New Illinois company hopes to offer cheaper power

By Associated Press


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A new not-for-profit venture hopes to offer cheaper electricity in central and southern Illinois.

New Illinois Cooperative Energy, or NICE, was developed by Illinoisans upset with electric rate increases since last year. It's led by Greenville-based Southwestern Electric Cooperative.

NICE hopes to get a large enough pool of customers to let the co-op negotiate attractive power-purchase prices.

The venture would draw lower rates by buying electricity more often and timing the market to catch lower prices.

NICE customers would still will get their power from Ameren, the distributing company, over Ameren's lines.

At least 7,000 customers must sign up in Ameren's service territory before the program may start.

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Alberta breaks summer electricity record, still far short of capacity

Alberta Electricity Peak Demand surged to 10,638 MW, as AESO reported record summer load from air conditioning, Stampede visitors, and heatwave conditions, with ample generation capacity, stable grid reliability, and conservation urged during 5-7 p.m.

 

Key Points

It is the record summer power load in Alberta, reaching 10,638 MW, with evening conservation urged by AESO.

✅ Record 10,638 MW at 4 pm; likely to rise this week

✅ Drivers: A/C use, heat, Stampede visitors

✅ AESO reports ample capacity; conserve 5-7 pm

 

Consumer use hit 10,638 MW, blowing past a previous high of 10,520 MW set on July 9, 2015, said the Alberta Electric System Operator (AESO).

“We hit a new summer peak and it’s likely we’ll hit higher peaks as the week progresses,” said AESO spokeswoman Tara De Weerd.

“We continue to have ample supply, and as Alberta's electricity future trends toward more wind, our generators are very confident there aren’t any issues.”

That new peak was set at 4 p.m. but De Weerd said it was likely to be exceeded later in the day.

Heightened air conditioner use is normally a major driver of such peak electricity consumption, said De Weerd.

She also said Calgary’s big annual bash is also likely playing a role.

“It’s the beginning of Stampede, you have an influx of visitors so you’ll have more people using electricity,” she said.

Alberta’s generation capacity is 16,420 MW, said the AESO, with wind power increasingly outpacing coal in the province today.

There are no plans, she said, for any of the province’s electricity generators to shut down any of their plants for maintenance or other purposes in the near future as demand rises.

The summer peak is considerably smaller than that reached in the depths of Alberta’s winter.

Alberta’s winter peak usage was recorded last year and was 11,458 MW.

Though the province’s capacity isn’t being strained by the summer heat, De Weerd still encouraged consumers to go easy during the peak use time of the day, between 5 and 7 p.m.

“We don’t have to be running all of our appliances at once,” she said.

Alberta exports an insignificant amount of electricity to Montana, B.C. and Saskatchewan, where demand recently set a new record.

The weather forecast calls for temperatures to soar above 30C through the weekend.

In northern Canada, Yukon electricity demand recently hit a record high, underscoring how extreme temperatures can strain systems.

 

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The Power Sector’s Most Crucial COVID-19 Mitigation Strategies

ESCC COVID-19 Resource Guide outlines control center continuity, sequestration, social distancing, remote operations, testing priorities, mutual assistance, supply chain risk, and PPE protocols to sustain grid reliability and plant operations during the COVID-19 pandemic.

 

Key Points

An industry guide to COVID-19 mitigation for the power sector covering control centers, testing, PPE, and mutual aid.

✅ Control center continuity: segregation, remote ops, reserve shifts

✅ Sequestration triggers, testing priorities, and PPE protocols

✅ Mutual assistance, supply chain risk, and workforce planning

 

The latest version of the Electricity Subsector Coordinating Council’s (ESCC’s) resource guide to assess and mitigate COVID-19 suggests the U.S. power sector continues to grapple with key concerns involving control center continuity, power plant continuity, access to restricted and quarantined areas, mutual assistance, and supply chain challenges, alongside urban demand shifts seen in Ottawa’s electricity demand during closures.

In its fifth and sixth versions of the “ESCC Resource Guide—Assessing and Mitigating the Novel Coronavirus (COVID-19),” released on April 16 and April 20, respectively, the ESCC expanded its guidance as it relates to social distancing and sequestration within tight power sector environments like control centers, crucial mitigation strategies that are designed to avoid attrition of essential workers.

