Clean Electricity Regulations – 7. Glossary

Clean Electricity Regulations Policy Toolkit

7. GLOSSARY

Base loadThe minimum amount of electricity needed to be supplied to the electrical grid at any given time.

Base load power plants Provide a dependable and continuous supply of electricity throughout the year. Base load power plants generally operate constantly, only being turned off for maintenance. Demand for electricity fluctuates vastly throughout a day, week, or season, so baseload power plants are supplemented by peaker plants which meet the fluctuating needs.

“Behind the fence”As defined in the Regulatory Impact Analysis Statement accompanying the Draft CERs, a unit whose electricity generation capacity is suited for the industrial facility at which it is located, thus resulting in the majority of its electricity being consumed, most of the time, by the industrial facility.

Carbon capture and storage (CCS)A process that prevents greenhouse gasses from the combustion of fossil fuels from entering the atmosphere and permanently stores them underground or in the ocean.

Carbon capture utilization and storage (CCUS)The same as CCS, but with the option for the captured carbon to be “used” in industrial processes rather than stored. The fossil fuel industry uses CCUS to enhance the yield of their oil and gas wells.

Carbon dioxide equivalent is a measure used to compare the emissions from various greenhouse gases on the basis of their global-warming potential, by converting amounts of other gases to the equivalent amount of carbon dioxide with the same global warming potential.

CogenerationA system that produces electricity and useful thermal energy at the same time.

Commissioning date As defined in the draft CERs, the day on which the oldest boiler or combustion engine in the unit starts operating.

Electrical GridThe system that provides electricity from its generation to the customers that use it. The grid consists of countless complex interconnections across three main functions:  electricity generation, transmission and distribution.

Emissions intensity –  The amount of GHG emissions per unit of electricity produced. This is different from the total GHG emissions. For example, at an emissions intensity of 30 t/GWh, generating 55,800 GWh of electricity (the annual electricity generation of Alberta) would produce 1,674,000 tonnes of GHG emissions. In the CERs, emissions intensity is measured in tonnes of CO2 emitted per Gigawatt hour of electricity produced (t/GWh).

Emissions limit The maximum amount of GHGs that may be emitted by a unit. (This is not dependent on the amount of electricity produced.) In the CERs, emissions limits are measured in tonnes of CO2.

End of prescribed life (EoPL)As defined in the Draft CERs, this is either 20 years after a unit’s commissioning date or December 31, 2034, whichever is later. After the end of prescribed life, gas plants can continue to operate but must meet the emissions intensity standard of 30 tCO2e/GWh.

Fossil fuelAs defined in the Draft CERs, a fuel other than biomass. It includes hydrogen gas.

Greenhouse gasses (GHG)A group of gasses that contribute to global warming and climate change by trapping infrared radiation in the atmosphere. The 1997 Kyoto Protocol covers seven greenhouse gasses:  carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), hydrofluorocarbons (HFCs), perfluorocarbons (PFCs), sulphur hexafluoride (SF6), and nitrogen trifluoride (NF3).

Load followingAs defined in the Public Update, a unit ramps up and down to fill in when renewables are not producing or when demand is very high. This almost inevitably results in a facility operating at a higher emissions intensity than if the same unit were operated on a continuous steady-state basis.

OffsetsTradeable units representing verified GHG reductions achieved by a project either by reducing GHG emissions or increasing GHG removals from the atmosphere. Generally one offset credit is equivalent to one tonne of carbon dioxide reduced or removed from the atmosphere.

Peak load / Peak demandThe highest amount of electricity usage demanded from the grid.  Common peaking periods include hot summer days when air conditioners are used, or cold winter days when home heating is a necessity. On a daily basis, peak demand occurs in the afternoon when businesses are busy, and evenings when home appliances are in use.

Peak load power plants / Peaker plants Electricity-generating plants that generally run only when there is a high demand, known as peak demand, for electricity. Peaker plants are used in combination with base load power plants, which supply a dependable and consistent amount of electricity.

Unit – A plant that produces electricity. As defined in the draft CERs, an assembly comprised of any equipment that is physically connected and that operates together to generate electricity, and

(a) must include at least a boiler or combustion engine, and

(b) may include duct burners and other combustion devices, heat recovery systems, steam turbines, generators, emission control devices and carbon capture and storage systems.

Useful thermal energyAs defined in the draft CERs, energy in the form of steam or hot water that is destined for a use, other than the generation of electricity, that would have required the consumption of energy in the form of fuel or electricity had that steam or hot water not been used. For example, useful thermal energy can be used to heat buildings.

