China's generation output increases 13.7%

Ukraine Electricity Imports surge to record levels as EU neighbors bolster grid stability amid Russian strikes, supporting energy security, preventing blackouts, and straining cross-border transmission capacity while Ukraine rebuilds damaged infrastructure and diversifies with renewables.

Key Points

Emergency EU power purchases stabilizing Ukraine’s grid after war damage.

✅ Record 19,000 MWh per day from EU interconnectors

✅ Supports grid stability and blackout prevention

✅ Cost and transmission upgrades challenge sustainability

Russia's ongoing war in Ukraine has extended far beyond the battlefield, with critical infrastructure becoming a target. Ukraine's once-robust energy system has sustained significant damage amid energy ceasefire violations and Russian missile and drone strikes. To cope with these disruptions and maintain power supplies for Ukrainian citizens, the country is turning to record-breaking electricity imports from neighboring European nations.

Prior to the war, Ukraine enjoyed a self-sufficient energy sector, even exporting electricity to neighboring countries. However, targeted attacks on power plants and transmission lines have crippled generation capacity. The situation is particularly dire in eastern and southern Ukraine, where ongoing fighting has caused extensive damage.

Faced with this energy crisis, Ukraine is looking to Europe for a lifeline. The country's energy ministry has announced plans to import a staggering amount of electricity – exceeding 19,000 megawatt-hours (MWh) per day – to prepare for winter and stabilize supplies. This surpasses the previous record set in March 2024 and represents a significant increase in Ukraine's reliance on external power sources.

Several European nations are stepping up to support Ukraine. Countries like Poland, Slovakia, Romania, Hungary, which maintains quiet energy ties with Russia today, and Moldova have agreed to provide emergency electricity supplies. These imports will help stabilize Ukraine's power grid and prevent widespread blackouts, especially during peak consumption hours.

The reliance on imports, however, presents its own set of challenges. Firstly, the sheer volume of electricity needed puts a strain on the capacity of neighboring grids. Upgrading and expanding transmission infrastructure will be crucial to ensure a smooth flow of electricity. Secondly, the cost of imported electricity can be higher than domestically generated power amid price hikes and instability globally, placing additional pressure on Ukraine's already strained finances.

Beyond these immediate concerns, the long-term implications of relying on external energy sources need to be considered. Ukraine's long-term goal is to rebuild its own energy infrastructure and regain energy independence. International assistance, including energy security support measures, will be crucial in this endeavor. Financial aid and technical expertise can help Ukraine repair damaged power plants, diversify its energy mix through further investment in renewables, and develop more resilient grid infrastructure.

The war in Ukraine has underscored the importance of energy security. A nation's dependence on a single source of energy, be it domestic or foreign, leaves it vulnerable to disruption, as others consider national security and fossil fuels in their own policies. For Ukraine, diversification and building a more resilient energy infrastructure are key takeaways from this crisis.

The international community also has a role to play. Supporting Ukraine's energy sector not only helps the nation weather the current crisis but also strengthens European energy security as a whole, where concerns over Europe's energy nightmare remain pronounced. A stable and independent Ukraine, less reliant on Russian energy, contributes to a more secure and prosperous Europe.

As the war in Ukraine continues, the battle for energy security rages on. While the immediate focus is on keeping the lights on through imports, the long-term goal for Ukraine is to rebuild a stronger, more resilient energy sector that can power the nation's future. The international community's support will be crucial in helping Ukraine achieve this goal.

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Electricity Market Competition drives lower wholesale prices, stable retail rates, better grid reliability, and faster emissions cuts as deregulation and renewables adoption pressure utilities, improve efficiency, and enhance consumer choice in power markets.

Key Points

Electricity market competition opens supply to rivals, lowering prices, improving reliability, and reducing emissions.

