already seen a strong response. The effect of CO₂ prices can be even stronger, as adaptation is possible over a much longer time and they additionally affect expectations and long-term decisions. Regulatory interventions and subsidy schemes, even if well targeted, cannot compete with market co-ordination and incentives that support individual decision-making and promote innovation.

Europe and Germany can weather this crisis without a collapse in industrial production. We also have an opportunity to deal efficiently with the move to climate neutrality, aligned with Germany’s hydrogen strategy for imported low-carbon fuels. In both cases, we should have confidence in price signals as well as in the power of people and business to innovate and adapt.

 

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Ontario's electric debacle: Liberal leadership candidates on how they'd fix power

Ontario Electricity Policy debates rates, subsidies, renewables, nuclear baseload, and Quebec hydro imports, highlighting grid transmission limits, community consultation, conservation, and the province's energy mix after cancelled wind projects and rising costs to taxpayers.

 

Key Points

Ontario Electricity Policy guides rates, generation, grid planning, subsidies and imports for reliable, low-cost power.

✅ Focuses on rates, subsidies, and consumer affordability

✅ Balances nuclear baseload, renewables, and Quebec hydro imports

✅ Emphasizes grid transmission, consultation, and conservation

 

When Kathleen Wynne’s Liberals went down to defeat at the hands of Doug Ford and the Progressive Conservatives, Ontario electricity had a lot to do with it. That was in 2018. Now, two years later, Ford’s government has electricity issues of its own, including a new stance on wind power that continues to draw scrutiny.

Electricity is politically fraught in Ontario. It’s among the most expensive in Canada. And it has been mismanaged at least as far back as nuclear energy cost overruns starting in the 1980s.

From the start Wynne’s government was tainted by the gas plant scandal of her predecessor Dalton McGuinty and then she created her own with the botched roll-out of her green energy plan. And that helped Ford get elected promising to lower electricity prices. But, rates haven’t gone down under Ford while the cost to the government coffers for subsidizing them have soared - now costing $5.6 billion a year.

Meanwhile, Ford’s government has spent at least $230 million to tear up green energy contracts signed by the former Liberal government, including two wind-farm projects that were already mid-construction.

Lessons learned?
In the final part of a three-part series, the six candidates vying to become the next leader of the Ontario Liberals discuss the province's electricity system, including the lessons learned from the prior Liberal government's botched attempts to fix it that led to widespread local opposition to a string of wind power projects, and whether they'd agree to import more hydroelectricity from Quebec.

“We had the right idea but didn’t stick the landing,” said Steven Del Duca, a member of the former Wynne government who lost his Vaughan-area seat in 2018, referring to its green-energy plan. “We need to make sure that we work more collaboratively with local communities to gain the buy-in needed to be successful in this regard.”

“Consultation and listening is key,” agreed Mitzie Hunter, who was education minister under Kathleen Wynne and in 2018 retained her seat in the legislature representing Scarborough-Guildwood. “We must seek input from community members about investments locally,” she said. “Inviting experts in to advise on major policy is also important to make evidence-based decisions."

Michael Coteau, MPP for Don Valley East and the third leadership candidate who was a member of the former government, called for “a new relationship of respect and collaboration with municipalities.”

He said there is an “important balance to be achieved between pursuing province wide objectives for green-energy initiatives and recognizing and reflecting unique local conditions and circumstances.”

Kate Graham, who has worked in municipal public service and has not held a provincial public office, said that experts and local communities are best placed to shape decisions in the sector.

In the final part of a three-part series, Ontario's Liberal leadership contenders discuss electricity, lessons learned from the bungled rollout of previous Liberal green policy, and whether to lean more on Quebec's hydroelectricity.
“What's gotten Ontario in trouble in the past is when Queen's Park politicians are the ones micromanaging the electricity file,” she said.

“Community consultation is vitally important to the long-term success of infrastructure projects,” said Alvin Tedjo, a former policy adviser to Liberal ministers Brad Duguid and Glen Murray.

“Community voices must be heard and listened to when large-scale energy programs are going to be implemented,” agreed Brenda Hollingsworth, a personal injury lawyer making her first foray into politics.