The CEO-led power sector group that serves as a liaison with the federal government during emergencies introduced the guide on March 23, and it provides periodic updates  sourced from “tiger teams,” which are made up of representatives from investor-owned electric companies, public power utilities, electric cooperatives, independent power producers (IPPs), and other stakeholders. Collating regulatory updates and emerging resources, it serves as a general shareable blueprint for generators,  transmission and distribution (T&D) facilities, reliability coordinators, and balancing authorities across the nation on issues the sector is facing as the COVID-19 pandemic endures.

Controlling Spread at Control Centers
While control centers are typically well-isolated, physically secure, and may be conducive to on-site sequestration, the guide is emphatic that staff at these facilities are typically limited and they need long lead times to be trained to properly use the information technology (IT) and operational technology (OT) tools to keep control centers functioning and maintain grid visibility. Control room operators generally include: reliability engineers, dispatchers, area controllers, and their shift supervisors. Staff that directly support these function, also considered critical, consist of employees who maintain and secure the functionality of the IT and OT tools used by the control room operators.

In its latest update, the ESCC notes that many entities took “proactive steps to isolate their control center facilities from external visitors and non-essential employees early in the pandemic, leveraging the presence of back-up control centers, self-quarantining of employees, and multiple shifts to maximize social distancing.” To ensure all levels of logistical and operational challenges posed by the pandemic are addressed, it envisions several scenarios ranging from mild contagion—where a single operator is affected at one of two control center sites to the compromise of both sites.

Previous versions of the guide have set out universal mitigation strategies—such as clear symptom reporting, cleaning, and travel guidance. To ensure continuity even in the most dire of circumstances, for example, it recommends segregating shifts, and even sequestering a “complete healthy shift” as a “reserve” for times when minimum staffing levels cannot be met. It also encourages companies to develop a backup staff of retirees, supervisors, managers, and engineers that could backfill staffing needs.

Meanwhile, though social distancing has always been a universal mitigation strategy, the ESCC last week detailed what social distancing at a control room could look like. It says, for example, that entities should consider if personnel can do their jobs in spaces adjacent to the existing control room; moving workstations to allow at least six feet of space between employees; or designating workstations for individual operators. The guide also suggests remote operations outside of a single control room as an option, and some markets are exploring virtual power plant models in the UK to support flexibility, though it underscores that not all control center operations can be performed remotely, and remote operations increase the potential for security vulnerabilities. “The NERC [North American Electric Reliability Corp.] Reliability Standards address requirements for BES [bulk electric system] control centers and security controls for remote access of systems, applications, or data,” the resource guide notes.

Sequestration—Highly Effective but Difficult
Significantly, the new update also clarifies circumstances that could “trigger” sequestration—or keeping mission-essential workers at facilities. Sequestration, it notes, “is likely to be the most effective means of reducing risk to critical control center employees during a pandemic, but it is also the most resource- and cost-intensive option to implement.”

It is unclear exactly how many power sector workers are currently being sequestered at facilities. According to the  American Public Power Association (APPA), as of last week, the New York Power Authority was sequestering 82 power plant control room and transmission control operator, amid New York City’s shifting electric rhythms during COVID-19; the Sacramento Municipal Utility District (SMUD) in California had begun sequestering critical employees; and the Electric & Gas Utility at the City of Tallahassee had 44 workers being rotated in and out of sequestration. Another 37 workers from the New York ISO were already being sequestered or housed onsite as of April 9. PJM began sequestering a team of operators on April 11, and National Grid was sequestering 200 employees as of April 12. 

Decisions to trigger sequestration at T&D and other grid monitoring facilities are typically driven by entities’ risk assessment, ESCC noted. Considerations may involve: 

The number of people showing symptoms or testing positive as a percentage of the population in a county or municipality where the control center is sited. One organization, for example, is considering a lower threshold of 10% community infection as a trigger of “officer-level decision” to determine whether to sequester. A higher threshold of 20% “mandates a move to sequestration,” ESCC said.
The number of essential workers showing symptoms or having tested positive. “Acceptable risk should be based on the minimum staffing requirements of the control center and should include the availability of a reserve shift for critical position backfills. For example, shift supervisors are commonly certified in all positions in the control center, and the unavailability of more than one-third of a single organization’s shift supervisors could compromise operations,” it said.
The rate of infection spread across a geographic region. In the April 20 version, the guide removes specific mention that cases are doubling “every 3–5 days or more frequently in some areas.” It now says:  “Considering the rapid spread of COVID-19, special care should be taken to identify the point at which control center personnel are more likely than not to come into contact with an infected individual during their off-shift hours.”
Generator Sequestration Measures Vary
Generators, meanwhile, have taken different approaches to sequester generation operators. Some have reacted to statewide outbreaks, others to low reserves, and others still, as with one IPP, to control exposure to smaller staffs, which cannot afford attrition. The IPP, for example, decided sequestration was necessary because it “did not want to wait for confirmed cases in the workforce.” That company sequestered all its control room operators, outside operators, and instrumentation and control technicians.