✅ Wholesale prices fell faster in competitive markets

✅ Retail rates rose less than in monopoly states

✅ Fewer outages, shorter durations, improved reliability

By Bernard L. Weinstein

Electricity used to be boring.  Public utilities that provided power to homes and businesses were regulated monopolies and, by law, guaranteed a fixed rate-of-return on their generation, transmission, and distribution assets. Prices per kilowatt-hour were set by utility commissions after lengthy testimony from power companies, wanting higher rates, and consumer groups, wanting lower rates.

About 25 years ago, the electricity landscape started to change as economists and others argued that competition could lead to lower prices and stronger grid reliability. Opponents of competition argued that consumers weren’t knowledgeable enough about power markets to make intelligent choices in a competitive pricing environment. Nonetheless, today 20 states have total or partial competition for electricity, allowing independent power generators to compete in wholesale markets and retail electric providers (REPs) to compete for end-use customers, a dynamic echoed by the Alberta electricity market across North America. (Transmission, in all states, remains a regulated natural monopoly).

A recent study by the non-partisan Pacific Research Institute (PRI) provides compelling evidence that competition in power markets has been a boon for consumers. Using data from the U.S. Energy Information Administration (EIA), PRI’s researchers found that wholesale electricity prices in competitive markets have been generally declining or flat, prompting discussions of free electricity business models, over the last five years. For example, compared to 2015, wholesale power prices in New England have dropped more than 44 percent, those in most Mid-Atlantic States have fallen nearly 42 percent, and in New York City they’ve declined by nearly 45 percent. Wholesale power costs have also declined in monopoly states, but at a considerably slower rate.

As for end-users, states that have competitive retail electricity markets have seen smaller price increases, as consumers can shop for electricity in Texas more cheaply than in monopoly states. Again, using EIA data, PRI found that in 14 competitive jurisdictions, retail prices essentially remained flat between 2008 and 2020. By contrast, retail prices jumped an average of 21 percent in monopoly states.  The ten states with the largest retail price increases were all monopoly-based frameworks. A 2017 report from the Retail Energy Supply Association found customers in states that still have monopoly utilities saw their average energy prices increase nearly 19 percent from 2008 to 2017 while prices fell 7 percent in competitive markets over the same period.

The PRI study also observed that competition has improved grid reliability, the recent power disruptions in California and Texas, alongside disruptions in coal and nuclear sectors across the U.S., notwithstanding. Looking at two common measures of grid resiliency, PRI’s analysis found that power interruptions were 10.4 percent lower in competitive states while the duration of outages was 6.5 percent lower.

Citing data from the EIA between 2008 and 2018, PRI reports that greenhouse gas emissions in competitive states declined on average 12.1 percent compared to 7.3 percent in monopoly states. This result is not surprising, and debates over whether Israeli power supply competition can bring cheaper electricity mirror these dynamics.  In a competitive wholesale market, independent power producers have an incentive to seek out lower-cost options, including subsidized renewables like wind and solar. By contrast, generators in monopoly markets have no such incentive as they can pass on higher costs to end-users. Perhaps the most telling case is in the monopoly state of Georgia where the cost to build nuclear Plant Vogtle has doubled from its original estimate of $14 billion 12 years ago. Overruns are estimated to cost Georgia ratepayers an average of $854, and there is no definite date for this facility to come on line. This type of mismanagement doesn’t occur in competitive markets.

Unfortunately, some critics are attempting to halt the momentum for electricity competition and have pointed to last winter’s “deep freeze” in Texas that left several million customers without power for up to a week. But this example is misplaced. Power outages in February were the result of unprecedented and severe weather conditions affecting electricity generation and fuel supply, and numerous proposals to improve Texas grid reliability have focused on weatherization and fuel resilience; the state simply did not have enough access to natural gas and wind generation to meet demand. Competitive power markets were not a factor.

The benefits of wholesale and retail competition in power markets are incontrovertible. Evidence shows that households and businesses in competitive states are paying less for electricity while grid reliability has improved. The facts also suggest that wholesale and retail competition can lead to faster reductions in greenhouse gas emissions. In short, competition in power markets is good for consumers and good for the environment.

