PEIWith Maritime Electric officials saying they’re working hard to keep the lights on throughout the winters ahead, and need more combustion turbines to do that, the P.E.I. government has published the results of its long-awaited energy review.Energy minister says Maritime Electric’s proposed turbines would be mostly backupsMaritime Electric pleading its case for increased power generation and higher ratesMaritime Electric is talking to groups across P.E.I. about its recent application to the Island Regulatory and Appeals Commission to be allowed to erect two 50MW combustion turbines. If the utility can’t upgrade local capacity, officials say there could be rolling blackouts at some point. Meanwhile, as CBC’s Tony Davis reports, a new report commissioned by the province backs the idea of more combustion turbines. As Maritime Electric officials say they’re working hard to keep the lights on throughout the winters ahead, and need more combustion turbines to do that, the P.E.I. government has published the results of its long-awaited energy review.Among other things, the energy review by Doane Grant Thornton resulted in a recommendation that the province not try to set up its own power utility, which some Maritime Electric critics had been calling for, saying: “Provincial funding is better used in infrastructure and renewable resources, rather than ownership of an electrical utility.”It also supported the idea of generating more power on P.E.I. using diesel.”It’s a balance in between the environmental component of this and the sustainability of the system we have here in Prince Edward Island, so I think Islanders are looking for balance and that’s what we’re willing to offer,” Minister of Environment, Energy and Climate Action Gilles Arsenault said Tuesday.The utility has been insisting it needs to spend money on generating more power locally or risk the grid being over capacity when Islanders need it the most. That’s because the P.E.I. electric utility may not be able to reply on New Brunswick Power to supply extra power to P.E.I. during future extreme cold snaps, given Ottawa’s commitment to phase out coal by 2030 and the impact of that promise on NB Power’s generating ability.Gilles Arsenault, P.E.I.’s minister of environment, energy and climate action, says he wants to continue to promote environmentally friendly options for power generation, but doesn’t oppose Maritime Electric seeking to buy combustion turbines. (Zoom)On top of that, peak load times have shifted throughout the years on P.E.I. They used to occur around Christmas, but now they are lining up more with New Brunswick’s peak cold times, meaning too much demand for the available power.That’s why Maritime Electric is asking the Island Regulatory and Appeals Commission to approve its application to be allowed to spend $334 million on two 50MW combustion turbines to generate power, which it calls the cheapest option.The utility estimates that the purchase will mean an increase of seven to eight per cent for ratepayers.If the application isn’t approved quickly, Maritime Electric says those turbines could be sold to someone else. Officials also say buying the turbines would let it increase capacity by 2028, instead of 2030. Balancing fossil fuels, environmentalismThe P.E.I. government has for the past several months pointing to the energy review as a possible roadmap for the Island’s energy future, including ways to deal with capacity shortfalls.On Tuesday, Arsenault said he doesn’t oppose Maritime Electric’s proposal to buy the generators, but added that they will mainly serve as a backup.This map from the Doane Grant Thornton energy review shows P.E.I.’s energy infrastructure, with dots marking where wind, solar, biomass and thermal energy generation is occurring. ( Doane Grant Thornton)”We are doing many projects at the moment, with the wind farms, solar panels that are very environmentally friendly, and we want to continue with on-Island generation in that venue as well,” he said.”The combustion engines for the generators, if we’re going in that fashion, and if that’s the proposal that will be accepted, the generators are going to be running at probably one to two per cent of the time.” He said that the province knows there must be a balance between environmentalism and a sustainable energy source, even if it’s based on fossil fuels.”So overall it’s a backup generation system that we need to get our electricity [through] a reliable system here,” he said.P.E.I. has long bought power from New Brunswick’s utility to supplement what is generated here, with the electricity being transmitted under the Northumberland Strait. On the left is what the subsea cables from the 1970s era looked like. On the right is a cross-section of the future underground cables. (Tony Davis/CBC)Arsenault also said the province is interested in talk of nuclear power expansion in New Brunswick, which would require new undersea cables to be installed between the two Maritime provinces to let P.E.I. share that power. “We are embarked on a journey with the federal government for a nation-building project and that could be part of that as well,” he said.”Most of our electricity is provided by New Brunswick Power at this stage.”Consumer advocate roleThe Doane Grant Thornton energy review report also called for a new consumer advocate position to be created, to counter the power of a private company monopoly supplying energy on P.E.I.”A consumer advocate role is needed to enhance rate hearing processes, monitor planning and reliability of the grid, and improve energy literacy of ratepayers/consumers on responsible electricity usage,” the review said.How does P.E.I.’s electrical grid even work? CBC ExplainsWith recent outages shining a light on the fact that the P.E.I. electrical grid is nearing capacity, you may be wondering how the Island gets power in the first place — or what the difference is between Summerside Electric and Maritime Electric. Here’s a breakdown from CBC’s Cody MacKay.”The province is really interested in moving that forward,” Arsenault said. “We are having discussions and at this stage we are looking at what’s happening in other jurisdictions to better define the role and responsibility of a consumer advocate.”We’re really definitely interested in moving in that direction and I think we will see that sooner or later.”Arsenault also said that Maritime Electric having backup generators will put the province in a better position to negotiate with providers, calling them a “crucial” piece toward a sustainable model.’Not happy’ about electricity costs on the IslandThe minister said Tuesday that he wanted to reassure Islanders that currently the grid is “sufficient to fire up the whole Island” going into winter.However, as the P.E.I. population grows and more aspects of life on the Island are electrified — through heat pumps and electric vehicles, for example — he said work will need to be done to set the Island up for the next decade.The utility has said it expects to be back before IRAC with another application to add 100 more MW in capacity shortly after the pending decision on the turbines is made.Many Islanders questioning why this winter’s power is costing hundreds of dollars more each monthMany Maritime Electric customers on Prince Edward Island have taken to social media to complain about electricity bills coming in hundreds of dollars higher than they did for the same winter month a year ago. The CBC’s Steve Bruce looked into the matter for them. In light of Maritime Electric officials saying adding the two turbines will mean power users paying seven to eight per cent more, Arsenault said the review found P.E.I. is currently in the middle of the pack when it comes to electricity costs across the country.”We’re about mid-pack for… the national level of where electricity cost is, so we’re not extremely happy that we’re not at the bottom of that list,” he said. “But we’re doing everything that we can to minimize the impact on raises for taxpayers.”No one from Maritime Electric was made available for an interview Tuesday. With files from Wayne Thibodeau
P.E.I. energy review is out, and minister backs a balance of renewables and fossil fuels
