Electricity Demand In The Time Of COVID-19

NnG Offshore Wind Farm restarts construction off Scotland, backed by EDF Renewables and ESB, CfD 2015, 54 turbines, powering 375,000 homes, 500 jobs, delivering GBP 540 million, with Covid-19 safety measures and staggered workforce.

Key Points

A 54-turbine Scottish offshore project by EDF Renewables and ESB, resuming to power 375,000 homes and support 500 jobs.

✅ Awarded a CfD in 2015; 54 turbines off Scotland's east coast.

✅ Projected to power 375,000 homes and deliver GBP 540 million locally.

✅ Staggered workforce return with Covid-19 control measures and oversight.

Neart Na Gaoithe (NnG) Offshore Wind Farm, owned by  EDF Renewables and Irish firm ESB, stopped construction in March, even as the world's most powerful tidal turbine showcases progress in marine energy.

Project boss Matthias Haag announced last night the 54-turbine wind farm would restart construction this week, as the largest UK offshore wind farm begins supplying power, underscoring sector momentum.

Located off Scotland’s east coast, where wind farms already power millions of homes, it was awarded a Contract for Difference (CfD) in 2015 and will look to generate enough energy to power 375,000 homes.

It is expected to create around 500 jobs, and supply chain growth like GE's new offshore blade factory jobs shows wider industry momentum, while also delivering £540 million to the local economy.

Mr Haag, NnG project director, said the wind farm build would resume with a small, staggered workforce return in line social distancing rules, and with broader energy sector conditions, including Hinkley Point C setbacks that challenge the UK's blueprint.

He added: “Initially, we will only have a few people on site to put in place control measures so the rest of the team can start work safely later that week.

“Once that’s happened we will have a reduced workforce on site, including essential supervisory staff.

“The arrangements we have put in place will be under regular review as we continue to closely monitor Covid-19 and follow the Scottish Government’s guidance.”

NnG wind farm, a 54-turbine projects, was due to begin full offshore construction in June 2020 before the Covid-19 outbreak, at a time when a Scottish tidal project had just demonstrated it could power thousands of homes.

EDF Renewables sold half of the NnG project to Irish firm ESB in November last year, and parent company EDF recently saw the Hinkley C reactor roof lifted into place, highlighting progress alongside renewables.

The first initial payment was understood to be around £50 million.

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NT Power OEB Compliance Penalty highlights a $75,000 fine for improper disconnection notices, 14-day rule violations, process oversight failures, refunds, LEAP support, and corrective training to strengthen consumer protection and regulatory adherence in Ontario areas.

Key Points

A $75,000 OEB fine to NT Power for improper disconnection notices; refunds, LEAP support, and improved compliance.

✅ $75k administrative monetary penalty; $25k LEAP donation; refunds

✅ 870 notices misdated; 14-day rule training implemented

✅ 10 disconnects reconnected; $100 goodwill credits

The Ontario Energy Board recently ruled against Newmarket-Tay Power Distribution Ltd. (NT Power), fining them $75,000 for failing to issue timely disconnection notices to 870 customers between April and August 2022. These notices did not comply with the Ontario Energy Board's distribution system code, similar to standards reaffirmed in the OEB decision on Hydro One rates earlier this year, which mandates a minimum 14-day notice period before disconnection.

Out of the affected customers, ten had their electricity services disconnected, and six were additionally charged reconnection fees. However, NT Power has since reconnected all disconnected customers and refunded the reconnection fees, as confirmed by the Ontario Energy Board.

In response to these issues, NT Power has voluntarily accepted an assurance of compliance. This agreement stipulates that NT Power will pay a $75,000 administrative monetary penalty. Furthermore, they will make an additional payment of $25,000 to the Salvation Army's Northridge Community Church, which administers the Low-income Energy Assistance Program (LEAP) within NT Power's service area, aligning with broader efforts to reduce costs for industry highlighted by Canadian Manufacturers & Exporters recently, according to the association.

This is not the first time NT Power has faced compliance issues in this regard. The utility company admitted that this incident marks the second instance in three years where they failed to adhere to their disconnection-related obligations as outlined in the code, and sector governance debates, including the Manitoba Hydro board debate, underscore how oversight remains a national focus.