Bernard L. Weinstein is emeritus professor of applied economics at the University of North Texas, former associate director of the Maguire Energy Institute at Southern Methodist University, and a fellow of Goodenough College, London. He wrote this for InsideSources.com.

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Wildfire Resilient Power Grid Act proposes DOE grants for utility companies to fund wildfire mitigation, grid resilience upgrades, undergrounding power lines, fast-tripping protection, weather monitoring, and vegetation management, prioritizing rural electric cooperatives.

Key Points

A federal bill funding utility wildfire mitigation and grid hardening via DOE grants, prioritizing rural utilities.

✅ $1B DOE matching grants for grid upgrades and wildfire mitigation.

✅ Prioritizes rural utilities; supports undergrounding and hardening.

✅ Funds fast-tripping protection, weather stations, vegetation management.

U.S. Sens. Ron Wyden and Jeff Merkley today introduced new legislation, amid transmission barriers that persist, to incentivize utility companies to do more to reduce wildfire risks as aging power infrastructure ignite wildfires in Oregon and across the West.

Wyden and Merkley's Wildfire Resilient Power Grid Act of 2020 would ensure power companies do their part to reduce the risk of wildfires through power system upgrades, even as California utility spending crackdown seeks accountability, such as the undergrounding of power lines, fire safety equipment installation and proper vegetation management.

"First and foremost, this is a public safety issue. Fire after fire ignited this summer because the aging power grid could not withstand a major windstorm during the season's hottest and driest days," Wyden said. "Many utility companies are already working to improve the resiliency of their power grid, but the sheer costs of these investments must not come at the expense of equitable regulation for rural utility customers. Congress must do all that it can to stop the catastrophic wildfires decimating the West, and that means improving rural infrastructure. By partnering with utilities around the country, we can increase wildfire mitigation efforts at a modest cost -- a fire prevention investment that will pay dividends by saving lives, homes and businesses."

"When this year's unprecedented wildfire event hit, I drove hundreds of miles across our state to see the damage firsthand and to hear directly from impacted communities, so that I could go back to D.C. and work for the solutions they need," said Merkley. "What I saw was apocalyptic--and we have to do everything we can to reduce the risk of this happening again. That means we have to work with our power companies to get critical upgrades and safety investments into place as quickly as possible."

The Wildfire Resilient Power Grid Act of 2020:

* Establishes a $1 billion-per-year matching grant program for power companies through the Department of Energy, even as ACORE opposed DOE subsidy proposals, to reduce the risk of power lines and grid infrastructure causing wildfires.

* Gives special priority to smaller, rural electric companies to ensure mitigation efforts are targeted to forested rural areas.

* Promotes proven methods for reducing wildfire risks, including undergrounding of lines, installing fast-tripping protection systems, and constructing weather monitoring stations to respond to electrical system fire risks.

* Provides for hardening of overhead power lines and installation of fault location equipment where undergrounding of power lines is not a favorable option.

* Ensures fuels management activities of power companies are carried out in accordance with Federal, State, and local laws and regulations.

* Requires power companies to have "skin in the game" by making the program a 1-to-1 matching grant, with an exception for smaller utilities where the matching requirement is one third of the grant.

* Delivers accountability on the part of utilities and the Department of Energy by generating a report every two years on efforts conducted under the grant program.

Portland General Electric President and CEO Maria Pope: "We appreciate Senator Wyden's and Senator Merkley's leadership in proposing legislation to provide federal funding that will help protect Oregon from devastating wildfires. When passed, this will help make Oregon's electric system safer, faster, without increasing customer prices. That is especially important given the economy and hotter, drier summers and longer wildfire seasons that Oregon will continue to face."

Lane County Commission Chair Heather Butch: " In a matter of hours, the entire Lane County community of Blue River was reduced to ashes by the Holiday Farm Fire. Since the moment I first toured that devastation I've been committed to building it back better. I applaud Senators Wyden and Merkley for drafting the Wildfire Resilient Power Grid Act, as it could well provide the path towards meeting this important goal. Moreover, the resultant programs will better protect rural communities from the increasing dangers of wildfires through a number of preventative measures that would otherwise be difficult to implement."

