Hydropower Accounts for 60% of Canada's Electricity

Researched by Industrial Info Resources (Sugar Land, Texas)--Hydroelectricity is the predominant energy source in Canada, with more than 74,000 megawatts (MW) from 500 operating power stations that produce 355 terawatts-hours per year, or about 60% the country's electrical needs. Canada generates most of its electricity from hydro resources because water is abundant; the technology is efficient; the life span of a hydro station is as much as 100 years; the construction cost is competitive; and the electricity produced is from a clean renewable source.

According to estimates in a report by Natural Resources Canada Limited (Calgary, Alberta), undeveloped hydropower potential is estimated to be 163,000 megawatts (MW), which is more than twice the amount currently generated.

Industrial Info is tracking 44 grassroot hydroelectric projects valued at more than $10 billion in Atlantic Canada, Ontario and Quebec. The top market regions are Nova Scotia, with two projects valued at $7.6 billion; Ontario, with 36 projects valued at $1.16 billion; and Quebec, with three projects valued at $1.13 billion.

In Western Canada, Industrial Info is tracking 50 grassroot hydroelectric projects valued at more than $16.6 billion. The top market regions include British Columbia, with 48 projects worth $12.7 billion; Manitoba with one project valued at $3.6 billion; and Saskatchewan, with one project valued at $300 million.

Hydropower plants can take six to 10 years to build, once permitting approvals are received, and they cost more than conventional natural gas-fired, simple- or combined-cycle power plants. However, hydropower projects can deliver hundreds of renewable megawatts with no associated fuel costs.

Transmission line projects are being developed to move hydroelectric generation and other renewable energy into the U.S. from Canada, which will assist the U.S. in meeting its renewable energy goals, as well as meeting restrictions on carbon dioxide emissions now and into the future. The 500-kilovolt (kV) Bipole III transmission line, currently under construction in Manitoba by Manitoba Hydro (Winnipeg, Manitoba), is scheduled to be completed in 2017.

In recent years, 9,000 MW of coal-fired electrical generation has been retired in Ontario, contributing to reductions in CO2 emissions. Wind generation output has reached 2,300 MW, setting a new record for the province.

In British Columbia, one of the largest hydroelectric projects in North America was approved recently: the $8 billion, 1,100-MW Site C project by BC Hydro and Power Authority (Vancouver, British Columbia). The project is causing concern among wind project developers, who have placed some of their projects on hold, siting an inability to sell their output to BC Hydro.

Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, three offices in North America and 10 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle™, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities.