Smart meters to reach 100-million milestone in 2014

By IHS Research, Inc.


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Austin, Texas — Counter to the somber mood that many metering manufacturers have been displaying in recent years, worldwide shipments of communication-enabled meters will grow to more than 100 million units annually in 2014, according to IHS Inc., a leading source of global insight and information.

Up from an estimated 82 million units in 2013, annual shipments of the meters will pass the hundred-million mark next year and remain there until at least 2017. By then, these units are expected to account for almost $5 billion in revenue for meter manufacturers, reveals the report entitled “The World Market for Smart Electricity Meters – 2013.”

The projection comes despite a rapidly decreasing North American market given the drying up of government funding, watered-down meter legislation in Latin America and continuing delays to the long-expected smart meter rollouts in the European Union.

“While it is true that growth in many of the traditional markets for advanced metering solutions has been disappointing in recent years, there is quite a bit of good news as well,” said Jacob Pereira, IHS analyst for smart utilities infrastructure. “China’s massive infrastructure-modernization effort includes a continuing countrywide overhaul of old metering systems, and that can make a big difference in a country of well over 400 million metering endpoints. In addition, recent announcements from some of the larger EU economies have added clarity to when their long-anticipated rollouts will begin in earnest, charging up the market.”

Even so, the majority of communicating meters being installed in Chinese homes and businesses do not meet the “smart” criterion for many people, Pereira noted. “These meters are simple one-way communicating devices used for automatic meter reading, not the advanced functions usually associated with the word ‘smart.’ However, the European meter rollouts expected to start up within the next few years will generally incorporate multiple other features,” Pereira added.

The news of future growth is sure to be a relief to many manufacturers who have become used to dismal news in recent years, such as the end to U.S. stimulus funding, BrazilÂ’s disappointing meter mandates and multiple delays to European rollouts.

“The market for communicating meters isn’t stopping, or even slowing for that matter,” Pereira observed. “It’s just changing locations.”

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Green hydrogen, green energy: inside Brazil's $5.4bn green hydrogen plant

Enegix Base One Green Hydrogen Plant will produce renewable hydrogen via electrolysis in Ceara, Brazil, leveraging 3.4 GW baseload renewables, offshore wind, and hydro to scale clean energy, storage, and export logistics.

 

Key Points

A $5.4bn Ceara, Brazil project to produce 600m kg of green hydrogen annually using 3.4 GW of baseload renewables.

✅ 3.4 GW baseload from hydro and offshore wind pipelines

✅ Targets 600m kg green hydrogen per year via electrolysis

✅ Focus on storage, transport, and export supply chains

 

In March, Enegix Energy announced some of the most ambitious hydrogen plans the world has ever seen. The company signed a memorandum of understanding (MOU) with the government of the Brazilian state of Ceará to build the world’s largest green hydrogen plant in the state on the country’s north-eastern coast, and the figures are staggering.

The Base One facility will produce more than 600 million kilograms of green hydrogen annually from 3.4GW of baseload renewable energy, and receive $5.4bn in investment to get the project off the ground and producing within four years.

Green hydrogen, hydrogen produced by electrolysis that is powered by renewables, has significant potential as a clean energy source. Already seeing increased usage in the transport sector, the power source boasts the energy efficiency and the environmental viability to be a cornerstone of the world’s energy mix.

Yet practical challenges have often derailed large-scale green hydrogen projects, from the inherent obstacle of requiring separate renewable power facilities to the logistical and technological challenges of storing and transporting hydrogen. Could vast investment, clever planning, and supportive governments and programs like the DOE’s hydrogen hubs initiative help Enegix to deliver on green hydrogen’s oft-touted potential?

Brazilian billions
The Base One project is exceptional not only for its huge scale, but the timing of its construction, with demand for hydrogen set to increase dramatically over the next few decades. Figures from Wood Mackenzie suggest that hydrogen could account for 1.4 billion tonnes of energy demand by 2050, one-tenth of the world’s supply, with green hydrogen set to be the majority of this figure.

Yet considering that, prior to the announcement of the Enegix project, global green hydrogen capacity was just 94MW, advances in offshore green hydrogen and the development of a project of this size and scope could scale up the role of green hydrogen by orders of magnitude.

