February 2013 3,800 - Tonnes of greenhouse gas emissions displaced annually by addition of a third turbine to Aishihik hydro facility in Yukon Electricity in Canada’s North Electricity producers in Canada’s North face many of the same challenges as those “south of 60”, foremost is the need for the renewal and expansion of infrastructure. While being isolated from the continental grid presents unique challenges, electricity is central to many opportunities in the North, particularly the support of resource development. to discuss common priorities and the current state of the electricity sector in Canada’s North. NWT Days is an annual series of events connecting Government of the Northwest Territories (GNWT) officials with federal political partners, senior officials and important stakeholders to discuss common priorities and collaboration opportunities. CEA Appoints Toronto Hydro Corporation President and CEO Anthony Haines as Chair of the Association CEA is pleased to announce the appointment of Anthony Haines, President and CEO of Toronto Hydro Corporation, as Chair of the Association. Yukon Energy and The Northwest Territories Power Corporation are active CEA members. Northwest Territories (NWT) Energy Charrette and 2013 NWT Days in Ottawa In November 2012, CEA President and CEO Jim Burpee participated in the NWT Energy Charrette in Yellowknife. The event brings together representatives from municipalities, Aboriginal governments, community groups, industry and the Territorial government to discuss issues related to energy supply and management in the NWT. Mr. Burpee’s remarks focused on the linkages between current energy supply issues in the NWT and those in the rest of Canada. Click here to read the 2012 Energy Charette Report. As part of 2013 NWT Days in Ottawa, on January 30, CEA’s executive team met with Premier Robert R. McLeod, the entire NWT Cabinet, and a delegation of MLAs, Aboriginal and business leaders Electricity Matters . CEA President and CEO Jim Burpee chats with Algonquin Pikwakanagan Councillor Ron Bernard at the NWT Days North Star Gala, January 30 in Ottawa. CEA Recommendations Included in House Committee Report on Resource Development in Northern Canada CEA recently appeared at the House of Commons Natural Resources Committee to address electricity sector issues related to the Committee’s study of resource development in Northern Canada. Among the recommendations included in the Committee’s final report was a call for the federal government to continue to reduce inefficiency, duplication and delays in the current regulatory process for energy projects in the context of improving the prospects for Northern resource development. Mr. Haines’ career in the Canadian energy industry spans 25 years, including 15 years in senior roles in the natural gas industry. Mr. Haines has been a member of the CEA board since 2006 and is actively involved with the Ontario Coalition of Large Distributors. He is a past board member of the Electricity Distributors Association. Mr. Haines serves as the Sector Chair for the United Way of Greater Toronto’s public service sector fundraising, and is actively involved with charities throughout Toronto. CEA would like to thank the outgoing Chair, Chris Huskilson, President and CEO of Emera Inc., for his valuable contribution to the Association over the past two years. Click here to read the Committee’s report. © 2013 Canadian Electricity Association. All rights reserved www.electricity.ca 2 The Electricity Generation Mix in Canada’s North The vast majority of electricity generation in Yukon, and a significant portion in the Northwest Territories, comes from hydroelectricity. However, Nunavut relies almost exclusively on diesel generation. Heavy reliance on diesel in the North has significant consequences related to cost, reliability and the environment. Diesel use poses a significant energy challenge for the North, particularly for remote communities. To power major resource development projects in the North, new and expanded electricity infrastructure will be required. As Canada’s North is isolated from the North American high voltage grid, connecting to it would require the construction of major transmission lines. The barriers to infrastructure renewal are magnified for projects in the North due to cost and social licence as a result of the many Aboriginal communities whose acceptance and participation in projects are absolutely essential. The three Territorial governments have expressed a commitment to increasing the use of renewable resources like wind, solar and tidal energy. While these generation sources are an important part of the energy mix, they are not well suited to support major resource development projects – a shared economic development goal of the Territorial governments that will require larger, more dependable capacity. Yukon Energy Adds More Hydro Capacity to Displace Diesel Yukon Energy Adds Third Turbine to Aishihik Hydro Facility Yukon Energy’s Aishihik hydroelectric generating facility, in operation since 1975, was built to serve the growing electricity demands of Whitehorse and a large lead-zinc mine at Faro in central Yukon. Until recently the demands were met by two 15 MW hydro turbines. required during peak times of the day. The project is expected to save Yukon Energy $1.2 million or more per year in diesel costs and reduce greenhouse gas emissions by an estimated 3,800 tonnes annually. Aishihik is the only hydroelectric facility in Yukon that can store energy in the summer when demand is low to be used in the winter when demand is high. It can also store energy during wet years that can be used in dry years when the levels of the lake water are lower. For more information, visit the Yukon Energy website. An interesting fact about this facility is that it is located 110 metres underground. It is the first underground power plant north of the th 60 parallel in the western world. In 2011, Yukon Energy commissioned the new Aishihik third turbine, a 7 MW hydro generator that will displace diesel that would otherwise be Electricity Matters Electricity Matters is a monthly electronic publication by: Canadian Electricity Association 350 Sparks Street, Suite 1100 Ottawa, Ontario K1R 7S8 www.electricity.ca Yukon Energy video/YouTube: Aishihik Third Turbine © 2013 Canadian Electricity Association. 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