The ESCC resource guide says workers are being sequestered in several ways. On-site, these could range from housing workers in two separate areas, for example, or in trailers brought in. Off-site, workers may be housed in hotel rooms, which the guide notes, “are plentiful.”

Location makes a difference, it said: “Onsite requires more logistical co-ordination for accommodations, food, room sanitization, linens, and entertainment.”  To accommodate sequestered workers, generators have to consider off-site food and laundry services (left at gates for pick-up)—and even extending Wi-Fi for personal use. Generators are learning from each other about all aspects of sequestration—including how to pay sequestered workers. It suggests sequestered workers should receive pay for all hours inside the plant, including straight time for regularly scheduled hours and time-and-a-half for all other hours. To maintain non-sequestered employees, who are following stay-at-home protocols, pay should remain regularly scheduled, it says.

Testing Remains a Formidable Hurdle
Though decisions to sequester differ among different power entities, they appear commonly complicated by one prominent issue: a dearth of testing.

At the center of a scuffle between the federal and state governments of late, the number of tests has not kept pace with the severity of the pandemic, and while President Trump has for some weeks claimed that “Testing is a local thing,” state officials, business leaders—including from the power sector—and public health experts say that it is far short of the several hundred thousands or perhaps even millions of daily tests it might take to safely restart the economy, even as calls to keep electricity options open grow among policymakers, a three-phase approach for which the Trump administration rolled out this week. While the White House said the approach is “based on the advice of public health experts, the suggestions do not indicate a specific timeframe. Some hard-hit states have committed to keeping current restrictions in place. New York on April 16 said it would maintain a shutdown order through May 15, while California published its own guidelines and states in the Northeast, Midwest, and West Coast entered regional pacts that may involve interstate coordination on COVID-19–related policy going forward.

On Sunday, responding to a call by governors across the political spectrum that insisted the federal government should step up efforts to help states obtain vital supplies for tests, Trump said the federal government will be “using” and “preparing to use” the Defense Production Act to increase swab production.

For the power entities that are part of the ESCC, widespread testing underlies many mitigation strategies. The group’s generation owners and operating companies, which include members from the full power spectrum, have said testing is central to “successful mitigation of risk to control center continuity.”

In the updated guide, the entities recommend requesting that governmental authorities—it is unclear whether the focus should be on the federal or state governments—“direct medical facilities to prioritize testing for asymptomatic generation control room operators, operator technicians, instrument and control technicians, and the operations supervisor (treat comparable to first responders) in advance of sequestered, extended-duration shifts; and obtain state regulatory approval for corporate health services organizations to administer testing for coronavirus to essential employees, if applicable.”

The second priority, as crucial, involves asking the government to direct medical facilities to prioritize testing for control room operators before they are sequestered or go into extended-duration shifts.

Generators also want local, regional, state, and federal governments to ensure operators of generating facilities are allowed to move freely if “populace-wide quarantine/curfew or other travel restrictions” are enacted. Meanwhile,  they have also asked federal agencies and state permitting agencies to allow for non-compliance operations of generating facilities in case enough workers are not available.

Lower on its list, but still “medium priority,” is that the government should obtain authority for priority supply of sanitizing supplies and personal protective equipment (PPE) for generating facilities. They are also asking states to allow power plant employees (as opposed to crucially redirected medical personnel) to administer health questionnaires and temperature checks without Americans with Disabilities Act or other legal constraints. Newly highlighted in the update, meanwhile, is an emphasis on enough fire retardant (FR) vests and hoods and PPE, including masks and face coverings, so technicians don’t have to share them.

