Tag Archives: cost of wind power

Wind power is 70% useless in Ontario: economics report

23 Friday Jun 2017

Posted by in Renewable energy, Uncategorized, Wind power

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All that despoliation of Ontario communities, agricultural land and the natural environment for … what? Expensive power produced out of phase with demand, says Marc Brouillette

In a stunning commentary published yesterday by the Council for Clean and Reliable Energy, energy policy consultant Marc Brouilette says that Ontario’s wind power program is an expensive adventure that does not achieve any of its goals for the environment or economic prosperity, and is in fact, making things worse.

At a cost of $1.5 billion in 2015, Brouillette says, the fact that wind power generation is completely out of sync with demand in Ontario results in added costs for constrained generation form other sources. Constrained nuclear and hydro cost $300 million that year, and a further $200 million in costs was incurred due to “avoided” natural gas generation.

And, the power isn’t even getting to the people who need it. “[O]nly one-half of total provincial wind output makes it to the Central Region and the GTA where most of Ontario’s electricity demand exists,” Brouillette states.

All things considered, wind costs more than $410 per megawatt hour, which is four times the average cost of electricity in Ontario. This is being charged to Ontario’s electricity customers, at an increasing rate.

Ontario should reconsider its commitment to more wind, Brouillette concludes: “these challenges will increase if Ontario proceeds to double wind capacity to the projected ~6,500 MW.”

Reposted from Wind Concerns Ontario windconcernsontario.ca

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24 Ontario communities say NO new wind power contracts

02 Wednesday Mar 2016

Posted by in Renewable energy, Wind power

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Ontario municipalities demanding no new wind power contracts now 24

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Huron-Kinloss and West Lincoln have joined 22 other Ontario municipalities supporting the Wainfleet Resolution; the total is now 24.

The resolution refers to the Auditor General’s 2015 report in which Bonnie Lysyk detailed the amount of money Ontario citizens have paid for renewable power in a program that never had  cost-benefit analysis. Ontarians paid twice as much for wind power as they should have, she said, with the result that Ontario consumers have seen their electricity bills skyrocket. Worse, she said, is the fact that Ontario is in a situation of surplus power generation, which means regular losses as power generators are paid to “constrain” production, and surplus power is sold off at bargain-basement process on the electricity market.

The Wainfleet Resolution asks that the province not give out any new wind power contracts; the IESO accepted bids for more than 2,000 megawatts of new wind power generation last year, and planned to let contracts for 300 megawatts of new projects, despite the surplus.

While Ontario has over 400 municipalities, only about 100 are rural/small-town communities vulnerable to wind power development. Wind power projects have also been proposed in Northern Ontario where there are no organized municipalities but “unorganized territories.”

(Re-posted from Wind Concerns Ontario)

Wind and solar power: the hidden costs

20 Tuesday May 2014

Posted by in Ottawa, Renewable energy, Wind power

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Wind power: not free

Wind power: not free

Here, from Ottawa-based energy-specialist economist Robert Lyman, a quick look at what many people don’t know (and aren’t getting told by the government or the wind power lobby) about the costs of generating power from wind and solar.

A must-read.

THE HIDDEN COSTS OF ONTARIO RENEWABLE ELECTRICITY GENERATION 

Ontario residents can be forgiven if they fail to understand the public debate during the current (2014) provincial election about the costs of different types of electricity generation and why these have caused electricity rates for consumers to rise so much over the past ten years. The complexity of the system makes it difficult to explain the costs associated with one source of supply, namely the renewable energy generation  (industrial wind turbines and solar power generators). In this note, I will nonetheless try to explain in layperson’s terms why these costs are significant.

Electricity supply in Ontario takes place within the framework of the policy and legislative framework established by the Ontario government, an important part of which is the Green Energy and Economy Act of 2009 (GEA). Historically, the goal of Ontario electricity policy was to keep electricity rates for consumers as low as possible consistent with the goal of maintaining adequate and reliable supply. Within the current framework, however, that is no longer the goal. The GEA seeks to stimulate investment in renewable energy projects (such as wind, solar, hydro, biomass and biogas) and to increase energy conservation.  To do this, it:

  • Changed the review process for renewable energy projects to reduce environmental assessment and hasten approvals
  • Created a Feed-in-Tariff that the Independent Electricity Systems Operator (IESO) must pay, guaranteeing the specific rates for energy generated from renewable sources (typically, the rates are fixed for the full term of the twenty year contracts, with inflation escalators)
  • Established the right to connect to the electricity grid for renewable energy projects and gave renewable energy source preferential access over other sources of generation
  • Implemented a “smart” grid to support the development of renewable energy projects
  • Eliminated local approval requirements that local governments previously could impose on renewable energy projects

The guaranteed rates paid under the FIT system are not negotiated based upon the actual costs of production. In fact, the actual costs of production are largely unknown. …

Read the full analysis here: THE HIDDEN COSTS OF ONTARIO RENEWABLE ELECTRICITY GENERATION

Tom van Dusen on Ontario’s power situation: “powerless”

10 Tuesday Dec 2013

Posted by in Ottawa, Renewable energy, Wind power

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From the December 3rd edition of Ontario Farmer, an excerpt from the Stories from Eastern Ontario feature by Ottawa area writer Tom Van Dusen. Powerless

I recently listened to one of the most horrifying hours of radio programming I have ever heard.

I was driving the truck at the time and almost leapt out of the seat I became so incensed. I was receiving information I already knew in general terms but that didn’t make it any less tormenting.

The show wasn’t about disaster or disease. It wasn’t about the Senate. It wasn’t even about Rob Ford.

It was a discussion about that outrageous cash guzzler Hydro One, its stunning rates and the crippling effect they are having on all aspects of Ontario commercial and residential life.

It was a tale of gross mismanagement, incompetence, political interference and total indifference for consumers–you and me–in Hydro One’s grossly inflated charges…charges poised to make Ontario the most expensive place to buy electricity in North America.’

Listeners were calling in to tell horror stories about dealing with Hydro One, of having their service cut off because they could no longer pay, of planning to move because their electricity bills had become too exorbitant to manage.

There was an overall feeling of helplessness, of being able to do nothing but stand by as the bandits running Hydro One and related government agencies continue to jack prices without explanation. …

The radio show* featured guest energy analyst Tom Adams, who was a pleasure to listen to, a man who seemed to know his stuff and who pulled no punches in describing how Ontario’s electricity future is being burdened with “stupidly expensive junk generation.”

Adams and callers raised several of the issues particularly frustrating to the people who have to pay for all the blunders–that would be you and me–including compensating electricity producers to remain idle and selling off surplus power at cut rate prices to other jurisdictions.

Let’s take wind power. I’m a great fan but enough is enough…taxpayers can’t justify any more subsidized turbine erection under the Green Energy Act when a surplus is being produced for the grid.

Ottawa city council has passed a motion asking the province to give communities more say in where wind power projects are installed.

A little way south in Brinston, 10 turbines are in the works with little backing from neighbours or local government, South Dundas Township. Council passed a motion that additional turbines won’t be supported until a need is proven. With no legal clout behind the move, more than 70 Ontario municipalities have officially become “unwilling hosts” for turbines. Yet this provincial government continues to push its alternative energy agenda while failing to curb Hydro One’s scandalous misuse of our money.

The waste can only be shut off with an election and a complete makeover of the shirt circuiting Ontario Hydro bureaucracy.

tomvandusen@sympatico.ca

*Editor’s note: this sounds like Ontario Today hosted by Rita Celli with guest Tom Adams. A podcast of the show is available at cbc.ca