Report cautions against radical change

By Toronto Star


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A long-awaited report concludes it would be a mistake to make "radical" moves to streamline what critics call an "alphabet soup" of seven agencies that run Ontario's electricity system, the Star has learned.

The report, prepared by former Molson Inc. chief executive James Arnett, found any major steps to meld the seven agencies – including Ontario Power Generation (OPG) and the Ontario Power Authority (OPA) – into a smaller number could undermine efforts to keep the lights on in Ontario.

"It's not a radical document," said a source familiar with the report.

Energy Minister Gerry Phillips received the report a few weeks ago.

"By and large people in the field cautioned against anything substantial happening," said the source, who spoke on condition of anonymity. "To start shaking up the agencies right now... we need to keep our eye on the ball."

The province is working to find alternative energy sources to replace coal-fired power plants slated to be closed in 2014, and the Liberal government hopes to have new nuclear plants on line by 2018. In the interim, more renewable power sources are planned along with gas-fired plants and conservation efforts as demand for electricity increases.

At the same time, industries like forestry – hard-hit by the soaring loonie – are complaining electricity prices are too high.

Former energy minister Dwight Duncan, now finance minister, ordered the review last January. He asked Arnett to search for any areas of overlap and duplication that could be rooted out to save costs for electricity ratepayers.

Expenses at the agencies have grown much faster than their revenues in the last few years.

The agencies grew out of the old Ontario Hydro, disbanded in 1998 by Progressive Conservative premier Mike Harris in preparation for deregulation and privatization of the hydro system.

The agencies are:

OPG: Owns the former Ontario Hydro nuclear plants at Pickering and Darlington and operates hydroelectricity plants at Niagara Falls along with coal-fired power plants at Nanticoke and Lambton, among others. The Crown-owned company produces most of Ontario's electricity.

Hydro One: In charge of electricity transmission lines.

OPA: Plans new electricity supply and arranging contracts with companies that generate it.

Conservation Bureau: A partially independent branch of the power authority mandated to boost energy conservation programs.

Independent Electricity System Operator: Manages the power system on a day-to-day basis. Makes sure there is enough electricity to meet demand by co-ordinating efforts of various power producers.

Ontario Energy Board: Regulates electricity rates.

Ontario Electricity Financial Corp.: Manages the massive, multi-billion-dollar "stranded debt" left by the old Ontario Hydro.

Arnett was also asked to review hefty paycheques for hydro agency bosses after a $3 million severance package was given to former Hydro One executive Tom Parkinson, who quit his $1.6 million-a-year job amid controversy a year ago.

That part of Arnett's report was delivered last June, recommending that pay of new hydro executives in Ontario be cut by about 30 per cent.

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Warren Buffett-linked company to build $200M wind power farm in Alberta

Rattlesnake Ridge Wind Project delivers 117.6 MW in southeast Alberta for BHE Canada, a Berkshire Hathaway Energy subsidiary, using 28 turbines near Medicine Hat under a long-term PPA, supplying renewable power to 79,000 homes.

 

Key Points

A 117.6 MW Alberta wind farm by BHE Canada supplying 79,000 homes via 28 turbines and a long-term PPA.

✅ 28 turbines near Medicine Hat, 117.6 MW capacity

✅ Long-term PPA with a major Canadian corporate buyer

✅ Developed with RES; no subsidies; competitive pricing

 

A company linked to U.S. investor Warren Buffett says it will break ground on a $200-million, 117.6-megawatt wind farm in southeastern Alberta next year.

In a release, Calgary-based BHE Canada, a subsidiary of Buffett's Berkshire Hathaway Energy, says its Rattlesnake Ridge Wind project will be located southwest of Medicine Hat and will produce enough energy to supply the equivalent of 79,000 homes.

"We felt that it was time to make an investment here in Alberta," said Bill Christensen, vice-president of corporate development for BHE Canada, in an interview with the Calgary Eyeopener.