In a statement to NewmarketToday, NT Power acknowledged a similar issue three years ago when they were alerted to problems with their disconnection process. They promptly made adjustments to align their in-house procedures with the requirements of the Ontario Energy Board. Unfortunately, they neglected to implement a secondary check, leading to disconnect notices being dated a few days too early.

Alex Braletic, NT Power's Vice President of Engineering and Operation, clarified that no customers were actually disconnected prematurely, and debates over paying for electricity in India illustrate how enforcement challenges differ globally, but the issued letters contained inaccuracies. He added that NT Power has since instituted additional verification procedures to prevent such errors from occurring again.

The Ontario Energy Board emphasized that NT Power has assured them that corrective measures have been taken to ensure that their staff involved in the disconnection process receive proper training and management oversight, and recent market reactions such as Hydro One shares falling after leadership changes underscore the importance of strong governance to guarantee compliance with regulatory requirements.

Brian Hewson, Vice President of Consumer Protection and Industry Performance at the Ontario Energy Board, stated, referencing earlier Ontario rate reductions for businesses that complemented consumer protections, "As a result of the actions we have taken and NT Power’s assurance that it is aware of its obligations and has taken steps to improve its processes, consumers will be better protected."

Braletic encouraged NT Power's customers who are facing difficulties paying their electricity bills to reach out to their customer service department or visit their website. He emphasized that various programs and services are available to provide relief for bills, and amid ongoing Toronto Hydro impersonation scams customers should contact NT Power directly. NT Power is committed to collaborating with customers proactively and connecting them with assistance to avoid serving them with disconnection notices.

Furthermore, NT Power plans to send a letter to the ten affected customers and provide each of them with a $100 bill credit as a goodwill gesture.

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New Brunswick Small Modular Reactors promise clean energy, jobs, and economic growth, say NB Power, ARC Nuclear, and Moltex Energy; critics cite cost overruns, nuclear waste risks, market viability, and reliance on government funding.

Key Points

Compact reactors proposed in NB to deliver low-carbon power and jobs; critics warn of costs, waste, and market risks.

✅ Promised jobs, exports, and net-zero support via NB Power partnerships

✅ Critics cite cost overruns, nuclear waste, and weak market demand

✅ Government funding pivotal; ARC and Moltex advance licensing

When Mike Holland talks about small modular nuclear reactors, he sees dollar signs.

When the Green Party hears about them, they see danger signs.

The loquacious Progressive Conservative minister of energy development recently quoted NB Power's eye-popping estimates of the potential economic impact of the reactors: thousands of jobs and a $1 billion boost to the provincial economy.

"New Brunswick is positioned to not only participate in this opportunity, but to be a world leader in the SMR field," Holland said in the legislature last month.

'Huge risk' nuclear deal could let Ontario push N.B. aside, says consultant
'Many issues' with modular nuclear reactors says environmental lawyer
Green MLAs David Coon and Kevin Arseneau responded cheekily by ticking off the Financial and Consumer Services Commission's checklist on how to spot a scam.

Is the sales pitch from a credible source? Is the windfall being promised by a reputable institution? Is the risk reasonable?

For small nuclear reactors, they said, the answer to all those questions is no. 

"The last thing we need to do is pour more public money down the nuclear-power drain," Coon said, reminding MLAs of the Point Lepreau refurbishment project that went $1 billion over budget.

The Greens aside, New Brunswick politicians have embraced small modular reactors as part of a broader premiers' nuclear initiative to develop SMR technology, which they say can both create jobs and help solve the climate crisis.

Smaller and cheaper, supporters say
They're "small" because, depending on the design, they would generate from three to 300 megawatts of electricity, less than, for example, Point Lepreau's 660 megawatts.

It's the modular design that is supposed to make them more affordable, as explained in next-gen nuclear guides, with components manufactured elsewhere, sometimes in existing factories, then shipped and assembled. 

Under Brian Gallant, the Liberals handed $10 million to two Saint John companies working on SMRs, ARC Nuclear and Moltex Energy.

