Minister of Environment and Energy Jamie Ballem marked Clean Air Day Wednesday by unveiling a plan for Prince Edward Island to reduce its reliance on fossil fuels which pollute the environment and, at the same time, achieve a measure of energy self-sufficiency.
The Prince Edward Island Energy Framework and Renewable Energy Strategy outlines an action plan to enhance the role of renewable energy, and the framework around which a comprehensive provincial energy strategy will be shaped in the months ahead.
“While it is too early to say precisely what PEI’s energy mix will look like over the next decade, there is no doubt renewables will play an important role in our energy future given the concerns about the impact of fossil fuels on climate change, coupled with uncertainty about future supply and price of traditional fuels,” said Minister Ballem.
Renewable energy is typically defined as energy that can be naturally recycled or replenished within a relatively short period of time. It includes wind, solar, hydro and biomass which takes in wood, sawmill residue and municipal waste. Renewable energy sources currently meet about seven per cent of PEI’s total energy requirements, with biomass accounting for 6.5 per cent and wind 0.5 per cent.
Releasing the Renewable Energy Strategy at Craggan Farms in Marshfield, where a tower has been erected to monitor wind speed and direction, Minister Ballem said wind holds the most promise for PEI. Wind energy now supplies five per cent of Islanders’ electricity and displaces 30,000 tonnes of greenhouse gases and other harmful pollutants each year.
“With the cost of wind energy increasingly competitive with that of traditional fuels, there is potential for significant expansion in PEI’s wind energy capacity - not only through wind farms such as the one at North Cape, but also community cooperatives, farm operations, small business and individual Islanders,” said Minister Ballem. “The Renewable Energy Strategy provides the road map to get us there.”
The strategy includes 19 action items. Topping the list, PEI will become the first Atlantic province and one of the few jurisdictions in North America to commit to a Renewable Portfolio Standard (RPS) for electricity which defines the percentage of electrical energy that will be accessed from renewable sources. The Province will commit to an RPS for electricity of at least 15 per cent by 2010 and evaluate opportunities to have 100 per cent of its electrical capacity - at least 200 megawatts - acquired by renewable energy by 2015.
Minister Ballem said the short-term goal of 15 per cent by 2010 will be met through the establishment of an additional 40 megawatts of wind capacity. The strategy includes several actions to promote wind development, with a strong emphasis on providing the opportunity and the mechanisms for Islanders to produce their own power, to sell excess production, and to invest in local wind energy projects.
The Renewable Energy Strategy also calls for Maritime Electric Company Limited to file a demand side management strategy which promotes efficient energy use, and an Open Access Transmission Tariff (OATT) which defines the price that others must pay to access Maritime Electric Company Limited’s electricity transmission infrastructure.
In addition to electricity which accounts for only 13 per cent of PEI’s energy requirements, the other two components are transportation and space heating. Actions to enhance the role of renewables in these sectors include evaluating the feasibility of biomass-fueled generating systems, encouraging adoption of the National Building Code and the Model National Energy Code for Houses, exploring options for public transportation, and looking at the economic viability of an ethanol and bio-diesel industry in PEI.
To show its leadership, Minister Ballem said Government will immediately introduce transportation efficiency standards for new or replacement vehicles in its fleet and implement electricity efficiency programs within its public buildings. Measures taken already to reduce unnecessary lighting at the public administration buildings in Charlottetown are expected to save $10,000 per year or 2.3 per cent of the annual electricity costs for the building complex.
Minister Ballem noted that the Renewable Energy Strategy is a work in progress. While there are areas of immediate action, the strategy also takes a longer term approach, identifying initiatives that should be pursued over the next decade such as hydrogen fuel technology.
“Ten years ago, wind energy cost well over 10 cents per kilowatt hour; today, we are producing wind energy at North Cape for 6.5 to eight cents. The only alternate fuel vehicles on the road a decade ago were electric cars, and that was only in select markets. By contrast, I drove a hybrid car here today,” said Minister Ballem. “So, we have seen dramatic changes in the way we produce and use energy, and we expect that to continue. We have to be flexible to adapt as the technologies and opportunities change.”
Minister Ballem stressed that the Renewable Energy Strategy is only one component of the Energy Framework. He said several factors will influence the development of the overall provincial energy strategy over the coming months. That includes public consultations on climate change and the work of the Atlantic Energy Ministers’ Forum which is currently working with regional electrical utilities on a plan to address long-term energy supply needs within the Atlantic provinces.
“Clearly, we cannot finalize the Prince Edward Island Energy Strategy until we know how Islanders want to do their part to address climate change, and what direction the work of the Atlantic Energy Ministers’ Forum takes,” said Minister Ballem. “I expect there will be significant progress on both these fronts over the next several months, so Government should be in a much better position to finalize the overall energy strategy by next spring.”
The Energy Framework and Renewable Energy Strategy is online at www.gov.pe.ca/go/renewables. Copies are also available at Island Information Service, 368-4000 or toll free 1-800-236-5196.