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Energy

What doubling the grid really means

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From the Frontier Centre for Public Policy

By Brian Zinchuk

” imagine if someone said in the next 25 years and 11 months, we must twin every single freeway, highway, grid road, street and alleyway, across the entire country, at the same time. And along the way, we have to replace up to 89 per cent of the existing infrastructure, as well, because it is no longer considered adequate “

Recently my daughter called me while on her way back from a Costco run in Regina, heading home to Weyburn.

She noted that it appears they are twinning the highway between Regina and Weyburn. Indeed, they are, I explained. And several years later, they’ll probably get it all the way to Weyburn. Maybe by the time I retire, if I live that long, they’ll get as far as Estevan.

Indeed, those timelines are likely pretty close to reality, if the twinning of Highway 16, from Saskatoon to Lloydminster, was any indication. I used to drive from Saskatoon to North Battleford to get the newspaper I was working for printed, with road construction for much of that. And it took several more years to complete the Battlefords to Lloydminster portion. I was fortunate enough to be present at the ceremony for that. It was significant enough that Premier Lorne Calvert came out.

Twinning a major highway is a substantial undertaking. Historically, Saskatchewan could usually only afford to work on three separate areas at a time, typically doing 20 kilometres per year in each stretch. That was all the provincial finances could handle.

By adding an additional two lanes, you are effectively doubling the capacity of that major piece of infrastructure. It’s not easy, not cheap, and not fast.

Now imagine if someone said in the next 25 years and 11 months, we must twin every single freeway, highway, grid road, street and alleyway, across the entire country, at the same time. And along the way, we have to replace up to 89 per cent of the existing infrastructure, as well, because it is no longer considered adequate.

You’d probably think they were living in a dreamland, or quite possibly stark raving mad.

And yet this is precisely what the federal government is proposing, nay, demanding, of Canadians from St. Johns to Victoria to Tuktoyaktuk.

In order to save the world from anthropogenic (manmade climate change) and attain a “Net Zero by 2050” economy, we must increase the size of the electrical grid by a factor of 2.5x. And for Saskatchewan and Alberta, who on any given day get up to 88 and 94 per cent of their power, respectively, from fossil fuels, they must also replace that existing gas and coal power generation with non-emitting sources, at the same time as they’re building out the truly massive expansion.

The first reference I saw of the federal Liberal government’s intentions of this was in the 2023 budget, which noted expanding the electrical grid by a factor of 2.2 to 3.4 times. By August, when they released the proposed Clean Electricity Regulations, the government seemed to settle on a factor of 2.5 times for the high demand scenario.

So in the highway twinning example, that would be adding three lanes, not two, to every two lane highway, grid road, street and alleyway. For an existing four lane highway, you would need to add six lanes. For a six lane freeway like Ontario’s 401, you’d need to add an additional nine lanes, finding the right of way space, concrete, rebar, gravel, and asphalt for all of this. Again, all at the same time, in 25 years and 11 months.

There are several thrusts that the federal government is pushing. First, by 2035, they want to totally eliminate gasoline and diesel from new light vehicle sales. There’s currently only eight retail hydrogen fueling stations listed by the federal government and Shell in the entire country. There could be more, but they’re not listed. Realistically this means battery-powered electric vehicles (EVs). But nearly all of those EVs will require charging at home each night (and especially during winter, pre-conditioning those batteries, keeping them warm).

So every residence in the country will require 30 amp chargers for cars, and 80 amp chargers for pickups.

But the government is also now moving away from fossil fuels for home, heating, too. This was indicative of Prime Minister Justin Trudeau’s pause on the carbon tax for home heating oil (primarily used in Atlantic Canada, although I grew up in a house with that system). To do so, the feds are offering “free” installations of heat pumps (which are wholly inadequate at -30 temperatures, let alone the -44 seen in Alberta in mid-January). And those could be up to another 50 amps, per heat pump.

And that’s just residential, never mind commercial or industrial.

The Clean Electricity Regulations are meant to force fossil fuel power generation to go away. And since wind frequently drops to nothing, and the sun goes down every day, the only real alternative is massive expansion of nuclear power across Canada. We’re talking small modular reactors by the dozen in Alberta, Saskatchewan, and to a lesser extent, Nova Scotia and New Brunswick.