Toolkit Contents

1. EXECUTIVE SUMMARY

1.1  How to use this Toolkit

2. BACKGROUND INFORMATION

2.1 The Electrical Grid

2.2 Abating Greenhouse Gas (GHG) Emissions – CCS and CCUS

3. MOST CONCERNING PROPOSED CHANGES

3.1.  Extending the time that existing unabated gas plants can continue to operate, but not proposing what this longer “End of Prescribed Life” period would be.

3.1.1. The Draft CERs approach to “EoPL” was good; Changing it is bad

3.1.2. Some of the provinces’ complaints about the Draft CERs

3.1.3. Corporations’ and System Operators’ Complaints about the Draft CERs

3.1.4. ECCC is considering extending the EoPL, but they are not telling us by how much

3.1.5. Refuting that the 20-year EoPL doesn’t allow gas plants to make enough profit

3.1.6. The “Retirement Cliff” argument fails when provinces are not willing to build renewables

3.1.7. Great Lakes offshore wind could provide enormous amounts of electricity for Ontario

3.1.8. Alberta has the greatest combined wind and solar potential in Canada

3.1.9. For the world to stay below 1.5oC of warming, Canada and other advanced countries must achieve net-zero electricity by 2035

3.1.10. A preponderance of studies find that net zero electricity in Canada is possible by 2035

3.1.11. According to General Electric, 95% abatement from gas plants using CCS is already possible

3.1.12. Alberta’s “Retirement Cliff” argument is unreasonable given the Alberta government’s prohibition on most wind power

3.1.13. Alberta is not acting in good faith and, therefore, their arguments lack merit

3.1.14. The Courts will almost certainly decide against Alberta

3.1.15.  Suggestions for your submissions about the 20-year EoPL

3.2. Extending the amount of time into the future, and thus the number, of new unabated gas plants that will benefit from less stringent EoPL provisions is bad.

3.2.1.  Again, since GE Vernova says that 95% abatement from gas plants using CCS is already possible, there is no excuse in 2024, let alone 2025 or any time thereafter, for anyone to commission a gas plant that is either not abated using CCS or that cannot be made abated by using CCS by 2035.

3.2.2  Suggestions for your submissions on extending the 1 January 2025 deadline

3.3. Replacing the 30 tCO2e/GWh emissions intensity standard with a “To Be Determined” unit-specific annual emissions limit

3.3.1. The Draft CERs – an emissions intensity limit

3.3.2 Reaction to the Draft CERs

3.3.3. The Public Update – a unit-specific emissions limit

3.3.4. Analysis

3.3.5.  Suggestions for your submissions on the emissions intensity standard

4. OTHER PROPOSED CHANGES

4.1. Offsets: Allowing companies to purchase offset credits to meet a portion of their emissions requirements

4.1.1  Suggestions for your submissions on offsets

4.2. Cogeneration: treat emissions from existing cogeneration units differently than emissions from other units, without explaining what that treatment would be

4.2.1  Suggestions for your submissions on cogeneration units

4.3. Pooling:  Allowing companies to combine the emissions limits of individual existing electricity-generating units into a pooled emissions limit.

4.3.1  Suggestions for your submissions on the pooling of units

4.4. Peaker Plants – Replacing the 450 hr limit on peaker plants with a “To Be Determined” unit-specific annual emissions limit.

4.4.1.  Suggestions for your submissions on a unit-specific emissions limit on peaker plants

4.5. Emergencies – Replacing the requirement for the federal Minister’s retroactive approval with a requirement to notify the Minister

4.5.1.  Suggestions for your submissions on the emergencies exemption

4.6. Minimum Size – Applying the CERs to units whose capacities collectively total 25 MW or more

4.6.1.  Suggestions for your submissions on units of 25 MW or less

5. ITEMS THAT ARE NOT COVERED BY THE REGULATIONS

5.1. Sector-Wide Emissions Cap

5.2. Interim targets

6. SUMMARY OF RECOMMENDATIONS – “I’m pressed for time, so please suggest what I might say in my submission!”

6.1.  Suggestions for your submissions about the 20-year EoPL

6.2  Suggestions for your submissions on extending the 1 January 2025 deadline

6.3.  Suggestions for your submissions on the emissions intensity standard

6.4  Suggestions for your submissions on offsets

6.5  Suggestions for your submissions on cogeneration units

6.6  Suggestions for your submissions on the pooling of units

6.7  Suggestions for your submissions on a unit-specific emissions limit on peaker plants

6.8  Suggestions for your submissions on the emergencies exemption

7. GLOSSARY

8. ACRONYMS

Citations