Giving the grid some backbone

By Scientific American


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A stiff wind blows year-round in North Dakota. In Arizona the sun beats down virtually every day.

The U.S. has vast quantities of renewable electricity sources waiting to be tapped in these regions, but what it does not have there are power lines — big power lines that can carry the bountiful energy to distant cities and industries where it is needed.

The same is true beyond the windswept high plains and the sun-baked Mojave Desert: renewable supply and electricity demand are seldom in the same place, and too often the transmission lines needed to connect them are missing. The disparity exists even in New England, where hundreds of miles of high-tension wires supported by thousands of steel towers run neatly through dense areas of settlement.

When Gordon Van Wiele, chief executive of ISO New England — in charge of transmission in the six-state region — unfurls a map of the land there, large ovals show the location of the best wind sites: Vermont near the Quebec border and eastern Maine spilling over into New Brunswick. But sure enough, no transmission lines transect them.

The U.S. has the natural resources, the technology and the capital to make a massive shift to renewable energy, a step that would lower emissions of greenhouse gases and smog-forming pollutants from coal-fired power plants while also freeing up natural gas for better uses. Missing is a high-voltage transmission backbone to make that future a reality.

In some places, wind power, still in its infancy, is already running up against the gridÂ’s limits.

“Most of the potential for renewable resources tends to be in places where we don’t have robust existing transmission infrastructure,” Van Wiele says. Instead, for decades electric companies have built coal, nuclear, natural gas and oil-fired generators close to customers.

That strategy worked reasonably well until recently, when 28 state governments set “renewable portfolio standards” requiring their utilities to supply a certain portion of their electricity using renewables, such as 20 percent by 2020 or even sooner.

But as Kurt E. Yeager, former president of the Electric Power Research Institute in Palo Alto, Calif., points out, such standards “aren’t worth the paper they’re written on until we have a power system, a grid, that is capable of assimilating that intermittent energy without having to build large quantities of backup power, fossil-fueled, to enable it.”

In Colorado the utility that serves most of the state, Xcel Energy, is now building a megawatt of natural gas capacity for every megawatt of wind so that it is ready to come online quickly to provide power when the wind tails off. That plan is a carbon improvement but not really a carbon solution.

The U.S. needs a new transmission backbone that crisscrosses the country, knitting together many large wind farms, solar-energy fields, geothermal pools, hydroelectric generators and other alternative sources.

One utility company has already unveiled a grand plan for the U.S., and other experts are charting their own backbone schemes. But whichever one might prevail will require a lot of money and a lot of coordination across what are now independent areas of technological and political control.

Even before the emphasis on climate change, reasons were mounting to remake the grid. Chief among them are bottlenecks that stifle the flow of power.

North America is actually covered by four regional grids (three of which serve the U.S.). The largest is the Eastern Interconnection, an extensive complex of transmission lines that stretches from Halifax to New Orleans, with substations that step down the high-voltage electricity to lower levels so that it can be distributed locally along smaller wires.

West of the Rockies is the Western Interconnection, from British Columbia to San Diego and a small slice of Mexico. Texas, in an echo of its history as an independent republic, comprises its own grid, now called the Electric Reliability Council of Texas. And Quebec, with its separatist undercurrent, also has its own grid.

The high-voltage transmission systems in the four regions comprise about 200,000 miles of power lines, divided among a staggering 500 owners, that carry current from more than 10,000 power plants run by about 6,000 investor-owned utilities, public power systems and co-ops.

The four interconnections are linked by short, high-voltage lines, but they do not provide nearly enough capacity to move sufficient power back and forth, much less to handle the additional burden of thousands of renewable sources with output that is intermittent and sometimes hard to predict. Transmission lines within the interconnections are similarly inadequate, strained by the ever-increasing demand for electricity. As a result, the entire grid is more prone to blackouts.

“The transmission system is being used closer to its limits more of the time than at any time in the past,” says Rick Sergel, president of the North American Electric Reliability Corporation, which sets operating standards for the system in the U.S. and parts of Canada. Restructuring of the electric industry has also created many more dispersed buyers and sellers, but the conduit to connect them has barely changed.

Transmission is not faring well even within the footprint of a single large utility. Take American Electric Power (AEP), which serves a broad swath of the nationÂ’s midsection.

Throughout the 1980s a key high-voltage link near the center of its system operated like an occluded artery. The bottleneck ran between two places most electricity users have never heard of: Kanawha, Virginia, and Matt Funk, West Virginia. At times the line hobbled the entire system, limiting transfer of abundant, cheap electricity from dozens of coal plants in Illinois, Indiana, Kentucky and Ohio to the hungry markets of the East Coast, which had to rely instead on local generators fueled by more expensive natural gas or oil.

The line was rated as high as the industry goes — a 765-kilovolt leviathan with towers 13 stories high, straddling a right-of-way 200 feet wide. But it was usually limited to carrying less than half of its capacity because of the grid’s design.