"The structure of the markets here in Alberta, including frameworks for selling renewable energy, make it so that we can invest, and do it at a profit that works for us, and at a price that works for the off-taker," Christensen explained.

Berkshire Hathaway Energy also owns AltaLink, the regulated transmission company that supplies electricity to more than 85 per cent of the Alberta population.

BHE Canada says an unnamed large Canadian corporate partner has signed a long-term power purchase agreement, similar to RBC's solar purchase arrangements, for the majority of the energy output generated by the 28 turbines at Rattlesnake Ridge.

"If you look at just the raw power price that power is going for in Alberta right now, it's averaged around $55 a megawatt hour, or 5.5 cents a kilowatt hour. And we're selling the wind power to this customer at substantially less than that, reflecting wind power's competitiveness in the market, and there's been no subsidies," Christensen said.

 

Positive energy outlook

Christensen said he sees a good future for Alberta's renewable energy industry, not just in wind but also in solar power growth, particularly in the southeast of the province.

But he says BHE Canada is interested in making investments in traditional energy in Alberta, too, as the province is a powerhouse for both green energy and fossil fuels overall.

"It's not a choice of one or the other. I think there is still opportunity to make investments in oil and gas," he said.

"We're really excited about having this project and hope to be able to make other investments here in Alberta to help support the economy here, amid a broader renewable energy surge across the province."

The project is being developed by U.K.-based Renewable Energy Systems, part of a trend where more energy sources make better projects for developers, which is building two other Alberta wind projects totalling 134.6 MW this year and has 750 MW of renewable energy installed or currently under construction in Canada.

BHE Canada and RES are also looking for power purchase partners for the proposed Forty Mile Wind Farm in southeastern Alberta. They say that with generation capacity of 398.5 MW, it could end up being the largest wind power project in Canada.

 

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Brand New Renewable Technology Harnesses Electricity From The Cold, Dark Night

Nighttime Thermoelectric Generator converts radiative cooling into renewable energy, leveraging outer space cold; a Stanford-UCLA prototype complements solar, serving off-grid loads with low-power output during peak evening demand, using simple materials on a rooftop.

 

Key Points

A device converting nighttime radiative cooling into electricity, complementing solar for low-power evening needs.

✅ Uses thermocouples to convert temperature gradients to voltage.

✅ Exploits radiative cooling to outer space for night power.

✅ Complements solar; low-cost parts suit off-grid applications.

 

Two years ago, one freezing December night on a California rooftop, a tiny light shone weakly with a little help from the freezing night air. It wasn't a very bright glow. But it was enough to demonstrate the possibility of generating renewable power after the Sun goes down.

Working with Stanford University engineers Wei Li and Shanhui Fan, University of California Los Angeles materials scientist Aaswath Raman put together a device that produces a voltage by channelling the day's residual warmth into cooling air, effectively generating electricity from thin air with passive heat exchange.

"Our work highlights the many remaining opportunities for energy by taking advantage of the cold of outer space as a renewable energy resource," says Raman.

"We think this forms the basis of a complementary technology to solar. While the power output will always be substantially lower, it can operate at hours when solar cells cannot."

For all the merits of solar energy, it's just not a 24-7 source of power, although research into nighttime solar cells suggests new possibilities for after-dark generation. Sure, we can store it in a giant battery or use it to pump water up into a reservoir for later, but until we have more economical solutions, nighttime is going to be a quiet time for renewable solar power. 

Most of us return home from work as the Sun is setting, and that's when energy demands spike to meet our needs for heating, cooking, entertaining, and lighting.

Unfortunately, we often turn to fossil fuels to make up the shortfall. For those living off the grid, it could require limiting options and going without a few luxuries.

Shanhui Fan understands the need for a night time renewable power source well. He's worked on a number of similar devices, including carbon nanotube generators that scavenge ambient energy, and a recent piece of technology that flipped photovoltaics on its head by squeezing electricity from the glow of heat radiating out of the planet's Sun-warmed surface.

