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Ontario’s $16-million Christmas power giveaway

Wind power half of surplus power sold off cheap

Ontario's energy policy: gifts for somebody---just not you

Christmas was great day for Michigan and New York, courtesy of Santa Claus Ontario and wind power: Ontario exported 16.5 % (about 66,000 MWh) of our total demand for power on Christmas Day, and those two neighbours got $500,000 in cash along with the 56,000 MWh of power we gave them.  Power generated from wind energy was 36,000 MWh or 51% of total exports—if the curtailed wind production was included that would be 77% of the surplus power exported, so the wind power developers must be happy with their Christmas presents from Ontario, too.

In fact, Ontario’s electricity ratepayers picked up the cost of the cash payments to Michigan and New York, along with the actual cost of the production which was $7 million.  And, we paid about $2 million for “curtailed” wind (17,000 MWh), close to $3 million for “steamed off” nuclear (49,000 MWh) and more than $3 million to the gas plant generators for their “net revenue requirement” while the gas power plants idled.  That’s $16 million… and it doesn’t include the cost of Christmas Day “hydro spillage” as the Independent Electricity Systems Operator or IESO doesn’t report on it.

Total demand for power in Ontario Christmas Day was only 325,000 MWh, perhaps due to mild weather or maybe everyone barbecued their turkeys.  The hourly Ontario energy price (HOEP) value of the total demand of 390,000 MWh was negative (-$2,900,000) based on the average negative price of $7.45/MWh, but Ontario ratepayers still paid the $40 million needed to produce that power.

So our Premier and her chief Elf in the Energy portfolio, Bob Chiarelli, rewarded Ontario’s ratepayers with lumps of coal on Christmas day while doling out goodies to our neighbours!

©Parker Gallant

December 26, 2014

Contact Wind Concerns Ontario at 1-855-517-0446 or


Reprinted from Wind Concerns Ontario

You may also listen to a 45-minute podcast of Parker Gallant on the Dale Goldhawk radio show here.