Supreme Court to Hear Case from Energy Crisis

By Los Angeles Times


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The U.S. Supreme Court agreed to hear arguments from power companies - including a Calpine Corp. unit - in a case that may affect California's attempt to save $1.4 billion on supply contracts signed during the 2000-to-2001 energy crisis.

The justices will consider whether the Federal Energy Regulatory Commission has the power to cut the price on long-term contracts that customers say were the product of market manipulation. A federal appeals court ordered the agency to reconsider its refusal to adjust the contracts.

The justices will consider appeals by units of Calpine, American Electric Power Co., Allegheny Energy Inc. and Morgan Stanley, which has an electricity marketing unit. Their case centers on long-term contracts with purchasers in Nevada and Washington state, including units of Sierra Pacific Resources and American States Water Co. and the public utility district of Snohomish County, Wash.

The case will affect two similar high court appeals centering on California's energy contracts. The companies pressing those appeals include units of San Diego-based Sempra Energy, Dynegy Inc. and Royal Dutch Shell. The justices took no action on the California cases, opting to hold them until they resolve the Washington and Nevada disputes.

The dispute is part of a many-faceted, multibillion-dollar fight stemming from the 2000-to-2001 energy crisis in the West. The appeals say two 1956 Supreme Court rulings preclude FERC from ordering changes in the contracts.

That agency separately has approved more than $6 billion in settlements of claims that power sellers gouged California during the crisis, when electricity prices rose tenfold, businesses and consumers endured rolling blackouts and the state's two largest utilities became insolvent.

The Supreme Court in June rejected an appeal by power firms seeking to limit refunds they must make to consumers.

California's Public Utilities Commission and the Bush administration were among those urging the Supreme Court not to get involved in the latest case.

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Solar farm the size of 313 football fields to be built at Edmonton airport

Airport City Solar Edmonton will deliver a 120-megawatt, 627-acre photovoltaic, utility-scale renewable energy project at EIA, creating jobs, attracting foreign investment, and supplying clean power to Fortis Alberta and airport distribution systems.

 

Key Points

A 120 MW, 627-acre photovoltaic solar farm at EIA supplying clean power to Fortis Alberta and airport systems.

✅ 120 MW utility-scale project over 627 acres at EIA

✅ Feeds Fortis Alberta and airport distribution networks

✅ Drives jobs, investment, and regional sustainability

 

A European-based company is proposing to build a solar farm bigger than 300 CFL football fields at Edmonton's international airport, aligning with Alberta's red-hot solar growth seen across the province.

Edmonton International Airport and Alpin Sun are working on an agreement that will see the company develop Airport City Solar, a 627-acre, 120-megawatt solar farm that reflects how renewable power developers combine resources for stronger projects on what is now a canola field on the west side of the airport lands.

The solar farm will be the largest at an airport anywhere in the world, EIA said in a news release Tuesday, in a region that also hosts the largest rooftop solar array at a local producer.

"It's a great opportunity to drive economic development as well as be better for the environment," Myron Keehn, vice-president, commercial development and air service at EIA, told CBC News, even as Alberta faces challenges with solar expansion that require careful planning.

"We're really excited that [Alpin Sun] has chosen Edmonton and the airport to do it. It's a great location. We've got lots of land, we're geographically located north, which is great for us, because it allows us to have great hours of sunlight.

"As everyone knows in Edmonton, you can golf early in the morning or golf late at night in the summertime here. And in wintertime it's great, because of the snow, and the reflective [sunlight] off the snow that creates power as well."

Airport official Myron Keehn says the field behind him will become home to the world's largest solar farm at an airport. (Scott Neufeld/CBC)

The project will "create jobs, provide sustainable solar power for our region and show our dedication to sustainability," Tom Ruth, EIA president and CEO, said in the news release, while complementing initiatives by Ermineskin First Nation to expand Indigenous participation in electricity generation.

