Minister Accepts Electricity Committee Recommendations

ENERGY Minister Accepts Electricity Committee Recommendations

Sustaining a reliable electricity supply will be the province's number one priority as it makes changes to Nova Scotia's electricity system to increase competition and encourage more renewable energy sources.

Energy Minister Cecil Clarke has accepted the recommendations in a report submitted by the Electricity Marketplace Governance Committee in October. The comprehensive report addresses a number of complex issues with respect to electricity markets, competition, transmission, renewable energy, meeting an increased energy demand, and co-generation and makes 89 recommendations.

"The report provides us with a framework for improving our electricity market by encouraging competition and renewable energy generation in a way that protects the reliability of our system," said Mr. Clarke. "Implementing the framework will be a long-term process -- we're going to be cautious, collaborative and we're going to do this the right way so that we are able to meet our energy needs today and into the future."

The Department of Energy will be working with the Nova Scotia Utility and Review Board (UARB), Nova Scotia Power and other stakeholders in the coming months to establish transmission access to power producers, open competition for municipal utilities and permit the sale of renewable energy.
Some of the recommendations will require approval from the UARB, while others will require changes to legislation.

"Like the Energy Strategy, the report identifies a number of initiatives that we can start right away to begin the process," said Mr. Clarke. "We're responding to those now while we work on our approach to some of the more complex recommendations in the report."

The department will make the report a key priority in the 2004-05 business plan and will report on progress made through the government's yearly accountability report and the annual Energy Strategy Progress Report.

The Electricity Marketplace Governance Committee was created in May 2002 to make recommendations to the Minister of Energy on the strategic implementation, development, structure, and rules for the electricity sector. The committee had seven members and two observers and was chaired by Robert Fournier.

The province also retained the services of Navigant Consulting Ltd. to provide the committee with independent technical assistance and advice on the variety of complex electricity issues.

A copy of the Electricity Marketplace Governance Committee Report can be obtained at www.gov.ns.ca/energy .