Quebec Halts Crypto Mining Electricity Requests

COVID-19 Impact on U.S. Wind Industry: disrupting wind power projects, tax credits, and construction timelines, risking rural revenues, jobs, and $35B investments; AWEA seeks Congressional flexibility as OEM shutdowns like Siemens Gamesa intensify delays.

Key Points

Pandemic disruptions threaten 25 GW of projects, $35B investment, rural revenues, jobs, and tax-credit timelines.

✅ 25 GW at risk; $35B investment jeopardized

✅ Rural taxes and land-lease payments may drop $8B

✅ AWEA seeks Congressional flexibility on tax-credit deadlines

In one of the latest examples of the havoc that the novel coronavirus is wreaking on the U.S. economy and the crisis hitting solar and wind sector alike, the American Wind Energy Association (AWEA) -- the national trade association for the U.S. wind industry -- yesterday stated its concerns that COVID-19 will "pose significant challenges to the American wind power industry." According to AWEA's calculations, the disease is jeopardizing the development of approximately 25 gigawatts of wind projects, representing $35 billion in investments, even as wind additions persist in some markets amid the pandemic.

Rural communities, where about 99% of wind projects are located, in particular, face considerable risk. The AWEA estimates that rural communities stand to lose about $8 billion in state and local tax payments and land-lease payments to private landowners. In addition, it's estimated that the pandemic threatens the loss of over 35,000 jobs, and the U.S. wind jobs outlook underscores the stakes, including wind turbine technicians, construction workers, and factory workers.

The development of wind projects is heavily reliant on the earning of tax credits, and debates over a Solar ITC extension highlight potential impacts on wind. However, in order to qualify for the current credits, project developers are bound to begin construction before Dec. 31, 2020. With local and state governments implementing various measures to stop the spread of the virus, the success of project developers' meeting this deadline is dubious, as utility-scale solar construction slows nationwide due to COVID-19. Addressing this and other challenges, the AWEA is turning to the government for help. In the trade association's press release, it states that "to protect the industry and these workers, AWEA is asking Congress for flexibility in allowing existing policies to continue working for the industry through this period of uncertainty."

Illustrating one of the ways in which COVID-19 is affecting the industry, Siemens Gamesa, a global leader in the manufacturing of wind turbines, closed a second Spanish factory this week after learning that a second of its employees had tested positive for the novel coronavirus.

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Iceland Bitcoin Mining Energy Shortage highlights surging cryptocurrency and blockchain data center electricity demand, as hydroelectric and geothermal power strain to cool servers, stabilize grid, and meet rapid mining farm growth amid Arctic-friendly conditions.

Key Points

Crypto mining data centers in Iceland are outpacing renewable power, straining the grid and exceeding residential electricity demand.

✅ Hydroelectric and geothermal capacity nearing allocation limits

✅ Cooling-friendly climate draws energy-hungry mining farms

✅ Grid planning and regulation lag rapid data center growth

The value of bitcoin may have stumbled in recent months, but in Iceland it has known only one direction so far: upward. The stunning success of cryptocurrencies around the globe has had a more unexpected repercussion on the island of 340,000 people: It could soon result in an energy shortage in the middle of the Atlantic Ocean.

As Iceland has become one of the world's prime locations for energy-hungry cryptocurrency servers — something analysts describe as a 21st-century gold-rush equivalent — the industry’s electricity demands have skyrocketed, too. For the first time, they now exceed Icelanders’ own private energy consumption, and energy producers fear that they won’t be able to keep up with rising demand if Iceland continues to attract new companies bidding on the success of cryptocurrencies, a concern echoed by policy moves like Russia's proposed mining ban amid electricity deficits.

Companies have flooded Iceland with requests to open new data centers to “mine” cryptocurrencies in recent months, even as concerns mount that the country may have to slow down investments amid an increasingly stretched electricity generation capacity, a dynamic seen in BC Hydro's suspension of new crypto connections in Canada.