The electric system always has to be operated so that no single line failure will start a cascade of failures that would lead to a blackout. If the Kanawha–Matt Funk line tripped out of service at full load, it could send a wave of power flowing to a parallel but smaller line rated at only 345 kilovolts. That line would be knocked out, and a cascade might follow.

The occlusion started in the 1980s, when for a few hours every year limits on the line prevented interregional transfers of power that would have saved consumers money. Instead new power plants had to be built or existing plants that were expensive to run were kept on when, economically speaking, they should have been shut. By 1990 the hours ran into the hundreds, and AEP reached for the obvious cure: it decided to erect a parallel line, also rated at 765 kilovolts.

On paper the project was straightforward. The company already had decades of experience operating about 2,000 miles of such lines. And construction took a modest 30 months. The new line, which cost $306 million, finally entered service in June 2006. But that came after 14 years of work to get the permits from all kinds of jurisdictions that ruled part of the route, including two states and the U.S. Forest Service.

It is even more numbing to consider that in this case the entity that wanted to build the line was the same one that wanted to send power across it. Now consider the more typical situation — in which a power producer is trying to persuade another company to build transmission — and the prospect becomes even more complicated.

During the past two decades very little transmission capacity has been built. Seventy percent of the existing high-voltage system is consequently 25 years old or more, according to the U.S. Department of Energy.

The electric system undergirds nearly every aspect of modern life, from water supplies and steel mills to traffic lights and the Internet. Although we think of it as a national institution, it is virtually a feudal system among those 500 owners. Control of the power flow is also balkanized among dozens of jurisdictions, an artifact of the gridÂ’s history; it grew together from many small systems and local regulators that to this day are not melded.

Frustrated by internal complications such as the Kanawha–Matt Funk line, AEP last year teamed up with the DOE to rethink the grid for the whole country. The result — part of the DOE’s exploration of how to get 20 percent of U.S. electricity from wind by 2030 — was a plan for a national, high-voltage transmission backbone. The 22,000-mile system would be to electricity what the interstate highway system is to transportation, enabling a different kind of energy economy suited for a carbon-conscious era.

The plan would not extend todayÂ’s transmission system, which often operates at no higher than 345 kilovolts. Rather it would be superimposed over it, with various on- and off-ramps. The backbone would move power across the continent at the extreme high-voltage rating: 765 kilovolts, which would reduce typical system losses of 3 to 8 percent to around 1 percent. The higher voltage would also require fewer lines than any lower-voltage option, meaning less real estate for rights-of-way.

To further decrease losses, some long stretches would use direct current, instead of the usual alternating current that most of the system — and virtually all households and businesses — run on. Although direct-current lines are highly efficient, the equipment that converts alternating current into direct current and back again is not, so the advantage accrues on long spans — such as those from the windy high plains and the sunny Southwest.

Those spans only make sense if they traverse sparsely populated areas, however. If the line was going from Wyoming to Chicago, notes Michael Heyeck, senior vice president of transmission at AEP, “I’m sure Iowa or other states would want to tap into it.” Otherwise the line becomes like an interstate without an interchange, hardly welcome anyplace.

High-voltage lines of both varieties have long proved reliable. And there is now reason to believe that a national backbone could be effectively controlled.

AEP recently opened a state-of-the-art transmission control center in New Albany, Ohio, near Columbus, that could serve as a model for nationwide operation. The center sits far back from a local highway, surrounded by a moat, with an unmarked gatehouse in front.

Inside, giant floor-to-ceiling computer-driven displays show all the power lines and electricity flows across AEPÂ’s entire system. The displays can show details down to the level of transformers at individual substations and circuit breakers across thousands of square miles. The wall-size monitors also generate foglike clouds over large parts of the maps of entire states to indicate general voltage trends: white is good, orange is not, and red is worse.

AEPÂ’s primary motivation for the center, through better real-time monitoring of every line, better organization of all the data and better presentation of diagnostics to the operators, is to prevent another great blackout such as the one of August 2003.

Back then, a neighboring utility, First Energy, lost track of what was running and what wasnÂ’t, which allowed a cascade to begin. In a few seconds the blackout raced across Ohio, propagated to Detroit, up through Ontario and back down into New York.

But beyond preventing such blackouts, the level of sophisticated control the center provides would also make operating a national backbone possible.

The concept of a national energy grid is not far-fetched. Indeed, the U.S. already has one that is highly successful in moving resources vast distances, notably from the Gulf of Mexico to New York and New England. But it is for natural gas, not electricity.

And it exists because in the 1940s Congress created a system of national regulation for natural gas. Electricity was left to be regulated state-by-state and sometimes town by town.

As a result, says Andrew Karsner, a former assistant secretary of energy for renewables and efficiency, the country has “Btu liquidity” but not “electron liquidity.” Scrapping feudal transmission regulations for similar national rules would require forceful leadership from Washington.

The first step, Karsner notes, is making transmission reform a priority. “Stop the blah-blah” dithering among elected officials, he says.

A regulatory lever might already exist.

