MEREGIO project uses Smart Grid technology to minimize emissions

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The MEREGIO smart grid project has been selected by the Federal Ministry of Economics and Technology of Germany as a winner of Germany’s “E-Energy” funding competition.

The project, currently underway, is supported by the German government after an independent jury selected MEREGIO and five other outstanding projects for funding.

MEREGIO – “Minimum Emission Region” – is focused on the development of a minimum emission certificate for the model region Karlsruhe/Stuttgart in Germany. The aim of the certification is the complete elimination of CO2 emissions caused by heating and electrical power consumption. It is a project strongly supported by ABB.

The gathered data is intended to motivate other regions to actively reduce their greenhouse gas emissions and promote specific measures to cut CO2 production.

For each household, a smart meter with bi-directional broadband communication interfaces delivers a high level of transparency. Within the pilot project, these meters will be installed at 800 consumer sites, 100 generation units and 100 storages for electrical energy.

A more efficient integration of yield-dependent energy resources in the power grid represents another main toehold for the reduction of CO2 emissions. Therefore customers will receive price signals as motivation for energy consumption. Price signals are particularly suitable if regional bottlenecks force network operators to switch off generation units to ensure network security.

In northern Germany, this situation already regularly occurs in the 60 and 110 kilovolt grid. Since there are currently no measure and communication technologies available, it is the function of restrictive grid codes to avoid such bottlenecks in subordinate voltage levels. Within the MEREGIO project, meters and communication infrastructure will be used to detect the state of the grid on the medium- and low-voltage level. If bottlenecks are detected, the systems automatically set price signals as prevention and – if necessary – power plants will be switched off.

As it will not possible to change existing grid codes within the pilot project, bottlenecks in low- and medium-voltage level will not occur in reality. Therefore, MEREGIO will also simulate load flows in a virtual network model. This online-simulation will be used to analyze how the use of CO2 free energy resources could be maximized in a market-oriented way if grid codes would change.

Another approach to cut CO2 emissions in MEREGIO involves the increase of network capacity and the reduction of network losses by introducing a marketplace for ancillary services. This marketplace will offer the possibility to trade products like reactive power. Such a marketplace, based on a network model, allows the efficient usages of the existing envelopes of generation units to avoid voltage overshoots and to minimize network losses.

In addition to ABB, IBM, SAP, EnBW, Systemplan and the University of Karlsruhe form the MEREGIO project consortium. ABB delivers the necessary network control and interfaces to adjacent systems. Hence, ABB is responsible for the central link between the interconnected physical and commercial processes.

The winning projects were originally announced at the CEBIT 2008 conference.

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Biden calls for 100 percent clean electricity by 2035. Here’s how far we have to go.

Biden Clean Energy Plan 2035 accelerates carbon-free electricity with renewables, nuclear, hydropower, and biomass, invests $2T in EVs, grid and energy efficiency, and tightens fuel economy standards beyond the Clean Power Plan.

 

Key Points

A $2T U.S. climate plan for carbon-free power by 2035, boosting renewables, nuclear, EVs, efficiency, and grid upgrades.

✅ Targets a zero-carbon electric grid nationwide by 2035

✅ Includes renewables, nuclear, hydropower, and biomass in standard

✅ Funds EVs, grid modernization, weatherization, and fuel economy rules

 

This month the Democratic presumptive presidential nominee, Joe Biden, outlined an ambitious plan, including Biden’s solar plan to expand clean energy, for tackling climate change that shows how far the party has shifted on the issue since it controlled the White House.

President Barack Obama’s Clean Power Plan had called for the electricity sector to cut its carbon pollution 32 percent by 2030, and did not lay out a trajectory for phasing out oil, coal or natural gas production.

This year, Democratic 2020 hopefuls such as Sen. Bernie Sanders (I-Vt.) went much further, suggesting the United States should derive all of its electricity from renewable sources by 2030, moving to 100% renewables as part of a $16.3 trillion plan to wean the nation away from fossil fuels. Many other congressional Democrats have embraced the Green New Deal — the nonbinding resolution calling for a carbon-free power sector by 2030 and more energy efficient buildings and vehicles, along with a massive investment in electric vehicles and high-speed rail.

