Manitoba Hydro says new power generation, time-of-use rates and more are on the table
Manitoba could need new energy generation as early as 2029 and must look for ways to encourage people to reduce demand, the head of the province's Crown energy corporation said Tuesday.
Manitoba Hydro is planning to reach out to independent energy producers to supply power from wind and other sources in the coming years.
"I'm confident and optimistic it'll be Manitoba-based businesses and companies, it'll be Manitoba Indigenous nations and companies (that) will bid in," chief executive Jay Grewal said in an interview after a speech to the Manitoba Chambers of Commerce.
Demand for electricity is increasing and the exact timing of the need for new generation will depend on several issues, including how many new large industrial customers set up shop and how quickly people switch to electric vehicles, Grewal said.
Manitoba Hydro is still dealing with the financial fallout of its last big construction push.
It saw its debt triple in 15 years as it built two megaprojects -- the Bipole III transmission line and the Keeyask generating station. The projects ran a combined $3.7 billion over budget.
Not only would building another generating station be costly, but it could also take decades, Grewal said, so looking to independent energy producers makes sense.
Premier Wab Kinew said his NDP government will support the quest for more energy.
"We're going to ensure that Manitoba Hydro continues to expand capacity, to be able to power job creation (and) put people to work in every region of this province," Kinew said.
The corporation is also examining ways to slow the growth in demand, especially at peak times. One way is to charge different rates at different times of the day, to encourage people to do laundry and other activities outside of peak times.
Before winning last October's provincial election, the New Democrats called the idea "surge pricing" and promised to ban it. But the NDP government has not appeared closed to the idea in recent discussions, Grewal said.
"I would say, in conversations that I've had, there hasn't been a pushback to say 'don't pursue time-of-use rates,"' Grewal said. While time-of-use rates are set firm, surge pricing refers to charging market prices that can swing wildly according to supply and demand at any given time.
As for electricity rates in the future, Grewal said they will continue to be among the lowest in the country, but increases may have to rise faster than the one per cent hikes recently set by the provincial regulator.
"I can't (yet) say what the rate path will be, but what I will say is it's going to be more than one per cent because of the billions of dollars of capital that has to be invested in the aging assets but also to support this energy transition."
That may prove to be a challenge for the NDP government, which promised during the election campaign to freeze rates for one year.
This report by The Canadian Press was first published Jan. 30, 2024.
CTVNews.ca Top Stories
![](https://www.ctvnews.ca/polopoly_fs/1.6977053.1721909931!/httpImage/image.jpg_gen/derivatives/landscape_800/image.jpg)
'Sick to my stomach': People grieve Jasper National Park by sharing favourite photos
As an out-of-control wildfire roared through Alberta’s famed Jasper National Park and its townsite late Wednesday, many are fearing the worst as officials warned of 'significant loss' within the area.
DEVELOPING Jasper wildfire burns buildings, while poor air quality forces some fire crews out
Prime Minister Justin Trudeau announced on social media that Ottawa has approved Alberta's request for federal assistance after a fast-moving wildfire hit Jasper National Park and its townsite late Wednesday.
Canadian women's soccer team staffer given suspended prison sentence over drone incident, prosecutor says
A Canada women's soccer team staffer has been given an eight-month suspended prison sentence after flying a drone to film the closed-door training session of the New Zealand team on Monday, the prosecutor's office said in a statement.
Sale of envoy's NYC condo 'expected to exceed' $9M: government
The current official residence for Canada's representative in New York City is 'being readied for sale,' according to a spokesperson from Global Affairs Canada.
'I'm so broke': Two Toronto women speak out after losing $76,000 in romance scam
Two women from the Toronto area are speaking out after losing thousands of dollars to a romance scam, including a single mother who lost $62,000.
Barrie-Innisfil MPP 'blacked-out' and crashed car into window of child care centre
Staff at a Barrie child care centre say they are frustrated by what they call a local MPP's inadequate response after a car crashed through a window in one of the toddler rooms.
Loblaw, George Weston to settle class action over bread price-fixing for $500 million
Loblaw Cos. Ltd. and its parent company George Weston Ltd. say they have agreed to pay $500-million to settle a class-action lawsuit regarding their involvement in an alleged bread price-fixing scheme.
EXCLUSIVE One address, 76 foreign currency dealers: Inside Canada's money service business 'clusters'
An IJF and CTV News investigation has found dozens of cases across Canada where multiple money services businesses (MSBs) are incorporated at the same address, sometimes without the knowledge or consent of the location's actual occupant. One money laundering expert calls it an 'abuse of the system.'
An unwelcome attendee has joined the Paris Olympic Games: COVID-19
After a handful of Australian water polo players tested positive for COVID-19 this week, questions have emerged around how the spread of the disease will be mitigated at the Summer Olympic Games in Paris.