Category Archives: Cost Benefit

Ford Proud of Cancelled Green Energy Contracts

ripped contract

The Canadian Press|By Shawn Jeffords|November 21, 2019

Doug Ford ‘proud’ of decision to tear up hundreds of green energy contracts

TORONTO – Premier Doug Ford said Thursday he is “proud” of his decision to tear up hundreds of renewable energy deals, a move that his government acknowledges could cost taxpayers more than $230 million.

Ford dismissed criticism that his Progressive Conservatives are wasting public money, telling a news conference that the cancellation of 750 contracts signed by the previous Liberal government will save cash.

READ MORE: Ford government’s cancellation of green energy deals costs Ontario $231 million

“I’m so proud of that,” Ford said of his decision. “I’m proud that we actually saved the taxpayers $790 million when we cancelled those terrible, terrible, terrible wind turbines that really for the last 15 years have destroyed our energy file.”

Later Thursday, Ford went further in defending the cancelled contracts, saying “if we had the chance to get rid of all the wind mills we would.”

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Has Pension Plan bought into a huge Lawsuit?

Golden nest egg concept for retirement savings

CBC News|November 20, 2019

CPP might be ‘buying into a lawsuit’ through Pattern Energy acquisition, says lawyer

The Canada Pension Plan Investment Board (CPPIB) might be “buying into a lawsuit” by acquiring U.S.-based renewable energy company Pattern Energy, according to a lawyer representing Chatham-Kent residents whose lawsuit against the Ontario government — as well as three wind turbine companies, including Pattern Energy — was dismissed earlier this year.

Pattern Energy announced in early November that it had entered into a $6.1 billion agreement with the CPPIB that would see the federal pension plan’s investment arm acquire the renewable energy company.

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broken golden egg

 

Canada Pension Plan~Follow Your Money

money burning turbine

November 13, 2019|Chief Investment Officer

Top Canada Pension Plan Embraces Energy, Both Fossil Fuel and Not

CPPIB is plying the oil and gas sector for investment opportunities, as well as going into renewables.
Canada’s largest pension fund is not letting go of its investments in oil and gas, as well as renewables, anytime soon. The Canada Pension Plan Investment Board (CPPIB) CEO, Mark Machin, said in an interview with BNN Bloomberg in Toronto last week that the sector, including pipelines and other resources, are appropriate for the fund’s portfolio.

“We will look at traditional oil and gas, whether it’s pipelines or other resources,” said Manchin, referring to renewables. “As long as we can understand all the risks behind the investment, that the regulation may change, that preference may change, that geography may change. If we can understand those and can still be compensated sufficiently, then we’ll continue to make that investment.”

The program is still committed to renewables. The fund, which has a value of about $300 billion, acquired North American wind farm operator Pattern Energy last week for $6.1 billion. Shares cost $26.75 per share for a total of $2.6 billion. The remainder covered the company’s debts. Pattern has built 28 renewable energy projects in the US, Canada, and Japan. The investment is one of the largest M&A deals in US renewables.

In relative terms, though, energy, whether green or not, is not a huge chunk of CPPIB’s portfolio. The fund is invested in more than 20 energy companies ranging from pipeline companies to renewables. As of March 30, the end of its most recent fiscal year, just 1.6% of the fund’s portfolio was invested in the traditional energy sector, and 1% in a category called “power and renewables.”

Manchin’s remarks follow a setback for the Canadian energy industry. Last week, legacy energy firm Encana announced plans to move its corporate headquarters to Denver, and drop references to Canada in its branding. Pipeline shortages, Canadian anti-oil sentiment, and the availability of capital in the US are reasons for the relocation.

The Pattern Energy deal demonstrates the delicate balance Machin is striking between reaping the rewards of oil and gas revenue and acknowledging the “multi-faceted” and “very complicated risk” of climate change, including public outrage over fossil fuel investments.

“It’s important as an investor that we understand all of those risks and how fast the energy transition is going to happen,” he said. “When we look at every investment, we understand all the risks that climate change could present…We are able to understand the risks in a more granular way now because of some of the tools and the disclosure practices that have really improved.”

Manchin is referring in part to the Financial Stability Board’s Task Force on climate-related disclosures that have pushed companies to provide more information, data, and metrics for funds like CPPIB to make investment decisions. (The CPPIB is one of two global pension fund managers on the board.) In April, the fund launched a framework for teams to evaluate climate change-related risks and opportunities. About 4% of the fund is invested in traditional and renewable energy.

The Canadian fund is stopping short of joining the throngs of investors lining up for the Aramco initial public offering. Saudi Arabia is taking its giant oil company public amid great fanfare and international investor interest….

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Enercon cuts jobs as wind industry collapses

enercon turbineThousands to lose jobs as German wind crisis hits Enercon

“A combination of ill-designed first onshore wind auctions in 2017, a permitting malaise, bureaucratic hurdles, and anti-wind protests have pushed German onshore wind additions to their lowest figure since 2000. Enercon during the first ten months of this year has installed turbines with a combined capacity of around 210MW in the country, compared to 2GW still erected in 2017.”

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Niagara Wind’s 3rd Year

Niagara Wind had some visitors on a very cold wet fall day.   It has been 3 years since the project was activated.  The project is currently operating out of compliance with its renewable energy approval.  Left them some signs outside their office.   Thanks to all those who honked in support.

 

Wind Pines Ordered Closed

white pine site activity.jpg
White Pines Wind ordered closed by Ontario

New regulation under the Environmental Protection Act to close the White Pines Wind Project

ERO number
013-3835
Notice type
Regulation
Act
Environmental Protection Act, R.S.O. 1990
Posted by
Ministry of the Environment, Conservation and Parks
Notice stage
Decision
Decision posted
Comment period
October 17, 2018 – December 1, 2018 (45 days) Closed
Last updated

This consultation was open from:
October 17, 2018
to December 1, 2018

Decision summary

We decided to make a new regulation to require that the closure of the White Pines Wind Facility is carried out in a way that is protective of human health and the environment.

Link to Decision

Pickering Wind Turbine to be removed

What goes up will come down

opg pickering turbine
Ontario Power Generation Pickering wind turbine to be dismantled in 2019

End of life for the Pickering wind turbine. Ironically its demise serves as a metaphor for  illusions peddled that wind turbines are a viable means for on demand electricity generation.  Waiting for the winds to be just right (not too fast or slow, or no wind)  turbines fueled by the wind produce out of sync with demand.  It is also plagued by generation that is variable and intermittent in nature.  Introducing wind powered generation creates  increased need for fossil fuels (usually gas) for back- up generation capacity that can be there when needed.  Turbines have an eye watering, otitic throbbing 20 years or less operational life cycle.

Credit: Ontario Power Generation|News Update May 30, 2019

Later this year, Pickering residents will see a change as they stroll along the Waterfront Trail at Alex Robertson Park. Ontario Power Generation’s wind turbine has reached its end of life and will soon be dismantled.

While the turbine has produced clean, renewable energy for many years, it’s important that we make smart investment decisions that will return good value for Ontario. And because the cost to replace the turbine’s older parts is too high, and leaving the turbine in place but not operating would present a safety concern, we’ve made the decision to move forward with dismantling it.

Did you know?

The turbine has operated for almost 20 years
At full power, it could produce enough energy to power about 330 homes
While located beside the Pickering Nuclear Generating Station, it’s actually operated and maintained by our Niagara Operations team

Once work begins it will take about two weeks to dismantle the wind turbine. We’ll publish the date here once it’s been determined.

opg pickering nuclear
OPG Pickering nuclear power plant