Energy Planning and Approval Strategies
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Transcript of Energy Planning and Approval Strategies
Energy Planning and Approval Strategies
Sustainable Energy Policy 1
Overview
Sustainable Energy Policy 2
outline
Strategic – BC Hydro Long Term Planning
Project level Environmental Assessment
▪ Federal▪ Provincial
Integration
Sustainable Energy Policy 3
BC Hydro – supply gap
Sustainable Energy Policy 4
BC Hydro - planning
Integrated electricity planning - the long-term planning of electricity generation, transmission, and demand-side resources to reliably meet forecast requirements.
2000s - long-term acquisition plan (LTAP) every 4 yrs Needs to be reviewed and approved by BCUC
2010 Clean Energy Act – IRP replaces LTAP Same problem for analysis and decision-
making but different consultation, review, and
approval
Sustainable Energy Policy 5
Utility planning
Planning context, objectivesGross (pre-DSM) demand forecastsResources (supply and DSM) – ID and
measurementDevelop resource portfoliosEvaluate and select resource
portfoliosDevelop action planConsultGet approval Sustainable Energy Policy 6
2008 LTAP developments
Application submitted to BCUC June 2008 Evidentiary update December 08
Formal hearings in BCUCBCUC decision rejecting plan July
2009 Greenpolicyprof summary
Sustainable Energy Policy 7
BCUC decision – rejected plan for 4 reasons
1. did not adequately addressed self‐sufficiency
2. DSM plan not adequately supported by analysis
3. Rejected plan to reduce its reliance on Burrard Thermal
4. Rejected special target for Clean Power Call
Sustainable Energy Policy 8
BCUC decision –bottom line Mostly, critical of the lack of evidence
or analysis underlying BC Hydro’s plan not a challenge to government policy,
but as a criticism of BC Hydro for not providing sufficient evidence that it was complying with government policy
Exception: refusal to endorse BC Hydro’s desire to reduce reliance on Burrard Thermal
Sustainable Energy Policy 9
BCUC decision - controversy Critics of private power projects, including the
BC New Democratic Party, declared victory, claiming the decision is a rejection of the BC government’s plan to rely on private power for future electricity supply.
Climate activists blasted BCUC “a serious blow to the clean energy transition and climate leadership in British Columbia.”
First Nations denounced the Commission for creating roadblocks to their ability to use green power projects to promote economic development.
Sustainable Energy Policy 10
BC government response
April 2009 Throne Speech : BC government clarified that the BCUC “will receive specific direction”
October 2009: Special direction #2: ordered BCUC to rely on no more than 900 MW capacity and 0 GW/yr firm energy
May 2010: Clean Energy Act passed. New IRP process Removed from BCUC scrutiny
Sustainable Energy Policy 11
Sustainable Energy Policy 12
Evaluation
What are the consequences of removing BC Hydro planning from BCUC review?
Sustainable Energy Policy 13
BC Hydro IRP presentation
http://www.bchydro.com/etc/medialib/internet/documents/planning_regulatory/iep_ltap/2011q2/bc_hydro_irp_-_webinar.Par.0001.File.BC-Hydro-IRP-Webinar-Presentation-April-2011.pdf
Sustainable Energy Policy 14
Change in Self-sufficiency Timing delayed by rate review Old: by 2016 enough B.C.-based energy to
meet customer demand even in critical water conditions; and by 2020, an extra 3,000 gigawatt hour per year of insurance energy
New: by 2016, enough B.C.-based energy to meet customer demand in an average water year
The Province will also propose changes to the Clean Energy Act to eliminate the insurance requirement Sustainable Energy Policy 15
Project level – Environmental Assessment
Sustainable Energy Policy 16
Approved plan calls for new independent power projects
What happens now?
Sustainable Energy Policy 17
Ashlu Creek
Sustainable Energy Policy 18
Ashlu Creek
49.9 MW – Ledcor – Innergex
Extensive review by Squamish-Lillooet Regional District (SLRD)
SLRD rejected BC government passed
Bill 30 to “bring certainty” to approval process – 2006
Project approved – commercial operation began Dec 09
Sustainable Energy Policy 19
Should local or regional governments have the right to veto power projects?