Greens point to previous fiascoes
The Greens and other opponents of nuclear power fear SMRS are the latest in a long line of silver-bullet fiascoes, from the $23 million spent on the Bricklin in 1975 to $63.4 million in loans and loan guarantees to the Atcon Group a decade ago.

"It seems that [ARC and Moltex] have been targeting New Brunswick for another big handout ... because it's going to take billions of dollars to build these things, if they ever get off the drawing board," said Susan O'Donnell, a University of New Brunswick researcher.

O'Donnell, who studies technology adoption in communities, is part of a small new group called the Coalition for Responsible Energy Development formed this year to oppose SMRs.

"What we really need here is a reasonable discussion about the pros and cons of it," she said.

Government touts economic spinoffs
According to the Higgs government's throne speech last month, if New Brunswick companies can secure just one per cent of the Canadian market for small reactors, the province would see $190 million in revenue. 

The figures come from a study conducted for NB Power by University of Moncton economist Pierre-Marcel Desjardins.

But a four-page public summary does not include any sales projections and NB Power did not provide them to CBC News. 

"What we didn't see was a market analysis," O'Donnell said. "How viable is the market? … They're all based on a hypothetical market that probably doesn't exist."

O'Donnell said her group asked for the full report but was told it's confidential because it contains sensitive commercial information.

Holland said he's confident there will be buyers. 

"It won't be hard to find communities that will be looking for a cost effective, affordable, safe alternative to generate their electricity and do it in a way that emits zero emissions," he said.

SMRs come in different sizes and while some proponents talk about using "micro" reactors to provide electricity to remote northern First Nations communities, ARC and Moltex plan larger models to sell to power utilities looking to shift away from coal and gas.

"We have utilities and customers across Canada, where Ontario's first SMR groundbreaking has occurred already, across the United States, across Asia and Europe saying they desperately want a technology like this," said Moltex's Saint John-based CEO for North America Rory O'Sullivan. 

"The market is screaming for this product," he said, adding "all of the utilities" in Canada are interested in Moltex's reactors

ARC's CEO Norm Sawyer is more specific, guessing 30 per cent of his SMR sales will be in Atlantic Canada, 30 per cent in Ontario, where Darlington SMR plans are advancing, and 40 per cent in Alberta and Saskatchewan — all provincial power grids.

O'Donnell said it's an important question because without a large number of guaranteed sales, the high cost of manufacturing SMRs would make the initiative a money-loser. 

The cost of building the world's only functioning SMR, in Russia, was four times what was expected. 

An Australian government agency said initial cost estimates for such major projects "are often initially too low" and can "overrun." 

Up-front costs can be huge
University of British Columbia physicist M.V. Ramana, who has authored studies on the economics of nuclear power, said SMRs face the same financial reality as any large-scale manufacturing.

"You're going to spend a huge amount of money on the basic fixed costs" at the outset, he said, with costs per unit becoming more viable only after more units are built and sold. 

He estimates a company would have to build and sell more than 700 SMRs to break even, and said there are not enough buyers for that to happen. 

But Sawyer said those estimates don't take into account technological advances.

"A lot of what's being said ... is really based on old technology," he said, estimating ARC would be viable even if it sold an amount of reactors in the low double digits. 

O'Sullivan agrees.

"In fact, just the first one alone looks like it will still be economical," he said. "In reality, you probably need a few … but you're talking about one or two, maximum three [to make a profit] because you don't need these big factories."

'Paper designs' prove nothing, says expert
Ramana doesn't buy it. 

"These are all companies that have been started by somebody who's been in the nuclear industry for some years, has a bright idea, finds an angel investor who's given them a few million dollars," he said.

"They have a paper design, or a Power Point design. They have not built anything. They have not tested anything. To go from that point … to a design that can actually be constructed on the field is an enormous amount of work." 

Both CEOs acknowledge the skepticism about SMRs.

'The market is screaming for this product,' said Moltex’s Saint John-based CEO for North America, Rory O’Sullivan. (Brian Chisholm, CBC)
"I understand New Brunswick has had its share of good investments and its share of what we consider questionable investments," said Sawyer, who grew up in Rexton.

