Ontario paying wind turbines not to produce electricity
Sep 11, 2013 / 9:58 am
TORONTO - Ontario will start paying wind power generators today not to produce electricity, but the government says the move will actually save ratepayers big bucks.
Ontario has had a surplus of power since 2006, but until now, the province paid for all the electricity generated from industrial wind mills, even when it wasn't needed.
Energy Minister Bob Chiarelli says the system operator can now order wind producers not to generate power, and will pay them _ just as it pays Bruce nuclear _ not to produce electricity when it's not needed.
He says they are paid at a reduced rate that will save the province $200 million a year just on the wind turbines.
Ontario has signed generous contracts with wind producers for about 5,800 megawatts of electricity, only about 1,500 of which is currently connected to the grid.
The Progressive Conservatives say paying wind power producers with 20-year contracts not to generate electricity shows the Liberals' green energy act "is a failed social experiment."
Critics point out wind power is unreliable and can't be counted on in peak demand periods like gas-fired generation or nuclear plants.
Meanwhile, Chiarelli says Ontario is making a net profit of up to $6 billion a year on importing and exporting electricity, a big turnaround from 2003 when the province paid $500 million to import power because it didn't have enough to meet demand.
It's not unusual for neighbouring jurisdictions to sell each other electricity, but the province used to frequently have to pay Quebec or New York state to take the excess power off its hands.
Read more Business News
|QHR Technologies Inc||1.28||+0.09|
|Anavex Life Sciences||0.38||0.00|
|Copper Mountain Mining||1.54||-0.01|
The bank manager just phoned and asked for full and immediate repayment of the line of credit because the latest, (and they were late!), financial statements showed continuing losses and falling sales...
Recently I recorded a video series for my keynote speaking business. It was called from Faith to Future. In one of the episodes, I talked about the concept of using hard work to get out of a difficul...
Opportunities to Be Aware of This Year As the 2013 year is coming to an end, individuals should be mindful of year-end tax planning opportunities that will need to be implemented prior to December 31s...
- Most actively traded companies on the TSX, TSX Venture Exchange markets
- CIBC logs $836M profit in Q4, cautiously optimistic about next year
- Auto insurers urge holiday season refresher as young drivers return home
- Canadian Press NewsAlert: Canada creates 21,600 jobs, Nov. jobless rate 6.9%
- New CEO will help prepare Royal Bank for future, as divisions feel the pressure
- TD Bank Q4 profit rises to $1.62 billion, adjusted earnings up but miss estimate
- TSX drops 105 points amid mixed earnings from RBC, TD and CIBC, Fed concerns
- Loonie advances, traders look to Canadian, U.S. jobs data being released Friday
- Detroit bankruptcy judge follows up major bench ruling with written opinion, urges compromise
- Barrick Gold critic says Munk's departure will be a positive but concerns remain
- Canada's agriculture minister says time running short on reaching new WTO deal
- Stocks head for a fifth straight loss on Wall Street; Retailers drop on weak results