Impacts of Climate Change on the Power Industry and How It is Adapting

Abstract

The Electrical Power and Energy Industry (the Power Industry) is facing great challenges with the transition to renewable energy options and sustainability (the Green Revolution) and the growing incidence of intelligent grid technology developments to encourage Customer-side responses (Smart Grid). At the same time, there is the definite need to meet continued demand growth (albeit slower) on top of the need for refurbishment and replacement of ageing assets and human resources (the looming Skills Gap) while coping with Climate Change and maintaining reliable and price competitive energy services in a safe and healthy environment and economy. On the other hand, great challenges and needs bring with them great opportunities for radical thinking and innovation; “necessity being the mother of invention”. For example the transition to a renewable and sustainable energy world needs to happen regardless of the Climate Change debate. If the desire to reduce greenhouse gas (GHG) emissions to mitigate climate change is driving Mitigation Technologies and market forces/programs such as Cap and Trade with a resultant speeding up of the green revolution then surely this is a good thing. Further information on the impacts of GHG mitigation programs and Markets can be found in the first Reference listed (McConnach, Hammons & Duffey, 2009). This reference paper provides an overview of the global responses to Climate Change and of the established and emerging GHG Markets and Programs arising from this. The impacts on the electrical power industry and how it is taking advantage of these programs and markets is discussed. This includes the impacts on policy, strategy and decision-making of major players such as governments, manufacturers, utilities, contractors and consultants and how they are leading by example within their own operations. There is strong evidence of global warming and climate change that has already happened and that will continue to happen in future. Thus the Power Industry needs to focus efforts on technologies and measures for assessing, adapting to and coping with the risks of these climate changes (Adaptation Technologies). With Canada’s vast land, water, infrastructure and natural resources, measures and initiatives for adapting to climate change and extreme weather are critically important for the protection and use of these resources. This makes sound risk management sense. The presentation of the second Reference listed reviews