“We really need to [advance clean energy] without any emissions on a completely clean, carbon neutral and net-zero framework, and so we needed access to a large amount of green energy projects,” explains Wesley Cooke, founder and CEO of Enegix, a goal aligned with analyses that zero-emissions electricity by 2035 is possible, discussing the motivation behind the vast project.

With these ambitious goals in mind, the company needed to find a region with a particular combination of political will and environmental traits to enable such a project to take off.


“When we looked at all of these key things: pipeline for renewables, access to water, cost of renewables, and appetite for renewables, Brazil really stood out to us,” Cooke continues. “The state of Ceará, that we’ve got an MOU with the government in at the moment, ticks all of these boxes.”

Ceará’s own clean energy plans align with Enegix’s, at least in terms of their ambition and desire for short-term development. Last October, the state announced that it plans to add 5GW of new offshore wind capacity in the next five years. With BI Energia alone providing $2.5bn in investment for its 1.2GW Camocim wind facility, there is significant financial muscle behind these lofty ambitions.

“One thing I should add is that Brazil is very blessed when it comes to baseload renewables,” says Cooke. “They have an incredibly high percentage of their country-wide energy that comes from renewable sources and a lot of this is in part due to the vast hydro schemes that they have for hydro dams. Not a lot of countries have that, and specifically when you’re trying to produce hydrogen, having access to vast amounts of renewables [is vital].”

Changing perceptions and tackling challenges
This combination of vast investment and integration with the existing renewable power infrastructure of Ceará could have cultural impacts too. The combination of state support for and private investment in clean energy offsets many of the narratives emerging from Brazil concerning its energy policies and environmental protections, even as debates over clean energy's trade-offs persist in Brazil and beyond, from the infamous Brumadinho disaster to widespread allegations of illegal deforestation and gold mining.

“I can’t speak for the whole of Brazil, but if we look at Ceará specifically, and even from what we’ve seen from a federal government standpoint, they have been talking about a hydrogen roadmap for Brazil for quite some time now,” says Cooke, highlighting the state’s long-standing support for green hydrogen. “I think we came in at the perfect time with a very solid plan for what we wanted to do, [and] we’ve had nothing but great cooperation, and even further than just cooperation, excitement around the MOU.”

This narrative shift could help overcome one of the key challenges facing many hydrogen projects, the idea that its practical difficulties render it fundamentally unsuitable for baseload power generation. By establishing a large-scale green hydrogen facility in a country that has recently struggled to present itself as one that is invested in renewables, the Base One facility could be the ultimate proof that such clean hydrogen projects are viable.

Nevertheless, practical challenges remain, as is the case with any energy project of this scale. Cooke mentions a number of solutions to two of the obstacles facing hydrogen production around the world: renewable energy storage and transportation of the material.

“We were looking at compressed hydrogen via specialised tankers [and] we were looking at liquefied hydrogen, [as] you have to get liquefied hydrogen very cool to around -253°, and you can use 30% to 40% of your total energy that you started with just to get it down to that temperature,” Cooke explains.

“The other aspect is that if you’re transporting this internationally, you really have to think about the supply chain. If you land in a country like Indonesia, that’s wonderful, but how do you get it from Indonesia to the customers that need it? What is the supply chain? What does that look like? Does it exist today?”

The future of green hydrogen
These practical challenges present something of a chicken and egg problem for the future of green hydrogen: considerable up-front investment is required for functions such as storage and transport, but the difficulties of these functions can scare off investors and make such investments uncommon.

Yet with the world’s environmental situation increasingly dire, more dramatic, and indeed risky, moves are needed to alter its energy mix, and Enegix is one company taking responsibility and accepting these risks.

“We need to have the renewables to match the dirty fuel types,” Cooke says. “This [investment] will really come from the decisions that are being made right now by large-scale companies, multi-billion-euro-per-year revenue companies, committing to building out large scale factories in Europe and Asia, to support PEM [hydrolysis].”

This idea of large-scale green hydrogen is also highly ambitious, considering the current state of the energy source. The International Renewable Energy Agency reports that around 95% of hydrogen comes from fossil fuels, so hydrogen has a long ways to go to clean up its own carbon footprint before going on to displace fossil fuel-driven industries.

Yet this displacement is exactly what Enegix is targeting. Cooke notes that the ultimate goal of Enegix is not simply to increase hydrogen production for use in a single industry, such as clean vehicles. Instead, the idea is to develop green hydrogen infrastructure to the point where it can replace coal and oil as a source of baseload power, leapfrogging other renewables to form the bedrock of the world’s future energy mix.