But he said ARC's SMR is based on a long-proven technology and is far past the on-paper design stage "so you reduce the risk." 

Moltex is now completing the first phase of the Canadian Nuclear Safety Commission's review of its design, a major hurdle. ARC completed that phase last year.

But, Ramana said there are problems with both designs. Moltex's molten salt model has had "huge technical challenges" elsewhere while ARC's sodium-cooled system has encountered "operational difficulties."

Ottawa says nuclear is needed for climate goals
The most compelling argument for looking at SMRs may be Ottawa's climate change goals, and international moves like the U.K.'s green industrial revolution plan point to broader momentum.  

The national climate plan requires NB Power to phase out burning coal at its Belledune generating station by 2030. It's scrambling to find a replacement source of electricity.

The Trudeau government's throne speech in October promised to "support investments in renewable energy and next-generation clean energy and technology solutions."

And federal Natural Resources Minister Seamus O'Regan told CBC earlier this year that he's "very excited" about SMRs and has called nuclear key to climate goals in Canada as well.

"We have not seen a model where we can get to net-zero emissions by 2050 without nuclear,"  he said.

O'Donnell said while nuclear power doesn't emit greenhouse gases, it's hardly a clean technology because of the spent nuclear fuel waste. 

Government support is key 
She also wonders why, if SMRs make so much sense, ARC and Moltex are relying so much on government money rather than private capital.

Holland said "the vast majority" of funding for the two companies "has to come from private sector investments, who will be very careful to make sure they get a return on that investment."

Sawyer said ARC has three dollars for every dollar it has received from the province, and General Electric has a minority ownership stake in its U.S.-based parent company.

O'Sullivan said Moltex has attracted $5 million from a European engineering firm and $6 million from "the first-ever nuclear crowdfunding campaign." 

But he said for new technologies, including nuclear power, "you need government to show policy support.

"Nuclear technology has always been developed by governments around the world. This is a very new change to have an industry come in and lead this, so private investors can't take the risk to do that on their own," he said. 

So far, Ottawa hasn't put up any funding for ARC or Moltex. During the provincial election campaign, Higgs implied federal money was imminent, but there's been no announcement in the almost three months since then.

Last month the federal government announced $20 million for Terrestrial Energy, an Ontario company working on SMRs, alongside OPG's commitment to SMRs in the province, underscoring momentum.

"We know we have the best technology pitch," O'Sullivan said. "There's others that are slightly more advanced than us, but we have the best overall proposition and we think that's going to win out at the end of the day."

But O'Donnell said her group plans to continue asking questions about SMRs. 

"I think what we really need is to have an honest conversation about what these are so that New Brunswickers can have all the facts on the table," she said.

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Germany Hydrogen-Ready Power Plants Tender accelerates the energy transition by enabling clean energy generation, decarbonization, and green hydrogen integration through retrofit and new-build capacity, resilient infrastructure, flexible storage, and grid reliability provisions.

Key Points

Germany tender to build or convert plants for hydrogen, advancing decarbonization, energy security, and clean power.

✅ Hydrogen-ready retrofits and new-build generation capacity

✅ Supports decarbonization, grid reliability, and flexible storage

✅ Future-proof design for green hydrogen supply integration

Germany, a global leader in energy transition and environmental sustainability, has recently launched an ambitious call for tenders aimed at developing hydrogen-ready power plants. This initiative is a significant step in the country's strategy to transform its energy infrastructure and support the broader goal of a greener economy. The move underscores Germany’s commitment to reducing greenhouse gas emissions and advancing clean energy technologies.

The Need for Hydrogen-Ready Power Plants

Hydrogen, often hailed as a key player in the future of clean energy, offers a promising solution for decarbonizing various sectors, including power generation. Unlike fossil fuels, hydrogen produces zero carbon emissions when used in fuel cells or burned. This makes it an ideal candidate for replacing conventional energy sources that contribute to climate change.

Germany’s push for hydrogen-ready power plants reflects the country’s recognition of hydrogen’s potential in achieving its climate goals. Traditional power plants, which typically rely on coal, natural gas, or oil, emit substantial amounts of CO2. Transitioning these plants to utilize hydrogen can significantly reduce their carbon footprint and align with Germany's climate targets.

