Ontario, Quebec cosy up to one another

By rabble.ca


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Premiers Jean Charest and Dalton McGuinty emerged from an historic Quebec-Ontario joint cabinet meeting in Quebec City to announce a regional climate agreement, and other projects for joint co-operation.

As Jack Layton was quick to point out, the two governments moved to fill the leadership vacuum created when the Harper government decided to break Canada's international commitments on environmental protection, and adopt a "go slow" approach to global warming.

Notably, Ontario and Quebec adopted the "cap-and-trade" approach to reducing green house gas emissions, which has long been promoted by the federal NDP leader. The Quebec-Ontario decision to move ahead on cap-and-trade was taken as the U.S. Senate began its first debate on how that country should move to adopt this mechanism, which is already in place in Europe.

Central Canada has formed a new political alliance. On the surface the reasons are straightforward. Quebec and Ontario face similar problems and can work together on solutions. Ontario wants to withdraw its coal fired electricity facilities from production because they produce high levels of green house gases. At the joint press conference Quebec announced it wants Ontario to have access to its clean hydro-electricity, and the two governments agreed to move to establish the necessary power grid. Charest talked about selling to the neighbours as being good politics.

Federal government Environment Minister, John Baird, immediately denounced the Charest-McGuinty joint cabinet meeting, and its follow-up joint press conference as a photo-op. The good neighbour approach upsets the federal Conservative government, which has been following a divide and conquer political strategy in its pursuit of a majority government.

The Conservatives have chosen to attack the McGuinty Liberal government in the hopes the electorate will blame the provincial government for bad economic times in Ontario, while courting the Charest Liberals who have been following the neo-conservative market friendly policies favoured by the Harper government.

However McGuinty, despite constant attacks by the former provincial Conservatives, like Baird who sit on the Harper front bench, was able to win re-election, and is growing in political strength. Charest and his Liberal party, with a minority government, has been forced to abandon its ideological approach, and is experiencing a surprising popularity as a result. Meanwhile Charest's still very neo-conservative cousin, and rival for Harper's attention, Mario Dumont and his Action démocratique du Québec, is rapidly losing support.

Charest wants to beat the Parti Québécois, and judges that being able to play the good neighbour card with Ontario takes him where the sovereignists cannot go. For McGuinty, an alliance with Quebec on climate change puts Harper on the defensive on an issue where he is most out of step with Canadians.

The Canadian manufacturing heartland of Ontario and Quebec is in the throes of a serious economic slump: factories are being shut, and workers laid off. Even if it costs real money, both provincial governments recognize something must be done to address global warming. Both Charest and McGuinty recognize the need for an industrial strategy, and financial commitments from Ottawa, even if the Harper government refuses to go beyond tax cuts.

Confidence expressed by the federal Conservatives in the free trade agreement with the U.S. (which is 20 years old) as securing Canada's future sounds increasingly false as the slumping U.S. dollar creates economic reverses in Canada. Passport requirements for U.S. nationals returning from Canada, imposed by the Bush administration drastically slow down cross-border tourism, an important source of revenue for small business and the large central Canadian hospitality industry.

While the federal finance minister denies Canada faces a recession, it is rising prices for oil, gas and agricultural products that is driving Canadian growth. In the meantime, Ontario and Quebec have two-thirds of the Canadian population, no oil or gas production, and in northern regions industry is hurt badly because of falling prices for forestry products.

The divide and conquer strategy was used successfully by Brian Mulroney in the 1988 free trade election campaign. He attacked Ontario's Liberal government for wanting to deny the other provinces the prosperity the Auto Pact had brought to it. By aligning himself with Quebec, and reaching out to other jurisdictions ready to act on climate change, the McGuinty government has mounted a strong defence to the Harper version of divide and conquer, which is predicated on isolating Ontario, particularly urban Ontario.

While it is true the oil and gas producing provinces benefit from the very price hikes that are hurting Ontario and Quebec, it is false to assume that one group of Canadians gains precisely what the other loses. On global warming Harper has asked why Canada should move faster than other countries. Charest and McGuinty have responded. This is an issue that affects everyone, oil producer or not, and other Canadian governments need to take leadership, when the federal government is not willing to act.

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Hydro One CEO's $4.5M salary won't be reduced to help cut electricity costs

Hydro One CEO Salary shapes debate on Ontario electricity costs, executive compensation, sunshine list transparency, and public disclosure rules, as officials argue pay is not driving planned hydro rate cuts for consumers.

 

Key Points

Hydro One CEO pay disclosed in public filings, central to debates on Ontario electricity rates and transparency.