“The problem with [renewable] baseload is that they’re intermittent; the wind’s not always blowing and the sun’s not always shining and batteries are still very expensive, although that is changing. When you put those projects together and look at the levelised cost of energy, this creates a chasm, really, for baseload.

“And for us, this is really where we believe that hydrogen needs to be thought of in more detail and this is what we’re really evangelising about at the moment.”

A more hydrogen-reliant energy mix could also bring social benefits, with Cooke suggesting that the same traits that make hydrogen unwieldy in countries with established energy infrastructures could make hydrogen more practically viable in other parts of the world.

“When you look at emerging markets and developing markets at the moment, the power infrastructure in some cases can be quite messy,” Cooke says. “You’ve got the potential for either paying for the power or extending your transmission grid, but rarely being able to do both of those.

“I think being able to do that last mile piece, utilising liquid organic hydrogen carrier as an energy vector that’s very cost-effective, very scalable, non-toxic, and non-flammable; [you can] get that power where you need it.

“We believe hydrogen has the potential to be very cost-effective at scale, supporting a vision of cheap, abundant electricity over time, but also very modular and usable in many different use cases.”

 

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BOE Says UK Energy Price Guarantee is Key for Next Rates Call

UK Market Stability Outlook remains febrile as the Bank of England, Treasury, and OBR forecasts shape fiscal policy, interest rates, gilt yields, inflation, energy bills, and pound sterling, with Oct. 31 guidance to reassure investors.

 

Key Points

A view of investor confidence as BOE policy, fiscal plans, and energy aid shape inflation and interest rates.

✅ Markets await Oct. 31 fiscal statement and OBR projections

✅ Energy support design drives inflation and disposable income

✅ Pound weakness adds imported inflation; rates seen up 75 bps

 

Bank of England Deputy Governor Dave Ramsden said financial markets are still unsettled about the outlook for the UK and that a Treasury statement due on Oct. 31 may provide some reassurance.

Speaking to the Treasury Committee in Parliament, Ramsden said officials in government and the central bank are dealing with huge economic shocks, notably the surge in energy prices that came with Russia’s attack on Ukraine. Investors are reassessing where interest rates and the fiscal stance are headed.

“Markets remain quite febrile,” Ramsden told members of Parliament in London on Monday. “Things have not settled down yet.”

He described the events following Prime Minister Liz Truss’s ill-fated fiscal statement on Sept. 23, which set out a series of tax cuts funded by borrowing that spooked investors and triggered a rout in UK assets. Ramsden said those events damaged the UK’s credibility among investors, but reversing that program and Truss’s decision to step aside have helped the nation regain confidence.

“Credibility is hard won and easily lost,” Ramsden said. “That credibility is being recovered. That has to be followed through. A return to the kind of stability around policy making and around the framing of fiscal events will be really important.”

He said the issue with the Sept. 23 statement was that “it had one side of the fiscal arithmetic in it” and that the decision to include forecasts from the Office for Budget Responsibility will help underpin the confidence investors have in assessing the UK budget due out next week, including potential moves to end the link between gas and electricity prices for consumers.

“What we are going to get on Oct. 31 will be very important,” Ramsden said, “as it will address measures such as the price cap on household energy bills and other fiscal choices.”

“My sense is that will take account of all the statements on both the revenue and on the spending side.”

The central bank already was getting some information from Chancellor of the Exchequer Jeremy Hunt’s team about the fiscal statement due. Hunt said last week he’d curtail government plans to subsidize household fuel bills in April, when a 16% decrease in energy bills is anticipated, instead of letting it run as long as planned and replace it with a more targeted program. 

“To the extent possible, we will obviously have a little bit of time to take account of that before we make our decisions later next week,” Ramsden said.

With Truss stepping down in the next day and handing power to Rishi Sunak, it isn’t certain the Oct. 31 statement will go ahead as planned. Ramsden’s remarks confirm reports that Hunt is preparing to make the statement, amid a free electricity debate in the industry, even before Sunak names his team.

Any hint about what sort of package Hunt will offer on energy is crucial to the BOE’s forecasts. Without aid for energy, consumers will be exposed to high winter heating and electricity costs and to the full force of whatever happens in natural gas and electricity markets, and that will have a big impact on how much disposable income is available to households.