The 2005 Energy Act gave the DOE “backup authority” to approve new power lines over state objections, by designating “national interest electric transmission corridors.” But some utility executives think the department has been too hesitant to use the authority.

Bureaucrats at the DOE are moving carefully, because in the two locations they have tried, one in the Northeast and one in the Southwest, they have provoked fierce reaction.

In the Northeast case, for example, Senator Robert P. Casey, Jr., a Democrat from Pennsylvania, quickly rounded up 13 other senators to ask for hearings about how the authority was being used. He said the exercise of such power showed “a level of arrogance on the part of the federal government that undermines confidence in government.”

Translation: even where the legal authority may exist to erect transmission lines, the political consensus may not.

Another issue, of course, is cost. The DOE’s wind report put the price tag for a national backbone at $60 billion — a staggering sum, at least until various federal bailouts started to come along last autumn after the stock market plummeted.

Whether a better grid would be considered an infrastructure investment worthy of stimulus spending by the Obama administration is not clear; the work would not produce legions of jobs and would create economic benefits only slowly.

But even very large investments can be modest compared with the cost of having to use expensive local generation rather than cheaper renewables from remote locations. In Connecticut, for example, Northeast Utilities recently completed a 20-mile line from Bethel to Norwalk that cost $336 million but in its first year saved nearly $150 million. The line will operate for decades. According to the DOE, the national electric bill is about $247 billion a year, meaning that a small percentage drop in costs could finance tens of billions of dollars in investments.

Implementing such broader thinking would require a true national energy strategy, not a state-by-state energy strategy. A similar problem is repeated to varying extents across the globe. Lester Brown, president of the Earth Policy Institute, says the world must replace the 40 percent of its electricity that comes from coal with a like amount from wind, with 1.5 million wind turbines rated at two megawatts each. But transmission, he acknowledges, is a “gnarled-up situation.”

Clearly, a construction of a national transmission system is within America’s capabilities. “The interstate highway system was not designed by individual states and glued together,” Brown points out. “One way or another, if it became important enough, we would do it.”

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Why rolling back European electricity prices is tougher than appears

EU Energy Price Crisis drives soaring electricity bills as natural gas sets pay-as-clear power prices; leaders debate price caps, common gas purchasing, market reform, renewables, and ETS changes amid Ukraine war supply shocks.

 

Key Points

A surge in gas-driven power costs linked to pay-as-clear pricing, supply shocks, and policy rifts across the EU market.

✅ Gas sets marginal power price via pay-as-clear mechanism

✅ Spain pushes decoupling and temporary price caps

✅ EU weighs joint gas buying, efficiency, more renewables

 

Nothing grabs politicians' attention faster than angry voters, and they've had plenty to be furious about as natural gas and electricity bills have soared to stomach-churning levels in recent months, as this UK natural gas analysis illustrates across markets.

That's led to a scramble to figure out ways to get those costs down, with emergency price-limiting measures under discussion — but that's turning out to be very difficult, so the likeliest result is that EU leaders meeting later this week won't come up with any solutions.

“There is no single easy answer to tackle the high electricity prices given the diversity of situations among Member States. Some options are only suitable for specific national contexts,” the European Commission said on Wednesday. “They all carry costs and drawbacks.” 

The initial problem was a surge in gas demand in Asia last year coupled with lower-than-normal Russian gas deliveries that left European gas storage at unusually low levels. Now the war in Ukraine is making matters even worse, as pressure grows for the bloc to rapidly cut its imports of Russian oil, coal and natural gas — although some national leaders reject the economic costs that would entail.

"We will end this dependence as quickly as we can, but to do that from one day to the next would mean plunging our country and all of Europe into a recession," German Chancellor Olaf Scholz warned on Wednesday.

The problem for the bloc is that its liberalized electricity market is tightly tied to the price of natural gas; power prices are set by the final input needed to balance demand — called pay-as-clear — which in most cases is set by natural gas. That's led to countries with large amounts of cheaper renewable or nuclear energy seeing sharp spikes in power prices thanks to the cost of that final bit of gas-fired electricity.

A Spanish-led coalition that includes Portugal, Belgium and Italy wants deep reforms to the EU price model, fueling a broader electricity market revamp debate in Brussels.

Others, such as the Netherlands and Germany, strongly oppose such an approach, echoing how nine countries oppose reforms at the EU level, and want to focus on cushioning the effects of the high prices on consumers and businesses, while letting the market operate. 

A third group, largely in Central Europe, wants to use the price spike to revamp or scrap the bloc's Emissions Trading System and to rethink its Fit for 55 climate legislation.

The European Commission has been holding the middle ground — arguing that the current market model makes sense, but encouraging countries to boost the amount of renewable electricity, in a wake-up call to ditch fossil fuels for Europe, to cut energy use and increase efficiency.

In draft conclusions of this week's European Council summit, seen by POLITICO, EU leaders, amid a France-Germany tussle over reform, call for things like a common approach to buying gas, aimed at preventing countries from competing against each other. But there's no big movement on electricity prices.