Last year, 38 percent of U.S. electricity generated came from clean sources, according to a Washington Post analysis of data from the U.S. Energy Information Administration, and in April renewables hit a record 28% nationwide.

Biden’s new plan, which carries a price tag of $2 trillion, would eliminate carbon emissions from the electric sector by 2035, impose stricter gas mileage standards, fund investments to weatherize millions of homes and commercial buildings, and upgrade the nation’s transportation system. To reach its 2035 carbon-free electricity goal, the campaign includes wind, solar and several forms of energy, acknowledging why the grid isn’t yet 100% renewable while balancing reliability, that are not always counted in state renewable portfolio standards, such as nuclear, hydropower and biomass.

“A great appeal of the Biden proposal is that it is much closer to targeting carbon directly, which is the ultimate enemy, and plays fewer favorites with particular technologies,” said Michael Greenstone, who directs the University of Chicago’s Energy Policy Institute. “This will reduce the costs to consumers and give more carbon bang for the buck.”

But some environmentalists, such as Friends of the Earth President Erich Pica, question the idea of including more controversial carbon-free technologies. “There is no role for nuclear in a least-cost, low carbon world. Including these dinosaurs in a clean energy standard is going to incentivize industry efforts to keep aging, dangerous facilities online,” Pica said in an email.

Hydropower, which relies on a system of moving water that constantly recharges, is defined as renewable by the Environmental Protection Agency. Biomass is often considered as carbon neutral because even though it releases carbon dioxide when it is burned, the plants capture nearly the same amount of CO2 while growing.


Both forms of energy have come under fire for their environmental impacts, however. Damming streams and rivers can destroy fish habitat and make it more difficult for them to spawn, and it also seems unlikely that hydropower will expand its current 6 percent share of the nation’s electrical grid.

Many experts argue that classifying biomass energy as carbon neutral provides an incentive to cut down trees that would otherwise remain standing and sequester carbon. “If burning this wood were good for the climate, then we should not recycle paper, we should burn it,” noted Tim Searchinger, a research scholar at the Princeton School of Public and International Affairs.

Illinois lead the nation in the amount of electricity generated from nuclear power

More than half of the country — 30 states, Washington, and three territories — have adopted a renewable portfolio standard (RPS), according to the National Conference of State Legislatures, and seven states and one territory have set renewable energy goals. While 14 states, along with the District, Puerto Rico and the Virgin Islands, have established requirements of 50 percent or more carbon-free electricity, nearly as many have set theirs at 15 percent or less.

Maine Gov. Janet Mills (D), who has called for 100% renewable electricity in the state, has pushed clean electricity aggressively since taking office in 2019, lifting a wind energy moratorium imposed by her predecessor and signing bills aimed at expanding the state’s carbon-free energy sources. Biomass accounts for a quarter of the state’s electricity, more than any other state.

New York has one of the country’s most ambitious climate targets, which it scaled up last year. It aims to obtain 70 percent of its power from renewable sources within a decade, a period when renewables surpassed coal in U.S. generation, and eliminate carbon altogether by 2040, even as the state is in the process of shutting down a major nuclear plant near New York City, Indian Point, which is slated to cease operating on April 30, 2021.

... while other states are weakening theirs

Last year, Ohio weakened its renewable energy standard from a target of 12.5 percent in 2027 to 8.5 percent by 2026, even as renewables topped coal nationwide for the first time in over a century, without setting any future goals, and jettisoned its energy efficiency standard. West Virginia — which established modest renewable requirements in 2009 — repealed them altogether in 2015, the year they were set to take effect.

 

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Tornadoes and More: What Spring Can Bring to the Power Grid

Spring Storm Grid Risks highlight tornado outbreaks, flooding, power outages, and transmission disruptions, with NOAA flood outlooks, coal and barge delays, vulnerable nuclear sites, and distribution line damage demanding resilience, reliability, and emergency preparedness.

 

Key Points

Spring Storm Grid Risks show how tornadoes and floods disrupt power systems, fuel transport, and plants guide resilience.