Construction is expected to begin in early 2022, as new solar facilities in Alberta demonstrate lower costs than natural gas. The solar farm would be operational by the end of that year, the release said. 

Alpin Sun says the project will bring in $169 million in foreign investment to the Edmonton metro region amid federal green electricity contracts that are boosting market certainty. 

Power generated by Airport City Solar will feed into Fortis Alberta and airport distribution systems.

 

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Fish boom prompts energy conglomerate to spend $14.5M to bury subsea cables

Maritime Link Cable Burial safeguards 200-kV subsea cables in the Cabot Strait as Emera and Nova Scotia Power trench lines to mitigate bottom trawling risks from a redfish boom, ensuring Muskrat Falls hydro delivery.

 

Key Points

Trenching Cabot Strait subsea power cables to prevent redfish-driven bottom trawling and ensure Muskrat Falls power.

✅ $14.492M spent trenching 59 km at 400 m depth

✅ Protects 200-kV, 170-km subsea interconnects from trawls

✅ Driven by Gulf redfish boom; DFO and UARB consultations

 

The parent company of Nova Scotia Power disclosed this week to the Utility and Review Board, amid Site C dam watchdog attention to major hydro projects, that it spent almost $14,492,000 this summer to bury its Maritime Links cables lying on the floor of the Cabot Strait between Newfoundland and Cape Breton.

It's a fish story no one saw coming, at least not Halifax-based energy conglomerate Emera.

The parent company of Nova Scotia Power disclosed this week to the Utility and Review Board that it spent almost $14,492,000 this summer to bury its Maritime Link cables lying on the floor of the Cabot Strait between Newfoundland and Cape Breton.

The cables were protected because an unprecedented explosion in the redfish population in the Gulf of St Lawrence is about to trigger a corresponding boom in bottom trawling in the area.

Also known as ocean perch, redfish were not on anyone's radar when the $1.5-billion Maritime Link was designed and built to carry Muskrat Falls hydroelectricity from Newfoundland to Nova Scotia.

The two 200-kilovolt electrical submarine cables spanning the Cabot Strait are the longest in North America, compared with projects like the New England Clean Power Link planned further south. They are each 170 kilometres long and weigh 5,500 tonnes.

Nova Scotia Power customers are paying for the Maritime Link in return for a minimum of 20 per cent of the electricity generated by Muskrat Falls over 35 years.

The electricity is supposed to start sending first electricity through the Maritime Link in mid-2020.

First time cost disclosed
In August, the company buried 59 kilometres of subsea cables one metre below the bottom at depths of 400 metres.

"These cables had not been previously trenched due to the absence of fishing activities at those depths when the cables were originally installed," spokesperson Jeff Myrick wrote in an email to CBC News in October.

Ratepayers will get the bill next year, as utilities also face risks like copper theft that can drive costs in the region. Until now, the company had declined to release costs relating to protecting the Maritime Link.

The bill will be presented to regulators, a process that has affected projects such as a Manitoba Hydro line to Minnesota, when the company applies to recover Maritime Link costs from Nova Scotia Power ratepayers in 2020.

Myrick said the company was acting after consultation with the Department of Fisheries and Oceans.

Unexpected consequences
After years of overfishing in the 1980s and early 1990s, redfish quotas were slashed and a moratorium imposed on some redfish.

Confusingly, there are actually two redfish species in the Gulf of St. Lawrence.

But very strong recent year classes, that have coincided with warming waters in the gulf, as utilities adapt to climate change considerations grow, have produced redfish in massive numbers.

After years of overfishing, the redfish population is now booming in the Gulf of St. Lawrence. (Submitted by Marine Institute)
There is now believed to be three-million tonnes of redfish in the Gulf of St Lawrence.

The Department of Fisheries and Oceans is expected to increase quotas in the coming years and the fishing industry is gearing up in a big way.

Earlier this month, Scotia Harvest announced it will begin construction of a new $14-million fish plant in Digby next spring in part to process increased redfish catches.