The Details of the Tender

The recent tender call is part of Germany's broader strategy to incorporate hydrogen into its energy mix, amid a nuclear option debate in climate policy. The tender seeks proposals for power plants that can either be converted to use hydrogen or be built with hydrogen capability from the outset. This approach allows for flexibility and innovation in how hydrogen technology is integrated into existing and new energy infrastructures.

One of the critical aspects of this initiative is the focus on “hydrogen readiness.” This means that power plants must be designed or retrofitted to operate with hydrogen either exclusively or in combination with other fuels. The goal is to ensure that these facilities can adapt to the growing availability of hydrogen and seamlessly transition from conventional fuels without significant additional modifications.

By setting such requirements, Germany aims to stimulate the development of technologies that can handle hydrogen’s unique properties and ensure that the infrastructure is future-proofed. This includes addressing challenges related to hydrogen storage, transportation, and combustion, and exploring concepts like storing electricity in natural gas pipes for system flexibility.

Strategic Implications for Germany

Germany’s call for hydrogen-ready power plants has several strategic implications. First and foremost, it aligns with the country’s broader energy strategy, which emphasizes the need for a transition from fossil fuels to cleaner alternatives, building on its decision to phase out coal and nuclear domestically. As part of its commitment to the Paris Agreement and its own climate action plans, Germany has set ambitious targets for reducing greenhouse gas emissions and increasing the share of renewable energy in its energy mix.

Hydrogen plays a crucial role in this strategy, particularly for sectors where direct electrification is challenging. For instance, heavy industry and certain industrial processes, such as green steel production, require high-temperature heat that is difficult to achieve with electricity alone. Hydrogen can fill this gap, providing a cleaner alternative to natural gas and coal.

Moreover, this initiative helps Germany bolster its leadership in green technology and innovation. By investing in hydrogen infrastructure, Germany positions itself as a pioneer in the global energy transition, potentially influencing international standards and practices. The development of hydrogen-ready power plants also opens up new economic opportunities, including job creation in engineering, construction, and technology sectors.

Challenges and Opportunities

While the push for hydrogen-ready power plants presents significant opportunities, it also comes with challenges. Hydrogen production, especially green hydrogen produced from renewable sources, remains relatively expensive compared to conventional fuels. Scaling up production and reducing costs are critical for making hydrogen a viable alternative for widespread use.

Furthermore, integrating hydrogen into existing power infrastructure, alongside electricity grid expansion, requires careful planning and investment. Issues such as retrofitting existing plants, ensuring safe handling of hydrogen, and developing efficient storage and transportation systems must be addressed.

Despite these challenges, the long-term benefits of hydrogen integration are substantial, and a net-zero roadmap indicates electricity costs could fall by a third. Hydrogen can enhance energy security, reduce reliance on imported fossil fuels, and support global climate goals. For Germany, this initiative is a step towards realizing its vision of a sustainable, low-carbon energy system.

Conclusion

Germany’s call for hydrogen-ready power plants is a forward-thinking move that reflects its commitment to sustainability and innovation. By encouraging the development of infrastructure capable of using hydrogen, Germany is taking a significant step towards a cleaner energy future. While challenges remain, the strategic focus on hydrogen underscores Germany’s leadership in the global transition to a low-carbon economy. As the world grapples with the urgent need to address climate change, Germany’s approach serves as a model for integrating emerging technologies into national energy strategies.

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Scotland Wind Energy delivered record renewable power as wind turbines and farms generated 9,831,320 MWh in H1 2019, supplying clean electricity for every home twice and supporting northern England, according to WWF data.

Key Points

Term for Scotland's wind power output, highlighting 2019 records, clean electricity, and progress on decarbonization.

✅ 9,831,320 MWh generated Jan-Jun 2019 by wind farms

✅ Enough to power 4.47 million homes twice in that period

✅ Advances decarbonization and 2030 renewables, 2050 net-zero goals

Wind turbines in Scotland produced enough electricity in the first half of 2019, reflecting periods when wind led the power mix across the UK, to power every home in the country twice over, according to new data by the analytics group WeatherEnergy. The wind farms generated 9,831,320 megawatt-hours between January and June, as the UK set a wind generation record in comparable periods, equal to the total electricity consumption of 4.47 million homes during that same period.

