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Muskrat Falls rate mitigation offsets Newfoundland Power's rate stabilization decrease as NL Hydro begins cost recovery; Public Utilities Board approval enables collections while Labrador-Island Link nears commissioning, stabilizing electricity rates despite megaproject delays, overruns.

Key Points

Muskrat Falls rate mitigation is NL Hydro's cost recovery via power rates to stabilize bills as commissioning nears.

✅ Offsets 6.4% decrease with a 6.1% rate increase

✅ About 6% now funds NL Hydro's rate mitigation

✅ Collections begin as Labrador-Island Link nears commissioning

With their July electricity bill, Newfoundland Power customers have begun paying for Muskrat Falls, though a lump-sum credit was also announced to offset costs and bills haven't significantly increased — yet.

In a July newsletter, Newfoundland Power said electricity bills were set to decrease by 6.4 per cent as part of the annual rate stabilization adjustment, which reflects the cost of electricity generation.

Instead, that decrease has been offset by a 6.1 increase in electricity rates so Newfoundland and Labrador Hydro can begin recovering the cost of Muskrat Falls, with a $5.2-billion federal package also underpinning the project, the $13-billion hydroelectric megaproject that is billions over budget and years behind schedule.

That means for residential customers, electricity rates will decrease to 12.346 cents per kilowatt, though the basic customer charge will go up slightly from $15.81 to $15.83. According to an N.L. Hydro spokesperson, about six per cent of electricity bills will now go toward what it calls a "rate mitigation fund." 

N.L. Hydro claims victory in Muskrat Falls arbitration dispute with Astaldi
Software troubles blamed for $260M Muskrat Falls cost increase, with N.L. power rates stable for now
The spokesperson said N.L. Hydro is expecting the rate increase to result in $43 million this year, according to a recent financial update from the energy corporation — a tiny fraction of the project's cost. 

N.L. Hydro asked the Public Utilities Board to approve the rate increase, a process similar to Nova Scotia's recent 14% approval by its regulator, in May. In a letter, Energy, Industry and Technology Minister Andrew Parsons supported the increase, though he asked N.L. Hydro to keep electricity rates "as close to current levels as possible. 

Province modifies order in council
Muskrat Falls is not yet fully online — largely due to software problems with the Labrador-Island Link transmission line — and an order in council dictated that ratepayers on the island of Newfoundland would not begin paying for the project until the project was fully commissioned. 

The provincial government modified that order in council so N.L. Hydro can begin collecting costs associated with Muskrat Falls once the project is "nearing" commissioning.

In June, N.L. Hydro said the project was expected to finally be completed by the end of the year.

In an interview with CBC News, Progressive Conservative interim leader David Brazil said the decision to begin recovering the cost of Muskrat Falls from consumers should have been delayed.

"There was an opportunity here for people to get some reprieve when it came to their electricity bills and this administration chose not to do that, not to help the people while they're struggling," he said.

In a statement, Parsons said reducing the rate was not an option, and would have resulted in increased borrowing costs for Muskrat Falls.

"Reducing the rate for one year to have it increase significantly the following year is not consistent with rate mitigation and also places an increased financial burden on taxpayers one year from now," Parsons said.

Decision 'reasonable': Consumer advocate
Brazil said his party didn't know the payments from Muskrat Falls would start in July, and criticized the government for not being more transparent.

A person wearing a blue shirt and black blazer stands outside on a lawn.
N.L. consumer advocate Dennis Browne says it makes sense to begin recouping the cost of Muskrat Falls. (Garrett Barry/CBC)
Newfoundland and Labrador consumer advocate Dennis Browne said the decision to begin collecting costs from consumers was "reasonable."

"We're into a financial hole due to Muskrat Falls, and what has happened is in order to stabilize rates, we have gone into rate stabilization efforts," he said.

In February, the provincial and federal governments signed a complex agreement to shield ratepayers aimed at softening the worst of the financial impact from Muskrat Falls. Browne noted even with the agreement, the provincial government will have to pay hundreds of millions in order to stabilize electricity rates.

"Muskrat Falls would cost us $0.23 a kilowatt, and that is out of the range of affordability for most people, and that's why we're into rate mitigation," he said. "This was part of a rate mitigation effort, and I accepted it as part of that."

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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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Sycamore Energy Manitoba Hydro Lawsuit centers on alleged mismanagement of the solar rebate incentive program, project delays, inspection backlogs, and alleged customer interference, impacting renewable energy installations, contractors, and clean power investment across Manitoba.