The energy plan, alongside the energy security bill, “will be a key element, as obviously it will have a bearing on the path for inflation, which is critical, but also how much additional support relative to what we were assuming at the time of the September MPC there will be for households at different points in the income distribution,” Ramsden added.

Investors currently expect the BOE to hike rates by 75 basis points next week.

Ramsden also said the BOE is watching the pound’s decline to assess how that changes the outlook for inflation.

“We have to take account of it,” Ramsden said. “When sterling deprreciaties that feeds through to imported inflation. It’s fallen quite significantly. The overall trend is down.”

 

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Customers on the hook for $5.5 billion in deferred BC Hydro operating costs: report

BC Hydro Deferred Regulatory Assets detail $5.5 billion in costs under rate-regulated accounting, to be recovered from ratepayers, highlighting B.C. Utilities Commission oversight, audit scrutiny, financial reporting impacts, and public utility governance.

 

Key Points

BC Hydro defers costs as regulatory assets to recover from ratepayers, influencing rates and financial reporting.

✅ $5.5B in deferred costs recorded as net regulatory assets

✅ Rate impacts tied to B.C. Utilities Commission oversight

✅ Auditor General to assess accounting and governance

 

Auditor General Carol Bellringer says BC Hydro has deferred $5.5 billion in expenses that it plans to recover from ratepayers in the future, as rates to rise by 3.75% over two years.

Bellringer focuses on the deferred expenses in a report on the public utility's use of rate-regulated accounting to control electricity rates for customers.

"As of March 31, 2018, BC Hydro reported a total net regulatory asset of $5.455 billion, which is what ratepayers owe," says the report. "BC Hydro expects to recover this from ratepayers in the future. For BC Hydro, this is an asset. For ratepayers, this is a debt."

She says rate-regulated accounting is used widely across North America, but cautions that Hydro has largely overridden the role of the independent B.C. Utilities Commission to regulate rates.

"We think it's important for the people of B.C. and our members of the legislative assembly to better understand rate-regulated accounting in order to appreciate the impact it has on the bottom line for BC Hydro, for government as a whole, for ratepayers and for taxpayers, especially following a three per cent rate increase in April 2018," Bellringer said in a conference call with reporters.

Last June, the B.C. government launched a two-phase review of BC Hydro to find cost savings and look at the direction of the Crown utility, amid calls for change from advocates.

The review came shortly after a planned government rate freeze was overturned by the utilities commission, which resulted in a three per cent rate increase in April 2018.

A statement by BC Hydro and the government says a key objective of the review due this month is to enhance the regulatory oversight of the commission.

Bellringer's office will become BC Hydro's auditor next year — and will be assessing the impact of regulation on the utility's financial reporting.

"It is a complex area and confidence in the regulatory system is critical to protect the public interest," wrote Bellringer.

 

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Electrifying Manitoba: How hydro power 'absolutely revolutionized' the province

Manitoba Electrification History charts arc lights, hydroelectric dams, Winnipeg utilities, transmission lines, rural electrification, and Manitoba Hydro to today's wind, solar, and EV transition across the provincial power grid, driving modernization and reliability.

 

Key Points

Manitoba's power evolution from arc lights to hydro and rural electrification, advancing wind and solar on a modern grid.

✅ 1873 Winnipeg arc light predates Edison and Bell.

✅ 1919 Act built transmission lines, rural electrification.

✅ Hydroelectric dams reshaped lands and affected First Nations.

 

The first electric light in Manitoba was turned on in Winnipeg in 1873, but it was a century ago this year that the switch was flipped on a decision that would bring power to the fingertips of people across the province.

On March 12, 1873, Robert Davis — who owned the Davis House hotel on Main Street, about a block from Portage Avenue — used an electric arc light to illuminate the front of his building, according to A History of Electric Power in Manitoba, published by Manitoba Hydro.

That type of light used an an inert gas in a glass container to create an electric arc between two metal electrodes.

"The lamp in front of the Davis Hotel is quite an institution," a Manitoba Free Press report from the day said. "It looks well and guides the weary traveller to a haven of rest, billiards and hot drinks."

