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Tag Archives: Premier Kathleen Wynne

Eastern Ontario wind farms: no community support

08 Saturday Aug 2015

Posted by ottawawindconcerns in Renewable energy, Wind power

≈ 4 Comments

Tags

Brinston, community opposition wind farms, Eastern Ontario wind farms, EDP Renewables, Farmers Forum, FIT, IESO, Not a Willing host, Premier Kathleen Wynne, subsidies for wind power, Tom Van Dusen North Dtormon, wind farm, wind mill, wind power, wind power LRP, wind turbines

Eastern Ontario wind farms: “enjoy the horizon while you still can”

 From Farmers Forum, August 4, 2015

Community opposition to industrial-scale wind power mounting

Excerpt from “Eastern Limits” by Tom Van Dusen

I’m not sure what it is about North Stormont Township but wind power developers seem to love it.

Their calculations must have discovered more forceful winds than normal stirring the township. On the surface, though it seems no more or less windy than any other rural municipality.

In increasing numbers, developers have been wafting through the township looking for prime sites* to erect their industrial turbines. As in other communities where they’ve landed, their efforts have been the subject of increasing protests, petitions, and testy meetings.

Correctly gauging the way the wind is blowing on the issue, township council has just taken a stand against turbines and their proponents…for what that’s worth. With the provincial government relentlessly pushing wind power, it’s probably not worth much.**

Mayor Dennis Fife has explained that too many ratepayers are against wind projects for council to reasonably support them. Fife has expressed his personal opposition, claiming wind will never match nuclear power generation.

Typical of disgruntled ratepayers is Roger Villeneuve who worries that towers “much taller than any tree I’ve ever seen or will ever see” will soon dominate the local landscape.

…Council was helped along in its decision by Concerned Citizens of North Stormont which circulated an unwilling host petition, demanding that elected representatives back it at a meeting July 28. They did.

In explaining its opposition the citizens’ committee cited the loss of property values and prime agricultural land, increased hydro costs to cover wind power expansion, environmental impact on birds and bats, health issues related to pulsating noise and shadow flicker, and eventual decommissioning costs.

…Developers have been through all this before, in several other Ontario municipalities where they’ve landed. You see, they have carte blanche from the province under the Green Energy Act, trumping any local motions, opposing them. Projects are decided by the province’s Independent Electricity Service Operator [sic–it is “System” Operator] (IESO) with little regard for local concerns.***

…a growing number of wind power opponents are urging councils to use other tools at their disposal…one suggested option is refusing a bylaw to permit road access to turbine sites. ****

…

“Enjoy the natural horizon while there still is one,” says ratepayer Roger Villeneuve.

Wind Concerns Ontario notes:

* What they are looking for is willing landowners. Wind doesn’t really have much to do with it.

** The Not A Willing Host declaration stems directly from a statement by Premier Kathleen Wynne that she wouldn’t force wind power projects on communities that weren’t willing. Her failure to honour her word is underscored by the 89 (soon to be 90?) communities that have protested by municipal resolutions.

*** This is true but the failure of a developer to gain municipal support does not help them in a successful bid. Bids without community support are ranked lower.

**** This is not actually a valid option: several communities have tried this already and what happens is, the developer goes to the Ontario Energy Board which then grants permission to use road allowances. The municipality is then left without a road use agreement and possibility of compensation for the sometimes considerable damage to public roads.

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Green energy fleecing Ontario consumers

30 Thursday Oct 2014

Posted by ottawawindconcerns in Renewable energy, Wind power

≈ 1 Comment

Tags

electricity rates Ontario, green energy, Green Energy Act, hydro bills Ontario, Ontario, Premier Kathleen Wynne, renewable energy, renewables, Ross McKitrick, Tom Adams, wind energy, wind farm, wind farm contracts, wind power

Green energy and wind farms fleecing Ontario consumers

New study explains why Ontario has gone from affordable electricity rates to among the highest in N America. Photo: Bloomberg
New study explains why Ontario has gone from affordable electricity rates to among the highest in N America. Photo: Bloomberg

Ross McKitrick and Tom Adams, The Financial Post, October 30, 2014

Adding renewable generating capacity triggers changes throughout the system that multiply costs for consumers

Ontario’s green energy transformation – initiated a decade ago under then-Premier Dalton McGuinty – is now hitting consumers. The Nov 1 increase for households is the next twist of that screw. As Ontario consumers know all too well, the province has gone from having affordable electricity to having some of the highest and fastest-increasing rates in Canada.

