Category Archives: ontario

Nanticoke, once North America’s largest coal plant, to host 40MW solar farm

Okay, it’s ridiculous to compare a 40-megawatt solar PV park to a coal-fired power plant that could crank out 4,000 megawatts at peak capacity, but the fact Ontario Power Generation (OPG) got a contract today to build such a solar project at the old Nanticoke Generating Station is, at the very least, symbolically significant.

Ontario’s Independent Electricity System Operator announced the results Thursday of its Large Renewable Procurement (LRP), which, for good reason, replaces the previous feed-in-tariff (FIT) program. The FIT program just couldn’t keep up with the pace of technological change and learning in the industry, and since the solar and wind industry in Ontario is now well established, it was time to abandon the rich premiums that came with the FIT and make the big boys of renewable energy compete for Ontario’s business.

In total, 455 megawatt of wind, solar and hydro was contracted out as part of the LRP:

  • Five wind contracts totalling 299.5 MW, with a weighted average price of 8.59 cents per kWh;
  • seven solar contracts totalling 139.885 MW, with a weighted average price of 15.67 cents; and
  • four hydroelectric contracts totalling 15.5 MW, with a weighted average price of 17.59 cents.

See list of projects here.

The lowest price Ontario got for wind was 6.45 cents, which is half of what it initially paid under its feed-in-tariff program. As Ontario’s Clean Air Alliance pointed out, that’s lower than what a re-built Darlington Nuclear Station is expected to cost, assuming it doesn’t go over budget (and history says it likely will). Now, nuclear is baseload, wind isn’t. But keep in mind that the purchased wind power comes risk-free to Ontario ratepayers. Can’t say that for nuclear deals in the province, no matter how much lipstick you put on a pig.

With solar, the lowest price locked in was 14.15 cents, which is remarkably close to what Ontario was paying for large-scale wind under its FIT program. It’s also significantly lower than rates for large-scale solar under the FIT program, which back in 2013 started at 34 cents and climbed from there.

These power purchase agreements (PPAs) show just how much solar costs have fallen — and will continue to fall. Now, you may be tempted to point to super-low cost solar contracts announced in places like California, Texas and New Mexico. Toronto-based Skypower has even bid 8 cents (U.S.) for projects in India. But keep in mind the solar regime isn’t as favourable in Ontario, the dollar is lower, and projects were tied to some social goals. For example, 13 of 16 projects include participation from one or more Aboriginal communities, including five projects with more than 50 per cent Aboriginal participation. I wonder, however, if the province could have secured even lower bids if it agreed to backstop loans on winning projects — perhaps from a green bond issue?

Still, the price is heading in the right direction. As the Canadian Solar Industries Association said,

“It is also the first time that a utility scale solar project has been contracted at a price that is lower than the retail rate of electricity in Ontario.”

That’s a milestone we should all remember.

But back to the OPG contract. Its significance wasn’t lost on Dan Woynillowicz, policy director at Clean Energy Canada.

“It’s both a powerful symbol and great progress to see a contract offered for a solar farm that will be built on the land once occupied by the Nanticoke coal-fired power plant, once Canada’s top greenhouse gas polluter.”

I wrote about OPG’s planned bid for solar projects last May in Corporate Knights. At the time, OPG was hoping to win up to 120 megawatts worth of projects, which would be spread across its shut down Nanticoke and Lambton generation sites, as well as its still-operating Lennox station near Kingston.

Here’s what I said:

OPG, a publicly owned crown corporation, has historically been held back from bidding on renewable energy projects, given that its sheer size and influence were seen as unfair advantages in a competitive, open market procurement process. The company supplies roughly half of the province’s power, mostly through nuclear and large hydroelectric facilities.

In June 2013, however, the Ontario government restructured its feed-in-tariff program such that only smaller renewable-energy projects could participate. Larger project proposals, those generally more than 500 kilowatts in size, would need to compete through a request-for-proposal (RFP) process.

And in a controversial twist, Energy Minister Bob Chiarelli directed the Ontario Power Authority to allow OPG to participate in all renewable energy procurement rounds.