Key Points

Claim alleging mismanagement of Manitoba's solar rebate, delays, and inducing customers to switch installers.

✅ Lawsuit alleges mismanaged solar rebate incentive program

✅ Delays in inspections left hundreds of projects incomplete

✅ Claims Hydro urged customers to switch installers for rebates

Sycamore Energy filed a statement of claim Monday in Manitoba Court of Queens Bench against Manitoba Hydro saying it badly mismanaged its Solar Energy Program, a dispute that comes as Canada's solar progress faces criticism nationwide.

The claim also noted the crown corporation caused significant financial and reputational damage to Sycamore Energy, echoing disputes like Ontario wind cancellation costs seen elsewhere.

The statement of claim says Manitoba Hydro was telling customers to find other companies to complete solar panel installations, even as Nova Scotia's solar charge debate has unfolded.

'I'm still waiting': dozens of Manitoba solar system installations in the queue under expired incentive program
This all comes after a pilot project was launched in the province in April 2016, which would allow people to apply for a rebate under the incentive program, while Saskatchewan adjusted solar credits in parallel, and the project would cover about 25 per cent of the installation costs.

The project ended in April 2018, but hundreds of approved projects had yet to be finished.

According to Manitoba Hydro, in November there were 252 approved projects awaiting completion by more than one contractor, and Sycamore Energy said it had about 100 of those projects, a dynamic seen as New England's solar growth strains grid upgrades in other regions.

At the time Sycamore Energy COO, Alex Stuart, blamed Manitoba Hydro for the delays, stating it took too long to get inspections after solar systems were installed.

Scott Powell, Manitoba Hydro’s director of corporate communications, said in November he disagreed with Sycamore Energy’s comments, even as Ontario moves to reintroduce renewables elsewhere.

In a news release, the company said it sold more installations under Manitoba Hydro’s Solar Energy Program compared to other companies and it was instrumental in helping set up standards for the program.

“Manitoba Hydro mismanaged the solar rebate program from the beginning. In the end, they targeted our company unfairly and unlawfully by inducing our customers to break their contracts with us. Manitoba Hydro told our customers they could get an extension to their rebate but only if they switched to different installers,” said Justin Phillips, CEO of Sycamore Energy in a news release.

“We would much rather be installing clean, effective solar power projects for our customers right now. The last thing we want to do is to be suing Manitoba Hydro, but we feel we have no choice. Their actions have cost us millions in lost business. They’ve also cost the province jobs, millions in private investment and a positive way forward to help combat climate change.”

Manitoba Hydro now has 20 days to respond to the action, and a recent Cornwall wind-farm ruling underscores the stakes.

When asked for a response from CTV News, a spokesperson for the Crown corporation said it hadn’t yet been made aware of the suit.

“If a statement of claim is filed and served, we’ll file a statement of defence in due course. As this matter is now apparently before the courts, we have no further comment,” the spokesperson said.

None of these allegations have been proven in court.

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MeyGen Tidal Stream Project delivers record 13.8 GWh to Scotland's grid, showcasing renewable ocean energy. Simec Atlantis Energy's 6 MW array of tidal turbines advances EU power goals and plans an ocean-powered data center.

Key Points

A Scottish tidal energy array exporting record power, using four 1.5 MW turbines and driving renewable innovation.

✅ Delivered 13.8 GWh to the grid in 2019, a project record.

✅ Four 1.5 MW turbines in Phase 1A, 6 MW installed.

✅ Plans include an ocean-powered data center near site.

A tidal power project in waters off the north coast of Scotland, where Scotland’s wind farms also deliver significant output, sent more than 13.8 gigawatt hours (GWh) of electricity to the grid last year, according to an operational update issued Monday. This figure – a record – almost doubled the previous high of 7.4 GWh in 2018.

In total, the MeyGen tidal stream array has now exported more than 25.5 GWh of electricity to the grid since the start of 2017, according to owners Simec Atlantis Energy. Phase 1A of the project is made up of four 1.5 megawatt (MW) turbines.

The 13.8 GWh of electricity exported in 2019 equates to the average yearly electricity consumption of roughly 3,800 “typical” homes in the U.K., where wind power records have been set recently, according to the company, with revenue generation amounting to £3.9 million ($5.09 million).