While that clever item relied on the optical qualities of a warm object, this alternative device makes use of the good old thermoelectric effect, similar to thin-film waste-heat harvesting approaches now explored.

Using a material called a thermocouple, engineers can convert a change in temperature into a difference in voltage, effectively turning thermal energy into electricity with a measurable voltage. This demands something relatively toasty on one side and a place for that heat energy to escape to on the other.

The theory is the easy part – the real challenge is in arranging the right thermoelectric materials in such a way that they'll generate a voltage from our cooling surrounds that makes it worthwhile.

To keep costs down, the team used simple, off-the-shelf items that pretty much any of us could easily get our hands on.

They put together a cheap thermoelectric generator and linked it with a black aluminium disk to shed heat in the night air as it faced the sky. The generator was placed inside a polystyrene enclosure sealed with a window transparent to infrared light, and linked to a single tiny LED.


 

For six hours one evening, the box was left to cool on a roof-top in Stanford as the temperature fell just below freezing. As the heat flowed from the ground into the sky, the small generator produced just enough current to make the light flicker to life.

At its best, the device generated around 0.8 milliwatts of power, corresponding to 25 milliwatts of power per square metre.

That might just be enough to keep a hearing aid working. String several together and you might just be able to keep your cat amused with a simple laser pointer. So we're not talking massive amounts of power.

But as far as prototypes go, it's a fantastic starting point. The team suggests that with the right tweaks and the right conditions, 500 milliwatts per square metre isn't out of the question.

"Beyond lighting, we believe this could be a broadly enabling approach to power generation suitable for remote locations, and anywhere where power generation at night is needed," says Raman.

While we search for big, bright ideas to drive the revolution for renewables, it's important to make sure we don't let the smaller, simpler solutions like these slip away quietly into the night.

This research was published in Joule.

 

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Nova Scotia's last paper mill seeks new discount electricity rate

Nova Scotia Power Active Demand Control Tariff lets the utility direct Port Hawkesbury Paper load, enabling demand response, efficiency, and industrial electricity rates, while regulators assess impacts on ratepayers, grid reliability, mill viability, and savings.

 

Key Points

A four-year tariff letting the utility control the mill load for demand response, efficiency, and lower costs.

✅ Utility can increase or reduce daily consumption at the mill

✅ Projected savings of $10M annually for other ratepayers to 2023

✅ Regulators reviewing cost allocation, monitoring, and viability

 

Nova Scotia Power is scheduled to appear before government regulators Tuesday morning seeking approval for a unique discount rate for its largest customer.

Under the four-year plan, Nova Scotia Power would control the supply of electricity to Port Hawkesbury Paper, a move referenced in a grid operations report that urges changes, with the right to direct the company to increase or reduce daily consumption throughout the year.

The rate proposal is supported by the mill, which says it needs to lower its power bill to keep its operation viable.

The rate went into effect on Jan. 1 on a temporary basis, pending the outcome of a hearing this week before the Nova Scotia Utility and Review Board, amid broader calls for an independent body to lead electricity planning.

The mill accounts for 10 per cent of the provincial electricity load, even as a neighbouring utility pursues more Quebec power for the region, producing glossy paper used in magazines and catalogs.

Nova Scotia Power says controlling how much electricity the mill uses — and when — will allow it to operate the system much more efficiently, as it expands biomass generation initiatives, saving other customers $10 million a year until the rate expires in 2023.

Ceding control 'not an easy decision'
In its opening statement that was filed in advance, Port Hawkesbury Paper said ceding the control of its electrical supply to Nova Scotia Power was "not an easy decision" to make, but the company is confident the arrangement will work.

In September 2019, Nova Scotia Power and the mill jointly applied for an "extra large active demand control tariff," which would provide electricity to the mill for about $61 per megawatt hour, well below the full cost of generating the electricity.

The utility said "fully allocating costs" would result in "prices in excess of $80/MWh ... and [would] not [be] financially viable for the mill."

In its statement, Port Hawkesbury Paper said since the initial filing "there have been greater near term declines in market demand and pricing for PHP's product than was forecast at that time, continuing to put pressure on our business and further highlighting the need to maintain the balance provided for in the new tariff."