✅ 2016 compensation: $4.5M (salary + bonuses)

✅ Excluded from Ontario's sunshine list after privatization

✅ Government says pay won't affect planned hydro rate cuts

 

The $4.5 million in pay received by Hydro One's CEO is not a factor in the government's plan to cut electricity costs for consumers, an Ontario cabinet minister said Thursday amid opposition concerns about the executive's compensation and wider sector pressures such as Manitoba Hydro's rising debt in other provinces.

Treasury Board President Liz Sandals made her comments on the eve of the release of the province's so-called sunshine list.

The annual disclosure of public-sector salaries over $100,000 will be released Friday, but Hydro One salaries such as that of company boss Mayo Schmidt won't be on it.Though the government still owns most of Hydro One — 30 per cent has been sold — the company is required to follow the financial disclosure rules of publicly traded companies, which means disclosing the salaries of its CEO, CFO and next three highest-paid executives, and financial results such as a Q2 profit decline in filings.

New filings show that Schmidt was paid $4.5 million in 2016 — an $850,000 salary plus bonuses — and those top five executives were paid a total of about $11.7 million. 

"Clearly that's a very large amount," said Sandals. Sandals wouldn't say whether or not she thought the pay was appropriate at a time when the government is trying to reduce system costs and cut people's hydro bills.

Mayo Schmidt, President & CEO of Hydro One Limited and Hydro One Inc. (Hydro One )

But she suggested the CEO's salary was not a factor in efforts to bring down hydro prices, even as Hydro One shares fell after a leadership shakeup in a later period. "The CEO salary is not part of the equation of will 'we be able to make the cut,"' she said. "Regardless of what those salaries are, we will make a 25-per-cent-off cut." The cut coming this summer is actually an average of 17 per cent -- the 25-per-cent figure factors in an earlier eight-per-cent rebate.

NDP Leader Andrea Horwath, who has proposed to make hydro public again in Ontario, said the executive salaries are relevant to cutting hydro costs.

"All of this is cost of operating the electricity system, it's part of the operating of Hydro One and so of course those increased salaries are going to impact the cost of our electricity," she said.

Schmidt was appointed Aug. 31, 2015, and in the last four months of that year earned $1.3 million, but the former CEO was paid $745,000 in 2014. About 3,800 workers were paid over $100,000 that year, none of whom will be on the sunshine list this year.

Progressive Conservative energy critic Todd Smith has a private member's bill that would put Hydro One salaries back on the list, amid investor concerns about Hydro One that cite too many unknowns.

"The Wynne Liberals don't want the people of Ontario to know that their rates have helped create a new millionaire's club at Hydro One," Smith said. "Hydro One is still under the majority ownership of the public, but Premier Kathleen Wynne has removed these salaries from the public's watchful eye."

The previous sunshine list showed 115,431 people were earning more than $100,000 — an increase of nearly 4,000 people despite the fact 3,774 Hydro One workers were not on the list for the first time.

Tom Mitchell, the former CEO at Ontario Power Generation who resigned last summer, topped the 2015 list at $1.59 million.

 

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DOE Announces $34 Million to Improve America?s Power Grid

DOE GOPHURRS Grid Undergrounding accelerates ARPA-E innovations to modernize the power grid, boosting reliability, resilience, and security via underground power lines, AI-driven surveying, robotic tunneling, and safer cable splicing for clean energy transmission and distribution.

 

Key Points

A DOE-ARPA-E program funding undergrounding tech to modernize the grid and improve reliability and security.

✅ $34M for 12 ARPA-E projects across 11 states

✅ Underground power lines to boost reliability and resilience

✅ Robotics, AI, and safer splicing to cut costs and risks

 

The U.S. Department of Energy (DOE) has earmarked $34 million for 12 innovative projects across 11 states to bolster and modernize the nation’s power grid, complementing efforts like a Washington state infrastructure grant announced to strengthen resilience.

Under the Grid Overhaul with Proactive, High-speed Undergrounding for Reliability, Resilience, and Security (GOPHURRS) program, this funding is focused on developing efficient and secure undergrounding technologies. The initiative is aligned with President Biden’s vision to strengthen America's energy infrastructure and advance smarter electricity infrastructure priorities, thereby creating jobs, enhancing energy and national security, and advancing towards a 100% clean electricity grid by 2035.

U.S. Secretary of Energy Jennifer M. Granholm emphasized the criticality of modernizing the power grid to facilitate a future powered by clean energy, including efforts to integrate more solar into the grid nationwide, thus reducing energy costs and bolstering national security. This development, she noted, is pivotal in bringing the grid into the 21st Century.

