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Ontario Electricity Demand 2020 shows a rare decline amid COVID-19, with higher residential peak load, lower commercial usage, hot-weather air conditioning, nuclear baseload constraints, and smart meter data shaping grid operations and forecasting.

Key Points

It refers to 2020 power use in Ontario: overall demand fell, while residential peaks rose and commercial loads dropped.

✅ Peak load shifted to homes; commercial usage declined.

✅ Hot summers raised peaks; overall annual demand still fell.

✅ Smart meters aid forecasting; grid must balance nuclear baseload.

Demand for electricity in Ontario last year fell to levels rarely seen in decades amid shifts in usage patterns caused by pandemic measures, with Ottawa’s electricity consumption dropping notably, new data show.

The decline came despite a hot summer that had people rushing to crank up the air conditioning at home, the province’s power management agency said, even as the government offered electricity relief to families and small businesses.

“We do have this very interesting shift in who’s using the energy,” said Chuck Farmer, senior director of power system planning with the Independent Electricity System Operator.

“Residential users are using more electricity at home than we thought they would and the commercial consumers are using less.”

The onset of the pandemic last March prompted stay-home orders, businesses to close, and a shuttering of live sports, entertainment and dining out. Social distancing and ongoing restrictions, even as the first wave ebbed and some measures eased, nevertheless persisted and kept many people home as summer took hold and morphed into winter, while the province prepared to extend disconnect moratoriums for residential customers.

System operator data show peak electricity demand rose during a hot summer spell to 24,446 megawatts _ the highest since 2013. Overall, however, Ontario electricity demand last year was the second lowest since 1988, the operator said.

In all, Ontario used 132.2 terawatt-hours of power in 2020, a decline of 2.9 per cent from 2019.

With more people at home during the lockdown, winter residential peak demand has climbed 13 per cent above pre-pandemic levels, even as Hydro One made no cut in peak rates for self-isolating customers, while summer peak usage was up 19 per cent.

“The peaks are getting higher than we would normally expect them to be and this was caused by residential customers _ they’re home when you wouldn’t expect them to be home,” Farmer said.

Matching supply and demand _ a key task of the system operator _ is critical to meeting peak usage and ensuring a stable grid, and the operator has contingency plans with some key staff locked down at work sites to maintain operations during COVID-19, because electricity cannot be stored easily. It is also difficult to quickly raise or lower the output from nuclear-powered generators, which account for the bulk of electricity in the province, as demand fluctuates.

READ MORE: Ontario government extends off-peak electricity rates to Feb. 22

Life patterns have long impacted overall usage. For example, demand used to typically climb around 10 p.m. each night as people tuned into national television newscasts. Livestreaming has flattened that bump, while more energy-efficient lighting led to a drop in provincial demand over the holiday season.

The pandemic has now prompted further intra-day shifts in usage. Fewer people are getting up in the morning and powering up at home before powering down and rushing off to work or school. The summer saw more use of air conditioners earlier than normal after-work patterns.

Weather has always been a key driver of demand for power, accounting for example for the record 27,005 megawatts of usage set on a brutally hot Aug. 1, 2006. Similarly, a mild winter and summer led to an overall power usage drop in 2017.

Still, the profound social changes prompted by the COVID-19 pandemic _ and whether some will be permanent _ have complicated demand forecasting.

“Work patterns used to be much more predictable,” the agency said. “The pandemic has now added another element of variability for electricity demand forecasting.”

Some employees sent home to work have returned to their offices and other workplaces, and many others are likely do so once the pandemic recedes. However, some larger companies have indicated that working from home will be long term.

“Companies like Facebook and Shopify have already stated their intention to make work from home a more permanent arrangement,” the operator said. “This is something our near-term forecasters would take into account when preparing for daily operation of the grid.”

Aggregated data from better smart meters, which show power usage throughout the day, is one method of improving forecasting accuracy, the operator said.

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Nova Scotia Biomass Energy faces scrutiny as hydropower from Muskrat Falls via the Maritime Link increases, raising concerns over carbon emissions, biodiversity, ratepayer costs, and efficiency versus district heating in the province's renewable mix.