“It does not seem realistic to expect a result on the energy discussion at this European Council,” one diplomat said, stressing that the governments will need to see more analysis before committing to any more steps.

Looking for action
Spain wanted a much more robust response. Madrid has been arguing since last summer for “decoupling” gas from the electricity market; together with Portugal, it also mulled limiting the wholesale price of electricity to €180 per megawatt-hour — a proposal that Spain abandoned under fire from industry and consumer groups. 

Now Madrid is pushing to get a specific permission in the summit's final conclusions that would allow countries to voluntarily apply certain short-term solutions such as gas price cap strategies, according to a draft with track changes seen by POLITICO.

The issue with a cap is if gas prices are higher than the cap, Spain might not be able to buy any gas.

 

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Modular nuclear reactors a 'long shot' worth studying, says Yukon gov't

Yukon SMR Feasibility Study examines small modular reactors as low-emissions nuclear power for Yukon's grid and remote communities, comparing costs, safety, waste, and reliability with diesel generation, renewables, and energy efficiency.

 

Key Points

An official assessment of small modular reactors as low-emission power options for Yukon's grid and remote sites.

✅ Compares SMR costs vs diesel, hydro, wind, and solar

✅ Evaluates safety, waste, fuel logistics, decommissioning

✅ Considers remote community loads and grid integration

 

The Yukon government is looking for ways to reduce the territory's emissions, and wondering if nuclear power is one way to go.

The territory is undertaking a feasibility study, and, as some developers note, combining multiple energy sources can make better projects, to determine whether there's a future for SMRs — small modular reactors — as a low-emissions alternative to things such as diesel power.

The idea, said John Streicker, Yukon's minister of energy, mines and resources, is to bring the SMRs into the Yukon to generate electricity.

"Even the micro ones, you could consider in our remote communities or wherever you've got a point load of energy demand," Streicker said. "Especially electricity demand."

For remote coastal communities elsewhere in Canada, tidal energy is being explored as a low-emissions option as well.

SMRs are nuclear reactors that use fission to produce energy, similar to existing large reactors, but with a smaller power capacity. The International Atomic Energy Agency (IAEA) defines reactors as "small" if their output is under 300 MW. A traditional nuclear power plant produces about three times as much power or more.

They're "modular" because they're designed to be factory-assembled, and then installed where needed. 

Several provinces have already signed an agreement supporting the development of SMRs, and in Alberta's energy mix that conversation spans both green and fossil power, and Canada's first grid-scale SMRs could be in place in Ontario by 2028 and Saskatchewan by 2032.

A year ago, the government of Yukon endorsed Canada's SMR action plan, at a time when analysts argue that zero-emission electricity by 2035 is practical and profitable, agreeing to "monitor the progress of SMR technologies throughout Canada with the goal of identifying potential for applicability in our northern jurisdiction."

The territory is now following through by hiring someone to look at whether SMRs could make sense as a cleaner-energy alternative in Yukon. 

The territorial government has set a goal of reducing emissions by 45 per cent by 2030, excluding mining emissions, even as some analyses argue that zero-emissions electricity by 2035 is possible, and "future emissions actions for post-2030 have not yet been identified," reads the government's request for proposals to do the SMR study. 

Streicker acknowledges the potential for nuclear power in Yukon is a bit of "long shot" — but says it's one that can't be ignored.

"We need to look at all possible solutions," he said, as countries such as New Zealand's electricity sector debate their future pathways.

"I don't want to give the sense like we're putting all of our emphasis and energy towards nuclear power. We're not."

According to Streicker, it's nothing more than a study at this point.

Don't bother, researcher says
Still, M.V. Ramana, a professor at the School of Public Policy and Global Affairs at the University of British Columbia, said it's a study that's likely a waste of time and money. He says there's been plenty of research already, and to him, SMRs are just not a realistic option for Yukon or anywhere in Canada.

"I would say that, you know, that study can be done in two weeks by a graduate student, essentially, all right? They just have to go look at the literature on SMRs and look at the critical literature on this," Ramana said.

Ramana co-authored a research paper last year, looking at the potential for SMRs in remote communities or mine sites. The conclusion was that SMRs will be too expensive and there won't be enough demand to justify investing in them.

He said nuclear reactors are expensive, which is why their construction has "dried up" in much of the world.

"They generate electricity at very high prices," he said.

'They just have to go look at the literature,' said M.V. Ramana, a professor at the School of Public Policy and Global Affairs at the University of British Columbia. (Paul Joseph)
"[For] smaller reactors, the overall costs go down. But the amount of electricity that they will generate goes down even further."

The environmental case is also shaky, according to a statement signed last year by dozens of Canadian environmental and community groups, including the Sierra Club, Greenpeace, the Council of Canadians and the Canadian Environmental Law Associaton (CELA). The statement calls SMRs a "dirty, dangerous distraction" from tackling climate change and criticized the federal government for investing in the technology.

"We have to remember that the majority of the rhetoric we hear is from nuclear advocates. And so they are promoting what I would call, and other legal scholars and academics have called, a nuclear fantasy," said Kerrie Blaise of CELA.