A ladder crew from the Winnipeg Electric Street Railway Company working on an electric trolley line in 1905. (I.F. Allen/Manitoba Hydro archives)

The event took place six years before Thomas Edison's first incandescent lamp was invented and three years before the first complete sentence was spoken over the telephone by Alexander Graham Bell.

"Electrification probably had a bigger influence on the lives of Manitobans than virtually anything else," said Gordon Goldsborough, head researcher with the Manitoba Historical Society.

"It's one of the most significant changes in the lives of Manitobans ever, because basically it transformed so many aspects of their lives. It wasn't just one thing — it touched pretty much every aspect of life."

 

Winnipeg gets its 1st street lamps

In the pioneer days of lighting and street railway transportation in Winnipeg, multiple companies formed in an effort to take advantage of the new utility: Winnipeg Gas Company, Winnipeg General Power Company, Manitoba Electric and Gas Light Company, and The North West Electric Light and Power Company.

In October 1882, the first four street lamps, using electric arc lights, were turned on along Main Street from Broadway to the CPR crossing over the Assiniboine River.

They were installed privately by P.V. Carroll, who came from New York to establish the Manitoba Electric Light & Power Company and try to win a contract for illuminating the rest of the city's streets.

He didn't get it. Newspaper reports from the time noted many outages and other problems and general disappointment in the quality of the light.

Instead, the North West Electric Light and Power Company won that contract and in June 1883 it lit up the streets.

Workers erect a wooden hydro pole beside the Belmont Hotel in 1936. Belmont is a small community southeast of Brandon. (Manitoba Hydro archives)

Over the years, other companies would bring power to the city as it became more reliable, including the Winnipeg Electric Street Railway Company (WERCo), which built the streetcar system and sold electric heat, light and power.

But it was the Brandon Electric Light Company that first tapped into a new source of power — hydro. In 1900, a dam was built across the Minnedosa River (now known as the Little Saskatchewan River) in western Manitoba, and the province's first hydroelectric generating station was created.

The first transmission line was also built, connecting the station with Brandon.

By 1906, WERCo had taken over the Winnipeg General Power Company and the Manitoba Electric and Gas Light Company, and changed its name to the Winnipeg Electric Railway Company. Later, it became the Winnipeg Electric Company, or WECo.

It also took a cue from Brandon, building a hydroelectric plant to provide more power. The Pinawa dam site operated until 1951 and is now a provincial park.

The Minnedosa River plant was the first hydroelectric generating station in Manitoba. (Manitoba Hydro archives)

The City of Winnipeg Hydroelectric System was also formed in 1906 as a public utility to combat the growing power monopoly held by WECo, and to get cheaper power. The city had been buying its supply from the private company "and the City of Winnipeg didn't quite like that price," said Bruce Owen, spokesman for Manitoba Hydro.

So the city funded and built its own dam and generating station site on the Winnipeg River in Pointe du Bois — about 125 kilometres northeast of Winnipeg — which is still in operation today.

"All of a sudden, not only did we have street lights … businesses had lights, power was supplied to homes, people no longer had to cook on wood stoves or walk around with kerosene lanterns. This city took off," said Owen.

"It helped industry grow in the city of Winnipeg. Within a few short years, a second plant had to be built, at Slave Falls."

 

Lighting up rural Manitoba

While the province's two biggest cities enjoyed the luxury of electricity and the conveniences it brought, the patchwork of power suppliers had also created a jumble of contracts with differing rates and terms, spurring periodic calls for a western Canadian electricity grid to improve coordination.

Meanwhile, most of rural Manitoba remained in the dark.

The Pinawa Dam was built by the Winnipeg Electric Street Railway Company in 1906 and operated until 1951. (Manitoba Hydro archives)

The Pinawa Dam site now, looking like some old Roman ruins. (Darren Bernhardt/CBC)

That began to change in 1919 when the Manitoba government passed the Electric Power Transmission Act, with the aim of supplying rural Manitoba with electrical power. The act enabled the construction of transmission lines to carry electricity from the Winnipeg River generating stations to communities all over southern Manitoba.

It also created the Manitoba Power Commission, predecessor to today's Manitoba Hydro, to purchase power from the City of Winnipeg — and later WECo — to supply to those other communities.

The first transmission line, a 97-kilometre link between Winnipeg and Portage la Prairie, opened in late 1919, and modern interprovincial projects like Manitoba-Saskatchewan power line funding continue that legacy today. The power came from Pointe du Bois to a Winnipeg converter station that still stands at the corner of Stafford Street and Scotland Avenue, then went on to Portage la Prairie.