“There was a lot of talk about data centers in Iceland about five years ago, but it was a slow start,” Johann Snorri Sigurbergsson, a spokesman for Icelandic energy producer HS Orka, told The Washington Post. “But six months ago, interest suddenly began to spike. And over the last three months, we have received about one call per day from foreign companies interested in setting up projects here.”

“If all these projects are realized, we won’t have enough energy for it,” Sigurbergsson said.

Every cryptocurrency in the world relies on a “blockchain” platform, which is needed to trade with digital currencies. Tracking and verifying a transaction on such a platform is like solving a puzzle because networks are often decentralized, and there is no single authority in charge of monitoring payments. As a result, a transaction involves an immense number of mathematical calculations, which in turn occupy vast computer server capacity. And that requires a lot of electricity, as analyses of bitcoin's energy use indicate worldwide.

The bitcoin rush may have come as a surprise to locals in sleepy Icelandic towns that are suddenly bustling with cryptocurrency technicians, but there’s a simple explanation. “The economics of bitcoin mining mean that most miners need access to reliable and very cheap power on the order of 2 or 3 cents per kilowatt hour. As a result, a lot are located near sources of hydro power, where it’s cheap,” Sam Hartnett, an associate at the nonprofit energy research and consulting group Rocky Mountain Institute, told the Washington Post.

Top financial regulators briefed a Senate panel on Feb. 6 about their work with cryptocurrencies like Bitcoin, and the risks to potential investors. (Reuters)

Located in the middle of the Atlantic Ocean and famous for its hot springs and mighty rivers, Iceland produces about 80 percent of its energy in hydroelectric power stations, compared with about 6 percent in the United States, and innovations such as underwater kites illustrate novel ways to harness marine energy. That and the cold climate make it a perfect location for new data-mining centers filled with servers in danger of overheating.

Those conditions have attracted scores of foreign companies to the remote location, including Germany's Genesis Mining, which moved to Iceland about three years ago. More have followed suit since then or are in the process of moving. 

While some analysts are already sensing a possible new revenue source for the country that is so far mostly known abroad as a tourist haven and low-budget airline hub, others are more concerned by a phenomenon that has so far mostly alarmed analysts because of its possible financial unsustainability, alongside issues such as clean energy's dirty secret that complicate the picture. Some predictions have concluded that cryptocurrency computer operations may account for “all of the world’s energy by 2020” or may already account for the equivalent of Denmark's energy needs. Those predictions are probably too alarmist, though. 

Most analysts agree that the real energy-consumption figure is likely smaller, and several experts recently told the Washington Post that bitcoin — currently the world's biggest cryptocurrency — used no more than 0.14 percent of the world’s generated electricity, as of last December. Even though global consumption may not be as significant as some have claimed, it still presents a worrisome drain for a tiny country such as Iceland, where consumption suddenly began to spike with almost no warning — and continues to grow fast.

Some networks are considering or have already pushed through changes to their protocols, designed to reduce energy use. But implementing such changes for the leading currency, bitcoin, won't be as easy because it is inherently decentralized. The companies that provide the vast amounts of computing power needed for these transactions earn a small share, comparable to a processing fee or a reward.

They are the source of the Icelandic bitcoin miners’ income — a revenue source that many Icelanders are still not quite sure what to make of, especially if the lights start flickering.

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Ontario-U.S. Energy Tariff Dispute highlights cross-border trade tensions, retaliatory tariffs, export surcharges, and White House negotiations as Doug Ford meets U.S. officials to de-escalate pressure over steel, aluminum, and energy supplies.

Key Points

A trade standoff over energy exports and tariffs, sparked by Ontario's surcharge and U.S. duties on steel and aluminum.

✅ 25% Ontario energy surcharge paused before White House talks

✅ U.S. steel and aluminum tariffs reduced from 50% to 25%

✅ Potential energy supply cutoff remains leverage in negotiations

Ontario Premier Doug Ford's recent high-stakes diplomatic trip to Washington, D.C., underscores the delicate trade tensions between Canada and the United States, particularly concerning energy exports and Canada's electricity exports across the border. Ford's potential use of tariffs or even halting U.S. energy supplies, amid Ontario's energy independence considerations, remains a powerful leverage tool, one that could either de-escalate or intensify the ongoing trade conflict between the two neighboring nations.