On Jan. 30, SaskPower announced a formalized agreement with General Electric-Hitachi for small modular reactors. But when I asked how many they plan on building, the CEO wouldn’t say. But he did speak of increasing the provincial grid from 5,400 megawatt now to 13,000 to 15,000 megawatts.

Hydro Quebec just released their plans to double their grid. Yet, perhaps miraculously, they’re not saying how many, if any, new dams will need to be built.

This doubling of the grid (actually 2.5x, but that’s not easy to say), means we’re going to need not only additional generation, but transmission lines, distribution lines, back alley pedestals, and wiring to every home, business and factory in the country. Where the materials come from? The contractors and workers? Will Not In My Back Yard (NIMBY) be universally trampled on by eminent domain orders, for the good of the planet? Or will it be a continuation of Build Absolutely Nothing Anywhere Near Anything Syndrome (BANANAS)?

A very real example is the Trans Mountain Pipeline. The original was built in something like 16 months, from scratching dirt to oil flowing. The expansion is taking a hell of a lot longer. Work started in 2018, and it is still not done. Any change in the plan had to go back to the Canadian Energy Regulator. Some First Nations fought it every step of the way.

Now do this for every single piece of existing power infrastructure. Wrap your head around that for a minute.

This supposed energy transition, from fossil fuels to electric everything, does not work if you cannot build out the electrical infrastructure, everywhere, and essentially all at in the next 25 years and 11 months. Either the timelines need to be stretched to a generational scale, or more realistically, the whole concept needs to be entirely rethought.

As Saskatchewan Premier Scott Moe has said more than once, “We will not attempt the impossible  when it comes to power production.”

 

Brian Zinchuk is editor and owner of Pipeline Online, and occasional contributor to the Frontier Centre for Public Policy. He can be reached at [email protected].

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Energy

The IEA’s Peak Oil Fever Dream Looks To Be In Full Collapse

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From the Daily Caller News Foundation

By David Blackmon

U.S. Energy Secretary Chris Wright warned International Energy Agency (IEA) head Fatih Birol  in July that he was considering cancelling America’s membership in and funding of its activities due to its increasingly political nature.

Specifically, Wright pointed to the agency’s modeling methods used to compile its various reports and projections, which the Secretary and many others believe have trended more into the realm of advocacy than fact-based analysis in recent years.

That trend has long been clear and is a direct result of an intentional shift in the IEA’s mission that evolved in the months during and following the COVID pandemic. In 2022, the agency’s board of governors reinforced this changed mission away from the analysis of real energy-related data and policies to one of producing reports to support and “guide countries as they build net-zero emission energy systems to comply with internationally agreed climate goals” consistent with the Paris Climate Agreement of 2016.

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One step Birol and his team took to incorporate its new role as cheerleader for an energy transition that isn’t actually happening was to eliminate the “current policies” modeling scenario which had long formed the base case for its periodic projections. That sterile analysis of the facts on the ground was  replaced it with a more aspirational set of assumptions based on the announced policy intentions of governments around the world. Using this new method based more on hope and dreams than facts on the ground unsurprisingly led the IEA to begin famously predicting a peak in global oil demand by 2029, something no one else sees coming.

Those projections have helped promote the belief among policymakers and investors that a high percentage of current oil company reserves would wind up becoming stranded assets, thus artificially – and many would contend falsely – deflating the value of their company stocks. This unfounded belief has also helped discourage banks from allocating capital to funding exploration for additional oil reserves that the world will almost certainly require in the decades to come.

Secretary Wright, in his role as leading energy policymaker for an administration more focused on dealing with the realities of America’s energy security needs than the fever dreams of the far-left climate alarm lobby, determined that investing millions of taxpayer dollars in IEA’s advocacy efforts each year was a poor use of his department’s budget. So, in an interview with Bloomberg in July, Wright said, “We will do one of two things: we will reform the way the IEA operates, or we will withdraw,” adding that his “strong preference is to reform it.”

Lo and behold, less than two months later, Javier Blas says in a September 10 Bloomberg op/ed headlined “The Myth of Peak Fossil Fuel Demand is Crumbling,” that the IEA will reincorporate its “current policies” scenario in its upcoming annual report. Blas notes that, “the annual report being prepared by the International Energy Agency… shows the alternative — decades more of robust fossil-fuel use, with oil and gas demand growing over the next 25 years — isn’t just possible but probable.”

