Ontario fires up natural gas plants

Move aims to alleviate power shortage

Ontario is putting its foot on the gas — natural gas — to make more electricity as part of a new hybrid energy plan that critics warn will fuel climate change.

Energy Minister Todd Smith quickly adopted a Friday report from the province’s Independent Electricity System Operator that Ontario increase the use of natural gas to produce power and to go big into energy storage to avert a looming power crunch that could lead to rotating blackouts.

The agency advised Premier Doug Ford’s government to contract for 4,000 megawatts of new supply — enough to serve a city the size of Toronto — with up to 1,500 of that from natural gas-fired generating stations and 2,500 in battery storage by 2027.

That storage capacity would be among the largest in North America providing it can be built on time amid high global demand for such equipment, the IESO cautioned, citing “significant reliability risks” from “potential project delays.”

Smith said a “limited” increase in gas generation is necessary to avoid “emergency actions” such as blackouts and conservation appeals. Demand for electricity is expected to rise an average of 1.7 per cent annually for the next 20 years, driven by economic growth, electric vehicles and electrified rail transit systems for commuters.

“Our government is building the electricity generation and storage needed to support our success in driving electrification and attracting new jobs,” Smith said.

But environmental groups and opposition parties said the government, first elected in 2018, should have seen higher demand coming. They took Ford to task for cancelling 758 green energy projects and axing conservation programs and electric vehicle subsidies after taking office.

“Now they’re trying to fill in the electricity gap they created,” said Green Leader Mike Schreiner.

“People are going to pay for it with higher bills and more pollution.”

The Ontario Clean Air Alliance said the timing of the report is suspicious.

“When a government releases an announcement on the Friday before a long weekend, you know they are looking to bury bad news,” said director Angela Bischoff.

There is still time to bring on more solar and wind power by mid-century if the government acts fast, said organization Environmental Defence.

“Electrification in all sectors is essential in order for Ontario to decarbonize its economy, but if we don’t have a clean electricity supply then we aren’t actually decreasing greenhouse gas emissions,” the group said in a statement.

The IESO report said Ontario’s electricity sector represents three per cent of the province’s greenhouse gas emissions, and natural gas is a crucial backstop for the stability of the system.

The agency will issue a report later this year on the future of gas as Ontario works to decarbonize its power grid.