✅ Tornado outbreaks and derechos damage distribution and transmission

✅ Flooding drives outages via treefall, substation and plant inundation

✅ Fuel logistics disrupted: rail coal, river barges, road access

 

The storm and tornado outbreak that recently barreled through the US Midwest, South and Mid-Atlantic was a devastating reminder of how much danger spring can deliver, despite it being the “milder” season compared to summer and winter.  

Danger season is approaching, and the country is starting to see the impacts. 

The event killed at least 32 people across seven states. The National Weather Service is still tallying up the number of confirmed tornadoes, which has already passed 100. Communities coping with tragedy are assessing the damage, which so far includes at least 72 destroyed homes in one Tennessee county alone, and dozens more homes elsewhere. 

On Saturday, April 1–the day after the storm struck–there were 1.1 million US utility customers without power, even as EIA reported a January power generation surge earlier in the year. On Monday morning, April 3, there were still more than 80,000 customers in the dark, according to PowerOutage.us. The storm system brought disruptions to both distribution grids–those networks of local power lines you generally see running overhead to buildings–as well as the larger transmission grid in the Midwest, which is far less common than distribution-level issues. 

While we don’t yet have a lot of granular details about this latest storm’s grid impacts, recent shifts in demand like New York City's pandemic power patterns show how operating conditions evolve, and it’s worth going through what else the country might be in for this spring, as well as in future springs. Moreover, there are steps policymakers can take to prepare for these spring weather phenomena and bolster the reliability and resilience of the US power system. 

Heightened flood risk 
The National Oceanic Atmospheric Administration (NOAA) said in a recent outlook that about 44 percent of the United States is at risk of floods this spring, equating to about 146 million people. This includes most of the eastern half of the country, the federal agency said. 

The agency also sees “major” flood risk potential in some parts of the Upper Mississippi River Basin, and relatively higher risk in the Sierra Nevada region, due in part to a historic snowpack in California.  

Multiple components of the power system can be affected by spring floods. 

Power lines – Floods can saturate soil and make trees more likely to uproot and fall onto power lines. This has been contributing to power outages during California’s recent heavy storms–called atmospheric rivers–that started over the winter. In other regions, soil moisture has even been used as a predictor of where power outages will occur due to hurricanes, so that utility companies are better prepared to send line repair crews to the right areas. Hurricanes are primarily a summer and fall phenomenon, and summer also brings grid stress from air conditioning demand in many states, so for now, during spring, they are less of a concern.  

Fuel transport – Spring floods can hinder the transportation of fuels like coal. While it is a heavily polluting fossil fuel that is set to continue declining as a fuel source for US electricity generation, with the EIA summer outlook for wind and solar pointing to further shifts, coal still accounted for roughly 20 percent of the country’s generation in 2022.   

About 70 percent of US coal is transported at least part of the way by trains. The rail infrastructure to transport coal from the Powder River Basin in Montana and Wyoming–the country’s primary coal source–was proven to be vulnerable to extreme floods in the spring of 2011, and even more extreme floods in the spring of 2019. The 2019 floods’ disruptions of coal shipments to power plants via rail persisted for months and into the summertime, also affecting river shipments of coal by barge. In June 2019, hundreds of barges were stalled in the Mississippi River, through which millions of tons of the fossil fuel are normally transported. 

Power plants – Power plants themselves can also be at risk of flooding, since most of them are sited near a source of water that is used to create steam to spin the plants’ turbines, and conversely, low water levels can constrain hydropower as seen in Western Canada hydropower drought during recent reservoir shortfalls. Most US fossil fuel generating capacity from sources like methane gas, which recently set natural gas power records across the grid, and coal utilizes steam to generate electricity. 