The electricity generated by wind in early 2019 is enough to power all of Scotland’s homes, as well as a large portion of northern England’s, highlighting how wind and solar exceeded nuclear in the UK in recent milestones as well, and events such as record UK output during Storm Malik underscore this capacity.

“These are amazing figures,” Robin Parker, climate and energy policy manager at WWF, which highlighted the new data, said in a statement. “Scotland’s wind energy revolution is clearly continuing to power ahead, as wind became the UK’s main electricity source in a recent first. Up and down the country, we are all benefitting from cleaner energy and so is the climate.”

Scotland currently has a target of generating half its electricity from renewables by 2030, a goal buoyed by milestones like more UK electricity from wind than coal in 2016, and decarbonizing its energy system almost entirely by 2050. Experts say the latest wind energy data shows the country could reach its goal far sooner than originally anticipated, especially with complementary technologies such as tidal power in Scottish waters gaining traction.

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Germany Energy Price Defensive Shield counters soaring gas and electricity costs with a gas price brake, VAT cut, subsidies for households and SMEs, LNG terminals, renewables, temporary nuclear extension, and targeted borrowing to curb inflation.

Key Points

A 200 billion euro package to cap energy costs, subsidize basics, and stabilize inflation for firms and households.

✅ Gas price brake and VAT cut reduce consumer and SME energy bills.

✅ Temporary electricity subsidies and nuclear extension aid winter supply.

✅ Funded via new borrowing; supports LNG and renewable expansion.

German Chancellor Olaf Scholz set out a 200 billion euro ($194 billion) "defensive shield", including a gas price brake and a cut in sales tax for the fuel, to protect companies and households from the impact of soaring energy prices in Germany.

Europe's biggest economy is trying to cope with surging gas and electricity costs, with local utilities seeking help, caused largely by a collapse in Russian gas supplies to Europe, which Moscow has blamed on Western sanctions following its invasion of Ukraine in February.

3 minute readSeptember 29, 202211:35 AM PDTLast Updated 6 days ago
Germany agrees 200 bln euro package to shield against surging energy prices
By Holger Hansen and Kirsti Knolle

"Prices have to come down, so the government will do everything it can. To this end, we are setting up a large defensive shield," said Scholz.

Under the plans, to run until spring 2024, the government will introduce an emergency price brake on gas, the details of which will be announced next month, while Europe weighs emergency measures to limit electricity prices across the bloc. It is scrapping a planned gas levy meant to help firms struggling with high spot market prices. 

A temporary electricity price brake will subsidise basic consumption for consumers and small and medium-sized companies, and complements an electricity subsidy for industries under discussion. Sales tax on gas will fall to 7% from 19%.

In its efforts to cut its dependence on Russian energy, Germany is also promoting the expansion of renewable energy and developing liquefied gas terminals, but rolling back European electricity prices remains complex.

To help households and companies weather any winter supply disruption, amid rising heating and electricity costs this winter, especially in southern Germany, two nuclear plants previously due to close by the end of this year will be able to keep running until spring 2023.

The package will be financed with new borrowing this year, as Berlin makes use of the suspension of a constitutionally enshrined limit on new debt of 0.35% of gross domestic product.

Finance Minister Christian Lindner has said he wants to comply with the limit again next year, even as the EU outlines gas price cap strategies for the market.

Lindner, of the pro-business Free Democrats (FDP) who share power with Scholz's Social Democrats and the Greens, said on Thursday the country's public finances were stable.

"We can put it no other way: we find ourselves in an energy war," said Lindner. "We want to clearly separate crisis expenditure from our regular budget management, we want to send a very clear signal to the capital markets."

He also said the steps would act as a brake on inflation, which hit its highest level in more than a quarter of century in September.

Opposition conservative Markus Soeder, premier of the southern state of Bavaria, said the steps gave the right signal.

"It gives industry and citizens confidence that we can get through the winter," he said.

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