Onshore maintenance is now set to be carried out on the AR1500 turbine used by the scheme, with Atlantis aiming to redeploy the technology in spring.

In addition to the production of electricity, Atlantis is also planning to develop an “ocean-powered data centre” near the MeyGen project.

The European Commission has described “ocean energy” as being both abundant and renewable, and milestones like the biggest offshore windfarm starting U.K. supply underscore wider momentum, too. It’s estimated that ocean energy could potentially contribute roughly 10% of the European Union’s power demand by the year 2050, according to the Commission.

While tidal power has been around for decades — EDF’s 240 MW La Rance Tidal Power Plant in France was built as far back as 1966, and the country’s first offshore wind turbine has begun producing electricity — recent years have seen a number of new projects take shape.

In December last year, Scottish tidal energy business Nova Innovation was issued with a permit to develop a project in Nova Scotia, Canada, aiming to harness the Bay of Fundy tides in the region further.

In an announcement at the time, the firm said a total of 15 tidal stream turbines would be installed by the year 2023. The project, according to the firm, will produce enough electricity to power 600 homes, as companies like Sustainable Marine begin delivering tidal energy to the Nova Scotia grid.

Elsewhere, a business called Orbital Marine Power is developing what it describes as the world’s most powerful tidal turbine, with grid-supplied output already demonstrated.

The company says the turbine will have a swept area of more than 600 square meters and be able to generate “over 2 MW from tidal stream resources.” It will use a 72-meter-long “floating superstructure” to support two 1 MW turbines.

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BCER Renewable Energy Permitting streamlines single-window approvals for wind, solar, and transmission projects in BC, cutting red tape, aligning with CleanBC, and accelerating investment, Indigenous partnerships, and low-carbon infrastructure growth provincewide.

Key Points

BC's single-window framework consolidates approvals for wind, solar, and transmission to accelerate energy projects.

✅ Single-window permits via BC Energy Regulator (BCER)

✅ Covers wind, solar, and high-voltage transmission lines

✅ Aligns with CleanBC, supports Indigenous partnerships

In a decisive move to bolster clean energy initiatives, the government of British Columbia (B.C.) has announced plans to overhaul the regulatory framework governing renewable energy projects. This initiative aims to expedite the development of wind, solar, and other renewable energy sources, positioning B.C. as a leader in sustainable energy production.

Transitioning Regulatory Authority to the BC Energy Regulator (BCER)

Central to this strategy is the proposed legislation, set to be introduced in spring 2025, which will transfer the permitting and regulatory oversight of renewable energy projects, aligning with offshore wind regulation plans at the federal level, from multiple agencies to the BC Energy Regulator (BCER). This transition is designed to create a "single-window" permitting process, simplifying approvals and reducing bureaucratic delays for developers.

Expanding BCER's Mandate

Historically known as the British Columbia Oil and Gas Commission, the BCER's mandate has evolved to encompass a broader range of energy projects. The upcoming legislation will empower the BCER to oversee renewable energy projects, including wind and solar, as well as high-voltage transmission lines like the North Coast Transmission Line (NCTL), in step with renewable transmission planning efforts elsewhere in North America. This expansion aims to streamline the regulatory process, providing developers with a single point of contact throughout the project lifecycle.

Economic and Environmental Implications

The restructuring is expected to unlock significant economic opportunities. Projections suggest that the streamlined process could attract between $5 billion and $6 billion in private investment and complement recent federal grid modernization funding initiatives, generating employment opportunities and fostering economic growth. Moreover, by facilitating the rapid deployment of renewable energy projects, B.C. aims to enhance its clean energy capacity, contributing to global sustainability goals.

Strengthening Partnerships with Indigenous Communities

A pivotal aspect of this initiative is the emphasis on collaboration with Indigenous communities. The government has highlighted the importance of engaging First Nations in the development process, ensuring that projects are not only environmentally sustainable but also socially responsible. This approach seeks to honor Indigenous rights and knowledge, fostering partnerships that benefit all stakeholders.

Supporting Infrastructure Development

The acceleration of renewable energy projects necessitates corresponding infrastructure enhancements. The NCTL, for instance, is crucial for meeting the increased electricity demand from sectors such as mining, port electrification, and hydrogen production, and for addressing regional grid constraints that limit renewable integration. By improving the transmission infrastructure, B.C. aims to support the growing energy needs of these industries while promoting clean energy solutions.