Consumer advocate sees 'advantage,' but will challenge
Bill Mahody represents Nova Scotia Power's 400,000 residential customers before the review board. He wants proof the mill will pay enough toward the cost of generating the electricity it uses, amid concerns over biomass use in the province today.

"We filed evidence, as have others involved in the proceeding, that would call into question whether or not the rate design is capturing all of those costs and that will be a significant issue before the board," Mahody said.

Still, he sees value in the proposal.

The proposed new rate went into effect on Jan. 1 on a temporary basis. (The Canadian Press)
"This proposed rate gives Nova Scotia Power the ability to control that sizable Port Hawkesbury Paper load to the advantage of other ratepayers, as the province pursues more wind and solar projects, because Nova Scotia Power would be reducing the costs that other ratepayers are going to face," he said.

Mahody is also calling for a mechanism to monitor whether the mill's position actually improves to the point where it could pay higher rates.

"An awful lot can change during a four-year period, with new tidal power projects underway, and I think the board ought to have the ability to check in on this and make sure that their preferential rate continues to be justified," he said.

Major employer
Port Hawkesbury Paper, owned by Stern Partners in Vancouver, has received discounted power rates since it bought the idled mill in 2012. But the "load retention tariff" as it was called, expired at the end of 2019.

Regulators have accepted Nova Scotia Power's argument that it would cost other customers more if the mill ceased to operate.

The mill said it spends between $235 million and $265 million annually, employing 330 people directly and supporting 500 other jobs indirectly.

The Nova Scotia government pledged $124 million in financial assistance as part of the reopening in 2012.

 

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More young Canadians would work in electricity… if they knew about it

Generation Impact Report reveals how Canada's electricity sector can recruit Millennials and Gen Z, highlighting workforce gaps, career pathways, innovative projects, secure pay, and renewable energy opportunities to attract young talent nationwide.

 

Key Points

An EHRC survey on youth views of electricity careers and recruitment strategies to build a skilled workforce.

✅ Surveyed 1,500 Canadians aged 18-36 nationwide

✅ Highlights barriers: low awareness of sector roles

✅ Emphasizes fulfilling work, secure pay, innovation

 

Young Canadians make up far less of the electricity workforce than other sectors, says Electricity Human Resources Canada, as noted in an EHRC investment announcement that highlights sector priorities, and its latest report aims to answer the question “Why?”.

The report, “Generation Impact: Future Workforce Perspectives”, was based on a survey of 1500 respondents across Canada between the ages of 18 and 36. This cohort’s perspectives on the electricity sector were mostly Positive or Neutral, and that Millennial and Gen Z Canadians are largely open to considering careers in electricity, especially as initiatives such as a Nova Scotia energy training program expand access.

The biggest barrier is a knowledge gap in electrical safety that limits awareness of the opportunities available.

To an industry looking to develop a pipeline of young talent, “Generation Impact” reveals opportunities for recruitment; key factors that Millennial and Gen Z Canadians seek in their ideal careers include fulfilling work, secure pay and the chance to be involved in innovative projects, including specialized arc flash training in Vancouver opportunities that build expertise.

“The electricity sector is already home to the kinds of fulfilling and innovative careers that many in the Millennial and Gen Z cohorts are looking for,” said Michelle Branigan, CEO of EHRC. “Now it’s just a matter of communicating effectively about the opportunities and benefits, including leadership in worker safety initiatives, our sector can offer.”

“Engaging young workers in Canada’s electricity sector is critical for developing the resiliency and innovation needed to support the transformation of Canada’s energy future, especially as working from home drives up electricity bills and reshapes demand,” said Seamus O’Regan, Canada’s Minister of Natural Resources. “The insights of this report will help to position the sector competitively to leverage the talent and skills of young Canadians.”

“Generation Impact” was funded in part by the Government of Canada’s Student Work Placement Program and Natural Resources Canada’s Emerging Renewable Power Program, in a context of rising residential electricity use that underscores workforce needs.