The meeting in Washington follows a turbulent series of events that began with Ontario's imposition of a 25% surcharge on energy exports to the U.S. This move came in retaliation to what Ontario perceived as unfair treatment in trade agreements, a step that aligned with Canadian support for tariffs at the time. In response, U.S. President Donald Trump's administration threatened its own set of tariffs, specifically targeting Canadian steel and aluminum, which further escalated tensions. U.S. officials labeled Ford's threat to cut off U.S. electricity exports and energy supplies as "egregious and insulting," warning of significant economic retaliation.

However, shortly after these heated exchanges, Trump’s commerce secretary, Howard Lutnick, extended an invitation to Ford for a direct meeting at the White House. Ford described this gesture as an "olive branch," signaling a potential de-escalation of the dispute. In the lead-up to this diplomatic encounter, Ford agreed to pause the energy surcharge, allowing the meeting to proceed, amid concerns tariffs could spike NY energy prices, without further escalating the crisis. Trump's administration responded by lowering its proposed 50% tariff on Canadian steel and aluminum to a more manageable 25%.

The outcome of the meeting, which is set to address these critical issues, could have lasting implications for trade relations between Canada and the U.S. If Ford and Lutnick can reach an agreement, the potential for tariff imposition on energy exports, though experts advise against cutting Quebec's energy exports due to broader risks, could be resolved. However, if the talks fail, it is likely that both countries could face further retaliatory measures, compounding the economic strain on both sides.

As Canada and the U.S. continue to navigate these complex issues, where support for Canadian energy projects has risen, the outcome of Ford's meeting with Lutnick will be closely watched, as it could either defuse the tensions or set the stage for a prolonged trade battle.

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Ontario Electricity Pricing Pilot Projects explore alternative rates beyond time-of-use, with LDCs and the Ontario Energy Board testing dynamic pricing, demand management, smart-meter billing, and residential customer choice to enhance service and energy efficiency.

Key Points

Ontario LDC trials testing alternatives to time-of-use rates to improve billing, demand response, and efficiency.

✅ Data shared across LDCs and Ontario Energy Board provincewide

✅ Tests dynamic pricing, peak/off-peak plans, demand management

✅ Insights to enhance customer choice, bills, and energy savings

The results from three electricity pilot projects being offered in southern Ontario will be valuable to utility companies across the province.

Ontario Energy Minister Glenn Thibeault was in Barrie on Tuesday to announce the pilot projects, which will explore alternative pricing plans for electricity customers from three different utility companies, informed by the electricity cost allocation framework guiding rate design.

"Everyone in the industry is watching to see how the pilots deliver.", said Wendy Watson, director of communications for Greater Sudbury Utilities.

"The data will be shared will all the LDCs [local distribution companies] in the province, and probably beyond...because the industry tends to share that kind of information."

Most electricity customers in the province are billed using time-of-use rates, including options like the ultra-low overnight rates that lower costs during off-peak periods, where the cost of electricity varies depending on demand.

The Ontario Energy Board said in a media release that the projects will give residential customers more choice in how much they pay for electricity at different times, reflecting changes for Ontario electricity consumers that expand plan options.

Pilot projects can help improve service

Watson says these kinds of projects give LDCs the chance to experiment and explore new ways of delivering their service, including demand-response initiatives like the Peak Perks program that encourage conservation.

"Any pilot project is a great way to see if in practice if the theory proves out, so I think it's great that the province is supporting these LDCs," she says.

GSU recently completed its own pilot project, the Home Energy Assessment and Retrofit (HEAR) program, which focused on customers who use electric baseboards to heat their homes, amid broader provincial support for electric bills to ease costs."We installed some measures, like programmable thermostats and a few other pieces of equipment into their house," Watson says. "We also made some recommendations about other things that they could do to make their homes more energy efficient."

At the end of the program, GSU provided customers with a report so that they could the see the overall impact on their energy consumption.

Watson says a report on the results of the HEAR program will be released in the near future, for other LDCs interested in new ways to improve their service.