 

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Class-action lawsuit: Hydro-Québec overcharged customers up to $1.2B

Hydro-QuE9bec Class-Action Lawsuit alleges overbilling and monopoly abuse, citing RE9gie de l'E9nergie rate increases, Quebec Superior Court filings, and calls for refunds on 2008-2013 electricity bills to residential and business customers.

 

Key Points

Quebec class action alleging Hydro-QuE9bec overbilled customers in 2008-2013, seeking court-ordered refunds.

✅ Filed in Quebec Superior Court; certification pending.

✅ Alleges up to $1.2B in overcharges from 2008-2013.

✅ Questions RE9gie de l'E9nergie rate approvals and data.

 

A group representing Hydro-Québec customers has filed a motion for a class-action lawsuit against the public utility, alleging it overcharged customers over a five-year period.

Freddy Molima, one of the representatives of the Coalition Peuple allumé, accuses Hydro-Québec of "abusing its monopoly."

The motion, which was filed in Quebec Superior Court, claims Hydro-Québec customers paid more than they should have for electricity between 2008 and 2013, to the tune of nearly $1.2 billion, even as Hydro-Québec later refunded $535 million to customers in a separate case. 

The coalition has so far recruited nearly 40,000 participants online as part of its plan to sue the public utility.

A lawyer representing the group said Quebec's energy board, the Régie de l'énergie, also recently approved Hydro-Québec rate increases for residential and business customers without knowing all the facts, even as Manitoba Hydro hikes face opposition in regulatory hearings.

"There's certain information provided to the Régie that isn't true," said Bryan Furlong. "Hydro-Québec has not been providing the Régie the proper numbers."

In its motion, the group asks that overcharged clients be retroactively reimbursed.

Hydro-Québec denies allegations

Hydro-Québec, for its part, denies it ever overbilled any of its clients, while other utilities such as Hydro One plan to redesign bills to improve clarity.

"All our efficiencies have been returned to the government through our profits, and to Quebecers we have billed exactly what we agreed to bill," said spokesperson Serge Abergel, adding that the utility won't seek a rate hike next year according to its current plans.

Quebec Energy Minister Pierre Moreau also came to the public utility's defence, saying it has no choice but to comply with the  energy board's regulations, while customer protections are in focus as Hydro One moves to reconnect 1,400 customers in Ontario.

The group says the public utility has overbilled clients by up to $1.2 billion. (Radio-Canada)

It would be "shocking" if customers were charged too much money, he added.

"I know for a fact that Hydro-Québec is respecting the decision of this body," he said.

While the motion has been filed, the group cannot say how much each customer would receive if the class-action lawsuit goes ahead because it all depends on how much electricity was consumed by each client over that five-year period.

The coalition plans to present its motion to a judge next February.

 

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Iran eyes transmitting electricity to Europe as region’s power hub

Iran Electricity Grid Synchronization enables regional interconnection, cross-border transmission, and Caspian-Europe energy corridors, linking Iraq, Azerbaijan, Russia, and Qatar to West Asia and European markets with reliable, flexible power exchange.

 

Key Points

Iran's initiative to link West Asian and European power grids for trade, transit, reliability, and regional influence.

✅ Synchronizes grids with Iraq, Azerbaijan, Russia, and potential Qatar link

✅ Enables east-to-Europe electricity transit via Caspian energy corridors

✅ Backed by gas-fueled and combined-cycle generation capacity

 

Following a plan for becoming West Asia’s electricity hub, Iran has been taking serious steps for joining its electricity network with neighbors in the past few years.

The Iranian Energy Ministry has been negotiating with the neighboring countries including Iraq for the connection of their power networks with Iran, discussing Iran-Iraq energy cooperation as well as ties with Russia, Afghanistan, Azerbaijan, and Qatar to make them enable to import or transmit their electricity to new destination markets through Iran.

