On Low Days, Cost of Wind is Nasty

Despite the devastating environmental and economic impact of “renewable energy” in Ontario, Alberta’s former NDP government introduced so-called “green energy” to the province. And now, electricity rates are reaching a historical high. Ontario residents can rightly say: “I told you so.”

by Parker Gallant Energy Perspectives

Well, August 18, 2023, came and went and left us ratepayers and taxpayers with a nasty bill as those IWT (industrial wind turbines) were generating lots of unneeded power.

IESO’s (industrial electricity system operator) forecast, on a windy but cool summer day, suggested IWT generation would be 62,795 MWh which was 53.4% of their rated capacity and far exceeded their annual average generation of 29/30%!

As it turned out IESO accepted 55,848 MWh suggesting they curtailed 7,147 MWh presumably meant to, (either or both) prevent grid problems or a low demand for exporting unneeded power.  If we calculate the total costs for the IWT accepted and curtailed generation at the rate of $135/MWh for grid accepted power and $120/MWh for curtailed power the total costs to Ontario’s ratepayers is over $8 million for the day coming in at $8,397,120 ($7,539,480 for grid accepted generation plus $857.640 for what was curtailed).

Unfortunately, because the day was a low demand day, despite it being the middle of the summer meant we exported a fair amount of it.  Peak demand was a wimpy 16,159 MW which occurred at Hour 18 (hour ending at 6 PM) so much of IWT generation wasn’t needed meaning net exports (exports minus imports) over the full day were 28,694 MWh or about what 1 million average households would consume!  Those 28,694 MWh we exported was 51.4% of what IESO actually accepted from the IWT strongly suggesting what they generated sure wasn’t needed but due to their “first-to-the-grid” rights embedded in the contracts meant IESO was obliged to accept them. 

Looking at the average market price or HOEP (hourly Ontario export price) for the day shows it averaged a miserly $19/MWh or 2 cents/kWh making it obvious it cost us ratepayers and taxpayers a bundle for unneeded IWT accepted and curtailed generation. 

The average market price of $19/MWh generated only $603,763 from those net exports!  If one deducts that from the total costs of the IWT generated power, we are left with the costs of IWT generated power used by households and businesses in Ontario!  That comes to $7,793,357 ($8,397,120 minus $603,763).

If we than conclude the 28,694 MWh of out net exports were all IWT generated it would mean that only 24,071 MWh of IWT generation was consumed in Ontario. That calculation can allow us to determine how much they cost us Ontarians per MW and per kW! 

The cost of IWT generation to us on August 18th was therefore $323.77/MWh or 32.3 cents/KWh  ($7,793,357 divided by 24,071 MWh = $323.77).

The foregoing is a frequent occurrence during the Spring and Fall seasons when demand is low but is generally the time when the wind is blowing and those IWT suck up our money for their intermittent and unreliable power.

Just another clear picture of why those IWT continue to drive up the costs of electricity while chopping up birds and bats, harming aquifers, and emitting infrasound which is harmful to a percentage of the population!

Print Friendly, PDF & Email
Website | + posts

Wind Concerns is a collaboration of citizens of the Lakeland Alberta region against proposed wind turbine projects.

Leave a Comment

Your email address will not be published. Required fields are marked *