This presentation discusses power generation in Canada as well as around the world. The presentation focuses on all aspects of policies including method of power generation, taxation, power costs, etc.

1. Utility Sector - Power Generation -
Canada – December 31, 2016
BY: PAUL YOUNG, CPA, CGA
DATE: DECEMBER 31, 2016

2. Overview
 This presentation will discuss energy trends in Canada. The analysis will include oil rigs,
commodity prices, investment, wages, employment and government policies

3. Agenda
 GDP
 Canada Power Generation
 Renewable Trends
 Quotes

4.  The National Energy Board says a renewable power project building spree between 2005 and 2015 took its share of
overall generation in Canada from two per cent to 11 per cent. NEB chief economist Shelley Milutinovic says the
buildup means Canada is the fourth-largest generator in the world of environmentally friendly power from sources
including wind, solar, biomass and hydroelectric plants. Renewable generation capacity grew by 26 per cent from
about 75,000 megawatts in 2005 to nearly 95,000 megawatts in 2015, according to the federal regulator's report,
Canada's Renewable Power Landscape. Source - http://www.cp24.com/news/renewable-power-now-represents-
11-per-cent-of-power-generation-in-canada-report-1.3114844
 Key facts on Power Generation
 In the hydro-rich areas of Yukon, British Columbia, Manitoba, Quebec and Newfoundland & Labrador, more than 90 per cent
of electricity comes from renewables. Between 2005-15, Ontario’s share of renewable power production rose from 23 to
34 per cent while Nova Scotia’s doubled from 12 to 24 per cent.
 In 2005, non-hydro renewables comprised just two per cent of total Canadian power capacity. By 2015 that number had
grown to 11 per cent.
 Canada’s annual GHG emissions from the power sector declined 40 per cent from 2010-14.
 Ontario leads Canada in wind power capacity of more than 4,000 megawatts and solar capacity of more than 2,000
megawatts.
 NWT now uses liquefied natural gas (LNG) to fuel one of its power plants. LNG reduces GHG emissions by about 25 per cent
compared to diesel.
 Alberta’s generation from renewables increased 66 per cent from 2005 to 2015.
 By 2030, Saskatchewan plans to achieve 50 per cent of its power capacity from renewable sources.
 Source - http://news.gc.ca/web/article-en.do?nid=1137649

5. Quotes/Consumers
 With hydro prices on the rise, the Ontario government has been dogged with complaints, particularly
from rural residents. Amid the turmoil, the National Post checked in with five ratepayers across Ontario
to see how much they pay — and what they’re doing to pay less
http://news.nationalpost.com/news/canada/portrait-of-five-ontario-hydro-bills-how-a-rural-couple-
pays-500-a-month-and-toronto-brothers-pay-100
 In the government’s public accounts for 2015-16, the Independent Electricity System Operator
reported a “previously unrecognized actuarial loss and past service costs” of just over $80 million.
http://www.torontosun.com/2016/10/25/electricity-system-operator-reports-80-million-loss-after-
accounting-change
 Ontario will import enough electricity from Quebec to power a city of more than 200,000 people under
a seven-year agreement signed Friday, but the provinces won't say how much Ontario is paying Hydro
Quebec. Premiers Kathleen Wynne and Philippe Couillard signed the deal, which will see Ontario
import up to two terawatt hours of electricity from Quebec annually, allowing the province to
reduce its use of natural gas to generate power. http://www.cbc.ca/news/canada/toronto/quebec-
ontario-hydro-1.3815203
 http://www.cbc.ca/news/indigenous/first-nations-pursue-canada-clean-energy-economy-1.3829405

6. GDP – Utility Sector
Source – Stats Canada
• GDP would include projects like Wind and Solar. Wind and Solar are very costly
• Utilities contribute only 2% to GDP
• Hydro rates are big piece of household budgets
• Natural Gas is required to backup Wind and Solar Power

7. Canada Power Generation
http://www.iea.org/statistics/monthlystatistics/monthlyelectricitystatistics/
Commentary:
• Wind/Solar is driven by
FIT in Ontario
• Hydro is main source of
power in Canada.
Provinces like British
Colombia, Quebec,
Manitoba and
Newfoundland are the
leaders
• Solar/Wind received
subsidies

8. Hydro Rates / Comparison
Source - http://business.financialpost.com/news/energy/who-pays-the-most-and-the-least-for-power-in-ontario-hydro-
one-toronto-hydro-among-priciest?__lsa=4b7f-f413

9.  Ontario Premier Kathleen Wynne is calling high electricity prices her "mistake.
 Both McGuinty, Wynne and Gerald Butts are responsible for the mishandling of hydro.
 Here are examples
 Smart Meters -
https://www.thestar.com/business/2014/12/09/smart_meters_have_few_benefits_for_big_cos
ts_ag_report.html
 There has been little scale back in terms of either subsidies or contracts -
https://www.thestar.com/news/queenspark/2015/12/02/ontario-consumers-likely-paying-
billions-extra-for-hydro-one-decisions-auditor-general.html
 Transmission System - http://www.torontosun.com/2015/12/02/lysyk-doubles-down-on-hydro-
one-criticism
 Grid needed repair, but the Liberals never look at the best way to fixed the grid.
 Clean Energy Jobs - http://www.torontosun.com/2013/06/26/green-energy-job-claims-are-a-
farce
 Carbon Tax will be applied to hydro bills
 Source - http://www.cbc.ca/news/canada/toronto/wynn-hydro-her-mistake-1.3859003
Ontario Clean Tech Policies

10. Solar and Wind and Hydro / United States example
Source - http://www.nextbigfuture.com/2016/12/will-solar-and-wind-surpass-hydro-
by.html?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+blogspot%2Fadvancednano+%28nextbigfuture%29

11. Solar and Wind and Hydro
Source - http://www.nextbigfuture.com/2016/12/will-solar-and-wind-surpass-hydro-
by.html?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+blogspot%2Fadvancednano+%28nextbigfuture%29

12. Solar and Wind and Hydro
Source - http://www.nextbigfuture.com/2016/12/will-solar-and-wind-surpass-hydro-
by.html?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+blogspot%2Fadvancednano+%28nextbigfuture%29

13. Solar and Wind and Hydro
Source - http://www.nextbigfuture.com/2016/12/will-solar-and-wind-surpass-hydro-
by.html?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+blogspot%2Fadvancednano+%28nextbigfuture%29

14.  Source - http://www.cbc.ca/news/canada/toronto/ontario-hydro-bill-electricity-prices-hst-rebate-
1.3907155
Ontario / Power Rates
• Bills will include carbon tax, but it will be buried in the cost/kilowatt hour
• Ontario continues to sell power at a loss - http://www.macleans.ca/news/ontario-has-given-away-millions-in-
electricity-say-pcs/
• Ontario power capacity - http://www.ieso.ca/Pages/Power-Data/Supply.aspx
• Power Costs - https://ottawawindconcerns.com/2016/12/06/wind-power-22-of-the-costs-for-less-than-6-of-the-
power/
How?

15. Q&A
 Contact: Paul_Young_CGA@Hotmail.com