If you live in Ontario, you know there's an all-out assault on renewable energy like windmills and solar power. What you might not know is that despite all the nay-saying, clean energy is actually responsible for emissions going down, not for prices going up.
New numbers released this week show that nuclear, natural gas, and coal are behind almost all of the increase in the bills. In spite of the impressive growth of renewable projects in Ontario, they still contribute just a small piece towards the big picture.
An honest look at energy costs shows that the cost of operating and refurbishing nuclear reactors is by far the biggest expense, along with costs associated with shutting down our dirty coal plants and building brand new natural gas plants. Because of years of neglect, Ontario's energy system simply needed rebuilding. This would have happened with or without renewable energy.
Why the confusion?
You might think the cost of generating electricity in Ontario is reflected in "market rates." In reality, due to the complexity of its energy system, the market rate doesn't come close to covering the cost of generating electricity anymore. To make up the difference, almost all major electricity generators in Ontario also have price contracts with the government. The total cost of these contracts make up what is known as the 'global adjustment'.