I think it’s smart to let OPG enter this game. Sure, it’s a large publicly owned incumbent, but the solar market has matured and can hold its own. OPG also has unique experience (and recent success) partnering with aboriginal communities.

One potential hitch is that SunEdison is OPG’s development partner. The company is going through some tough times right now (the existential kind), and it’s unclear whether that will have an impact on OPG’s plans.

Climate and Mental Health Series in the Toronto Star

Earlier this week — Sunday and Monday — the Toronto Star ran several stories of mine that draw a direct link between climate change and mental health.

OuchterlonyThe first story, which to my pleasant surprise was run above the fold on A1 on Sunday, starts with Ontario coroner and former palliative care physician David Ouchterlony, who says his anxiety and despair over the growing climate threat has affected him more deeply — emotionally and psychologically — than the years he spent caring for dying patients or investigating causes of death. But Ouchterlony isn’t alone. The mental health impacts of climate change, particularly on those most vulnerable to it, is expected to grow and could become a serious public health crisis that we’re not prepared for and which, in Canada, is not even on the radar. This article provides an overview of the issue, how the American Psychological Association is taking it seriously, and how its Canadian counterpart and public healthy agencies in Canada aren’t really paying attention to this sleeper of an issue. Be sure to also read Ouchterlony’s own words in this thoughtful response to an e-mail I sent him last month asking: How is something like concern over climate change different from the kinds of feelings you have as a coroner, or had as a palliative care physician?

The same day the Star also ran a story focused on farmers, and how crazy and more extreme weather events linked to climate instability are making an already tough job more difficult. Farmers are a group with some of the highest rates of depression and suicide, and the fear is that climate change is going to make the situation worse for their mental health. Again, there’s not a lot of research in Canada looking at this issue, so these people are largely struggling silently.

Prof_Ashlee_Cunsolo_WilloxFinally, on Monday the Star ran my article focused on climate change and its psychological impacts on northern and remote aboriginal communities. The story leans heavily on the pioneering research of Cape Breton University professor Ashlee Cunsolo Willox, who has spent considerable time over the past few years visiting Inuit communities in Nunatsiavut, Labrador, and documenting how populations there are coping mentally with the changes around them and how it’s impacting their way of life. Canada’s north is being disproportionately affected by climate change and these indigenous communities are on the front lines. They need our attention and our help.

The package touches on other vulnerable groups, such as scientists/environmentalists, the poor and elderly, and those directly affected by extreme weather events, such as floods, droughts and hurricanes. This last group I would categorize as sufferers of post-traumatic stress disorder, or PTSD. The other groups are struggling with a more anticipatory, existential kind of anxiety about climate change that can fuel hopelessness, despair, guilt and depression. Some might group this as “pre-traumatic stress disorder,” which I think is a useful term. A person quoted in one of my stories called it “the slow drip of climate change.”

Screen Shot 2016-03-03 at 6.23.37 PMAs expected, some have commented that the series is alarmist and will only serve to feed anxieties. If telling the truth is alarmist, then so be it. Others will say I dwelled only on the problem and didn’t get deep enough into the discussion of how to bolster mental resilience. I should have focused more on positive developments, emerging new technologies, and adaptation as a way to short-circuit anxieties. I agree, that discussion is needed and that discussion will come. But first I had to identify that the mental health challenge is real — that it exists and has the potential to grow much worse as evidence of climate change becomes more apparent in our daily lives.

The first step to finding solutions is admitting we have a problem, and while only a small slice of the population suffers psychologically from what might flippantly be called the climate blues, I would argue that it’s a process we all have to go through if we are to become — emerge — more mentally resilient to the changes in our surrounding environment and how they affect our lives.

So let’s have the discussion. Let’s recognize the problem. Let’s devote resources to research. Let’s create a plan and the necessary support as part of municipal, provincial and federal adaptation measures. Both the Mental Health Commission of Canada and the Canadian Psychological Association need to develop a position, remembering it’s both a public health concern and something that can affect the country’s economic productivity.

Finally, feel free to reach out if you have a story to share.