However, much of the attention paid to the flood risk of power plant sites has centered on nuclear plants, a key source of low-carbon electricity discussed in IAEA low-carbon electricity lessons that also require a water source for the creation of steam, as well as for keeping the plant cool in an emergency. To name a notable flood example here in the United States–both visually and substantively–in 2011, the Fort Calhoun nuclear plant in Nebraska was completely surrounded by water due to late-spring flooding along the Missouri River. This sparked a lot of concerns because it was just a few months after the March 2011 meltdown of the Fukushima Daiichi nuclear plant in Japan. The public was thankfully not harmed by the Nebraska incident, but this was unfortunately not an isolated incident in terms of flood risks posed to the US nuclear power fleet. 

 

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PC Leader Doug Ford vows to fire Hydro One CEO, board if elected

Doug Ford's Hydro One firing vow targets CEO pay, the utility's board, and privatization, amid Ontario politics over electricity rates, governance, and control, raising questions about legal tools, contracts, and impacts on customers and taxpayers.

 

Key Points

Ford vows to oust Hydro One's CEO and board to curb pay and signal rate restraint, subject to legal and governance limits.

✅ Province lacks direct control post-privatization

✅ Possible board removals to influence executive pay

✅ Impact on rates, contracts, and shareholders unclear

 

Ontario PC Leader Doug Ford is vowing to fire the head of Hydro One, and its entire board if he's elected premier in June.

Ford made the announcement, calling President and CEO Mayo Schmidt, Premier "Kathleen Wynne's $6-Million dollar man," referring to his yearly salary and bonuses, which now add up to $6.2 million.

"This board and this CEO are laughing themselves to the bank," Ford said.

However, it's unclear how Ford would do that since the province does not control the company anymore.

"We don't have the ability to go out and say we are firing the CEO at Hydro One," PC energy critic Todd Smith said while speaking to reporters after Ford's remarks.

#google#

However, he said "we do have tools at our disposal in the tool box. The unfortunate thing is that Kathleen Wynne and the Liberals have just let those tools sit there for the last couple of years and [have] not taken action on things like this."

Smith declined to provide details about what those tools are, but suggested Ford would have the right to fire Hydro's board.

He said that would send a message "that we're not going to accept these salaries."

Smith says the Ontario gov still has the right to fire Hydro One board. What about their contracts? Pay them out? Smith says they don't know the details of people's contacts

We will not engage in politics,' Hydro One says

A Hydro One spokesperson said the amount customers pay to compensate the CEO's salary is the same as before privatization — two cents on each monthly bill.

"We will not engage in politics, however our customers deserve the facts," said the email statement to CBC Toronto.

"Nearly 80 per cent of the total executive compensation package is paid for by shareholders."

Ontario NDP MPP Peter Tabuns says Ford is pro-privatization, and that won't help those struggling with high hydro bills. (Michelle Siu/The Canadian Press)

Peter Tabuns, the NDP's energy critic, said his government would aim to retake public control of Hydro One to cap CEO pay and control the CEO's "outrageous salary."

But while he shares Ford's goal of cutting Schmidt's pay, Tabuns blasted what he believes would be the PC leader's approach.

"Doug Ford has no idea how to reign [sic] in the soaring hydro bills that Ontario families are facing — in fact, if his threats of further privatization include hydro, he'll drive bills and executive salaries ever higher," he said in an email statement.

The only plan we've heard from Doug Ford so far is firing people and laying off people.- Glenn Thibeault, Energy Minister

​Tabuns says his party would aim to cut hydro bills by 30 per cent.

Meanwhile, Liberal Energy Minister Glenn Thibeault said Ford's plan will do nothing to address the actual issue of keeping hydro rates low, comparing his statement Thursday to the rhetoric and actions of U.S. President Donald Trump.

"The only plan we've heard from Doug Ford so far is firing people and laying off people," Thibeault said.

"What I'm seeing a very strong prevalence to is the person running the White House. He's been doing a lot of firing as well and that's not been working out so well for them."

Wynne government has taken steps to cut hydro bills, including legislation to lower electricity rates in Ontario.

Hydro prices have shot up in recent years prompting criticism from across Ontario. Wynne made the controversial move of privatizing part of the utility beginning in 2015.