The worst-case scenario envisioned for generators involves a 40% workforce attrition, a nine-month pandemic, and no mutual assistance. As the update suggests, along with universal mitigation strategies, some power companies are eliminating non-essential work that would require close contact, altering assignments so work tasks are done by paired teams that do not rotate, and ensuring workers wear masks. The resource guide includes case studies and lessons learned so far, and all suggest pandemic planning was crucial to response. 

Gearing Up for Mutual Assistance—Even for Generation—During COVID-19
Meanwhile, though the guide recognizes that protecting employees is a key priority for many entities, it also lauds the crucial role mutual assistance plays in the sector’s collective response to the pandemic, even as coal and nuclear plant closures test just transition planning across regions. Mutual assistance is a long-standing power sector practice in the U.S. Last week, for example, as severe weather impacted the southern and eastern portions of the U.S., causing power outages for 1.3 million customers at the peak, the sector demonstrated the “versatility of mutual assistance processes,” bringing in additional workers and equipment from nearby utilities and contractors to assist with assessment and repair. “Crews utilized PPE and social distancing per the CDC [Centers for Disease Control and Prevention] and OSHA [Occupational Safety and Health Administration] guidelines to perform their restoration duties,” the Energy Department told POWER.

But as the ESCC’s guide points out, mutual assistance has traditionally been deployed to help restore electric service to customers, typically focused on T&D infrastructure. The COVID-19 pandemic, uniquely, “has motivated generation entities to consider the use of mutual assistance for generation plant operation” it notes. As with the model it proposes to ensure continuity of control centers, mutual aid poses key challenges, such as for task variance, knowledge of operational practice, system customization, and legal indemnification.

Among guidelines ESCC proposes for generators are to use existing employee work stoppage plans as a resource in planning for the use of personnel not currently assigned to plant operation. It urges, for example, that generators keep a list of workers with skills who can be called from corporate/tech support (such as former operators or plant engineers/managers), or retirees and other individuals who could be called upon to help operate the control room first. ESCC also recommends considering the use of third-party contractor operations to supplement plant operations.

Key to these efforts is to “Create a thorough list of experience and qualifications needed to operate a particular unit. Important details include fuel type, OEM [original equipment manufacturer] technology, DCS [distributed control system] type, environmental controls, certifications, etc,” it says. “Consider proactively sharing this information internally within your company first and then with neighboring companies”—and that includes sufficient detail from manufacturers (such as Emerson Ovation, GE Mark VI, ABB, Honeywell)—“without exposing proprietary information.” One way to control this information is to develop a mutual assistance agreement with “strategic” companies within the region or system, it says.

Of specific interest is that the ESCC also recommends that generators consider “leaving units in extended or planned maintenance outage in that state as long as possible.” That’s because, “Operators at these offline sites could be considered available for a site responding to pandemic challenges,” it says.

However, these guidelines differ by resource. Nuclear generators, for example, already have robust emergency plans that include minimum staffing requirements, and owing to regulations, mutual aid is managed by each license holder, it says. However, to provide possible relief for attrition at operating nuclear plants, the Nuclear Regulatory Commission (NRC) on March 28 outlined a streamlined process that could allow nuclear operators to obtain exemptions from work hour rules, while organizations also point to IAEA low-carbon electricity lessons for future planning.

Uncertainty of Supply Chain Endurance
As the guide stresses, operational continuity during the pandemic will require that all power entities maintain supply of inputs and physical equipment. To help entities plan ahead—by determining volumes needed and geographic location of suppliers—it lists the most important materials needed for power delivery and bulk chemicals. “Clearly, the extent and duration of this emergency will influence the importance of one supply chain component compared to another,” it says.

As Massachusetts Institute of Technology supply chain expert David Simchi-Levi noted on April 13, global supply chains have been heavily taxed by the pandemic, and manufacturing activities in the European Union and North America are still going offline. China is showing signs of slow recovery. Even in the best-case scenario, however—even if North America and Europe manage to control and reduce the pandemic—the supply chain will likely experience significant logistical capacity shortages, from transportation to warehousing. Owing to variability in timing, he suggested that companies plan to reconfigure supply chains and reposition inventory in case suppliers go out of business or face quarantine, while some industry groups urge investing in hydropower as part of resilient recovery strategies.

