RE: [cdn-nucl-l] Bruce A at CBC Ottawa

Regarding the "sweetheart deal" at 6.3 cents a kilowatt hour for all of the energy Bruce A produces, I believe that the price paid to wind power producers is considerably higher -- despite the notorious unreliability of their supply.

For example, Hydro Quebec will be paying 7,8 ¢/kWh for electricity from the next batch of ~1000 MWe of wind power. Even that seems fairly risky - for the suppliers - since the operator of existing wind power facilities in the Gaspesie, AXOR, has said that their operation could only make money if they were paid 10 to 11 ¢/kWh (they're actually losing money).

The new contracts assume a capacity factor of 36.5%.

Moreover, for the new contracts, penalties apply to both power and energy performance criteria.

Some of the new wind farm sites - all of which are in the Gaspesie - are located right next to the infamous Le Nordais wind farm (comprising Cap Chat & Matane) operated by AXOR -- with an annual CF of around 16%......

Of course the producers also get money from various types of subsidies, so the situation for them is not as grave as it might appear -- although they don't like to talk about that additional income much.....

D É C I S I O N -- QUÉBEC RÉGIE DE L’ÉNERGIE -- 22 juillet 2005

D-2005-129, R-3569-2005, 2005 07 22 4

Le 27 avril 2005, Hydro-Québec dans ses activités de distribution (le Distributeur) demande à la Régie de l’énergie (la Régie) d’approuver les contrats d’approvisionnement en électricité découlant de l’appel d’offres A/O 2003-02 (l’Appel d’offres) relatif à un bloc d’énergie éolienne. Au total, huit contrats font l’objet de la demande du Distributeur. Six contrats sont intervenus avec le Groupe Cartier Énergie Éolienne (Groupe Cartier) pour une puissance contractuelle de 739,5 MW 1 et deux avec le Groupe Northland Power inc. (Groupe Northland) pour une puissance contractuelle de 250,5 MW 2. La Régie doit déterminer, suivant les termes de l’article 74.2 de la Loi sur la Régie de l’énergie (la Loi), si les contrats satisfont aux exigences du Règlement d’application 3. La Régie doit également se prononcer sur les demandes de confidentialité des fournisseurs, du manufacturier et du Distributeur.

Demande du Distributeur concernant l’approbation des contrats d’approvisionnement en électricité découlant de l’appel d’offres A/O 2003-02 relatif à un bloc d’énergie éolienne

3.3 PRIX DE LA COMBINAISON DES CONTRATS -- SÉLECTION DE LA COMBINAISON RETENUE

Le Distributeur indique que le coût unitaire pour les huit contrats est de 7,8 ¢/kWh (annuité croissante 2007). Ce prix inclut 1,3 ¢/KWh pour les coûts de transport et les pertes électriques.

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My home internet has been acting up nothing is posting... hopefully this gets through!

Cheers,

Andrew

4.25 billion to restart 2 nuclear reactors

Last updated Oct 17 2005 01:00 PM EDT
CBC News

The McGuinty government has agreed to restart two more nuclear reactors in the province. The Liberals announced a $4.25-billion deal Monday morning to repair and refurbish four units at the Bruce A nuclear generating station near Kincardine.

But the government's not paying for the deal. Bruce Power will pay for it by charging more to the consumer.

The four nuclear reactors at Bruce A were shut down in the late nineties for safety reasons. Two have already been returned to service. Now, because of the looming electricity shortage, the government's agreed to get the other two up and running.

Bruce Power has agreed to spend the $4.25 billion to refurbish units one and two, refurbish unit three when its life is up, and replace the steam generators on unit four.

In return, it will be able to charge 6.3 cents a kilowatt hour for all of the energy Bruce A produces.

NDP Leader Howard Hampton says that's a sweetheart deal.

"Nulcear power was pegged at about 4.5 cents a kilowatt hour. This company's going to get over 6 cents a kilowatt hour. So they're going to get literally a 33-per-cent profit," Hampton says.

But the new Energy minister, Donna Cansfield, says Hampton has got his numbers wrong. She says he's not including the cost of Hydro's stranded debt when he quotes the lower price.

Cansfield says the consumer or the taxpayer won't be on the hook for cost-overruns, if they occur.

"That will be born entirely by the Bruce people, and not by the people of Ontario," she says.

The Energy minister had promised there'd be a full debate on whether there'd be more nuclear power in Ontario.

But Hampton says Donna Cansfield has pre-empted part of that debate with her announcement on Monday.