The U.S. electric power distribution system, comprising over 5.5 million line miles and over 180 million power poles, is increasingly vulnerable to weather-related damage, contributing to a majority of annual power outages. Extreme weather events, intensified by climate change impacts across the nation, exacerbate the frequency and severity of these outages. Undergrounding power lines is an effective measure to enhance system reliability for transmission and distribution grids.

Managed by DOE’s Advanced Research Projects Agency-Energy (ARPA-E), the newly announced projects include contributions from small and large businesses, national labs, and universities. These initiatives are geared towards developing technologies that will lower costs, expedite undergrounding operations, and enhance safety. Notable projects involve innovations like Arizona State University’s water-jet construction tool for deploying electrical cables underground, GE Vernova Advanced Research’s robotic worm tunnelling construction tool, and Melni Technologies’ redesigned medium-voltage power cable splice kits.

Other significant projects include Oceanit’s subsurface sensor system for avoiding utility damage during undergrounding and Pacific Northwest National Laboratory’s AI system for processing geophysical survey data. Prysmian Cables and Systems USA’s project focuses on a hands-free power cable splicing machine to improve network reliability and workforce safety, complementing state efforts like California's $500 million grid investment to upgrade infrastructure.

Complete descriptions of these projects can be found on the ARPA-E website, while a recent grid report card highlights challenges these efforts aim to address.

ARPA-E’s mission is to advance clean energy technologies with high potential and impact, playing a strategic role in America’s energy security, including military preparedness for grid cyberattacks as a priority. This commitment ensures the U.S. remains a global leader in developing and deploying advanced clean energy technologies.

 

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Does Providing Electricity To The Poor Reduce Poverty? Maybe Not

Rural Electrification Poverty Impact examines energy access, grid connections, and reliability, testing economic development claims via randomized trials; findings show minimal gains without appliances, reliable supply, and complementary services like education and job creation initiatives.

 

Key Points

Study of household grid connections showing modest poverty impact without reliable power and appliances.

✅ Randomized grid connections showed no short-term income gains.

✅ Low reliability and few appliances limited electricity use.

✅ Complementary investments in jobs, education, health may be needed.

 

The head of Swedfund, the development finance group, recently summarized a widely-held belief: “Access to reliable electricity drives development and is essential for job creation, women’s empowerment and combating poverty.” This view has been the driving force behind a number of efforts to provide electricity to the 1.1 billion people around the world living in energy poverty, such as India's village electrification initiatives in recent years.

But does electricity really help lift households out of poverty? My co-authors and I set out to answer this question. We designed an experiment in which we first identified a sample of “under grid” households in Western Kenya—structures that were located close to but not connected to a grid. These households were then randomly divided into treatment and control groups. In the treatment group, we worked closely with the rural electrification agency to connect the households to the grid for free or at various discounts. In the control group, we made no changes. After eighteen months, we surveyed people from both groups and collected data on an assortment of outcomes, including whether they were employed outside of subsistence agriculture (the most common type of work in the region) and how many assets they owned. We even gave children basic tests, as a frequent assertion is that electricity helps children perform better in school since they are able to study at night.

When we analyzed the data, we found no differences between the treatment and control groups. The rural electrification agency had spent more than $1,000 to connect each household. Yet eighteen months later, the households we connected seemed to be no better off. Even the children’s test scores were more or less the same. The results of our experiment were discouraging, and at odds with the popular view that supplying households with access to electricity will drive economic development. Lifting people out of poverty may require a more comprehensive approach to ensure that electricity is not only affordable (with some evidence that EV growth can benefit all customers in mature markets), but is also reliable, useable, and available to the whole community, paired with other important investments.

For instance, in many low-income countries, the grid has frequent blackouts and maintenance problems, making electricity unreliable, as seen in Nigeria's electricity crisis in recent years. Even if the grid were reliable, poor households may not be able to afford the appliances that would allow for more than just lighting and cell phone charging. In our data, households barely bought any appliances and they used just 3 kilowatt-hours per month. Compare that to the U.S. average of 900 kilowatt-hours per month, a figure that could rise as EV adoption increases electricity demand over time.

There are also other factors to consider. After all, correlation does not equal causation. There is no doubt that the 1.1 billion people without power are the world’s poorest citizens. But this is not the only challenge they face. The poor may also lack running water, basic sanitation, consistent food supplies, quality education, sufficient health care, political influence, and a host of other factors that may be harder to measure but are no less important to well-being. Prioritizing investments in some of these other factors may lead to higher immediate returns. Previous work by one of my co-authors, for example, shows substantial economic gains from government spending on treatment for intestinal worms in children.