 

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As New Zealand gets serious about climate change, can electricity replace fossil fuels in time?

New Zealand Energy Transition will electrify transport and industry with renewables, grid-scale solar, wind farms, geothermal, batteries, demand response, pumped hydro, and transmission upgrades to manage dry-year risk and winter peak loads.

 

Key Points

A shift to renewables and smart demand to decarbonise transport and industry while ensuring reliable, affordable power.

✅ Electrifies transport and industrial heat with renewables

✅ Uses demand response, batteries, and pumped hydro for resilience

✅ Targets 99%+ renewable supply, managing dry-year and peak loads

 

As fossil fuels are phased out over the coming decades, the Climate Change Commission (CCC) suggests electricity will take up much of the slack, aligning with the vision of a sustainable electric planet powering our vehicle fleet and replacing coal and gas in industrial processes.

But can the electricity system really provide for this increased load where and when it is needed? The answer is “yes”, with some caveats.

Our research examines climate change impacts on the New Zealand energy system. It shows we’ll need to pay close attention to demand as well as supply. And we’ll have to factor in the impacts of climate change when we plan for growth in the energy sector.

 

Demand for electricity to grow
While electricity use has not increased in NZ in the past decade, many agencies project steeply rising demand in coming years. This is partly due to both increasing population and gross domestic product, but mostly due to the anticipated electrification of transport and industry, which could result in a doubling of demand by mid-century.

It’s hard to get a sense of the scale of the new generation required, but if wind was the sole technology employed to meet demand by 2050, between 10 and 60 new wind farms would be needed nationwide.

Of course, we won’t only build wind farms, as renewables are coming on strong and grid-scale solar, rooftop solar, new geothermal, some new small hydro plant and possibly tidal and wave power will all have a part to play.

 

Managing the demand
As well as providing more electricity supply, demand management and batteries will also be important. Our modelling shows peak demand (which usually occurs when everyone turns on their heaters and ovens at 6pm in winter) could be up to 40% higher by 2050 than it is now.

But meeting this daily period of high demand could see expensive plant sitting idle for much of the time (with the last 25% of generation capacity only used about 10% of the time).

This is particularly a problem in a renewable electricity system when the hydro lakes are dry, as hydro is one of the few renewable electricity sources that can be stored during the day (as water behind the dam) and used over the evening peak (by generating with that stored water).

Demand response will therefore be needed. For example, this might involve an industrial plant turning off when there is too much load on the electricity grid.

 

But by 2050, a significant number of households will also need smart appliances and meters that automatically use cheaper electricity at non-peak times. For example, washing machines and electric car chargers could run automatically at 2am, rather than 6pm when demand is high.

Our modelling shows a well set up demand response system could mitigate dry-year risk (when hydro lakes are low on water) in coming decades, where currently gas and coal generation is often used.

Instead of (or as well as) having demand response and battery systems to combat dry-year risk, a pumped storage system could be built. This is where water is pumped uphill when hydro lake inflows are plentiful, and used to generate electricity during dry periods.

The NZ Battery project is currently considering the potential for this in New Zealand, and debates such as whether we would use Site C's electricity offer relevant lessons.

 

Almost (but not quite) 100% renewable
Dry-year risk would be greatly reduced and there would be “greater greenhouse gas emissions savings” if the Interim Climate Change Committee’s (ICCC) 2019 recommendation to aim for 99% renewable electricity was adopted, rather than aiming for 100%.

A small amount of gas-peaking plant would therefore be retained. The ICCC said going from 99% to 100% renewable electricity by overbuilding would only avoid a very small amount of carbon emissions, at a very high cost.

Our modelling supports this view. The CCC’s draft advice on the issue also makes the point that, although 100% renewable electricity is the “desired end point”, timing is important to enable a smooth transition.

Despite these views, Energy Minister Megan Woods has said the government will be keeping the target of a 100% renewable electricity sector by 2030.

