Nova Scotia Electricity System Review

On October 26, 2014, I sent this response to Nova Scotia's Summary Report regarding Emerging Technology and Market Trend Studies

I began by emphasizing that addressing demand, supply and price in a system that is close to 100 percent dependent on a privately owned, and profit-driven grid system is a great challenge... despite the moderating role played by the Nova Scotia Utility and Review Board.

Price, we have learned, becomes a heightened problem when a province is committed to replacing the use of fossil fuels with cleaner, renewable energy. Cleaner, renewable energy comes at a higher price and for-profit organizations like NS Power are reluctant to pay more to generate energy that they want to sell at a profit. And so Nova Scotia has committed to underwriting much of this increased cost... putting the taxpayer and the consumer on the hook.

It needs to be noted that within the chambers of our municipal council there has not been an opportunity to discuss the Nova Scotia Electricity System Review. Therefore, the comments contained in this response are attributable to me solely. There is no intention for the opinions and views below to be seen as a position reached through discussion within the chambers of the Municipality of the County of Kings. My response to the review was provided as outlined below under five key headings. I trust you will find my responses of interest. I would welcome any feedback you may have.

• Clean, “Electric-System-Free”, Renewable Heat in Rural Communities
• Producing Electricity from Municipal Solid Waste
• Reduction of Reliance on the Nova Scotia Power Grid System
• Expanded Role for Nova Scotia Municipalities in Home Energy Conversation and Efficiency
  Examples:
  Halifax's Solar City
  Richmond County's Property Assessed Clean Energy (PACE) Project
• Collaborative Energy Systems

Clean, “Electric-System-Free”, Renewable Heat in Rural Communities

Many Nova Scotian homes (estimated at approximately 100,000) burn hardwood as their major source of heat each winter.

This renewable fuel makes little or no demand on the electrical system during winter months when demand for electricity triples.

This year, many families have experienced difficulty accessing this fuel. At least two factors could be contributing to this problem.

1. Using wood for the generation of electricity at the Port Hawkesbury biomass facility.
2. Exporting chipped hard wood for use in the manufacture of wood beams. This appears to be a new market with China for Canadian hardwood that is being discussed in rural communities.

It is notable that these uses require the transportation of wood over long distances. This use competes with local wood burning as a thermal heat source. This use requires relatively little transportation and reducing the need to burn fossil fuels for transportation.

Once, or if, the availability of hardwood for home space heating becomes scarce homeowners will be forced to switch to other forms of heat that may be much less efficient and could also create a greater need for electrical generation.

Nova Scotia needs to be more mindful of the choices being made.

Creating electricity from biomass that is then used by homes in the form of electrical heat is much less efficient that using biomass for local space heatiing through the use of wood burning stoves.

Producing Electricity from Municipal Solid Waste

Environmental stewardship has been greatly enhanced by forward looking policies in Nova Scotia and the creation of waste authorities in the 90s.

In recent years the Valley Authority has explored the diversion of municipal solid waste from the Chester landfill site. Hauling of waste there involves a cost of approximately $2 Million in trucking and tipping fees each year. Advances in gasification technology points to opportunities for not only using MSW as feed stock but also sewage where environmental standards can be met (applied in this way “sewage” can be viewed as an a renewable fuel).

Further inquiry into such sources of “biomass” needs to be considered as part of the Nova Scotia Electricity System. Efficiency, sound environmental stewardship, energy security and cost-effective management by municipalities of their solid waste could all be positively impacted by the potential use of these feed stocks as “biomass”.

Reduction of Reliance on the Nova Scotia Power Grid System

Earlier this year, the Electricity Reform Act opened up the renewable energy market to allow independent energy providers to produce electricity and retail it directly to customers. This cornerstone for diversification needs to be built upon. The anticipation of regulations that will allow Nova Scotians to purchase renewable energy directly from producers, other than Nova Scotia Power, by late 2015 is a welcome change.

Will the Department of Energy actively promote and offer support to local communities and not-for-profit organizations to engage in this opportunity?

Can incentives be provided, local EcoDistricts be created?

Will government buildings lead the way as customers for local renewable energy production?

The answer to these questions will be critical to the successful diversification of: who retails renewable energy; who benefits from renewable energy; and at what price.

Expanded Role for Nova Scotia Municipalities in Home Energy Conversation and Efficiency

As a municipal councillor I believe municipalities can play a more significant role in helping home-owners conserve and use energy more efficiently. This in turn reduces demand on the electricity system.

We already have at least two municipalities with recent initiatives that could be adapted more broadly.

Halifax's Solar City

This pilot project was launched in 2012. The program helps home owners assess the suitability of solar hot water heating for their location and home. It follows through with financing through the municipality and boosts “typical lifetime savings of over $20,000” and “average yearly greenhouse gas reductions of 1,700 kg.”

An electric system review needs to include an assessment of the impact of a broad-based application of this use of solar energy across municipalities.

Do we know what the reduction in energy use would be if every home in Nova Scotia that could use solar energy for hot water installed such a system?

Richmond County's Property Assessed Clean Energy (PACE) Project

In September 2014, Richmond County became the first rural municipality in Canada to pass a bylaw that allows home-owners to finance energy efficiency upgrades to homes through an annual charge on their tax bill.

Efficiency Nova Scotia has worked closely with Richmond County to ensure that the program meets appropriate standards and can be implemented efficiently. If this program was adapted by other/all municipalities it could have a substantial impact, especially for homeowners who live in low-income circumstances. Eligible upgrades for access to low-cost municipal financing can include insulation (ceilings, exterior walls, basements, crawl spaces); draft proofing (weather stripping and caulking); installation of Energy Star windows, doors, skylights; etc. Efficiency Nova Scotia incentives can be automatically deducted to reduce the financed amount.

Collaborative Energy Systems

Collaboration and community-based initiatives are being embraced in several cities and towns across North America to build energy systems that gain efficiency through conservation of energy and/or more direct use of energy where it is produced.

Is there an opportunity for more active collaboration between municipalities, their planners and engineers, the Department of Energy, the Department of Municipal Relations and local communities, organizations and businesses?

Could such collaboration be aligned with new funding incentives (provincial grants and/or loans) as the current COMFIT program nears its end?

Could partnerships between municipalities, the province and local communities help achieve energy security and self-sufficiency for Nova Scotians?

What is the potential of collaboration within local communities with regard to efficiency and energy security for Nova Scotians?

The review does not adequately address the impacts possible if community collaboration was broadly supported and promoted by governments.