Linn County Commissioner Roger Nyquist: "This legislation is a smart strategic investment for the future safety of our residents as well as the economic vitality of our community."

Marion County Commissioner Kevin Cameron: "After experiencing a traumatic evacuation during the Beachie Creek and Lion's Head wild fires, I understand the need to strengthen the utility Infrastructure. The improvements resulting from Senator Wyden and Merkley's bill will reduce disasters in the future, but improve everyday reliability for our citizens who live, work and protect the environment in potential wildfire areas."

Edison Electric Institute President Tom Kuhn: "EEI thanks Senator Wyden and Senator Merkley for their leadership in introducing the Wildfire Resilient Power Grid Act. This bill will help support and accelerate projects already planned and underway to enhance energy grid resiliency and mitigate the risk of wildfire damage to power lines. Electric companies across the country are committed to working with our government partners and other stakeholders on preparation and mitigation efforts that combat the wildfire threat and on the rapid deployment of technology solutions, including aggregated DERs at FERC, that address wildfire risks, while still maintaining the safe, reliable, and affordable energy we all need."

Oregon Rural Electric Cooperative Association Executive Director Ted Case: "Oregon's electric cooperatives support the Wildfire Resilient Power Grid Act and appreciate Senator Wyden's and Senator Merkley's leadership and innovative approach to wildfire mitigation, particularly for small, rural utilities. This legislation includes targeted assistance that will help us to continue to provide affordable, reliable and safe electricity to over 500,000 Oregonians."

Sustainable Northwest Director of Government Affairs & Program Strategy Dylan Kruse: "In recent years, the West has seen too many wildfires originate due to poorly maintained or damaged electric utility transmission and distribution infrastructure. This legislation plays an important role to ensure that power lines do not contribute to wildfire starts, while providing safe and reliable power to communities during wildfire events. Utilities must, even as Wyoming clean energy bill proposals emerge, live up to their legal requirements to maintain their infrastructure, but this bill provides welcome resources to expedite and prioritize risk reduction, while preventing cost increases for ratepayers."

Oregon Wild Wilderness Program Manager Erik Fernandez: "2020 taught Oregon the lesson that California learned in the Paradise Fire, and SCE wildfire lawsuits that followed underscore the stakes. Addressing the risk of unnaturally caused powerline fires is an increasingly important critical task. I appreciate Senator Ron Wyden's efforts to protect our homes and communities from powerline fires."

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U.S. Residential Electricity Bills rose on stronger demand, inflation, and fuel costs, with higher retail prices, kWh consumption, and extreme weather driving 2022 spikes; forecasts point to stable summer usage and slight price increases.

Key Points

They are average household power costs shaped by prices, kWh use, weather, and upstream fuel costs.

✅ 2022 bills up 13% nominal, 5% real vs. 2021

✅ Retail price rose 11%; consumption up 2% to 907 kWh

✅ Fuel costs to plants up 34%, pressuring rates

In nominal terms, the average monthly electricity bill for residential customers in the United States increased 13% from 2021 to 2022, rising from $121 a month to $137 a month. After adjusting for inflation—which reached 8% in 2022, a 40-year high—electricity bills increased 5%. Last year had the largest annual increase in average residential electricity spending since we began calculating it in 1984. The increase was driven by a combination of more extreme temperatures, which increased U.S. consumption of electricity for both heating and cooling, and higher fuel costs for power plants, which drove up retail electricity prices nationwide.

Residential electricity customers’ monthly electricity bills are based on the amount of electricity consumed and the retail electricity price. Average U.S. monthly electricity consumption per residential customer increased from 886 kilowatthours (kWh) in 2021 to 907 kWh in 2022, even as U.S. electricity sales have declined over the past seven years. Both a colder winter and a hotter summer contributed to the 2% increase in average monthly electricity consumption per residential customer in 2022 because customers used more space heating during the winter and more air conditioning during the summer, with some states, such as Pennsylvania, facing sharp winter rate increases.