Of the six candidates, only Coteau went beyond reflection to suggest a path forward, saying he would review the distribution of responsibilities between the province and municipalities, with the aim of empowering cities and towns.

Turn back to Quebec?
Ford’s government has also turned away from a deal signed in 2016 to import hydroelectricity from Quebec.

Graham and Hunter both said they would consider increasing such imports. Hunter noted that the deal, which would displace domestic natural gas production, will lower the cost of electricity paid by Ontario ratepayers by a net total of $38 million from 2017 to 2023, according to the province’s fiscal watchdog.

“I am open to working with our neighbouring province,” Hunter said. “This is especially important as we seek to bring electricity to remote northern, on-reserve Indigenous communities.”

Tedjo said he has no issues with importing clean energy as long as it’s at a fair price.

Hollingsworth and Coteau both said they would withhold judgment until they could see the province’s capacity status in 2022.

“In evaluating the case for increasing importation of water power from Quebec, we must realistically assess the limitations of the existing transmission system and the cost and time required to scale up transmission infrastructure, among other factors,” Coteau said.

Del Duca also took a wait-and-see approach. “This will depend on our energy needs and energy mix,” he said. “I want to see our energy needs go down; we need more efficiency and better conservation to make that happen.”

What's the right energy mix?
Nuclear energy currently accounts for about a third of Ontario’s energy-producing capacity, even as Canada explores zero-emissions electricity by 2035 pathways. But it actually supplies about 60 percent of Ontario’s electricity. That is because nuclear reactors are always on, producing so-called baseload power.

Hydroelectricity provides another 25 percent of supply, while oil and natural gas contribute 6 per cent and wind adds 7 percent. Both solar and biofuels account for less than one percent of Ontario’s energy supply. However, a much larger amount of solar is not counted in this tally, as it is used at or near the sites where it is generated, and never enters the transmission system.

Asked for their views on how large a role various sources of power should play in Ontario’s electricity mix in the future, the candidates largely backed the idea of renewable energy, but offered little specifics.

Graham repeated her statement that experts and communities should drive that conversation. Tedjo said all non-polluting technologies should play a role in Ontario’s energy mix, as provinces like Alberta demonstrate parallel growth in green energy and fossil fuels. Coteau said we need a mix of renewable-energy sources, without offering specifics.

“We also need to pursue carbon capture and sequestration, working in particular with our farming communities,” he added.

 

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Trump's Oil Policies Spark Shift in Wall Street's Energy Strategy

Wall Street Fossil Fuel Pivot signals banks reassessing ESG, net-zero, and decarbonization goals, reviving oil, gas, and coal financing while recalibrating clean energy exposure amid policy shifts, regulatory rollbacks, and investment risk realignment.

 

Key Points

A shift as major U.S. banks ease ESG limits to fund oil, gas, coal while rebalancing alongside renewables.

✅ Banks revisit lending to oil, gas, and coal after policy shifts.

✅ ESG and net-zero commitments face reassessment amid returns.

✅ Renewables compete for capital as risk models are updated.

 

The global energy finance sector, worth a staggering $1.4 trillion, is undergoing a significant transformation, largely due to former President Donald Trump's renewed support for the oil, gas, and coal industries. Wall Street, which had previously aligned itself with global climate initiatives and the energy transition and net-zero goals, is now reassessing its strategy and pivoting toward a more fossil-fuel-friendly stance.

This shift represents a major change from the earlier stance, where many of the largest U.S. banks and financial institutions took a firm stance on decarbonization push, including limiting their exposure to fossil-fuel projects. Just a few years ago, these institutions were vocal supporters of the global push for a sustainable future, with many committing to support clean energy solutions and abandon investments in high-carbon energy sources.

However, with the change in administration and the resurgence of support for traditional energy sectors under Trump’s policies, these same banks are now rethinking their strategies. Financial institutions are increasingly discussing the possibility of lifting long-standing restrictions that limited their investments in controversial fossil-fuel projects, including coal mining, where emissions drop as coal declines, and offshore drilling. The change reflects a broader realignment within the energy finance sector, with Wall Street reexamining its role in shaping the future of energy.