Solar is booming in Ontario, but you’d never know it from the data

Screen Shot 2016-01-13 at 12.43.29 PMOntario’s Independent Electricity System Operator released its annual “Electricity Data” report on Tuesday, and it breaks down the supply mix in 2015, 2014 and 2013. On the surface there hasn’t been a big shift over the past three years. We see that nuclear and hydro output has been fairly consistent. Natural gas generation was up slightly in 2015 compared to 2014, but was still lower than 2013 levels. Coal has been completely phased out, but at only 2 per cent of the mix in 2013 it wasn’t a dramatic change.

Wind as a share of the electricity mix has doubled to 6 per cent since 2013. Electricity from biofuels more than doubled, but still represents less than 1 per cent of the mix.

Then there’s solar. Looking at 2013 data, you might be confused to see Ontario didn’t have any solar on the grid. A teeny weeny bit appeared in 2014 and that increased 14-fold in 2015, but still represented a measly .25 terawatt-hours of electricity in a system that generates 154 terawatt-hours a year. In other words, a rounding error.

It’s a misleading figure, and it makes solar look like an insignificant contributor to Ontario’s electricity system, which couldn’t be further from the truth.

So what’s the deal? The above figures are for transmission-connected generation, meaning only the biggest solar projects connected directly to the transmission system are recognized. Those projects total 140 megawatts on a grid with 27,000 megawatts of capacity.

But look under the hood and you see something quite different. When accounting for solar that is connected to the local distribution system, the figure is an impressive 1,766 megawatts.

“So over 90 per cent of solar in Ontario isn’t being included in their annual figures,” points out Keith Stewart from Greenpeace Canada. “If we did include it all, solar would be about 2 per cent of total generation. It’s a clear example of how conventional power-sector thinking is blinded to the role of renewables and the evolution towards a more decentralized grid.”

In other words, this so-called “embedded” solar generation is making a big difference, especially during times of summer peak demand when the sun is shining strong and air conditioning loads put stress on the grid.

 

Ontario gov launches $50,000 contest, challenges app developers to put smart meter data to good use

Now that nearly 5 million Ontario homes and small businesses have smart meters, the province has access to a tsunami of energy usage data. The question now is what’s the best use of it? As part of efforts to open up this data store and make it available to third-party developers — part of the “green button” initiative — the Ontario energy ministry issued today a challenge to app developers. Come up with a mobile app that makes the best use of this data and win part of $50,000 in cash that is available for prizes. Developers have until Jan. 7 to submit their app, and the winners will be announced in early 2014. “Awards include Gold, Silver and Bronze, Best Student App, Best App Created Outside of Ontario, and People’s Choice,” according to the ministry.

Will be interesting to see what emerges from this contest.

Another major milestone for ZooShare Co-op: financial regulator has approved sale of community bond issue

ZooI’ve written about ZooShare before, so I won’t get into too much background, except to say that it’s a local co-operative in Toronto that wants to turn poop from animals at the Toronto Zoo into biogas that will in turn be used to generate electricity. A very cool project. I am a volunteer director on the ZooShare board, and it has been a great learning experience. In July we hit one major milestone when the co-operative was awarded a 20-year contract to sell its electricity to the province as part of the feed-in-tariff program. This week, we hit another milestone: the Financial Services Commission of Ontario, one of the province’s main financial regulators, approved ZooShare’s request to sell its community bonds. As a result, this fall we’ll be having an active campaign to sell the bonds, which will have a five to seven year term and will offer an annual return of up to 7 per cent. To learn more, visit ZooShare’s website. This is all great news, because now we can raise the necessary funds to begin the process of building our anaerobic digestion and power generation facility at the Toronto Zoo. We are tentatively expecting to launch the bond-selling campaign at the zoo on Oct. 10, so these are exciting times for a tiny co-op that’s thinking big.

On another positive note, ZooShare is also one of 10 social ventures that have been selected to be part of the new Social Venture Exchange (SVX), which is a joint venture of the Toronto Stock Exchange and MaRS that will launch on Sept. 19. Our bonds will be listed on this exchange, which is great exposure for us. As ZooShare executive director Daniel Bida says, “The SVX is the first of its kind in North America and it is surely to attract large interest once it is launched.”

Please consider becoming a member of ZooShare. We’re serious when we say we’ve got lots of pootentional. (Cheesy, I know, but had to say it).