Key Points

Electricity from wood chips and waste wood in Nova Scotia, increasingly questioned as hydropower from the Maritime Link grows.

✅ Hydropower deliveries reduce need for biomass on the grid

✅ Biomass is inefficient, costly, and impacts biodiversity

✅ District heating offers better use of forestry residuals

The Ecology Action Centre's senior wilderness coordinator is calling on the Nova Scotia government to reduce the use of biomass to generate electricity now that more hydroelectric power is flowing into the province.

In 2020, the government of the day signed a directive for Nova Scotia Power to increase its use of biomass to generate electricity, including burning more wood chips, waste wood and other residuals from the forest industry. At the time, power from Muskrat Falls hydroelectric project in Labrador was not flowing into the province at high enough levels to reach provincial targets for electricity generated by renewable resources.

In recent months, however, the Maritime Link from Muskrat Falls has delivered Nova Scotia's full share of electricity, and, in some cases, even more, as the province also pursues Bay of Fundy tides projects to diversify supply.

Ray Plourde with the Ecology Action Centre said that should be enough to end the 2020 directive.

Ray Plourde is senior wilderness coordinator for the Ecology Action Centre. (CBC)
Biomass is "bad on a whole lot of levels," said Plourde, including its affects on biodiversity and the release of carbon into the atmosphere, he said. The province's reliance on waste wood as a source of fuel for electricity should be curbed, said Plourde.

"It's highly inefficient," he said. "It's the most expensive electricity on the power grid for ratepayers."

A spokesperson for the provincial Natural Resources and Renewables Department said that although the Maritime Link has "at times" delivered adequate electricity to Nova Scotia, "it hasn't done so consistently," a context that has led some to propose an independent planning body for long-term decisions.

"These delays and high fossil fuel prices mean that biomass remains a small but important component of our renewable energy mix," Patricia Jreiga said in an email, even as the province plans to increase wind and solar projects in the years ahead.

But to Plourde, that explanation doesn't wash.

The Nova Scotia Utility and Review Board recently ruled that Nova Scotia Power could begin recouping costs of the Maritime Link project from ratepayers. As for the rising cost of fossil fuels, Ploude noted that the inefficiency of biomass means there's no deal to be had using it as a fuel source.

"Honestly, that sounds like a lot of obfuscation," he said of the government's position.

No update on district heating plans
At the time of the directive, government officials said the increased use of forestry byproducts at biomass plants in Point Tupper and Brooklyn, N.S., including the nearby Port Hawkesbury Paper mill, would provide a market for businesses struggling to replace the loss of Northern Pulp as a customer. Brooklyn Power has been offline since a windstorm damaged that plant in February, however. Repairs are expected to be complete by the end of the year or early 2023.

Ploude said a better use for waste wood products would be small-scale district heating projects, while others advocate using more electricity for heat in cold regions.

Although the former Liberal government announced six public buildings to serve as pilot sites for district heating in 2020, and a list of 100 other possible buildings that could be converted to wood heat, there have been no updates.

"Currently, we're working with several other departments to complete technical assessments for additional sites and looking at opportunities for district heating, but no decisions have been made yet," provincial spokesperson Steven Stewart said in an email.

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Germany 2025 Energy Costs forecast electricity and heating price trends amid gas volatility, renewables expansion, grid upgrades, and policy subsidies, highlighting impacts on households, industries, efficiency measures, and the Energiewende transition dynamics.

Key Points

Electricity stabilizes, gas-driven heating stays high; renewables, subsidies, and efficiency measures moderate costs.

✅ Power prices stabilize above pre-crisis levels

✅ Gas volatility keeps heating bills elevated

✅ Subsidies and efficiency upgrades offset some costs

As Germany moves into 2025, the country is facing significant shifts in heating and electricity costs. With a variety of factors influencing energy prices, including geopolitical tensions, government policies, and the ongoing transition to renewable energy sources, consumers and businesses alike are bracing for potential changes in their energy bills. In this article, we will explore how heating and electricity costs are expected to evolve in Germany in the coming year and what that means for households and industries.

