Power exported at a loss: Ontario engineers say excess green power being sold to U.S. at discounted rates.

PositionENVIRONMENT

The Ontario Society of Professional Engineers (OSPE) wants Queen's Park to take the politics out of energy planning and design in Ontario.

The OSPE said in 2016 the provincial government exported 14.6 terawatthours (TWh) of clean electricity at a financial loss of more than $500 million.

The group's energy task force closely analyzed the data issued by the Independent Electricity System Operator (IESO) and the Ontario Energy Board (OEB).

"This represents a year's worth of power for more than a million homes that Ontario has sold to other jurisdictions for less than it costs us to produce," said energy expert Paul Acchione, former president and chair of OSPE, in a Nov. 21 statement.

"Ontario ratepayers are essentially subsidizing hydro bills in places like Michigan and New York to the tune of $500 million per year."

Earlier this year, the OSPE reported that in 2016 Ontario dumped 7.6 terawatt-hours of clean electricity, an amount equal to powering more than 760,000 homes for one year, or $1 billion --a 58 per cent increase over 2015.

Since 2014, Ontario has exported surplus hydroelectric, wind, and nu clear generation to adjoining power grids in the U.S. at a lower price than the cost of production.

That's because the province produces more clean electricity than it can use, so it is sold at a discounted rate.

Total energy exports in 2016 were 21.9 TWh compared to 22.6 TWh in 2015.

"OSPE continues to assert that the government must restore the oversight of professional engineers in the detailed planning and design of Ontario's power grid to prevent missteps like this from happening," said Acchione.

The OSPE has previously offered up some solutions to Energy Minister Glenn Thibeault and all the political parties, including a report issued in the summer of 2016 with 21 actionable recommendations to deliver efficiencies and savings.

Those items included cutting residential and commercial rates by 25 per cent without the creation of the subsidy and deferral account under the Ontario Fair Hydro Act.

...

To continue reading

Request your trial

VLEX uses login cookies to provide you with a better browsing experience. If you click on 'Accept' or continue browsing this site we consider that you accept our cookie policy. ACCEPT