It’s possible that our results don’t generalize. They certainly don’t apply to enhancing electricity services for non-residential customers, like factories, hospitals, and schools, and electric utilities adapting to new load patterns. Perhaps the households we studied in Western Kenya are particularly poor (although measures of well-being suggest they are comparable to rural households across Sub-Saharan Africa) or politically disenfranchised. Perhaps if we had waited longer, or if we had electrified an entire region, the household impacts we measured would have been much greater. But others who have studied this question have found similar results. One study, also conducted in Western Kenya, found that subsidizing solar lamps helped families save on kerosene, but did not lead children to study more. Another study found that installing solar-powered microgrids in Indian villages resulted in no socioeconomic benefits.

 

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Denmark's climate-friendly electricity record is incinerated

Denmark Renewable Energy Outlook assesses Eurostat ranking, district heating and trash incineration, EV adoption, wind turbine testing expansions, and electrification to cut CO2, aligning policies with EU 2050 climate goals and green electricity usage.

 

Key Points

A brief analysis of Denmark's green power use, electrification, EVs, and policies needed to meet EU 2050 CO2 goals.

✅ Eurostat rank low due to trash incineration in district heating.

✅ EV adoption stalled after tax reinstatement, slowing electrification.

✅ Wind test centers expanded; electrification could cut 95% CO2.

 

Denmark’s low ranking in the latest figures from Eurostat regarding climate-friendly electricity, which places the country in 32nd place out of 40 countries, is partly a result of the country’s reliance on the incineration of trash to warm our homes via long-established district heating systems.

Additionally, there are not enough electric vehicles – a recent increase in sales was halted in 2016 when the government started to phase back registration taxes scrapped in 2008, and Europe’s EV slump underscores how fragile momentum can be.

 

Not enough green electricity being used

Denmark is good at producing green electricity, reports Politiken, but it does not use enough, and amid electricity price volatility in Europe this is bad news if it wants to fulfil the EU’s 2050 goal to eliminate CO2 emissions.

 

A recent report by Eurelectric and McKinsey demonstrates that if heating, transport and industry were electrified, reflecting a broader European push for electrification across the energy system, 95 percent of the country’s CO2 emissions could be eliminated by that date.

 

Wind turbine testing centre expansion approved

Parliament has approved the expansion of two wind turbine centres in northwest Jutland, supporting integration as e-mobility drives electricity demand in the coming years. The centres in Østerild and Høvsøre will have the capacity to test nine and seven turbines, measuring 330 and 200 metres in size (up from 250 and 165) respectively. The Østerild expansion should be completed in 2019, while Høvsøre ​​will have to wait a little longer.

 

Third on the Environmental Performance Index

Denmark finished third on the latest Environmental Performance Index, finishing only behind Switzerland and France. Its best category ranking was third for Environmental Health, and comparative energy efficiency benchmarking can help contextualize progress. Elsewhere, it ranked 11th for Ecosystem Vitality, 18th for Biodiversity and Habitat, 94th for Forests, 87th for Fisheries, 25th for Climate and Energy and 37th for Air Pollution, 14th for Water Resources and 7th for Agriculture.

 

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Renewable electricity powered California just shy of 100% for the first time in history

California Renewable Energy Record highlights near-100% clean power as CAISO reports solar, wind, and storage meeting demand, with Interstate 10 arrays and distributed rooftop photovoltaics boosting the grid during Stagecoach, signaling progress toward 100%.

 

Key Points

CA Renewable Energy Record marks CAISO's peak when renewables nearly met total load, led by utility solar and storage.

✅ CAISO hit 99.87% renewables serving load at 2:50 p.m.

✅ Two-thirds of power came from utility-scale solar along I-10.

✅ Tariff inquiry delays solar-storage projects statewide.

 

Renewable electricity met just shy of 100% of California's demand for the first time on Saturday, officials said, much of it from large amounts of solar power, part of a California solar boom, produced along Interstate 10, an hour east of the Coachella Valley.

While partygoers celebrated in the blazing sunshine at the Stagecoach music festival,  "at 2:50 (p.m.), we reached 99.87 % of load served by all renewables, which broke the previous record," said Anna Gonzales, spokeswoman for California Independent System Operator, a nonprofit that oversees the state's bulk electric power system and transmission lines. Solar power provided two-thirds of the amount needed.