Although we don’t directly collect retail electricity prices, we do collect revenues from electricity providers that allow us to determine prices by dividing by consumption, and industry reports show major utilities spending more on electricity delivery than on power production. In 2022, the average U.S. residential retail electricity price was 15.12 cents/kWh, an 11% increase from 13.66 cents/kWh in 2021. After adjusting for inflation, U.S. residential electricity prices went up by 2.5%.

Higher fuel costs for power plants drove the increase in residential retail electricity prices. The cost of fossil fuels—including natural gas prices, coal, and petroleum—delivered to U.S. power plants increased 34%, from $3.82 per million British thermal units (MMBtu) in 2021 to $5.13/MMBtu in 2022. The higher fuel costs were passed along to residential customers and contributed to higher retail electricity prices, and Germany power prices nearly doubled over a year in a related trend.

In the first three months of 2023, the average U.S. residential monthly electricity bill was $133, or 5% higher than for the same time last year, according to data from our Electric Power Monthly. The increase was driven by a 13% increase in the average U.S. residential retail electricity price, which was partly offset by a 7% decrease in average monthly electricity consumption per residential customer, and industry outlooks also see U.S. power demand sliding 1% on milder weather. This summer, we expect that typical household electricity bills will be similar to last year’s, with customers paying about 2% more on average. The slight increase in electricity costs forecast for this summer stems from higher retail electricity prices but similar consumption levels as last summer.
 

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California Governor Gavin Newsom vetoed a bill aimed at expanding load flexibility in state grid planning, citing conflicts with California’s resource adequacy framework and concerns over grid reliability and energy planning uncertainty.

Why has Newsom vetoed the Bill to Codify Load Flexibility?

Governor Gavin Newsom’s veto blocks legislation that would have required the California Energy Commission to incorporate load flexibility into the state’s energy planning and policy framework, a move that has stirred debate across the clean energy sector.

✅ Argues the bill conflicts with California’s existing Resource Adequacy system

✅ Draws backlash from clean energy and grid modernization advocates

✅ Exposes ongoing tension over how to manage renewable integration and demand response

California Governor Gavin Newsom has vetoed Assembly Bill 44, which would have required the California Energy Commission to evaluate and incorporate load management mechanisms into the state’s energy planning process. The move drew criticism from clean energy advocates who say it undermines efforts to strengthen grid reliability and reduce costs.

The bill directed the commission to adopt “upfront technical requirements and load modification protocols” that would allow load-serving entities to adjust their electrical demand forecasts. Proponents viewed this as a way to modernize California’s grid management, and to explore a revamp of electricity rates to help clean the grid, making it more responsive to demand fluctuations and renewable energy variability.

In his veto statement, Newsom said the bill was incompatible with existing energy planning frameworks, even as a looming electricity shortage remains a concern. “While I support expanding electric load flexibility, this bill does not align with the California Public Utility Commission’s Resource Adequacy framework,” he said. “As a result, the requirements of this bill would not improve electric grid reliability planning and could create uncertainty around energy resource planning and procurement processes.”

Newsom’s decision comes shortly after he signed a broad package of energy legislation that set the stage for a regional Western electricity market and extended the state’s cap-and-trade program. However, that legislative package did not include continued funding for several key grid reliability programs — including what advocates have called the world’s largest virtual power plant, a distributed network of connected devices that can balance electricity demand in real time.

Clean energy supporters saw AB 44 as a crucial step toward integrating these distributed energy resources into long-term grid planning. “With Assembly Bill 44 being vetoed, the state has missed a huge opportunity to advance common-sense policy that would have lowered costs, strengthened the grid, and unlocked the full potential of advanced energy,” said Edson Perez, California lead at Advanced Energy United.

Perez added that the setback increases pressure on lawmakers to take stronger action in the next legislative session. “The pressure is on next session to ensure that California is using all tools in its policy toolbox to build critically needed infrastructure, strengthen the grid, and bring costs down,” he said.

