GUEST OPINION – KATE MCDONALD

Journal Pioneer, November 11, 2008, updated September 7, 2009

Prince Edward Island is recognized for its significant wind energy potential and for being a leader in renewable energy upon establishing and meeting a renewable portfolio standard for electricity of 15 per cent.

The provincial government has now mapped out the direction for wind energy’s future in their recently released 10-Point Plan. Government’s goal is to see the generation of 500 megawatts (MW) of wind energy on P.E.I. by 2013. From where development stands today this will require 350MW of new wind development, designated in the strategy as 300MW for export and 50MW for on-Island use.

Bringing this further 50MW of wind energy on line will see P.E.I. meeting approximately 30 per cent of its electricity needs from wind energy, becoming a world leader.

The Island has faced volatile fossil fuel prices over the last few years, spends significant outflows of cash to purchase energy for on-Island use and faces increasing vulnerability from the impacts of climate change.

Against this backdrop the Province should be commended for committing to using higher percentages of clean electricity that is produced here to meet its electricity demands. The environmental benefits of wind energy have been extensively cited.

However, it is important to recognize that the greenhouse gas emissions reduced because of wind development on P.E.I., although improving the regional environment, do not count towards P.E.I.’s GHG reduction commitments.

The 300MW of exports will displace pollution in other jurisdictions and therefore will be counted under their commitments. The 50MW for on-Island use will count toward New Brunswick reductions because it will be replacing purchases of fossil-fuel-generated power from, N.B.

While positively contributing to reductions of GHG emissions in the region, P.E.I. will have to undertake other initiatives to reduce the Island’s GHG emissions profile.

The strategy declares that at its heart is “benefit to our ‘one Island community’ and opportunity for developers”. As this is an economic development strategy for wind, the benefits to Islanders must be explicit and significant when we are seeing the impacts of development raising concerns among Island communities.

What the royalties collected by the Province from wind developers will be and how they will be determined remains unclear but being the declared benefit to Islanders from wind export development this will be a critical process.

A portion of the fees will be used to create a Community Trust Fund for communities where wind farms are located. This money should be designated for sustainable community energy projects including energy efficiency initiatives and renewable energy projects with an additional portion explicitly targeted for climate change mitigation initiatives in the province.

The provincial document is not a comprehensive renewable energy strategy nor a plan for energy self-sufficiency but a natural resource development strategy. Like all natural resources, various management possibilities exist including that of its mismanagement.

Wind energy is no exception and Islanders face numerous questions regarding its development.

1. If additional wind for on-Island use cannot be developed because of current integration issues (storage balancing needs) should the Island wait to develop additional wind or open up its wind resource for export?

2. The P.E.I. Energy Corporation is developing the 50MW of wind for on-Island use. Where are the revenues from this energy going? Is there going to be an opportunity for Islanders to buy shares? Will Maritime Electric expand their Green Power Program to sell this energy? Is this the best strategy for on-Island use development? Could more benefits be realized from development of wind if a strategy was adopted which supported and promoted wind projects owned and operated by communities, co-ops, First Nations and farmers?

Islanders should also be pushing to see the commitment of 50MW development for on-Island use legislated to avoid discussion down the road about exporting this energy.

Kate McDonald lives in Charlottetown.