One of the most significant developments is the Biden administration’s policy reversal, which emphasized reducing the U.S. carbon footprint in favor of carbon-free electricity strategies. Under Trump, however, there has been a renewed focus on supporting the traditional energy sectors. His administration has pushed to reduce regulatory burdens on fossil-fuel companies, particularly oil and gas, while simultaneously reintroducing favorable tax incentives for the coal and gas industries. This is a stark contrast to the Biden administration's efforts to incentivize the transition toward renewable energy and zero-emissions goals.

Trump's policies have, in effect, sent a strong signal to financial markets that the fossil-fuel industry could see a resurgence. U.S. banks, which had previously distanced themselves from financing oil and gas ventures due to the pressure from environmental activists and ESG (Environmental, Social, and Governance) investors, as seen in investor pressure on Duke Energy, are now reconsidering their positions. Major players like JPMorgan Chase and Goldman Sachs are reportedly having internal discussions about revisiting financing for energy projects that involve high carbon emissions, including controversial oil extraction and gas drilling initiatives.

The implications of this shift are far-reaching. In the past, a growing number of institutional investors had embraced ESG principles, with the goal of supporting the transition to renewable energy sources. However, Trump’s pro-fossil fuel stance appears to be emboldening Wall Street’s biggest players to rethink their commitment to green investing. Some are now advocating for a “balanced approach” that would allow for continued investment in traditional energy sectors, while also acknowledging the growing importance of renewable energy investments, a trend echoed by European oil majors going electric in recent years.

This reversal has led to confusion among investors and analysts, who are now grappling with how to navigate a rapidly changing landscape. Wall Street's newfound support for the fossil-fuel industry comes amid a backdrop of global concerns about climate change. Many investors, who had previously embraced policies aimed at curbing the effects of global warming, are now finding it harder to reconcile their environmental commitments with the shift toward fossil-fuel-heavy portfolios. The reemergence of fossil-fuel-friendly policies is forcing institutional investors to rethink their long-term strategies.

The consequences of this policy shift are also being felt by renewable energy companies, which now face increased competition for investment dollars from traditional energy sectors. The shift towards oil and gas projects has made it more challenging for renewable energy companies to attract the same level of financial backing, even as demand for clean energy continues to rise and as doubling electricity investment becomes a key policy call. This could result in a deceleration of renewable energy projects, potentially delaying the progress needed to meet the world’s climate targets.

Despite this, some analysts remain optimistic that the long-term shift toward green energy is inevitable, even if fossil-fuel investments gain a temporary boost. As the world continues to grapple with the effects of climate change, and as technological advancements in clean energy continue to reduce costs, the transition to renewables is likely to persist, regardless of the political climate.

The shift in Wall Street’s approach to energy investments, spurred by Trump’s pro-fossil fuel policies, is reshaping the $1.4 trillion global energy finance market. While the pivot towards fossil fuels may offer short-term gains, the long-term trajectory for energy markets remains firmly in the direction of renewables. The next few years will be crucial in determining whether financial institutions can balance the demand for short-term profitability with their long-term environmental responsibilities.

 

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Negative Electricity Prices Amid Renewable Energy Surplus

France Negative Electricity Prices highlight surplus renewables as solar and wind output exceeds demand, driving grid flexibility, demand response, and storage signals while reshaping energy markets, lowering emissions, and improving economic efficiency and energy security.

 

Key Points

They occur when surplus solar and wind push wholesale power prices below zero, signaling flexible, low-carbon grids.

✅ Surplus solar and wind outpace demand, flipping price signals

✅ Incentivizes demand response, storage, and flexible loads

✅ Enhances decarbonization, energy security, and market efficiency

 

In a remarkable feat for renewable energy, France has recently experienced negative electricity prices due to an abundant supply of solar and wind power. This development highlights the country's progress towards sustainable energy solutions and underscores the potential of renewables to reshape global energy markets.