Energy Price Trends in Germany

In recent years, energy prices in Germany have experienced notable fluctuations, particularly due to the aftermath of the global energy crisis, which was exacerbated by the Russian invasion of Ukraine. This geopolitical shift disrupted gas supplies, which in turn affected electricity prices and strained local utilities across the country. Although the German government introduced measures to mitigate some of the price increases, many households have still felt the strain of higher energy costs.

For 2024, experts predict that electricity prices will likely stabilize but remain higher than pre-crisis levels. While electricity prices nearly doubled in 2022, they have gradually started to decline, and the market has adjusted to the new realities of energy supply and demand. Despite this, the cost of electricity is expected to stay elevated as Germany continues to phase out coal and nuclear energy while ramping up the use of renewable sources, which often require significant infrastructure investments.

Heating Costs: A Mixed Outlook

Heating costs in Germany are heavily influenced by natural gas prices, which have been volatile since the onset of the energy crisis. Gas prices, although lower than the peak levels seen in 2022, are still considerably higher than in the years before. This means that households relying on gas heating can expect to pay more for warmth in 2024 compared to previous years.

The government has implemented measures to cushion the impact of these increased costs, such as subsidies for vulnerable households and efforts to support energy efficiency upgrades. Despite these efforts, consumers will still feel the pinch, particularly in homes that use older, less efficient heating systems. The transition to more sustainable heating solutions, such as heat pumps, remains a key goal for the German government. However, the upfront cost of such systems can be a barrier for many households.

The Role of Renewable Energy and the Green Transition

Germany has set ambitious goals for its energy transition, known as the "Energiewende," which aims to reduce reliance on fossil fuels and increase the share of renewable energy sources in the national grid. In 2024, Germany is expected to see further increases in renewable energy generation, particularly from wind and solar power. While this transition is essential for reducing carbon emissions and improving long-term energy security, the shift comes with its own challenges already documented in EU electricity market trends reports.

One of the main factors influencing electricity costs in the short term is the intermittency of renewable energy sources. Wind and solar power are not always available when demand peaks, requiring backup power generation from fossil fuels or stored energy. Additionally, the infrastructure needed to accommodate a higher share of renewables, including grid upgrades and energy storage solutions, is costly and will likely contribute to rising electricity prices in the near term.

On a positive note, Germany's growing investment in renewable energy is expected to make the country less reliant on imported fossil fuels, particularly natural gas, which has been a major source of price volatility. Over time, as the share of renewables in the energy mix grows, the energy system should become more stable and less susceptible to geopolitical shocks, which could lead to more predictable and potentially lower energy costs in the long run.

Government Interventions and Subsidies

To help ease the burden on consumers, the German government has continued to implement various measures to support households and businesses. One of the key programs is the reduction in VAT (Value Added Tax) on electricity, which has been extended in some regions. This measure is designed to make electricity more affordable for all households, particularly those on fixed incomes facing EU energy inflation pressures that have hit the poorest hardest.

Moreover, the government has been providing financial incentives for households and businesses to invest in energy-efficient technologies, such as insulation and energy-saving heating systems, complementing the earlier 200 billion euro energy shield announced to buffer surging prices. These incentives are intended to reduce overall energy consumption, which could offset some of the rising costs.

The outlook for heating and electricity costs in Germany for 2024 is mixed, even as energy demand hit a historic low amid economic stagnation. While some relief from the extreme price spikes of 2022 may be felt, energy costs will still be higher than they were in previous years. Households relying on gas heating will likely see continued elevated costs, although those who invest in energy-efficient solutions or renewable heating technologies may be able to offset some of the increases. Similarly, electricity prices are expected to stabilize but remain high due to the country’s ongoing transition to renewable energy sources.

While the green transition is crucial for long-term sustainability, consumers must be prepared for potentially higher energy costs in the short term. Government subsidies and incentives will help alleviate some of the financial pressure, but households should consider strategies to reduce energy consumption, such as investing in more efficient heating systems or adopting renewable energy solutions like solar panels.

As Germany navigates these changes, the country’s energy future will undoubtedly be shaped by a delicate balance between environmental goals and the economic realities of transitioning to a greener energy system.

