Wind energy is the ideal complement to B.C.'s hydro-dependent electricity system
BC Hydro's massive hydroelectric resources have historically provided the province with clean electricity generation and have been used strategically to maximize revenue generation through export to other jurisdictions.
After decades of exporting surplus electricity from a hydroelectric system bigger than we needed for our own use, B.C. now consumes far more power than these assets produce. And demand is about to soar: our new provincial government states its top priorities are to encourage the development of large energy-intensive industrial projects across B.C.'s north, and to maximize the use of clean and renewable electricity in powering them.
In this changed set of circumstances, how can we most effectively use B.C.'s valuable hydroelectric resources? The answer is to use our heritage dams and reservoirs to integrate more wind energy into our electricity supply while helping to build our economy.
Onshore and offshore, B.C.'s wind energy resources greatly exceed the province's current electricity production, and they have never been more affordable. BC Hydro states that wind energy resources now constitute the bulk of B.C.'s lowest cost renewable energy opportunities. Wind energy can also bring new economic opportunities to small rural and remote communities throughout the province.
Every wind energy project creates significant opportunities for the construction industry, and each wind farm requires a crew of skilled full-time workers living in the local community to service and maintain the wind turbines.
Wind energy is the ideal complement to B.C.'s hydro-dependent electricity system. Unlike hydroelectricity, B.C.'s wind energy resources are synchronized with our energy demand: peak production occurs during the cold, dark peak-load months of December and January, while B.C. winds blow least powerfully in the spring-summer months when electricity demand is lower.
High wind energy production during the winter can greatly reduce the drawdown of hydro reservoirs during these months, enabling the utility to serve the needs of many more British Columbians with the province's hydro reservoirs. Alternately, integrating wind energy can help increase our summertime hydroelectricity exports to California by allowing reservoirs to be safely drawn down to a lower level in autumn than before.
BC Hydro will also generate considerable revenue from wind integration itself, charging B.C. wind energy producers an appropriate fee for the service they provide in smoothing out the variability in wind energy production within the province.
Integrating B.C. wind and hydroelectric resources will benefit our grid. By contrast, the existing approach to our hydro reservoirs is unsustainable.
For the last 25 years, BC Hydro's power trading operation Powerex imported inexpensive but dirty surplus power from inflexible coal power plants in the U.S. Northwest and Alberta to supply nighttime electricity demand in B.C. By turning down its own generation overnight, BC Hydro conserved water in its reservoirs, giving it that much more generation capacity to sell into the U.S. market during daytime peak load periods.
However, this buy-coal-low, sell-hydro-high path to profits is nearing its end.
Recent low natural gas prices have rendered many coal-fired generation plants in the U.S. too expensive to run, and just last month, the Obama administration – aware of the rising incidence and ballooning cost of climate impacts – announced its intention to accelerate the retirement of the United States' dirty and inflexible coal plants.
Coupled with other changes, we can expect to see a significant decline in wasteful nighttime power surpluses and expensive daytime peak loads in the U.S.
This will allow B.C. to modernize its hydro infrastructure to integrate homemade green and low-cost power for domestic use, generate new revenue streams for BC Hydro and government and create new economic opportunities for local communities. Best of all, integrating wind and hydro enables us to modernize our electricity system and better suit our needs. •