By Oct. 2017, the Ontario Liberal government's "Fair Hydro Plan" had brought down the average household electricity bill by a 25% rate cut from the peak it hit in the summer of 2016. The Wynne government has also committed to keep rate increases below inflation for the next four years, but admits bills will rise significantly in the decade that follows as a recovery rate could drive costs higher.

Ford blasted the government's moves during a Toronto news conference, echoing calls to scrap the Fair Hydro Plan and review other options.

"The party's over with the tax payer's money, we're going to start respecting the tax payers," Ford said, repeatedly saying the money spent on Hydro One salaries is "morally indefensible."

 

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Germany should stop lecturing France on nuclear power, says Eon boss

EU Nuclear Power Dispute strains electricity market reform as Germany resists state aid for French reactors, while Eon urges cooperation to meet the energy transition, low-carbon goals, renewables integration, and cross-border power trade.

 

Key Points

A policy standoff between Germany and France over nuclear energy's role, state aid, and electricity market reforms.

✅ Germany opposes state aid for existing French nuclear plants.

✅ Eon CEO urges compromise to advance market reform and decarbonization.

✅ Cross-border trade shows reliance on French nuclear amid renewables push.

 

Germany should stop trying to impose its views on nuclear power on the rest of the EU, the head of one of Europe’s largest utilities has warned, as he stressed its importance in the region’s clean energy transition.

Leonhard Birnbaum, chief executive of German energy provider Eon, said Berlin should accept differences of opinion as he signalled his desire for a compromise with France to break a deadlock amid a nuclear power dispute over energy reforms.

Germany this year shut down its final three nuclear power plants as it followed through on a long-held promise to drop the use of the energy source, effectively turning its back on nuclear for now, while France has made it a priority to modernise its nuclear power plants.

The differences are delaying reforms to the region’s electricity market and legislation designed to meet greenhouse gas emissions targets.

One sticking point is Germany’s refusal to back French moves to allow governments to provide state aid to existing power plants, which could enable Paris to support the French nuclear fleet.

The Eon chief, whose company has 48mn customers across Europe, said it would be “better for everyone” if the two countries could approach the dispute with the mindset that “everyone does their part”, even as Germany has at times weighed a U-turn on the nuclear phaseout in recent debates.

“Neither the French will be able to persuade us to use nuclear power, nor we will be able to persuade them not to. That’s why I think we should take a different approach to the discussion,” he added.

Birnbaum said Germany “would do well to be a bit cautious about trying to impose our way on everyone else”. This approach was unlikely to be “crowned with success”.

“The better solution will not come from opposing each other, but from working together.”

Birnbaum made the comments at a press conference announcing Eon’s second-quarter results.

The company raised its profit outlook, predicting adjusted net income of €2.7bn to €2.9bn, and promised to reduce bills for customers as it hailed “diminishing headwinds” following the energy crisis caused by the war in Ukraine.

Birnbaum, whose company owned one of the three German nuclear plants shut down this year, pointed out that French nuclear energy was helping the conversion to a system of renewable energy in Germany at a time when Europe is losing nuclear power just when it needs energy.

This was a reference to Europe’s shared power market that allows countries to buy and sell electricity from one another. 

Germany has been a net importer of French electricity since shutting down its own nuclear plants, which last month prompted the French energy minister Agnès Pannier-Runacher to accuse Berlin of hypocrisy. 

“It’s a contradiction to massively import French nuclear energy while rejecting every piece of EU legislation that recognises the value of nuclear as a low-carbon energy source,” Pannier-Runacher told the German business daily Handelsblatt.

She also criticised Berlin’s drive to use new gas-fired power plants as a “bridge” to its target of being carbon neutral by 2045, even as some German officials contend that nuclear won’t solve the gas issue in the near term, arguing that it created a “credibility problem” for Germany: “Gas is a fossil fuel.”

Berlin officials responded by pointing out that Germany was a net exporter of electricity to France over the winter when its nuclear power stations were struggling to produce because of maintenance problems. 

They added that the country only imported French power because it was cheaper, not because their country was suffering shortages.

Berlin argues that renewable energy is cleaner and safer than nuclear, despite renewable rollout challenges linked to cheap Russian gas and grid expansion, and accuses France of seeking to protect the interests of its nuclear industry.