"That's the remarkable thing that started in 1919," said Goldsborough.

Every year after that, the list of towns connected to the power grid became longer "and gradually, over the early 20th century, the province became electrified," Goldsborough said.

"You'd see these maps that would spider out across the province showing the [lines] that connected each of these communities — a precursor to ideas like macrogrids — to each other, and it was really quite remarkable."

By 1928, 33 towns were connected to the Manitoba Power Commission grid. That rose to 44 by 1930 and 140 by 1939, according to the Manitoba Historical Society.

 

Power on the farm

Still, one group who could greatly use electricity for their operations — farmers — were still using lanterns, steam and coal for light, heat and power.

"The power that came to the [nearest] town didn't extend to them," said Goldsborough.

It was during the Second World War, as manual labour was hard to come by on farms, that the Manitoba Power Commission recognized the gap in its grid.

It met with farmers to explain the benefits electricity could bring and surveyed their interest. When the war ended in 1945, the farm electrification process got underway.

Employees, their spouses, and children pose for a photo outside of Great Falls generating station in 1923. (Manitoba Hydro archives)

Farmers were taught wiring techniques and about the use of motors for farm equipment, as well as about electric appliances and other devices to ease the burden of domestic life.

"The electrification of the 1940s and '50s absolutely revolutionized rural life," said Goldsborough.

"Farmers had to provide water for all those animals and in a lot of cases [prior to electrification] they would just use a hand pump, or sometimes they'd have a windmill. But these were devices that weren't especially reliable and they weren't high capacity."

Electric motors changed everything, from pumping water to handling grain, while electric heat provided comfort to both people and animals.

Workers build a hydro transmission line tower in an undated photo from Manitoba Hydro. (Manitoba Hydro archives)

"Now you could have heat lamps for your baby chickens. They would lose a lot of chickens normally, because they would simply be too cold," Goldsborough said.

Keeping things warm was important, but so too was refrigeration. In addition to being able to store meat in summer, it was "something to prolong the life of dairy products, eggs, anything," said Manitoba Hydro's Owen.

"It's all the things we take for granted — a flick of a switch to turn the lights on instead of walking around with a lantern, being able to have maybe a bit longer day to do routine work because you have light."

Agriculture was the backbone of the province but it was limited without electricity, said Owen.

Connecting it to the grid "brought it into the modern age and truly kick-started it to make it a viable part of our economy," he said. "And we still see that today."

In 1954, when the farm electrification program ended, Manitoba was the most wired of the western provinces, with 75 per cent of farms and 100,000 customers connected.

The success of the farm electrification program, combined with the post-war boom, brought new challenges, as the existing power generation could not support the new demand.

The three largest players — City Hydro, WECo and the Manitoba Power Commission, along with the provincial government  — created the Manitoba Hydro-Electric Board in 1949 to co-ordinate generation and distribution of power.

A float in a Second World War victory parade represents a hydroelectric dam and the electricity it generates to power cities. (Manitoba Hydro archives)

More hydroelectric generating stations were built and more reorganizations took place. WECo was absorbed by the board and its assets split into separate companies — Greater Winnipeg Gas and Greater Winnipeg Transit.

Its electricity distribution properties were sold to City Hydro, which became the sole distributor in central Winnipeg. The Manitoba Power Commission became sole distributor of electricity in the suburbs and the rest of Manitoba.

 

Impacts on First Nations

Even as the lives of many people in the province were made easier by the supply of electricity, many others suffered from negative impacts in the rush of progress.

Many First Nations were displaced by hydro dams, which flooded their ancestral lands and destroyed their traditional ways of life.

"And we hear stories about the potential abuses that occurred," said Goldsborough. "So you know, there are there pluses but there are definitely minuses."

In the late 1950s, the Manitoba Power Commission continued to grow and expand its reach, this time moving into the north by buying up private utilities in The Pas and Cranberry Portage.

In 1961, the provincial government merged the commission with the Manitoba Hydro-Electric Board to create Manitoba Hydro.

In 1973, 100 years after the first light went on at that Main Street hotel, the last of the independent power utilities in the province — the Northern Manitoba Power Company Ltd. — was taken over by Hydro.

