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Newfoundland & Labrador Hydro plan to meet electricity need may include new hydro

Newfoundland & Labrador Hydro plan to meet electricity need may include new hydro

Newfoundland & Labrador Hydro in Canada has filed its 2024 Resource Adequacy Plan with the Public Utilities Board Newfoundland and Labrador, in a continuation of its planning process to meet customer needs over the next 10 years.

“It’s a time of transition for our electricity system, and it’s our responsibility to guide our province forward,” the utility said in an announcement. The plan provides an in-depth analysis of how much electricity customers will need over the next 10 years and the best resource options to satisfy those growing needs.

While the 2024 Resource Adequacy Plan focuses on meeting forecasted growth for the island and maintaining reliability for island customers, significant work is ongoing to address the incredible energy opportunities throughout Labrador, Newfoundland & Labrador Hydro said.

Total energy use on the island was almost 8 TWh in 2023. By 2034, it’s expected to increase by 16% for the island alone. Based on the minimum investment required, the utility needs at least 385 MW of additional capacity and 1.4 TWh of new energy by 2034 to address load growth and reliability needs. It’s imperative that Newfoundland & Labrador Hydro continue to analyze the “Expected Case,” which requires 525 MW of additional capacity and 1.8 TWh of additional energy instead, according to a release.

Newfoundland & Labrador Hydro said it is advancing the three frontrunners for supply options in order to begin to meeting demand and ensure reliability for customers. One of these calls for construction of a new 154 MW hydroelectric unit (Unit 8) in Bay d’Espoir.

Public policy is rapidly shifting the energy sector, which has driven industrial and commercial growth, electrification of vehicles, and a switch from oil to electric home heating. Since the original filing in 2018, the utility’s mandate has expanded to reflect sustainability considerations. The utility is now balancing cost, reliability, and the environment in its decisions.

“We are doing things differently and considering the lessons learned from Muskrat Falls. We are listening to our customers, and working hard to not overbuild which adds unnecessary cost. We looked at the minimum investment required, which reflects the slowest decarbonization trend and, therefore, the least investment and least impact on cost. Additional investment may be required, but we are carefully analyzing our needs to ensure we make the right investments at the right time,” Newfoundland & Labrador Hydro said.