Blaise describes the nuclear industry as facing an unknown future, with some of North America's larger reactors set to be decommissioned in the coming years. SMRs are therefore touted as the future.

"They're looking for a solution. And so that I would say climate change presents that timely solution for them."

Blaise argues the same safety and environmental questions exist for SMRs as for any nuclear reactors — such as how to produce and transport fuel safely, what to do with waste, and how to decommission them — and those can't be glossed over in a single-minded pursuit of lower carbon emissions.  

Main focus is still renewables, minister says
Yukon's energy minister agrees, and he's eager to emphasize that the territory is not committed to anything right now beyond a study.

"Every government has a responsibility to do diligence around this," Streicker said.

A solar farm in Old Crow, Yukon. The territory's energy minister says Yukon is still primarily focussed on renewables, and energy efficiency. (Caleb Charlie)
He also dismisses the idea that studying nuclear power is any sort of distraction from his government's response to climate change right now. Yukon's main focus is still renewable energy such as solar and wind power, though Canada's solar progress is often criticized as lagging, increasing efficiency, and connecting Yukon's grid to the hydro project in Atlin, B.C., he said.

Streicker has been open to nuclear energy in the past. As a federal Green Party candidate in 2008, Streicker broke with the party line to suggest that nuclear could be a viable energy alternative. 

He acknowledges that nuclear power is always a hot-button issue, and Yukoners will have strong feelings about it. A lot will depend on how any future regulatory process works, he says.

In taking action on climate, this Arctic community wants to be a beacon to the world
Cameco signs agreement with nuclear reactor company
"There's some people that think it's the 'Hail Mary,' and some people that think it's evil incarnate," he said. 

"Buried deep within Our Clean Future [Yukon's climate change strategy], there's a line in there that says we should keep an eye on other technologies, for example, nuclear. That's what this [study] is — it's to keep an eye on it."

 

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Ontario Energy Board Sets New Electricity Rate Plan Prices and Support Program Thresholds

OESP Eligibility 2024 updates Ontario electricity affordability: TOU, Tiered, Ultra-Low-Overnight price plans, online bill calculator, higher income thresholds, monthly credits for low-income households, and a winter disconnection ban for residential customers.

 

Key Points

Raises income thresholds and credits to help low-income Ontarians cut electricity costs and choose suitable price plans.

✅ TOU, Tiered, and ULO price plans with online bill calculator

✅ Income eligibility thresholds raised up to 35% on March 1, 2024

✅ Winter disconnection ban for residences: Nov 15, 2023 to Apr 30, 2024

 

Residential, small business and farm customers can choose their price plan, either Time-Of-Use (TOU), Tiered or the ultra-low overnight rates price plan available to many customers. The OEB has an online bill calculator to help customers who are considering a switch in price plans and monitoring changes for electricity consumers this year. 

The Government of Ontario announced on Friday, October 19, 2023, that it is raising the income eligibility thresholds that enable Ontarians to qualify for the Ontario Electricity Support Program (OESP) by up to 35 percent. OESP is part of Ontario’s energy affordability framework and other support for electric bills meant to reduce the cost of electricity for low-income households by applying a monthly credit directly on to electricity bills.. The higher income eligibility thresholds will begin on March 1, 2024.

The amount of OESP bill credit is determined by the number of people living in a home and the household’s combined income, and can help offset typical bill increases many customers experience. The current income thresholds cap income eligibility at $28,000 for one-person households and $52,000 for five-person households, and temporary measures like the off-peak price freeze have also influenced bills in recent periods.

The new income eligibility thresholds, which will be in effect beginning March 1, 2024, will allow many more families to access the program as rates are about to change across Ontario.

In addition, under the OEB’s winter disconnection ban, which follows the Nov. 1 rate increase, electricity distributors cannot disconnect residential customers for non-payment from November 15, 2023, to April 30, 2024.

 

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Nova Scotia Premier calls on regulators to reject 14% electricity rate hike agreement

Nova Scotia Power Rate Increase Settlement faces UARB scrutiny as regulators weigh electricity rates, fuel costs, storm rider provisions, Bill 212 limits, and Muskrat Falls impacts on ratepayers and affordability for residential and industrial customers.

 

Key Points

A deal proposing 13.8% electricity hikes for 2023-2024, before the UARB, covering fuel costs, a storm rider, and Bill 212.

✅ UARB review may set different rates than the settlement

✅ Fuel cost prepayment and hedging incentives questioned

✅ Storm rider shifts climate risk onto ratepayers

 

Nova Scotia Premier Tim Houston is calling on provincial regulators to reject a settlement agreement between Nova Scotia Power and customer groups that would see electricity rates rise by nearly 14% electricity rate hike over the next two years.

"It is our shared responsibility to protect ratepayers and I can't state strongly enough how concerned I am that the agreement before you does not do that," Houston wrote in a letter to the Nova Scotia Utility and Review Board late Monday.