"We think it's incumbent on every LDC...to see what ideas that they can come up with and get approved so they can best serve their customers."

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Berlin Flying Electric Ferry drives sustainable urban mobility with zero-emission water transit, advanced electric propulsion, quiet operations, and smart-city integration, easing congestion, improving air quality, and connecting waterways for efficient, climate-aligned public transport.

Key Points

A zero-emission electric ferry for Berlin's waterways, cutting congestion and pollution to advance sustainable mobility.

✅ Zero emissions with advanced electric propulsion systems

✅ Quiet, efficient water transit that eases road congestion

✅ Smart-city integration, improving access and air quality

Berlin has taken a groundbreaking step toward sustainable urban mobility with the introduction of its innovative flying electric ferry. This pioneering vessel, designed to revolutionize water-based transportation, represents a significant leap forward in eco-friendly travel options and reflects the city’s commitment to addressing climate change, complementing its zero-emission bus fleet initiatives while enhancing urban mobility.

A New Era of Urban Transport

The flying electric ferry, part of a broader initiative to modernize transportation in Berlin, showcases cutting-edge technology aimed at reducing carbon emissions and improving efficiency in urban transit, and mirrors progress seen with hybrid-electric ferries in the U.S.

Equipped with advanced electric propulsion systems, the ferry operates quietly and emits zero emissions during its journeys, making it an environmentally friendly alternative to traditional diesel-powered boats.

This innovation is particularly relevant for cities like Berlin, where water transportation can play a crucial role in alleviating congestion on roads and enhancing overall mobility. The ferry is designed to navigate the city’s extensive waterways, providing residents and visitors with a unique and efficient way to traverse the urban landscape.

Features and Design

The ferry’s design emphasizes both functionality and comfort. Its sleek, aerodynamic shape minimizes resistance in the water, allowing for faster travel times while consuming less energy, similar to emerging battery-electric high-speed ferries now under development in the U.S. Additionally, the vessel is equipped with state-of-the-art navigation systems that ensure safety and precision during operations.

Passengers can expect a comfortable onboard experience, complete with spacious seating and amenities designed to enhance their journey. The ferry aims to offer an enjoyable ride while contributing to Berlin’s vision of a sustainable and interconnected transportation network.

Addressing Urban Challenges

Berlin, like many major cities worldwide, faces significant challenges related to transportation, including traffic congestion, pollution, and the need for efficient public transit options. The introduction of the flying electric ferry aligns with the city’s goals to promote greener modes of transportation and reduce reliance on fossil fuels, as seen with B.C.'s electric ferries supported by public investment.

By offering an alternative to conventional commuting methods and complementing battery-electric buses deployments in Toronto that expand zero-emission options, the ferry has the potential to significantly reduce the number of vehicles on the roads. This shift could lead to lower traffic congestion levels, improved air quality, and a more pleasant urban environment for residents and visitors alike.

Economic and Environmental Benefits

The economic implications of the flying electric ferry are equally promising. As an innovative mode of transportation, it can attract tourism and stimulate local businesses near docking areas, especially as ports adopt an all-electric berth model that reduces local emissions. Increased accessibility to various parts of the city may lead to greater foot traffic in commercial districts, benefiting retailers and service providers.

From an environmental standpoint, the ferry contributes to Berlin’s commitment to achieving climate neutrality. The city has set ambitious targets to reduce greenhouse gas emissions, and the implementation of electric vessels is a key component of this strategy. By prioritizing clean energy solutions, Berlin is positioning itself as a leader in sustainable urban transport.

A Vision for the Future

The introduction of the flying electric ferry is not merely a technological advancement; it represents a vision for the future of urban mobility. As cities around the world grapple with the impacts of climate change and the need for sustainable infrastructure, Berlin’s innovative approach could serve as a model for other urban centers looking to enhance their transportation systems, alongside advances in electric planes that could reshape regional travel.

Furthermore, this initiative is part of a broader trend toward electrification in the maritime sector. With advancements in battery technology and renewable energy sources, electric ferries and boats are becoming more viable options for urban transportation. As more cities embrace these solutions, the potential for cleaner, more efficient public transport grows.