Aligning with CleanBC Objectives

This regulatory overhaul aligns seamlessly with B.C.'s CleanBC initiative, which sets ambitious targets for reducing greenhouse gas emissions and promoting energy efficiency, and supports Canada's goal of zero-emissions electricity by 2035 under active consideration. By removing regulatory barriers and expediting project approvals, the government aims to accelerate the transition to a low-carbon economy, positioning B.C. as a hub for clean energy innovation.

Addressing Potential Challenges

While the initiative has been lauded for its potential, experts caution that careful consideration must be given to environmental assessments and Indigenous consultation processes, as well as to lessons from Alberta's solar expansion challenges on land use and grid impacts. Ensuring that projects meet environmental standards and respect Indigenous rights is crucial for the long-term success and acceptance of renewable energy developments.

The proposed changes mark a significant shift in B.C.'s approach to energy development, reflecting a commitment to sustainability and economic growth. As the legislation moves through the legislative process, stakeholders across the energy sector are closely monitoring developments, particularly as Alberta ends its renewables moratorium and resumes project approvals across the Prairies, anticipating a more efficient and transparent regulatory environment that supports the rapid expansion of renewable energy projects.

B.C.'s plan to streamline the regulatory process for clean energy projects represents a bold step toward a sustainable and prosperous energy future. By consolidating regulatory authority under the BCER, fostering Indigenous partnerships, and aligning with broader environmental objectives, the province is setting a precedent for effective governance in the transition to renewable energy.

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European Power Crisis intensifies as record electricity prices, nuclear output cuts, gas supply strain, heatwave drought, and Rhine shipping bottlenecks hit Germany, France, and Switzerland, tightening winter storage and driving long-term contracts higher.

Key Points

A surge in European power prices from heatwaves, nuclear curbs, Rhine coal limits, and reduced Russian gas supply.

✅ Record year-ahead prices in Germany and France

✅ Nuclear output curbed by warm river cooling limits

✅ Rhine low water disrupts coal logistics and generation

Benchmark power prices in Europe hit fresh records Friday as utilities are increasingly reducing electricity output in western Europe because of the hot weather. 

Next-year contracts in Germany and France, Europe’s biggest economies rose to new highs after Switzerland’s Axpo Holding AG announced curbs at one of its nuclear plants. Electricite de France SA is also reducing nuclear output because of high river temperatures and cooling water restrictions, while Uniper SE in Germany is struggling to get enough coal up the river Rhine. 

Europe is suffering its worst energy crunch in decades, and losing nuclear power is compounding the strain as gas cuts made by Russia in retaliation for sanctions drive a surge in prices. The extreme heat led to the driest July on record in France and is underscoring the impact that a warming climate is having on vital infrastructure.

Water levels on Germany’s Rhine have fallen so low that the river may effectively close soon, impacting supplies of coal to the plants next to it. The Rhone and Garonne in France and the Aare in Switzerland are all too warm to be used to cool nuclear plants effectively, forcing operators to limit energy output under environmental constraints. 

Northwest European weather forecast for the next two weeks:
relates to European Power Hits Records as Plants Start to Buckle in Heat
  
The German year-ahead contract gained as much as 2% to 413 euros a megawatt-hour on the European Energy Exchange AG. The French equivalent rose 1.9% to a record 535 euros. Long-term prices are coming under pressure because producing less power from nuclear and coal will increase the demand for natural gas, which is badly needed to fill storage sites ahead of the winter.  

France to Curb Nuclear Output as Europe’s Energy Crisis Worsens
Uniper SE said on Thursday that two of its coal-fired stations along the Rhine may need to curb output during the next few weeks as transporting coal along the Rhine becomes impossible. 

Plants on the river near Mannheim and Karlsruhe, operated by Grosskraftwerk Mannheim AG and EnBW AG, have previously struggled to source coal because of the shallow water, even as German renewables deliver more electricity than coal and nuclear at times. Both companies said generation hasn’t been affected yet. 

“The low tide is not currently affecting our generation of energy because our plants do not have the need for continuous fresh water,” a Steag GmbH spokesman said on Friday. “But the low tide level can make running plants and transporting coal more complicated than usual.”

The spokesman said though that there is slight reduction in output of about 10 to 15 megawatts, which would equate to a few percent, because of the hot temperatures. “This has been happening over some time now and is a problem for everyone because the plant system is not designed to withstand such hot temperatures,” he said.

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