Houston urged the three-member panel to "set the agreement aside and reach its own conclusion on the aforementioned application."

"I do not believe, based on what I know, that the proposed agreement is in the best interest of ratepayers," he said.

The letter does not spell out what his Progressive Conservative government would do if the board accepts the settlement reached last week between Nova Scotia Power and lawyers representing residential, small business and large industrial customer classes.

Other groups also endorsed the deal, although Nova Scotia Power's biggest customer — Port Hawkesbury Paper — did not sign on.

'We're protecting the ratepayers'
Natural Resources Minister Tory Rushton said the province was not part of the negotiations leading up to the settlement.

"As a government or department we had no intel on those conversations that were taking place," he said Tuesday. "So, we saw the information the same as the public did late last week, and right now we're protecting the ratepayers of Nova Scotia, even though the province cannot order Nova Scotia Power to lower rates under current law. We want to make sure that that voice is still heard at the UARB level."

Rushton said he didn't want to presuppose what the UARB will say.

"But I think the premier's been very loud and clear and I believe I have been, too. The ratepayers are at the top of our mind. We have different tools at our [disposal] and we'll certainly do what we can and need to [do] to protect those ratepayers."


The settlement agreement
If approved by regulators, rates would rise by 6.9 per cent in 2023 and 6.9 per cent in 2024 — almost the same amount on the table when hearings before the review board ended in September.

The Houston government later intervened with legislation, known as Bill 212, that capped rates to cover non-fuel costs by 1.8 per cent. It did not cap rates to cover fuel costs or energy efficiency programs.

In a statement announcing the agreement, Nova Scotia Power president Peter Gregg claimed the settlement adhered "to the direction provided by the provincial government through Bill 212."

Consumer advocate Bill Mahody, representing residential customers, told CBC News the proposed 13.8 per cent increase was "a reasonable rate increase given the revenue requirement that was testified to at the hearing."

Settlement 'remarkably' similar to NSP application
The premier disagrees, noting that the settlement and rate application that triggered the rate cap are "remarkably consistent."

He objects to the increased amount of fuel costs rolled into rates next year before the annual true up of actual fuel costs, which are automatically passed on to ratepayers.

"If Nova Scotia Power is effectively paid in advance, what motive do they have to hedge and mitigate the adjustment eventually required," Houston asked in his letter.

He also objected to the inclusion of a storm rider in rates to cover extreme weather, which he said pushed the risk of climate change on to ratepayers.

Premier second-guesses Muskrat Falls approval
Houston also second-guessed the board for approving Nova Scotia Power's participation in the Muskrat Falls hydro project in Labrador.

"The fact that Nova Scotians have paid over $500 million for this project with minimal benefit, and no one has been held accountable, is wrong," he said. "It was this board of the day that approved the contracts and entered the final project into rates."

Ratepayers are committed to paying $1.7 billion for the Maritime Link to bring the green source of electricity into the province, while rate mitigation talks in Newfoundland lack public details for their customers.

Although the Maritime Link was built on time and on budget by an affiliated company, only a fraction of Muskrat Falls hydro has been delivered because of ongoing problems in Newfoundland, including an 18% electricity rate hike deemed unacceptable by the province's consumer advocate.

"I find it remarkable that those contracts did not include different risk sharing mechanisms; they should have had provisions for issues in oversight of project management. Nevertheless, it was approved, and is causing significant harm to ratepayers in the form of increased rates."

Houston notes that because of non-delivery from Muskrat Falls, Nova Scotia Power has been forced to buy much more expensive coal to burn to generate electricity.


Opposition reaction
Opposition parties in Nova Scotia reacted to Houston's letter.

NDP Leader Claudia Chender dismissed it as bluster.

"It exposes his Bill 212 as not really helping Nova Scotians in the way that he said it would," she said. "Nothing in the settlement agreement contravenes that bill. But it seems that he's upset that he's been found out. And so here we are with another intervention in an independent regulatory body."

Liberal Leader Zach Churchill said the government should intervene to help ratepayers directly.

"We just think that it makes more sense to do that directly by supporting ratepayers through heating assistance, lump-sum electricity credits, rebate programs and expanding the eligibility for that or to provide funding directly to ratepayers instead of intervening in the energy market in this way," he said.

The premier's office said that no one was available when asked about an interview on Tuesday.

"The letter speaks for itself," the office responded.

Nova Scotia Power issued a statement Tuesday. It did not directly address Houston's claims.

"The settlement agreement is now with the NS Utility and Review Board," the utility said.

"The UARB process is designed to ensure customers are represented with strong advocates and independent oversight. The UARB will determine whether the settlement results in just and reasonable rates and is in the public interest."

 

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Hydropower Plants to Support Solar and Wind Energy

Solar-Wind-Water West Africa integrates hydropower with solar and wind to boost grid flexibility, clean electricity, and decarbonization, leveraging the West African Power Pool and climate data modeling reported in Nature Sustainability.

 

Key Points

A strategy using hydropower to balance solar and wind, enabling reliable, low-carbon electricity across West Africa.