On his X account, Blas posted a chart showing that, instead of projecting a “peak” of crude oil demand prior to 2030, IEA’s “current policies” scenario will be more in line with recent projections by both OPEC and ExxonMobil showing crude demand continuing to rise through the year 2050 and beyond.

Whether that is a concession to Secretary Wright’s concerns or to simple reality on the ground is not clear. Regardless, it is without question a clear about-face which hopefully signals a return by the IEA to its original mission to serve as a reliable analyst and producer of fact-based information about the global energy situation.

The global community has no shortage of well-funded advocates for the aspirational goals of the climate alarmist community. If this pending return to reality by the IEA in its upcoming annual report signals an end to its efforts to be included among that crowded field, that will be a win for everyone, regardless of the motivations behind it.

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Energy

Trump Admin Torpedoing Biden’s Oil And Gas Crackdown

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From the Daily Caller News Foundation

By Audrey Streb

The Trump administration is rolling back President Joe Biden’s restrictions on oil and gas, planning 21 lease sales in 2025 — a sharp contrast to Biden’s first year, which saw none.

The Department of the Interior (DOI) and the Bureau of Land Management (BLM) have already held 11 lease sales under Trump generating over $110 million for Americans, and plan to host 10 more in 2025, the agency told the Daily Caller News Foundation. While the Biden administration imposed a sweeping offshore drilling ban and greenlit a record-low offshore oil and gas leasing schedule, the Trump administration is working to reopen development on federal lands and waters.

“President Donald Trump has revived American energy. While the Biden administration left our energy resources to waste at the cost of taxpayers, Americans can feel relief knowing that they now have an administration laser focused on unleashing our domestic energy sources, lowering costs, and securing a more affordable and reliable energy future,” Interior Secretary Doug Burgum told the DCNF. “The number of new oil and gas lease sales simply speak for themselves.”

Bureau of Land Management (BLM) has reported 3,608 new oil and gas permits in Trump’s second term thus far, compared to 2,528 permits during the Biden administration, according to the DOI. Trump and the DOI have approved 43% more federal drilling permits than his predecessors had at the same point in their presidencies, according to the agency.

The DOI has also opened more than 450,000 acres of federal land for potential energy development, and the DOI and BLM are set to approve more drilling permits than any other fiscal year in the past 15 years, the agency said.

On his first day back in the Oval Office, Trump signed an executive order to “unleash American energy” and declared a national energy emergency. The One Big Beautiful Bill Act (OBBBA) further directed the DOI to open more domestic energy exploration opportunities, ordering the agency to “immediately resume onshore quarterly lease sales in specified states.”

Trump has emphasized bolstering conventional resources, which stands in contrast to Biden’s stifling of the oil and gas industry, as he froze liquified natural gas (LNG) exports, blocked the major Keystone XL pipeline and halted BLM lease approvals on his first day as president. Biden instead championed a green energy agenda, pushing for major wind and solar projects through billions in subsidiesloans and grants.

Notably, the National Oceanic and Atmospheric Administration (NOAA) previously confirmed to the DCNF that the Biden administration failed to adequately review the environmental impacts of certain offshore wind projects before approving them. The Trump administration has cracked down on offshore wind, halting many major projects and reviewing several more, with Burgum arguing that the energy resource the Biden administration favored is “not reliable enough” at an event on Sept. 10.

Additionally, gasoline prices have been dropping nationally in recent months, with costs hitting four-year lows headed into summer and Labor Day weekend, according to GasBuddy and the American Automobile Association. The average retail price for gasoline is projected to keep dropping due to falling oil prices, according to data from the Energy Information Administration.

“[Oil] prices are not set by current supplies. They’re set by future expectations,” Diana Furchtgott-Roth, director of the Heritage Foundation’s Center for Energy, Climate, and Environment, told the DCNF previously. “President Donald Trump is sending signals that the oil industry here is going to be very vibrant. He’s shrinking permitting time for fossil fuel projects, so expectations for fossil fuel supply in the United States are great.”

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