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UK Energy Network Profits are under scrutiny as Ofgem price controls, Citizens Advice claims, and National Grid margins spark debate over monopolies, allowed returns, consumer bills, rebates, and future investment under tougher regulation.

Key Points

UK Energy Network Profits are returns set by Ofgem for regulated grid operators, shaping consumer bills and investment

✅ Ofgem sets allowed returns for monopoly networks via price controls

✅ Dispute over interest rates, bond yields, and risk premiums

✅ Reforms proposed: shorter controls, tougher investor incentives

Companies that run Britain’s electricity and gas networks, including National Grid, are making “eye-watering” profits at the expense of households, according to a well-known consumer group.

Citizens Advice believes £7.5bn in “unjustified” profits should be returned to consumers who pay for network costs via their electricity and gas bills, with parallels seen in a deferred BC Hydro costs report abroad, although its figures have been contested by the energy industry and regulator.

Ownership of electricity and gas networks came under the spotlight in the run-up to June’s general election, after the Labour party said in its manifesto it would bring both national and regional grid infrastructure to back into public ownership, amid wider debates about grid privatization concerns elsewhere, over time.

Electricity sector privatisation began in 1990 and the gas industry was privatised in 1986. Energy network companies — which own and operate the cables and wires that help deliver electricity and gas to homes and businesses — are in effect monopolies that are regulated by Ofgem. Ofgem evaluates what their costs, including the cost of capital to finance investments, might be over an eight-year “price control” period, similar to determinations like the OEB decision on Hydro One rates in Ontario, Canada. Citizens Advice claims many of the regulator’s calculations for the most recent price control went “considerably in networks’ financial favour”.

It believes assumptions Ofgem made about factors such as the future path of interest rates and returns on government bonds were too generous, with international contrasts like power theft challenges in India illustrating different risk contexts, as was the regulator’s assessment of the risk associated with operating a network company. 

These “generous” assumptions will lead to network companies making average profit margins of 19 per cent and an average return of 10 per cent for their investors at the expense of consumers, Citizens Advice claims in a report published on Wednesday, which recommends a shorter price control period to allow for more accurate forecasting.

“Decisions made by Ofgem have allowed gas and electricity network companies to make sky-high profits that we’ve found are not justified by their performance,” said Gillian Guy, chief executive of Citizens Advice. Ofgem defended its regulatory regime, saying it helped to cut costs, improve reliability and customer satisfaction. 

“Ofgem has already cut costs to consumers by 6 per cent in the current price control and secured a rebate of over £4.5bn from network companies and is engaging with the industry to deliver further savings, with some regions seeing Ontario electricity rate reductions for businesses as well,” said Dermot Nolan, chief executive of the energy regulator.

Mr Nolan insisted the next price controls would be “tougher for investors”. The current price controls for the gas and electricity transmission networks, plus gas distribution, run until 2021 and until 2023 for local electricity distribution networks.

“While we don’t agree with its modelling and the figures it has produced, the Citizens Advice report raises some important issues about network regulation which will be addressed in the next control,” Mr Nolan said.

The Energy Networks Association, a trade body, refuted the claims of Citizens Advice, insisting that costs had fallen by 17 per cent in real terms since privatisation. The current regulatory framework was established after a public consultation, it said, adding that today’s report repeated several old claims that had previously been rejected by the Competition and Markets Authority.

“Our energy networks are among the most reliable and lowest cost in the world and their performance has never been better. In the next six years energy network companies are forecasted to deliver £45bn of investment in the UK economy,” a spokesman for the networks association added. National Grid said that since 2013 it had generated savings of £460m for bill payers.

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2019 Grid Edge Trends highlight evolving demand response, DER orchestration, real-time operations, AMI data, and EV charging, as wholesale markets seek flexibility and resiliency amid tighter reserve margins and fossil baseload retirements.

Key Points

Shifts toward DER-enabled demand response and real-time, behind-the-meter flexibility.

✅ Real-time DER dispatch enhances reliability during tight reserves

✅ AMI and ICT improve forecasting, monitoring, and control of resources

✅ Demand response shifts toward aggregated behind-the-meter orchestration

Which grid edge trends will continue into 2019 as the digital grid matures and what kind of disruption is on the horizon in the coming year?