In Paris, officials see Germany’s resistance to nuclear energy as wrong-headed given the need to fight climate change effectively, and worry it is an attempt to undercut a key aspect of French industrial competitiveness.
 

 

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Zero-emission electricity in Canada by 2035 is practical and profitable

Canada 100% Renewable Power by 2035 envisions a decentralized grid built on wind, solar, energy storage, and efficiency, delivering zero-emission, resilient, low-cost electricity while phasing out nuclear and gas to meet net-zero targets.

 

Key Points

Zero-emission, decentralized grid using wind, solar, and storage, plus efficiency, to retire fossil and nuclear by 2035.

✅ Scale wind and solar 18x with storage for reliability.

✅ Phase out nuclear and gas; no CCS or offsets needed.

✅ Modernize grids and codes; boost efficiency, jobs, and affordability.

 

A powerful derecho that left nearly a million people without power in Ontario and Quebec on May 21 was a reminder of the critical importance of electricity in our daily lives.

Canada’s electrical infrastructure could be more resilient to such events, while being carbon-emission free and provide low-cost electricity with a decentralized grid powered by 100 per cent renewable energy, according to a new study from the David Suzuki Foundation (DSF), a vision of an electric, connected and clean future if the country chooses.

This could be accomplished by 2035 by building a lot more solar and wind, despite indications that demand for solar electricity has lagged in Canada, adding energy storage, while increasing the energy efficiency in buildings, and modernizing provincial energy grids. As this happens, nuclear energy and gas power would be phased out. There would also be no need for carbon capture and storage nor carbon offsets, the modeling study concluded.

“Solar and wind are the cheapest sources of electricity generation in history,” said study co-author Stephen Thomas, a mechanical engineer and climate solutions policy analyst at the DSF.

“There are no technical barriers to reaching 100 per cent zero-emission electricity by 2035 nationwide,” Thomas told The Weather Network (TWN). However, there are considerable institutional and political barriers to be overcome, he said.

Other countries face similar barriers and many have found ways to reduce their emissions; for example, the U.S. grid's slow path to 100% renewables illustrates these challenges. There are enormous benefits including improved air quality and health, up to 75,000 new jobs annually, and lower electricity costs. Carbon emissions would be reduced by 200 million tons a year by 2050, just over one quarter of the reductions needed for Canada to meet its overall net zero target, the study stated.

Building a net-zero carbon electricity system by 2035 is a key part of Canada’s 2030 Emissions Reduction Plan. Currently over 80 per cent of the nation’s electricity comes from non-carbon sources including a 15 per cent contribution from nuclear, with solar capacity nearing a 5 GW milestone nationally. How the final 20 per cent will be emission-free is currently under discussion.

The Shifting Power study envisions an 18-fold increase in wind and solar energy, with the Prairie provinces expected to lead growth, along with a big increase in Canada’s electrical generation capacity to bridge the 20 per cent gap as well as replacing existing nuclear power.

The report does not see a future role for nuclear power due to the high costs of refurbishing existing plants, including the challenges with disposal of radioactive wastes and decommissioning plants at their end of life. As for the oft-proposed small modular nuclear reactors, their costs will likely “be much more costly than renewables,” according to the report.

There are no technical barriers to building a bigger, cleaner, and smarter electricity system, agrees Caroline Lee, co-author of the Canadian Climate Institute’s study on net-zero electricity, “The Big Switch” released in May. However, as Lee previously told TWN, there are substantial institutional and political barriers.

In many respects, the Shifting Power study is similar to Lee’s study except it phases out nuclear power, forecasts a reduction in hydro power generation, and does not require any carbon capture and storage, she told TWN. Those are replaced with a lot more wind generation and more storage capacity.

“There are strengths and weaknesses to both approaches. We can do either but need a wide debate on what kind of electricity system we want,” Lee said.

That debate has to happen immediately because there is an enormous amount of work to do. When it comes to energy infrastructure, nearly everything “we put in the ground has to be wind, solar, or storage” to meet the 2035 deadline, she said.