The synchronization of power grids with the neighboring countries, not only enhances Iran’s electricity exchanges with them, but it will also increase the political stance of the country in the region.

So far, Iran’s electricity network has been synchronized with Iraq, where Iran is supplying 40% of Iraq's power today, and back in September, the Energy Minister Reza Ardakanian announced that the electricity networks of Russia and Azerbaijan are the next in line for becoming linked with the Iranian grid in the coming months.

“Within the next few months, the study project of synchronization of the electricity networks of Iran, Azerbaijan, and Russia will be completed and then the executive operations will begin,” the minister said.

Meanwhile, Ardakanian and Qatari Minister of State for Energy Affairs Saad Sherida Al-Kaabi held an online meeting in late September to discuss joining the two countries' electricity networks via sea.

During the online meeting, Al-Kaabi said: "Electricity transfer between the two countries is possible and this proposal should be worked on.”

Now, taking a new step toward becoming the region’s power hub, Iran has suggested becoming a bridge between East and Europe for transmitting electricity.

In a virtual conference dubbed 1st Caspian Europe Forum hosted by Berlin on Thursday, the Iranian energy minister has expressed the country’s readiness for joining its electricity network with Europe.

"We are ready to connect Iran's electricity network, as the largest power generation power in West Asia, with the European countries and to provide the ground for the exchange of electricity with Europe," Ardakanian said addressing the online event.

Iran's energy infrastructure in the oil, gas, and electricity sectors can be used as good platforms for the transfer of energy from east to Europe, he noted.

In the event, which was aimed to study issues related to the development of economic cooperation, especially energy, between the countries of the Caspian Sea region, the official added that Iran, with its huge energy resources and having skilled manpower and advanced facilities in the field of energy, can pave the ground for the prosperity of international transport and energy corridors.

"In order to help promote communication between our landlocked neighbors with international markets, as Uzbekistan aims to export power to Afghanistan across the region, we have created a huge transit infrastructure in our country and have demonstrated in practice our commitment to regional development and peace and stability," Ardakanian said.

He pointed out that having a major percentage of proven oil and gas resources in the world, regional states need to strengthen relations in a bid to regulate production and export policies of these huge resources and potentially play a role in determining the price and supply of these resources worldwide.

“EU countries can join our regional cooperation in the framework of bilateral or multilateral mechanisms such as ECO,” he said.

Given the growing regional and global energy needs and the insufficient investment in the field, with parts of Central Asia facing severe electricity shortages today, as well as Europe's increasing needs, this area can become a sustainable area of cooperation, he noted.

Ardakanian also said that by investing in energy production in Iran, Europe can meet part of its future energy needs on a sustainable basis.

In Iraq, plans for nuclear power plants are being pursued to tackle chronic electricity shortages, reflecting parallel efforts to diversify generation.

Iran currently has electricity exchange with Armenia, Azerbaijan, Iraq, where grid rehabilitation deals have been finalized, Turkmenistan, and Afghanistan.

The country’s total electricity exports vary depending on the hot and cold seasons of the year, since during the hot season which is the peak consumption period, the country’s electricity exports decreases, however electrical communication with neighboring countries continues.

Enjoying abundant gas resources, which is the main fuel for the majority of the country’s power plants, Iran has the capacity to produce about 85,500 megawatts [85.5 gigawatts (GW)] of electricity.

Currently, combined cycle power plants account for the biggest share in the country’s total power generation capacity as Iran is turning thermal plants to combined cycle to save energy, followed by gas power plants.

 

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More than Two-thirds of Americans Indicate Willingness to Give or Donate Part of their Income in Support of the Fight Against Climate Change

U.S. Climate Change Donation Survey reveals Americans' willingness to fund sustainability via government incentives, electrification, and renewable energy. Public opinion favors wind, solar, and decarbonization, highlighting policy support post-pandemic amid economic recovery efforts.