✅ Hydropower dispatch covers solar and wind shortfalls.

✅ Regional interconnection via West African Power Pool.

✅ Cuts CO2 versus gas while limiting new dam projects.

 

Hydropower plants can support solar and wind power, rather unpredictable by nature, in a climate-friendly manner. A new study in the scientific journal Nature Sustainability has now mapped the potential for such "solar-wind-water" strategies for West Africa: an important region where the power sector is still under development, amid IEA investment needs for universal access, and where generation capacity and power grids will be greatly expanded in the coming years. "Countries in West Africa therefore now have the opportunity to plan this expansion according to strategies that rely on modern, climate-friendly energy generation," says Sebastian Sterl, energy and climate scientist at Vrije Universiteit Brussel and KU Leuven and lead author of the study. "A completely different situation from Europe, where power supply has been dependent on polluting power plants for many decades - which many countries now want to rid themselves of."

Solar and wind power generation is increasing worldwide and becoming cheaper and cheaper. This helps to keep climate targets in sight, but also poses challenges. For instance, critics often argue that these energy sources are too unpredictable and variable to be part of a reliable electricity mix on a large scale, though combining multiple resources can enhance project performance.

"Indeed, our electricity systems will have to become much more flexible if we are to feed large amounts of solar and wind power into the grid. Flexibility is currently mostly provided by gas power plants. Unfortunately, these cause a lot of CO2 emissions," says Sebastian Sterl, energy and climate expert at Vrije Universiteit Brussel (VUB) and KU Leuven. "But in many countries, hydropower plants can be a fossil fuel-free alternative to support solar and wind energy. After all, hydropower plants can be dispatched at times when insufficient solar and wind power is available."

The research team, composed of experts from VUB, KU Leuven, the International Renewable Energy Agency (IRENA), and Climate Analytics, designed a new computer model for their study, running on detailed water, weather and climate data. They used this model to investigate how renewable power sources in West Africa could be exploited as effectively as possible for a reliable power supply, even without large-scale storage, in line with World Bank support for wind in developing countries. All this without losing sight of the environmental impact of large hydropower plants.

"This is far from trivial to calculate," says Prof. Wim Thiery, climate scientist at the VUB, who was also involved in the study. "Hydroelectric power stations in West Africa depend on the monsoon; in the dry season they run on their reserves. Both sun and wind, as well as power requirements, have their own typical hourly, daily and seasonal patterns. Solar, wind and hydropower all vary from year to year and may be impacted by climate change, including projections that wind resources shift southward in coming years. In addition, their potential is spatially very unevenly distributed."

West African Power Pool

The study demonstrates that it will be particularly important to create a "West African Power Pool", a regional interconnection of national power grids to serve as a path to universal electricity access across the region. Countries with a tropical climate, such as Ghana and the Ivory Coast, typically have a lot of potential for hydropower and quite high solar radiation, but hardly any wind. The drier and more desert-like countries, such as Senegal and Niger, hardly have any opportunities for hydropower, but receive more sunlight and more wind. The potential for reliable, clean power generation based on solar and wind power, supported by flexibly dispatched hydropower, increases by more than 30% when countries can share their potential regionally, the researchers discovered.

All measures taken together would allow roughly 60% of the current electricity demand in West Africa to be met with complementary renewable sources, despite concerns about slow greening of Africa's electricity, of which roughly half would be solar and wind power and the other half hydropower - without the need for large-scale battery or other storage plants. According to the study, within a few years, the cost of solar and wind power generation in West Africa is also expected to drop to such an extent that the proposed solar-wind-water strategies will provide cheaper electricity than gas-fired power plants, which currently still account for more than half of all electricity supply in West Africa.

Better ecological footprint

Hydropower plants can have a considerable negative impact on local ecology. In many developing countries, piles of controversial plans for new hydropower plants have been proposed. The study can help to make future investments in hydropower more sustainable. "By using existing and planned hydropower plants as optimally as possible to massively support solar and wind energy, one can at the same time make certain new dams superfluous," says Sterl. "This way two birds can be caught with one stone. Simultaneously, one avoids CO2 emissions from gas-fired power stations and the environmental impact of hydropower overexploitation."

Global relevance

The methods developed for the study are easily transferable to other regions, and the research has worldwide relevance, as shown by a US 80% study on high variable renewable shares. Sterl: "Nearly all regions with a lot of hydropower, or hydropower potential, could use it to compensate shortfalls in solar and wind power." Various European countries, with Norway at the front, have shown increased interest in recent years to deploy their hydropower to support solar and wind power in EU countries. Exporting Norwegian hydropower during times when other countries undergo solar and wind power shortfalls, the European energy transition can be advanced.

 

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Russia and Ukraine Accuse Each Other of Violating Energy Ceasefire

Russia-Ukraine Energy Ceasefire Violations escalate as U.S.-brokered truce frays, with drone strikes, shelling, and grid attacks disrupting gas supply and power infrastructure across Kursk, Luhansk, Sumy, and Dnipropetrovsk, prompting sanctions calls.