Environmentalists who've pushed for years for all of California's power to come from renewables and meet clean energy targets were jubilant as they watched the tracker edge to 100% and slightly beyond. 

"California busts past 100% on this historic day for clean energy!" Dan Jacobson, senior adviser to Environment California, tweeted.

"Once it hit 100%, we were very excited," said Laura Deehan, executive director for Environment California. She said the organization and others have worked for 20 years to push the Golden State to complete renewable power via a series of ever tougher mandates, even as solar and wind curtailments increase across the grid. "California solar plants play a really big role."

But Gonzales said CAISO double-checked the data Monday and had to adjust it slightly because of reserves and other resource needs, an example of rising curtailments in the state. 

Environment California pushed for 1 million solar rooftops statewide, which has been achieved, adding what some say is a more environmentally friendly form of solar power, though wildfire smoke can undermine gains, than the solar farms, which eat up large swaths of the Mojave desert and fragile landscapes.

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'Need to act with that same boldness':A record 10% of the world's power was generated by wind, solar methods in 2021

Deehan said in a statement that more needs to be done, especially at the federal level. "Despite incredible progress illustrated by the milestone this weekend, and the fact that U.S. renewable electricity surpassed coal in 2022, a baffling regulatory misstep by the Biden administration has advocates concerned about backsliding on California’s clean energy targets." 

Deehan said a Department of Commerce inquiry into tariffs on imported solar panels is delaying thousands of megawatts of solar-storage projects in California, even as U.S. renewable energy hit a record 28% in April across the grid.

Still, Deehan said, “California has shown that, for one brief and shining moment, we could do it! It's time to move to 100% clean energy, 100% of the time.”

 

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Germany launches second wind-solar tender

Germany's Joint Onshore Wind and Solar Tender invites 200 MW bids in an EEG auction, with PV and onshore wind competing on price per MWh, including grid integration costs and network fees under BNA rules.

 

Key Points

A BNA-run 200 MW EEG auction where PV and onshore wind compete on price per MWh, including grid integration costs.

✅ 200 MW cap; minimum project size 750 kW

✅ Max subsidy 87.50 per MWh; bids include network costs

✅ Solar capped at 10-20 MW; wind requires prior approval

 

Germany's Federal Network Agency (BNA) has launched its second joint onshore wind and solar photovoltaic (PV) tender, with a total capacity of 200 MW.

A maximum guaranteed subsidy payment has been set at 87.50 per MWh for both energy sources, which BNA says will have to compete against each other for the lowest price of electricity. According to auction rules, all projects must have a minimum of 750 kW.

The auction is due to be completed on 2 November.

The network regulator has capped solar projects at 10 MW, though this has been extended to 20 MW in some districts, amid calls to remove barriers to PV at the federal level. Onshore wind projects did not receive any such restrictions, though they require approval from Federal Immission Control three weeks prior to the bid date of 11 Octobe

Bids also require network and system integration costs to be included, and similar solicitations have been heavily subscribed, as an over-subscribed Duke Energy solar solicitation in the US market illustrates.

According to Germanys Renewable Energy Act (EEG), two joint onshore wind and solar auctions must take place each year between 2018 and 2021. After this, the government will review the scheme and decide whether to continue it beyond 2021.

The first tender, conducted in April, saw the entire 200 MW capacity given to solar PV projects, reflecting a broader solar power boost in Germany during the energy crisis. Of the 32 contracts awarded, value varied from 39.60 per MWh to 57.60 per MWh. Among the winning bids were five projects in agricultural and grassland sites in Bavaria, totalling 31 MW, and three in Baden-Wrttemberg at 17 MW.

According to the Agency, the joint tender scheme was initiated in an attempt to determine the financial support requirements for wind and solar in technology-specific auctions, however, solar powers sole win in the April auction meant it was met with criticism, even as clean energy accounts for 50% of Germany's electricity today.

The heads of the Federal Solar Industry Association (BSW-Solar) and German Wind Energy Association (BWE) saying the joint tender scheme is unsuitable for the build-out of the two technologies.

A BWE spokesman previously stressed the companys rejection of competition between wind and solar, saying: It is not clear how this could contribute to an economically meaningful balanced energy mix,

Technologies that are in various stages of development must not enter into direct competition with each other. Otherwise, innovation and development potential will be compromised.

Similarly, BSW-Solar president Carsten Krnig said: We are happy for the many solar winners, but consider the experiment a failure. The auction results prove the excellent price-performance ratio of new solar power plants, as solar-plus-storage is cheaper than conventional power in Germany, but not the suitability of joint tenders.

 

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