From advanced metering infrastructure endpoints to electric-vehicle chargers, grid edge venture capital investments to demand response events, hundreds of data points go into tracking new trends at the edge of the grid amid ongoing grid modernization discussions across utilities.

Trends across these variables tell a story of transition, but perhaps not yet transformation. Customers hold more power than ever before in 2019, with utilities and vendors innovating to take advantage of new opportunities behind the meter. Meanwhile, external factors can always throw things off-course, including the data center boom that is posing new power challenges, and reliability is top of mind in light of last year's extreme weather events. What does the 2018 data say about 2019?

For one thing, demand response evolved, enabled by new information and communications technology. Last year, wholesale market operators increasingly sought to leverage the dispatch of distributed energy resource flexibility in close to real time. Three independent system operators and regional transmission organizations called on demand response five times in total for relief in the summer of 2018, including the NYISO.

The demand response events called in the last 18 months send a clear message: Grid operators will continue to call events year-round. This story unfolds as reserve margins continue to tighten, fossil baseload generation retirements continue, and system operators are increasingly faced with proving the resiliency and reliability of their systems while efforts to invest in a smarter electricity infrastructure gain momentum across the country.

In 2019, the total amount of flexible demand response capacity for wholesale market participation will remain about the same. However, the way operators and aggregators are using demand response is changing as information and communications technology systems improve and utilities are using AI to adapt to electricity demands, allowing the behavior of resources to be more accurately forecasted, monitored and controlled.

These improvements are allowing customer-sited resources to offer  flexibility services closer to real-time operations and become more reactive to system needs. At the same time, traditional demand response will continue to evolve toward the orchestration of DERs as an aggregate flexible resource to better enable growing levels of renewable energy on the grid.

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Germany Energy Price Hikes are driving electricity tariffs, gas prices, and heating costs higher as wholesale markets surge after the Ukraine invasion; households face inflationary pressure despite relief measures and a renewables levy cut.

Key Points

Germany Energy Price Hikes reflect surging power and gas tariffs from wholesale spikes, prompting relief measures.

✅ Electricity tariffs to rise 19.5% in Apr-Jun

✅ Gas tariffs up 42.3%; heating and fuel costs soar

✅ Renewables levy ends July; saves €6.6 billion yearly

Record prices for electricity and gas in Germany will continue to rise in the coming months, the dpa agency, citing estimates from the consumer portal Verivox.

According to him, electricity suppliers and local utilities, in whose area of ​​responsibility there are 13 million households, made an announcement of tariff increases in April, May and June by 19.5%. Gas tariffs increased by an average of 42.3%.

According to Verivox, electricity prices in Germany have approximately doubled over the year - a pattern seen as European electricity prices rose more than double the EU average - if previously a household with a consumption of 4,000 kWh paid 1,171 euros a year, now the amount has risen to 1,737 euros. Gas prices have risen even more, though European gas prices later returned to pre-Ukraine war levels: last year, a household with a consumption of 20,000 kWh paid 1,184 euros in annual terms, and now it is 2,787 euros. 

Energy costs for the average German household are 52 percent higher than a year ago, adding to EU inflation pressures, according to energy contract sales website Check24. In a press release, the company said the wholesale electricity price was at €122.93 per megawatt-hour in February 2022, compared to €49 this time last year, while in the United States US electricity prices climbed at the fastest pace in 41 years. In addition, electricity prices on the power exchange haven been rising rapidly since Russian troops invaded Ukraine, comparison portal Strom Report said. Costs for heating rose the most, triggered by the high gas price (105 euros per megawatt-hour on the wholesale market) and around 100 USD per barrel of oil – its highest price since 2014. Driving also became more expensive with costs for petrol up 25 percent and diesel 30 percent, Check24 said.

The German government has decided on relief measures for low-income households, including a 200 billion euro energy shield, in response to high consumer energy costs. In July, it will abolish the renewables levy on the power price, saving consumers around €6.6 billion annually. In a reform proposal released this week, the ministry for economy and climate also detailed how it will legally oblige power suppliers to reduce their power bills when the levy is abolished.

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