The Surge in Renewable Energy Supply

France's electricity grid benefited from a surplus of renewable energy generated by solar panels and wind turbines. During periods of peak production, such as sunny and windy days, the supply of electricity exceeded demand, leading to negative prices and reflecting how solar is reshaping price dynamics in Northern Europe.

Implications for Energy Markets

The occurrence of negative electricity prices reflects a shift towards a more flexible and responsive energy system. It demonstrates the capability of renewables to meet substantial portions of electricity demand reliably and economically, with evidence of falling wholesale prices in many markets, challenging traditional notions of energy supply and pricing dynamics.

Technological Advancements and Policy Support

Technological advancements in renewable energy infrastructure, coupled with supportive government policies and incentives, have played pivotal roles in France's achievement. Investments in solar farms, wind farms, and grid modernization, including the launch of France's largest battery storage platform by TagEnergy, have enhanced the efficiency and reliability of renewable energy integration into the national grid.

Economic and Environmental Benefits

The adoption of renewable energy sources not only reduces greenhouse gas emissions but also fosters economic growth and energy independence. By harnessing abundant solar and wind resources, France strengthens its energy security and reduces reliance on fossil fuels, contributing to long-term sustainability goals and reflecting a continental shift as renewable power has surpassed fossil fuels for the first time.

Challenges and Future Outlook

While France celebrates the success of negative electricity prices, challenges remain in scaling renewable energy deployment and optimizing grid management. Balancing supply and demand, integrating intermittent renewables, and investing in energy storage technologies are critical for ensuring grid stability and maximizing the benefits of renewable energy, particularly in addressing clean energy's curtailment challenge across modern grids.

Global Implications

France's experience with negative electricity prices serves as a model for other countries striving to transition to clean energy economies. It underscores the potential of renewables to drive economic prosperity, mitigate climate change impacts, and reshape global energy markets towards sustainability, as seen in Germany where solar-plus-storage is now cheaper than conventional power in several contexts.

Conclusion

France's achievement of negative electricity prices driven by renewable energy surplus marks a significant milestone in the global energy transition. By leveraging solar and wind power effectively, France demonstrates the feasibility and economic viability of renewable energy integration at scale. As countries worldwide seek to reduce carbon emissions and enhance energy resilience, France's example provides valuable insights and inspiration for advancing renewable energy agendas and accelerating towards a sustainable energy future.

 

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B.C. government freezes provincial electricity rates

BC Hydro Rate Freeze delivers immediate relief on electricity rates in British Columbia, reversing a planned 3% hike, as BCUC oversight, a utility review, and Site C project debates shape provincial energy policy.

 

Key Points

A one-year provincial policy halting BC Hydro electricity rate hikes while a utility review finds cost savings.

✅ Freeze replaces planned 3% hike approved by BCUC.

✅ Government to conduct comprehensive BC Hydro review.

✅ Critics warn $150M revenue loss impacts capital projects.

 

British Columbia's NDP government has announced it will freeze BC Hydro rates effective immediately, fulfilling a key election promise.

Energy, Mines and Petroleum Resources Minister Michelle Mungall says hydro rates have gone up by more than 24 per cent in the last four years and by more than 70 per cent since 2001, reflecting proposals such as a 3.75% increase over two years announced previously.

"After years of escalating electricity costs, British Columbians deserve a break on their bills," Mungall said in a news release.

BC Hydro had been approved by the B.C. Utilities Commission to increase the rate by three per cent next year, but Mungall said it will pull back its request in order to comply with the freeze.

In the meantime, the government says it will undertake a comprehensive review of the utility meant to identify cost-savings measures for customers often asked to pay an extra $2 a month on electricity bills.

The Liberal critic, Tracy Redies, says the one year rate freeze is going to cost BC Hydro, calling it a distraction from the bigger issue of the future of the Site C project and the oversight of a BC Hydro fund surplus as well.

"A one year rate freeze costs Hydro $150 million," Redies said. "That means there's $150 million less to invest in capital projects and other investments that the utility needs to make."

"This is putting off decisions that should be made today to the future."

Recommendations from the review — including possible new rates — will be implemented starting in April 2019.

 

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