Also in short supply, according to ESCC, is industry-critical PPE. “While our sector recognizes that the priority is to ensure that PPE is available for workers in the healthcare sector and first responders, a reliable energy supply is required for healthcare and other sectors to deliver their critical services,” its resource guide notes. “The sector is not looking for PPE for the entire workforce. Rather, we are working to prioritize supplies for mission-essential workers – a subset of highly skilled energy workers who are unable to work remotely and who are mission-essential during this extraordinary time.”

Among critical industry PPE needs are nitrile gloves, shoe covers, Tyvek suits, goggles/glasses, hand sanitizer, dust masks, N95 respirators, antibacterial soap, and trashbags. While it provides a list of non-governmental PPE vendors and suppliers, the guide also provides several “creative” solutions. These include, for example, formulations for effective hand sanitizer; 3D printer face shield files; methods for decontaminating face piece respirators and other PPE; and instructions for homemade masks with pockets for high-efficiency particulate air (HEPA) filter inserts.

 

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Joni Ernst calls Trump's wind turbine cancer claim 'ridiculous'

Wind Turbine Cancer Claim debunked: Iowa Republican senators back wind energy as fact-checks and DOE research find no link between turbine noise and cancer, limited effects on property values, and manageable wildlife impacts.

 

Key Points

Claims that turbine noise causes cancer, dismissed by studies and officials as unsupported by evidence.

✅ Grassley and Ernst call the claim idiotic and ridiculous

✅ DOE studies find no cancer link; property impacts limited

✅ Wildlife impacts mitigated; climate change poses larger risks

 

President Donald Trump may not be a fan of wind turbines, as shown by his pledge to scrap offshore wind projects earlier, suggesting that the noise they produce may cause cancer, but Iowa's Republican senators are big fans of wind energy.

Sen. Chuck Grassley called Trump's cancer claim "idiotic." On Thursday, Sen. Joni Ernst called the statement "ridiculous."

"I would say it's ridiculous. It's ridiculous," Ernst said, according to WHO-TV.

She likened the claim that wind turbine noise causes cancer to the idea that church bells do the same.

"I have church bells that ring all the time across from my office here in D.C. and I know that noise doesn't give me cancer, otherwise I'd have 'church bell cancer,'" Ernst said, adding that she is "thrilled" to have wind energy generation in Iowa, which aligns with a quarter-million wind jobs forecast nationwide. "I don't know what the president is drawing from."

Trump has a history of degrading wind energy and wind turbines that dates back long before his Tuesday claim that turbines harm property values and cause cancer, and often overlooks Texas grid constraints that can force turbines offline at times.

Not only are wind farms disgusting looking, but even worse they are bad for people's health.

"Not only are wind farms disgusting looking, but even worse, they are bad for people's health," Trump tweeted back in 2012.

Repeated fact-checks have found no scientific evidence to support the claim that wind turbines and the noise they make can cause cancer. The White House has reportedly provided no evidence to support Trump's cancer claim when asked this week

"It just seems like every time you turn around there's another thing the president is saying -- wind power causes cancer, I associate myself with the remarks of Chairman Grassley -- it's an 'idiotic' statement," Pelosi said in her weekly news conference on Thursday.

The president made his latest claim about wind turbines in a speech on Tuesday at a Republican spring dinner, as the industry continued recovering from the COVID-19 crisis that hit solar and wind energy.

"If you have a windmill anywhere near your house, congratulations, your house just went down 75 percent in value -- and they say the noise causes cancer," Trump said Tuesday, swinging his arm in a circle and making a cranking sound to imitate the noise of windmill blades. "And of course it's like a graveyard for birds. If you love birds, you never want to walk under a windmill. It’s a sad, sad sight."

Wind turbines are not, in fact, proven to have widespread negative impacts on property values, according to the Department of Energy's Office of Scientific and Technical Information in the largest study done so far in the U.S., even as some warn that a solar ITC extension could be devastating for the wind market, and there is no peer-reviewed data to back up the claim that the noise causes cancer.

I am considered a world-class expert in tourism. When you say, 'Where is the expert and where is the evidence?' I say: I am the evidence.

It's true wildlife is affected by wind turbines -- particularly birds and bats, with research showing whooping cranes avoid turbines when selecting stopover sites. One study estimated between 140,000 and 328,000 birds are killed annually by collisions with turbines across the U.S. The U.S. Energy Information Administration estimated, however, that other human-related impacts also contribute to declines in population.