 

Impacts of climate change
In future, the electricity system will have to respond to changing climate patterns as well, becoming resilient to climate risks over time.

The National Institute of Water and Atmospheric Research predicts winds will increase in the South Island and decrease in the far north in coming decades.

Inflows to the biggest hydro lakes will get wetter (more rain in their headwaters), and their seasonality will change due to changes in the amount of snow in these catchments.

Our modelling shows the electricity system can adapt to those changing conditions. One good news story (unless you’re a skier) is that warmer temperatures will mean less snow storage at lower elevations, and therefore higher lake inflows in the big hydro catchments in winter, leading to a better match between times of high electricity demand and higher inflows.

 

The price is right
The modelling also shows the cost of generating electricity is not likely to increase, because the price of building new sources of renewable energy continues to fall globally.

Because the cost of building new renewables is now cheaper than non-renewables (such as coal-fired plants), investing in carbon-free electricity is increasingly compelling, and renewables are more likely to be built to meet new demand in the near term.

While New Zealand’s electricity system can enable the rapid decarbonisation of (at least) our transport and industrial heat sectors, international efforts like cleaning up Canada's electricity underline the need for certainty so the electricity industry can start building to meet demand everywhere.

Bipartisan cooperation at government level will be important to encourage significant investment in generation and transmission projects with long lead times and life expectancies, as analyses of climate policy and grid implications underscore in comparable markets.

Infrastructure and markets are needed to support demand response uptake, as well as certainty around the Tiwai exit in 2024 and whether pumped storage is likely to be built.

Our electricity system can support the rapid decarbonisation needed if New Zealand is to do its fair share globally to tackle climate change.

But sound planning, firm decisions and a supportive and relatively stable regulatory framework are all required before shovels can hit the ground.

 

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Georgia Power warns customers of scams during pandemic

Georgia Power Scam Alert cautions customers about phone scams, phishing, and fraud during COVID-19, urging identity verification, refusal of prepaid card payments, use of Authorized Payment Locations, and customer service contact to avoid disconnection threats.

 

Key Points

A warning initiative on fraud, phone scams, and safe payments to protect Georgia Power customers during COVID-19.

✅ Never pay by phone with prepaid cards or credit card numbers.

✅ Verify employee ID, badge, and marked vehicle before opening.

✅ Call 888-660-5890 or use Authorized Payment Locations only.

 

With continued reports of attempted scams and fraud, including holiday scam warnings in other regions, by criminals posing as Georgia Power employees during the COVID-19 pandemic, the company reminds customers to be aware and follow simple tips to avoid becoming a victim.

Customers should beware of phone calls demanding payment via phone to avoid pandemic-related electricity shut-offs and penalties.

In other regions, Texas utilities waived fees to support customers during the pandemic.

Last month, Georgia Power and the Georgia Public Service Commission extended the suspension of disconnections due to the impact of the pandemic on customers. In addition, the company will never ask for a credit card or pre-paid debit card number over the phone. The company will also never send employees into the field to collect payment in person or ask a customer to pay anywhere other than an Authorized Payment Location.

Similarly, Gulf Power offered a one-time bill decrease to ease customer costs.

If an account becomes past due, Georgia Power will contact the customer via a pre-recorded message to the primary account telephone number or by letter requesting that the customer call to discuss the account, including available June bill reductions where applicable.

If a customer receives a suspicious call from someone claiming to be from Georgia Power and demanding payment to avoid disconnection despite utility moratoriums on shutoffs, the customer should hang up and contact the company's customer service line at 888-660-5890.

If an employee needs to visit a customer's home or business for a service-related issue, they will be in uniform and present a badge with a photo, their name and the company's name and logo. They will also be in a vehicle marked with the company's logo.

During the pandemic, visiting a customer's home or business will be even less likely, so identity verification should be completed before opening the door to anyone.

Georgia Power continues to work with law enforcement agencies throughout the state to identify and prosecute criminals who pose as Georgia Power employees to defraud customers.

 

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