California’s growing use of demand response programs and virtual power plants has been central to its strategy for managing grid stress during heat waves and wildfire seasons. These systems allow utilities and customers to temporarily reduce or shift energy use, helping to prevent blackouts and reduce the need for fossil-fuel peaker plants during peak demand.

A recent report by the Brattle Group found that California’s taxpayer-funded virtual power plant could save ratepayers $206 million between 2025 and 2028 while reducing reliance on gas generation. The study, commissioned by Sunrun and Tesla Energy, highlighted the potential for flexible load management to improve both grid reliability and reduce costs, even as regulators weigh whether the state needs more power plants to ensure reliability.

Despite these findings, Newsom’s veto signals continued tension between state policymakers and clean energy advocates over how best to modernize California’s power grid. While the governor has prioritized large-scale renewable development and regional market integration, critics argue that California’s climate policy choices risk exacerbating reliability challenges and that failing to codify load flexibility could slow progress toward a more adaptive, resilient, and affordable clean energy future.

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Eastern Kings Wind Farm Expansion advances P.E.I. renewable energy with seven new wind turbines, environmental assessment, wildlife monitoring of birds and bats, and community consultation to double output to 30 MW for domestic consumption.

Key Points

A P.E.I. project adding seven turbines for 30 MW, under 17 conditions, with wildlife monitoring and community oversight.

✅ Seven new turbines, larger than existing units

✅ 17 conditions, monthly compliance reporting

✅ Two-year wildlife study for birds and bats

A proposal to expand an existing wind farm in eastern P.E.I. has been given the go-ahead, according to P.E.I.’s Department of Environment, Water and Climate Change, as related grid work like a new transmission line progresses in the region.

Minister Natalie Jameson approved the P.E.I. Energy Corporation’s Eastern Kings Wind Farm expansion project, the province announced in a release Wednesday afternoon, as Atlantic Canada advances other renewable initiatives like tidal power to diversify supply.

The project will be subject to 17 conditions, which were drawn from a review of the 80 responses the province received from the public on the proposed Eastern Kings Wind Farm expansion.

The corporation must provide a summary on the status of each condition to the department on a monthly basis.

“This decision balances the needs of people, communities, wellness and the environment,” Jameson said in the release.

“It allows this renewable energy project to proceed and reduce greenhouse [gas] emissions that cause climate change while mitigating the project’s impact to the Island’s ecosystem.”

The P.E.I. Energy Corporation wants to double the output of its Eastern Kings Wind Farm with the installation of seven wind turbines between the communities of Elmira and East Point to develop 30 megawatts of wind power for domestic consumption, according to the minister’s impact assessment, aligning with regional moves to expand wind and solar projects across Atlantic Canada.

The new turbines are expected to be larger than the existing 10 at the site, even as regional utilities study major grid changes to integrate more renewables.

Project must comply with conditions

In February, the province said it would identify any specific questions or concerns it felt needed to be addressed in the submissions, according to Greg Wilson, manager of environmental land management for the province, while some advocate for independent electricity planning to guide such decisions.

Public feedback closed in January, after an earlier extension to wait for a supplemental report on birds and bats.

The corporation needs to comply with all conditions – such as monitoring environmental impact, setting up an environmental management plan and creating a committee to address concerns – listed in the release on Wednesday, amid calls from environmental advocates to reduce biomass use in electricity generation.

A condition in the release suggests representatives from L’nuey, the Souris and Area Wildlife Branch, the Rural Municipality of Eastern Kings and local residents to make up the committee.

The corporation will also need to conduct a study over two years after construction to look at the impact on bats and birds, and implement a protocol to report deaths of birds to federal and provincial authorities.

According to Canada Energy Regulator, roughly 98 per cent of power generated on P.E.I. comes from wind farms. It also said there were 203 megawatts installed on P.E.I. as of 2018, and the majority of energy consumed on the Island comes from New Brunswick from a mix of nuclear, fossil fuels and hydroelectricity, while in Nova Scotia, the utility has increased biomass generation as part of its supply mix.

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