The wind industry works with biologists to find solutions to the impact of turbines on wildlife, and the Department of Energy awards grants each year to researchers addressing the issue, even as the sector faced pandemic investment risks in 2020. But, overall, scientists warn that climate change itself is a bigger threat to bird populations than wind turbines, according to the National Audobon Society.

Speaker Nancy Pelosi: "It just seems like every time you turn around, there's another thing. The president is saying wind power causes cancer. I associate myself with the remarks of Chairman Grassley; It's an 'idiotic' statement"

 

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Bruce Power cranking out more electricity after upgrade

Bruce Power Capacity Uprate boosts nuclear output through generator stator upgrades, turbine and transformer enhancements, and cooling pump improvements at Bruce A and B, unlocking megawatts and efficiency gains from legacy heavy water design capacity.

 

Key Points

Upgrades that raise Bruce Power capacity via stator, turbine, transformer, and cooling enhancements.

✅ Generator stator replacement increases electrical conversion efficiency

✅ Turbine and transformer upgrades enable higher MW output

✅ Cooling pump enhancements optimize plant thermal performance

 

Bruce Power’s Unit 3 nuclear reactor will squeeze out an extra 22 megawatts of electricity, thanks to upgrades during its recent planned outage for refurbishment.

Similar gains are anticipated at its three sister reactors at Bruce A generating station, which presents the opportunity for the biggest efficiency gains and broader economic benefits for Ontario, due to a design difference over Bruce B’s four reactors, Bruce Power spokesman John Peevers said.

Bruce A reactor efficiency gains stem mainly from the fact Bruce A’s non-nuclear side, including turbines and the generator, was sized at 88 per cent of the nuclear capacity, Peevers said, while early Bruce C exploration work advances.

This allowed 12 per cent of the energy, in the form of steam, to be used for heavy water production, which was discontinued at the plant years ago. Heavy water, or deuterium, is used to moderate the reactors.

That design difference left a potential excess capacity that Bruce Power is making use of through various non-nuclear enhancements. But the nuclear operator, which also made major PPE donations during the pandemic, will be looking at enhancements at Bruce B as well, Peevers said.

Bruce Power’s efficiency gain came from “technology advancements,” including a “generator-stator improvement project that was integral to the uprate,” and contributed to an operating record at the site, a Bruce Power news release said July 11.

Peevers said the stationary coils and the associated iron cores inside the generator are referred to as the stator. The stator acts as a conductor for the main generator current, while the turbine provides the mechanical torque on the shaft of the generator.

“Some of the other things we’re working on are transformer replacement and cooling pump enhancements, backed by recent manufacturing contracts, which also help efficiency and contribute to greater megawatt output,” Peevers said.

The added efficiency improvements raised the nuclear operator’s peak generating capacity to 6,430 MW, as projects like Pickering life extensions continue across Ontario.

 

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The CIB and private sector partners to invest $1.7 billion in Lake Erie Connector

Lake Erie Connector Investment advances a 1,000 MW HVDC transmission link connecting Ontario to the PJM Interconnection, enhancing grid reliability, clean power trade, and GHG reductions through a public-private partnership led by CIB and ITC.

 

Key Points

A $1.7B public-private HVDC project linking Ontario and PJM to boost reliability, cut GHGs, and enable clean power trade.

✅ 1,000 MW, 117 km HVDC link between Ontario and PJM

✅ $655M CIB and $1.05B private financing, ITC to own-operate

✅ Cuts system costs, boosts reliability, reduces GHG emissions

 

The Canada Infrastructure Bank (CIB) and ITC Investment Holdings (ITC) have signed an agreement in principle to invest $1.7 billion in the Lake Erie Connector project.

Under the terms of the agreement, the CIB will invest up to $655 million or up to 40% of the project cost. ITC, a subsidiary of Fortis Inc., and private sector lenders will invest up to $1.05 billion, the balance of the project's capital cost.

The CIB and ITC Investment Holdings signed an agreement in principle to invest $1.7B in the Lake Erie Connector project.

The Lake Erie Connector is a proposed 117 kilometre underwater transmission line connecting Ontario with the PJM Interconnection, the largest electricity market in North America, and aligns with broader regional efforts such as the Maine transmission line to import Quebec hydro to strengthen cross-border interconnections.

The 1,000 megawatt, high-voltage direct current connection will help lower electricity costs for customers in Ontario and improve the reliability and security of Ontario's energy grid, complementing emerging solutions like battery storage across the province. The Lake Erie Connector will reduce greenhouse gas emissions and be a source of low-carbon electricity in the Ontario and U.S. electricity markets.