There is no path to net zero by 2050 without a zero-emissions electricity system well before that date. Here are some of the necessary steps the report provided:

Create a range of skills training programs for renewable energy construction and installation as well as building retrofits.

Prioritize energy efficiency and conservation across all sectors through regulations such as building codes.

Ensure communities and individuals are fully informed and can decide if they wish to benefit from hosting energy generation infrastructure.

Create a national energy poverty strategy to ensure affordable access.

Strong and clear federal and provincial rules for utilities that mandate zero-emission electricity by 2035.

For Indigenous communities, make sure ownership opportunities are available along with decision-making power.

Canada should move as fast as possible to 100 per cent renewable energy to gain the benefits of lower energy costs, less pollution, and reduced carbon emissions, says Stanford University engineer and energy expert Mark Jacobson.

“Canada has so many clean, renewable energy resources that it is one of the easier countries [that can] transition away from fossil fuels,” Jacobson told TWN.

For the past decade, Jacobson has been producing studies and technical reports on 100 per cent renewable energy, including a new one for Canada, even as Canada is often seen as a solar power laggard today. The Stanford report, A Solution to Global Warming, Air Pollution, and Energy Insecurity for Canada, says a 100 per cent transition by 2035 timeline is ideal. Where it differs from DSF’s Shifting Power report is that it envisions offshore wind and rooftop solar panels which the latter did not.

“Our report is very conservative. Much more is possible,” agrees Thomas.

“We’re lagging behind. Canadians really want to get going on building solutions and getting the benefits of a zero emissions electricity system.”

 

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TransAlta Poised to Finalize Alberta Data Centre Agreement in 2025 

TransAlta Alberta Data Centre integrates AI, cloud computing, and renewable energy, tackling electricity demand, grid capacity, decarbonization, and energy storage with clean power, cooling efficiency, and PPA-backed supply for hyperscale workloads.

 

Key Points

TransAlta Alberta Data Centre is a planned AI facility powered mostly by renewables to meet high electricity demand.

✅ Targets partner exclusivity mid-year; ops 18-24 months post-contract.

✅ Supplies ~90% power via TransAlta; balance from market.

✅ Anchors $3.5B clean energy growth and storage in Alberta.

 

TransAlta Corp., one of Alberta’s leading power producers, is moving toward finalizing agreements with partners to establish a data centre in the province, aligned with AI data center grid integration efforts nationally, aiming to have definitive contracts signed before the end of the year.

CEO John Kousinioris stated during an analyst conference that the company seeks to secure exclusivity with key partners by mid-year, with detailed design plans and final agreements expected by late 2025. Once the contracts are signed, the data centre is anticipated to be operational within 18 to 24 months, a horizon mirrored by Medicine Hat AI grid upgrades initiatives that aim to modernize local systems.

Data centres, which are critical for high-tech industries such as artificial intelligence, consume large amounts of electricity to run and cool servers, a trend reflected in U.S. utility power challenges reporting, underscoring the scale of energy demand. In this context, TransAlta plans to supply around 90% of its partner's energy needs for the facility, with the remainder coming from the broader electricity market.

Alberta has identified data centres as a strategic priority, aiming to see $100 billion in AI-related data centre construction over the next five years. However, the rapid growth of this sector presents challenges for the region’s energy infrastructure. Electricity demand from data centres has already outpaced the available capacity in Alberta’s power grid, intensifying discussions about a western Canadian electricity grid to improve regional reliability, potentially impacting the province’s decarbonization goals.

To address these challenges, TransAlta has adopted a renewable energy investment strategy. The company announced a $3.5 billion growth plan focused primarily on clean electricity generation and storage, as British Columbia's clean energy shift advances across the region, through 2028. By then, more than two-thirds of TransAlta’s earnings are expected to come from renewable power generation, supporting progress toward a net-zero electricity grid by 2050 nationally.

The collaboration between TransAlta and data centre developers represents an opportunity to balance growing energy demand with sustainability goals. By integrating renewable energy generation into data centre operations and broader macrogrid investments, Alberta could move toward a cleaner and more resilient energy future.

 

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