 

Key Points

A 2020 U.S. poll on climate attitudes: donation willingness, renewable support, and views on government incentives.

✅ 70% would donate income; 31% would donate nothing.

✅ 59% prefer government incentives; 47% support taxes, conservation.

✅ 85% land wind, 83% offshore wind, 90% solar support.

 

A new study of American consumers' attitudes toward climate change finds that more than two-thirds of respondents (70%) indicate their willingness to give or donate a percentage of their personal income to support the fight against climate change and the path to net-zero electricity emissions by mid-century. 

Twenty-eight percent indicated they were willing to provide less than 1% of their income; 33% said they would be willing to contribute 1-5% of their income; 6% said they would give between 6-10% of their income; and 3% indicated they would contribute more than 10% of their income. Just under one-third (31%) of those surveyed indicated they were unwilling to give or donate any percentage of their income to support the fight against climate change.

The U.S. findings are part of a series of surveys commissioned by Nexans in the U.S., UK and France, in order to determine public opinion on climate change and related issues in the wake of the COVID-19 pandemic. The U.S. study was conducted online by Researchscape from August 20 – 24, 2020. It had 1,013 respondents, ages 18 or older, with the results weighted to be representative of the overall population (variables available upon request).

Nexans, is headquartered in Paris with a major offshore wind cable manufacturing facility in Charleston, S.C. and an industrial cable manufacturing facility in El Dorado, Ark. The company is fully committed to fighting climate change and is helping to make sustainable electrification possible. The survey was developed as part of its celebration of the first Climate Day in Paris which included a roundtable event with world-renowned experts, the release of an unprecedented global study by Roland Berger on the challenges raised by the electrification of the world, the question of whether the global energy transition is on track, and Nexans' own commitment to be carbon neutral by 2030.

Paying the Tab to Address Climate Change

Participants were given the opportunity to choose from seven multiple responses to the question "How should the fight against climate change be paid for?" The majority (59%) replied it should be paid for by "government incentives for both businesses and consumers." It was followed by "federal, state and/or local taxes" and "conservation programs" (tied at 47%); "business investments" (42%), such as carbon-free electricity initiatives, and "consumer-driven purchases" (33%). Just 9% selected none of the above and 2% selected other.

"Through the organization of this Climate Day, Nexans is asserting itself not only as an actor but also a thought leader of the energy transition for a sustainable electrification of the world. This electrification raises a number of challenges and paradoxes that must be overcome. And it will only happen with the direct involvement of the populations concerned. These surveys provide a better understanding of the level of information and disinformation, including climate change denial, in public opinion as well as their level of acceptability of these lifestyle changes," said Christopher Guérin, CEO, Nexans.

Among other findings, 44% are dissatisfied with the job that federal and state governments are doing to address climate change, while utilities like Duke Energy face investor pressure to release climate reports, 35% are somewhat satisfied and 21% are either very satisfied or completed satisfied with government's role.

Americans expressed overwhelmingly favorable views of wind and solar renewable energy proposals, as carbon emissions fall when electricity producers move away from coal. Specifically, 85% stated being in favor of wind turbines on land (15% against), 83% in favor of wind turbines off the coast (17% against) and 90% in support of solar panel farms (10% opposed).

Those surveyed were asked about their current and changing priorities towards climate change as influenced by the coronavirus pandemic and impacts like extreme heat on electricity bills. Thirty-nine percent indicated that climate change was no more and no less a priority due to the current health emergency; just under a third (31%) indicated that climate change is more of a priority while 30% said it was less of a priority.

In similar research conducted by Nexans in the United Kingdom, nearly two thirds (65.8%) of UK respondents said they would be willing to donate part of their salary to fight climate change. Furthermore, nearly a third (29%) of the UK's consumers believe that combating climate change has become more of a priority in light of the coronavirus pandemic. The UK research was conducted online by Savanta from August 21 – 24, 2020. A total of 2210 respondents, aged 16 and above, representative of the UK population took part.