Sustainable Energy Policy 20
Environmental Assessment
Environmental Assessment as a policy tool – a “procedural policy instrument” Requires analysis and procedure but does not
specify outcome
Sustainable Energy Policy 21
Stages in EA
1. Proposal from proponent2. Screening – is EA required and if so
what kind?3. Scoping – what issues?4. Assessment of the proposal5. Report preparation, submission,
and review6. Decision: recommendation by EA
body, authoritative decision by political body
7. Monitoring and compliance follow-up
Sustainable Energy Policy 22
Environmental Assessment - Federal
Canadian Environmental Assessment Act Came into force in 1995 Since 1972, governed by cabinet
guidelines applies to anything that requires federal
approval or permit Procedures managed by
Canadian Environmental Assessment Agency, within Environment Canada
Usually, if federal EA no provincial EA Sustainable Energy Policy 23
CEAA Process
1. Determine if an environmental assessment is required
2. Identify responsible authority (RA)3. screening – initial assessment
If potentially significant adverse effects or significant public concern, requires mediation or panel review
4. Conduct the analysis and prepare the environmental assessment report
5. RA Reviews environmental assessment report6. Make environmental assessment decision7. Implement mitigation and follow-up program, as
appropriate Sustainable Energy Policy 24
CEAA approval standards
(a) where, taking into account the implementation of any mitigation measures that the responsible authority considers appropriate,
(i) the project is not likely to cause significant adverse environmental effects, or
(ii) the project is likely to cause significant adverse environmental effects that can be justified in the circumstances
the responsible authority may exercise any power or perform any duty or function that would permit the project to be carried out in whole or in part
Sustainable Energy Policy 25
CEAA results
99% of projects approved
Sustainable Energy Policy 26
Case study: Prosperity Mine
Gold and copper mine west of Williams Lake BC
Proposal would use Fish Lake as tailings pond
Federal EA process Proponent insisted
a BC EA be done
Sustainable Energy Policy 27
Case study: Prosperity Mine
PROVINCE
BC gov approves despite serious problems identified by gov agencies in quality of analysis and magnitude of impacts
FEDERAL
Panel assessment far more rigorous on data, analysis
Concluded significant impacts to environment and First Nations concerns
Cabinet rejects mine proposal
Sustainable Energy Policy 28
Update: Taseko has resubmitted a revised proposal that is now under review
EA issues in CanadaLibrary of Parliament Paper, Conference Board
Vertical Coordination (across jurisdictions)
Horizontal Coordination (across agencies) Includes issues of “substitution”
ScopingCumulative effectsFollowupStrategic assessmentsMissing? Sustainable Energy Policy 29
Cumulative effects?
“effects that are additive or interactive and result from the recurrence of actions over time. Cumulative impacts are incremental and result when undertakings build on or add to the impacts of previous impacts.”
Consideration required in federal rules, permitted but not required in BC
What is the best way to deal with cumulative effects in project level assessments?
Sustainable Energy Policy 30
Enviro Checklist for EA
Sustainability as core objective
Strengthen public participation
Meaningfully engage Aboriginal governments as decision makers
Legal framework for strategic and regional EA
Require comprehensive, regional cumulative effects assessments
Coordinate multiple jurisdictions with highest standards
Transparency Fair, predictable,
accessible Rights over
efficiency
Sustainable Energy Policy 31
Cabinet Directive on Streamlining Regulation (2007): Underlying principles: protect and advance the public interest; promote a fair and competitive market
economy; make decisions based on evidence; create accessible, understandable, and
responsive regulation; advance the efficiency and effectiveness
of regulation; and require timelines, policy coherence, and
minimal duplication.
Sustainable Energy Policy 32
Institutions for renewable energy expansion – criteria (Jaccard et al)
Sustainable Energy Policy 33
Alternatives, consequencesJaccard et alIRP + PROJECT SPECIFIC ASSESSMENT/APPROVALS risks larger than
necessary local environmental effects
Risks less satisfied public
STRATEGIC ASSESSMENT Risks delay in
renewable development (and climate change mitigation)
Sustainable Energy Policy 34
An important tradeoff that needs to be considered in process design