Community Engagement and Education

To ensure the success of the flying electric ferry, community engagement and education will be vital. Residents must be informed about the benefits of using this new mode of transport, and outreach efforts can help build excitement and awareness around its launch. By fostering a sense of ownership among the community, the ferry can become an integral part of Berlin’s transportation landscape.

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Franco-German Nuclear Power Divide shapes EU energy policy, electricity market reform, and decarbonization strategies, as Paris backs reactors and state subsidies while Berlin prioritizes renewables, hydrogen, and energy security after Russian gas shocks.

Key Points

A policy rift over nuclear shaping EU market reform, subsidies, and the balance between reactors and renewables.

✅ Nuclear in EU targets vs. renewables-first strategy

✅ Market design disputes over long-term power prices

✅ Energy security after Russian gas; hydrogen definitions

Near the French village of Fessenheim, facing Germany across the Rhine, a nuclear power station stands dormant. The German protesters that once demanded the site’s closure have decamped, in a sign of Europe's nuclear decline, and the last watts were produced three years ago. 

But disagreements over how the plant from 1977 should be repurposed persist, speaking to a much deeper divide over nuclear power, which Eon chief's warning to Germany underscored, between the two countries on either side of the river’s banks.

German officials have disputed a proposal to turn it into a centre to treat metals exposed to low levels of radioactivity, Fessenheim’s mayor Claude Brender says. “They are not on board with anything that might in some way make the nuclear industry more acceptable,” he adds.

France and Germany’s split over nuclear power is a tale of diverging mindsets fashioned over decades, including since the Chernobyl disaster in USSR-era Ukraine. But it has now become a major faultline in a touchy relationship between Europe’s two biggest economies.

Their stand-off over how to treat nuclear in a series of EU reforms has consequences for how Europe plans to advance towards cleaner energy. It will also affect how the bloc secures power supplies as the region weans itself off Russian gas, even though nuclear would do little for the gas issue, and how it provides its industry with affordable energy to compete with the US and China. 

“There can be squabbles between partners. But we’re not in a retirement home today squabbling over trivial matters. Europe is in a serious situation,” says Eric-André Martin, a specialist in Franco-German relations at French think-tank IFRI. 

France, which produces two-thirds of its power from nuclear plants and has plans for more reactors, is fighting for the low-carbon technology to be factored into its targets for reducing emissions and for leeway to use state subsidies to fund the sector.

For Germany, which closed its last nuclear plants this year and, having turned its back on nuclear, has been particularly shaken by its former reliance on Russian gas, there’s concern that a nuclear drive will detract from renewable energy advances.

But there is also an economic subtext in a region still reeling from an energy crisis last year, reviving arguments for a needed nuclear option for climate in Germany, when prices spiked and laid bare how vulnerable households and manufacturers could become.

Berlin is wary that Paris would benefit more than its neighbours if it ends up being able to guarantee low power prices from its large nuclear output as a result of new EU rules on electricity markets, amid talk of a possible U-turn on the phaseout, people close to talks between the two countries say.

Ministers on both sides have acknowledged there is a problem. “The conflict is painful. It’s painful for the two governments as well as for our [EU] partners,” Sven Giegold, state secretary at the German economy and climate action ministry, where debates about whether a nuclear resurgence is possible persist, tells the Financial Times. 

Agnès Pannier-Runacher, France’s energy minister, says she wants to “get out of the realm of the emotional and move past the considerable misunderstandings that have accumulated in this discussion”.

In a joint appearance in Hamburg last week, German chancellor Olaf Scholz and French president Emmanuel Macron made encouraging noises over their ability to break the latest deadlock: a disagreement over the design of the EU’s electricity market. Ministers had been due to agree a plan in June but will now meet on October 17 to discuss the reform, aimed at stabilising long-term prices.

But the French and German impasse on nuclear has already slowed down debates on key EU policies such as rules on renewable energy and how hydrogen should be produced. Smaller member states are becoming impatient. The delay on the market design is “a big Franco-German show of incompetence again”, says an energy ministry official from another EU country who requested anonymity. 

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