During construction, the Lake Erie Connector is expected to create 383 jobs per year and drive more than $300 million in economic activity, and complements major clean manufacturing investments like a $1.6 billion battery plant in the Niagara Region that supports the EV supply chain. Over its life, the project will provide 845 permanent jobs and economic benefits by boosting Ontario's GDP by $8.8 billion.

The project will also help Ontario to optimize its current infrastructure, avoid costs associated with existing production curtailments or shutdowns. It can leverage existing generation capacity and transmission lines to support electricity demand, alongside new resources such as the largest battery storage project planned for southwestern Ontario.

ITC continues its discussions with First Nations communities and is working towards meaningful participation in the near term and as the project moves forward to financial close.

The CIB anticipates financial close late in 2021, pending final project transmission agreements, with construction commencing soon after. ITC will own the transmission line and be responsible for all aspects of design, engineering, construction, operations and maintenance.

ITC acquired the Lake Erie Connector project in August 2014 and it has received all necessary regulatory and permitting approvals, including a U.S. Presidential Permit and approval from the Canada Energy Regulator.

This is the CIB's first investment commitment in a transmission project and another example of the CIB's momentum to quickly implement its $10B Growth Plan, amid broader investments in green energy solutions in British Columbia that support clean growth.

 

Endorsements

This project will allow Ontario to export its clean, non-emitting power to one of the largest power markets in the world and, as a result, benefit Canadians economically while also significantly contributing to greenhouse gas emissions reductions in the PJM market. The project allows Ontario to better manage peak capacity and meet future reliability needs in a more sustainable way. This is a true win-win for both Canada and the U.S., both economically and environmentally.
Ehren Cory, CEO, Canada Infrastructure Bank

The Lake Erie Connector has tremendous potential to generate customer savings, help achieve shared carbon reduction goals, and increase electricity system reliability and flexibility. We look forward to working with the CIB, provincial and federal governments to support a more affordable, customer-focused system for Ontarians. 
Jon Jipping, EVP & COO, ITC Investment Holdings Inc., a subsidiary of Canadian-based Fortis Inc. 

We are encouraged by this recent announcement by the Canada Infrastructure Bank. Mississaugas of the Credit First Nation has an interest in projects within our historic treaty lands that have environmental benefits and that offer economic participation for our community.
Chief Stacey Laforme, Mississaugas of the Credit First Nation

While our evaluation of the project continues, we recognize this project can contribute to the economic resilience of our Shareholder, the Mississaugas of the Credit First Nation. Subject to the successful conclusion of our collaborative efforts with ITC, we look forward to our involvement in building the necessary infrastructure that enable Ontario's economic engine.
Leonard Rickard, CEO, Mississaugas of the Credit Business Corporation

The Lake Erie Connector demonstrates the advantages of public-private partnerships to develop critical infrastructure that delivers greater value to Ontarians. Connecting Ontario's electricity grid to the PJM electricity market will bring significant, tangible benefits to our province. This new connection will create high-quality jobs, improve system flexibility, and allow Ontario to export more excess electricity to promote cost-savings for Ontario's electricity consumers.
Greg Rickford, Minister of Energy, Northern Development and Mines, Minister of Indigenous Affairs

With the US pledging to achieve a carbon-free electrical grid by 2035, Canada has an opportunity to export clean power, helping to reduce emissions, maximizing clean power use and making electricity more affordable for Canadians. The Lake Erie Connector is a perfect example of that. The Canada Infrastructure Bank's investment will give Ontario direct access to North America's largest electricity market - 13 states and D.C. This is part of our infrastructure plan to create jobs across the country, tackle climate change, and increase Canada's competitiveness in the clean economy, alongside innovation programs like the Hydrogen Innovation Fund that foster clean technology.


Quick Facts

  • The Lake Erie Connector is a 1,000 megawatt, 117 kilometre long underwater transmission line connecting Ontario and Pennsylvania.
  • The PJM Interconnection is a regional transmission organization coordinating the movement of wholesale electricity in all or parts of Delaware, Illinois, Indiana, Kentucky, Maryland, Michigan, New Jersey, North Carolina, Ohio, Pennsylvania, Tennessee, Virginia, West Virginia and the District of Columbia.
  • The project will help to reduce electricity system costs for customers in Ontario, and aligns with ongoing consultations on industrial electricity pricing and programs, while helping to support future capacity needs.
  • The CIB is mandated to invest CAD $35 billion and attract private sector investment into new revenue-generating infrastructure projects that are in the public interest and support Canadian economic growth.
  • The investment commitment is subject to final due diligence and approval by the CIB's Board.