Winnipeg Hydro, previously called City Hydro, joined the fold in 2002.

Today, Manitoba Hydro operates 15 generating stations and serves 580,262 electric power customers in the province, as well as 281,990 natural gas customers.

 

New era

And now, as happened in 1919, a new era in electricity distribution is emerging as alternative sources of power — wind and solar — grow in popularity, and as communities like Fort Frances explore integrated microgrids for resilience.

"There's a bit of a clean energy shift happening," said Owen, adding use of biomass energy — energy production from plant or animal material — is also expanding.

"And there's a technological change going on and that's the electrification of vehicles. There are only really several hundred [electric vehicles] in Manitoba on the streets right now. But we know at some point, with affordability and reliability, there'll be a switch over and the gas-powered internal combustion engine will start to disappear."

'We're just a little behind here': Manitoba electric vehicle owners call for more charging stations

That means electrical utilities around the world are re-examining their capabilities, as climate change increasingly stresses grids, said Owen.

"It's coming [and we need to know], are we in a position to meet it? What will be the demands on the system on a path to a net-zero grid by 2050 nationwide?" he said.

"It may not come in my lifetime, but it is coming."

 

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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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Cost of US nuclear generation at ten-year low

US Nuclear Generating Costs 2017 show USD33.50/MWh for nuclear energy, the lowest since 2008, as capital expenditures, fuel costs, and operating costs declined after license renewals and uprates, supporting a reliable, low-carbon grid.

 

Key Points

The 2017 US nuclear average was USD33.50/MWh, lowest since 2008, driven by reduced capital, fuel, and operating costs.

✅ Average cost USD33.50/MWh, lowest since 2008

✅ Capital, fuel, O&M costs fell sharply since 2012 peak

✅ License renewals, uprates, market reforms shape competitiveness

 

Average total generating costs for nuclear energy in 2017 in the USA were at their lowest since 2008, according to a study released by the Nuclear Energy Institute (NEI), amid a continuing nuclear decline debate in other regions.

The report, Nuclear Costs in Context, found that in 2017 the average total generating cost - which includes capital, fuel and operating costs - for nuclear energy was USD33.50 per megawatt-hour (MWh), even as interest in next-generation nuclear designs grows among stakeholders. This is 3.3% lower than in 2016 and more than 19% below 2012's peak. The reduction in costs since 2012 is due to a 40.8% reduction in capital expenditures, a 17.2% reduction in fuel costs and an 8.7% reduction in operating costs, the organisation said.

The year-on-year decline in capital costs over the past five years reflects the completion by most plants of efforts to prepare for operation beyond their initial 40-year licence. A few major items - a series of vessel head replacements; steam generator replacements and other upgrades as companies prepared for continued operation, and power uprates to increase output from existing plants - caused capital investment to increase to a peak in 2012. "As a result of these investments, 86 of the [USA's] 99 operating reactors in 2017 have received 20-year licence renewals and 92 of the operating reactors have been approved for uprates that have added over 7900 megawatts of electricity capacity. Capital spending on uprates and items necessary for operation beyond 40 years has moderated as most plants are completing these efforts," it says.

Since 2013, seven US nuclear reactors have shut down permanently, with the Three Mile Island debate highlighting wider policy questions, and another 12 have announced their permanent shutdown. The early closure for economic reasons of reliable nuclear plants with high capacity factors and relatively low generating costs will have long-term economic consequences, the report warns: replacement generating capacity, when needed, will produce more costly electricity, fewer jobs that will pay less, and, for net-zero emissions objectives, more pollution, it says.

NEI Vice President of Policy Development and Public Affairs John Kotek said the "hardworking men and women of the nuclear industry" had done an "amazing job" reducing costs through the institute's Delivering the Nuclear Promise campaign and other initiatives, in line with IAEA low-carbon lessons from the pandemic. "As we continue to face economic headwinds in markets which do not properly compensate nuclear plants, the industry has been doing its part to reduce costs to remain competitive," he said.

"Some things are in urgent need of change if we are to keep the nation's nuclear plants running and enjoy their contribution to a reliable, resilient and low-carbon grid. Namely, we need to put in place market reforms that fairly compensate nuclear similar to those already in place in New York, Illinois and other states," Kotek added.

Cost information in the study was collected by the Electric Utility Cost Group with prior years converted to 2017 dollars for accurate historical comparison.

 

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