 

Key Points

Alleged breaches of a U.S.-brokered truce, with both sides striking power grids, gas lines, and critical energy nodes.

✅ Drone and artillery attacks reported on power and gas assets

✅ Both sides accuse each other of breaking truce terms

✅ U.S. mediation faces verification and compliance hurdles

 

Russia and Ukraine have traded fresh accusations regarding violations of a fragile energy ceasefire, brokered by the United States, which both sides had agreed to last month. These new allegations highlight the ongoing tensions between the two nations and the challenges involved in implementing a truce amid global energy instability in such a complex and volatile conflict.

The U.S.-brokered ceasefire had initially aimed to reduce the intensity of the fighting, specifically in the energy sector, where both sides had previously targeted each other’s infrastructure. Despite this agreement, the accusations on Wednesday suggest that both Russia and Ukraine have continued their attacks on each other's energy facilities, a crucial aspect of the ceasefire’s terms.

Russia’s Ministry of Defence claimed that Ukrainian forces had launched drone and shelling attacks in the western Kursk region, cutting power to over 1,500 homes. This attack allegedly targeted key infrastructure, leaving several localities without electricity. Additionally, in the Russian-controlled part of Ukraine's Luhansk region, a Ukrainian drone strike hit a gas distribution station, severely disrupting the gas supply for over 11,000 customers in the area around Svatove.

In response, Ukrainian President Volodymyr Zelensky accused Russia of breaking the ceasefire. He claimed that Russian drone strikes had targeted an energy substation in Ukraine’s Sumy region, while artillery fire had damaged a power line in the Dnipropetrovsk region, leaving nearly 4,000 consumers without power even as Ukraine increasingly leans on electricity imports to stabilize the grid. Ukraine's accusations painted a picture of continued Russian aggression against critical energy infrastructure, a strategy that had previously been a hallmark of Russia’s broader military operations in the war.

The U.S. had brokered the energy truce as a potential stepping stone toward a more comprehensive ceasefire agreement. However, the repeated violations raise questions about the truce’s viability and the broader prospects for peace between Russia and Ukraine. Both sides are accusing each other of undermining the agreement, which had already been delicate due to previous suspicions and mistrust. In particular, the U.S. administration, led by President Donald Trump, has expressed impatience with the slow progress in moving toward a lasting peace, amid debates over U.S. national energy security priorities.

Kremlin spokesperson Dmitry Peskov defended Russia’s stance, emphasizing that President Vladimir Putin had shown a commitment to peace by agreeing to the energy truce, despite what he termed as daily Ukrainian attacks on Russian infrastructure. He reiterated that Russia would continue to cooperate with the U.S., even though the Ukrainian strikes were ongoing. This perspective suggests that Russia remains committed to the truce but views Ukraine’s actions as violations that could potentially derail efforts to reach a more comprehensive ceasefire.

On the other hand, President Zelensky argued that Russia was not adhering to the terms of the ceasefire. He urged the U.S. to take a stronger stance against Russia, including increasing sanctions on Moscow as punishment for its violations. Zelensky’s call for heightened sanctions is a continuation of his efforts to pressure international actors, particularly the U.S. and European countries, to provide greater energy security support for Ukraine’s struggle and to hold Russia accountable for its actions.

The ceasefire’s fragility is also reflected in the differing views between Ukraine and Russia on what constitutes a successful resolution. Ukraine had proposed a full 30-day ceasefire, but President Putin declined, raising concerns about monitoring and verifying compliance with the terms. This disagreement suggests that both sides are not entirely aligned on what a peaceful resolution should look like and how it can be realistically achieved.

The situation is complicated by the broader context of the war, which has now dragged on for over three years. The conflict has seen significant casualties, immense destruction, and deep geopolitical ramifications. Both countries are heavily reliant on their energy infrastructures, making any attack on these systems not only a military tactic but also a form of economic warfare. Energy resources, including electricity and natural gas, have become central to the ongoing conflict, with both sides using them to exert pressure on the other amid Europe's deepening energy crisis that reverberates beyond the battlefield.

As of now, it remains unclear whether the recent violations of the energy ceasefire will lead to a breakdown of the truce or whether the United States will intervene further to restore compliance, even as Ukraine prepares for winter amid energy challenges. The situation remains fluid, and the international community continues to closely monitor the developments. The U.S., which played a central role in brokering the energy ceasefire, has made it clear that it expects both sides to uphold the terms of the agreement and work toward a more permanent cessation of hostilities.

The continued accusations between Russia and Ukraine regarding the breach of the energy ceasefire underscore the challenges of negotiating peace in such a complex and entrenched conflict. While both sides claim to be upholding their commitments, the reality on the ground suggests that reaching a full and lasting peace will require much more than temporary truces. The international community, particularly the U.S., will likely continue to push for stronger actions to enforce compliance and to prevent the conflict from further escalating. The outcome of this dispute will have significant implications for both countries and the broader European energy landscape and security landscape.

 

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