 

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When will the US get 1 GW of offshore wind on the grid?

U.S. Offshore Wind Capacity is set to exceed 1 GW by 2024, driven by BOEM approvals, federal leases, and resilient supply chains, with eastern states scaling renewable energy, turbines, and content despite COVID-19 disruptions.

 

Key Points

Projected gigawatt-scale offshore wind growth enabled by BOEM approvals, federal leases, and East Coast state demand.

✅ 17+ GW leased; only 1,870 MW in announced first phases.

✅ BOEM approvals are critical to reach >1 GW by 2024.

✅ Local supply chains mitigate COVID-19 impacts and lower costs.

 

Offshore wind in the U.S. will exceed 1 GW of capacity by 2024 and add more than 1 GW annually by 2027, a trajectory consistent with U.S. offshore wind power trends, according to a report released last week by Navigant Research.

The report calculated over 17 GW of offshore state and federal leases for wind production, reflecting forecasts that $1 trillion offshore wind market growth is possible. However, the owners of those leases have only announced first phase plans for 1,870 MW of capacity, leaving much of the projects in early stages with significant room to grow, according to senior research analyst Jesse Broehl.

The Business Network for Offshore Wind (BNOW) believes it is possible to hit 1 GW by 2023-24, according to CEO Liz Burdock. While the economy has taken a hit from the coronavirus pandemic, she said the offshore wind industry can continue growing as "the supply chain from Asia and Europe regains speed this summer, and the administration starts clearing" plans of construction.

BNOW is concerned with the economic hardship imposed on secondary and tertiary U.S. suppliers due to the global spread of COVID-19.

Offshore wind has been touted by many eastern states and governors as an opportunity to create jobs, with U.S. wind employment expected to expand, according to industry forecasts. Analysts see the growing momentum of projects as a way to further lower costs by creating a local supply chain, which could be jeopardized by a long-term shutdown and recession.

"The federal government must act now — today, not in December — and approve project construction and operation plans," a recent BNOW report said. Approving any of the seven projects before BOEM, which has recently received new lease requests, currently would allow small businesses to get to work "following the containment of the coronavirus," but approval of the projects next year "may be too late to keep them solvent."

The prospects for maintaining momentum in the industry falls largely to the Department of the Interior's Bureau of Ocean Energy Management (BOEM). The industry cannot hit the 1 GW milestone without project approvals by BOEM, which is revising processes to analyze federal permit applications in the context of "greater build out of offshore wind capacity," according to its website.

"It is heavily dependent on the project approval success," Burdock told Utility Dive.

Currently, seven projects are awaiting determinations from BOEM on their construction operation plans in Massachusetts, New York, where a major offshore wind farm was recently approved, New Jersey and Maryland, with more to be added soon, a BNOW spokesperson told Utility Dive.

To date, only one project has received BOEM approval for development in federal waters, a 12 MW pilot by Dominion Energy and Ørsted in Virginia. The two-turbine project is a stepping stone to a commercial-scale 2.6 GW project the companies say could begin installation as soon as 2024, and gave the developers experience with the permitting process.

In the U.S., developers have the capacity to develop 16.9 GW of offshore wind in federal U.S. lease areas, even as wind power's share of the electricity mix surges nationwide, Broehl told Utility Dive, but much of that is in early stages. The Navigant report did not address any impacts of coronavirus on offshore wind, he said.

Although Massachusetts has legislation in place to require utilities to purchase 1.6 GW of wind power by 2026, and several other projects are in early development stages, Navigant expects the first large offshore wind projects in the U.S. (exceeding 200 MW) will come online in 2022 or later, and the first projects with 400 MW or more capacity are likely to be built by 2024-2025, and lessons from the U.K.'s experience could help accelerate timelines. The U.S. would add about 1.2 GW in 2027, Broehl said.

The federal leasing activities along with the involvement from Eastern states and utilities "virtually guarantees that a large offshore wind market is going to take off in the U.S.," Broehl said.

 

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