Last year, in a report for the Fraser Institute called “Environmental and Economic Consequences of Ontario’s Green Energy Act,” one of us (McKitrick) explained how the Green Energy Act, passed in 2009, yielded at best tiny environmental benefits that cost at least ten times more than conventional pollution control methods, and was directly harming growth by driving down rates of return in key sectors like manufacturing.

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But complex financial structures and a lack of official disclosure around large embedded costs have let supporters of the green energy act deny that green power is responsible for the price hikes. Green industry advocates, including the consulting firm Power Advisory and advocacy group Environmental Defense, have added up the direct payments to new renewable generators, and concluded that since those costs are relatively small, the impact of renewables on the total cost of power is likewise small.

However, such analyses ignore the indirect costs that arise from the way renewables interact with the rest of the power system. Adding renewable generating capacity triggers changes throughout the system that multiply costs for consumers through a mechanism called the Global Adjustment. Our new study, released Wednesday by the Fraser Institute, quantifies the impacts of different types of new generators on the Global Adjustment. The analysis pinpoints what causes the raw deal for consumers.

Here’s how it works: over the last decade, Ontario closed its coal-fired power plants and built a rapidly expanding portfolio of contracts with other generators including renewable energy companies producing power from hydro, wind, solar and biomass. These companies charge the Ontario Power Authority (OPA) higher-than-market-value prices for energy. To make up the difference, the OPA slaps an extra charge – called the Global Adjustment – on the electricity bills of Ontarians.

The Global Adjustment adds to the commodity portion of rates, which combined with charges for delivery, debt recovery, and regulatory factors constitute the overall rate. Elements of the Global Adjustment that are not disclosed include payments to generators to not generate, rates paid to historic non-utility generators, and costs for new hydro-electric developments.

Since 2007, the Global Adjustment has risen six cents per kilowatt-hour in inflation-adjusted terms, pushing up the commodity portion of bills by 50%. Not long ago, Ontario’s total industrial rate was less than six cents per kilowatt-hour. The rising Global Adjustment is by far the biggest driver of the resulting 21% increase in the overall average cost of power in the province over the period 2007-2013. The Global Adjustment’s upward path is a direct consequence of government intervention in the electricity market. Our analysis unpacking the costs of different types of generation shows that the consumer impact of new renewables substantially exceeds the direct payments to those generators by as much as 3 to 1. And renewables are a big part of the problem: Wind and solar systems provided less than 4% of Ontario’s power in 2013 but accounted for 20% of the commodity cost paid by Ontarians.

Getting to the bottom of the rate implications of adding renewables gained new urgency when Premier Wynne declared last month that the 2013 fleet of wind and solar will almost triple by 2021. This is an incredibly reckless decision. In his National Post column recently on the 2014 Ontario Economic Summit, co-chair Kevin Lynch, Vice-Chair of BMO Financial Group, stated bluntly “That Ontario has a serious growth problem is rather difficult to deny, or debate.”

What’s the solution? If the Province wants to contain electricity rate increases it needs to halt new hydroelectric, wind and solar projects. In order to reverse rate increases, the province should seek opportunities to terminate existing contracts between renewable energy companies and the OPA. Alas, as the Premier has indicated, that’s not where they’re headed.

Alternatives to costly new renewables include using some imported electricity from Quebec while Ontario refurbishes its nuclear power plants and maintaining 4 of 12 coal-fired power units at Lambton and Nanticoke that had been outfitted with advanced air pollution control equipment just prior to their closure, making them effectively as clean to operate as natural gas plants. Costly conservation programs encouraging consumers to use less electricity make particularly little sense these days in Ontario. Right now, Ontario is exporting vast amounts of electricity at prices that yield only pennies on the dollar, and also paying vast but undisclosed sums to generators to not generate.

Many European countries made costly commitments to renewable energy but are now winding them back. Germany is investing in new smog-free coal power generation. Environmentalists often suggested that following Europe is the way to go. Perhaps Ontario should consider following them now.

Ross McKitrick is a Professor of Economics at the University of Guelph and Senior Fellow of the Fraser Institute. Tom Adams is an independent energy consultant and advisor.

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