 

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Europe's largest shore power plant opens

AIDAsol shore power Rostock-Warnemfcnde delivers cold ironing for cruise ships, up to 20 MVA at berths P7 and P8, cutting port emissions during berthing and advancing AIDA's green cruising strategy across European ports.

 

Key Points

Rostock-Warnemfcnde shore power supplies two cruise ships up to 20 MVA, enabling cold ironing and cutting emissions.

✅ Up to 20 MVA; powers two cruise ships at berths P7 and P8

✅ Enables cold ironing for AIDA fleet to reduce berth emissions

✅ Part of AIDA green cruising with fuel cells and batteries

 

In a ceremony held in Rostock-Warnemünde yesterday during Germany’s 12th National Maritime Conference, the 2,174-passenger cruise ship AIDAsol inaugurated Europe’s largest shore power plants for ships.

The power plant has been established under a joint agreement between AIDA Cruises, a unit of Carnival Corporation & plc (NYSE/LSE: CCL; NYSE: CUK), the state government of Mecklenburg-Western Pomerania, the city of Rostock and the Port of Rostock.

“With our green cruising strategy, we have been investing in a sustainable cruise market for many years,” said AIDA Cruises President Felix Eichhorn. “The shore power plant in Rostock-Warnemünde is another important step — after the facility in Hamburg — on our way to an emission-neutral cruise that we want to achieve with our fleet. I would like to thank the state government of Mecklenburg-Western Pomerania and all partners involved for the good and trusting cooperation. Together, we are sending out an important signal, not just in Germany, but throughout Europe.”

CAN POWER TWO CRUISE SHIPS AT A TIME
The shore power plant, which was completed in summer 2020, is currently the largest in Europe and aligns with port electrification efforts such as the all-electric berth at London Gateway in the UK. With an output of up to 20 megavolt amperes (MVA), two cruise ships can be supplied with electricity at the same time at berths P7 and P8 in Warnemünde.

In regular passenger operation AIDAsol needs up to 4.5 megawatts per hour (MWh) of electricity.

The use of shore power to supply ships with energy is a decisive step in AIDA Cruises’ plans to reduce local emissions to zero during berthing, complementing recent progress with electric ships on the B.C. coast, as a cruise ship typically stays in port around 40% of its operating time.

As early as 2004, when the order for the construction of AIDAdiva was placed, and for all other ships put into service in subsequent years, the company has considered the use of shore power as an option for environmentally friendly ship operation.

Since 2017, AIDA Cruises has been using Europe’s first shore power plant in Hamburg-Altona, where AIDAsol is in regular operation, while operators like BC Ferries add hybrid ferries to expand low-emission service in Canada. Currently, 10 ships in the AIDA fleet can either use shore power where available or are technically prepared for it.

The aim is to convert all ships built from 2000 onwards, supporting future solutions like offshore charging with wind power.

With AIDA Cruises starting a cruise season from Kiel, Germany, on May 22, AIDAsol will also be the first cruise ship to complete the final tests on a newly built shore power plant there, as innovations such as Berlin’s electric flying ferry highlight the broader shift toward electrified waterways. Construction of that plant is the result of a joint initiative by the state government of Schleswig-Holstein, the city and the port of Kiel and AIDA Cruises. AIDAsol is scheduled to arrive in Kiel on the afternoon of May 13.

As part of its green cruising strategy, AIDA Cruises has been investing in a sustainable cruise operation for many years, paralleling urban shifts toward zero-emission bus fleets in Berlin. Other steps on the path to the zero emission ship of the future are already in preparation. This year, AIDAnova will receive the first fuel cell to be used on an ocean-going cruise ship. In 2022, the largest battery storage system to date in cruise shipping will go into operation on board an AIDA ship, similar to advances in battery-electric ferries in the U.S. In addition, the company is already addressing the question of how renewable fuels can be used on board cruise ships in the future.

 

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