Our main achievements in 2010
Technological Innovation and Québec's Economy
The only major research centre in North America operated by a power utility, Hydro-Québec's research institute, IREQ, celebrated its 40th anniversary in 2010. With an annual budget of about $100 million, IREQ enables the company to innovate and invest in leading-edge technology. Spinoffs generated by our innovation projects from 2009 to 2013 are estimated at $214 million.
In line with the province's Climate Change Action Plan, Hydro-Québec promotes greater use of electricity for ground transportation. To achieve this objective, the company is building on such considerable assets as clean, renewable energy, a reliable system, acknowledged expertise and promising technology. In 2010, major agreements were reached and test programs were initiated with automakers and other Québec partners.
According to the Institut de la statistique du Québec, the value added by the power generation, transmission and distribution industry reached $11.8 billion in 2010, with Hydro-Québec accounting for about 95% of the industry. Excluding Hydro-Québec's construction and R&D activities, and its subsidiaries' operations, the company's share of the Québec economy is around 4% of the gross domestic product.
With regard to procurement of goods and services, Hydro-Québec abides by five main principles: secure supply, sustainability, quality, efficiency and economic spinoffs in Québec. When there is sufficient competition, only suppliers based in Québec may tender bids. As a result, over 90% of the company's goods and services are purchased in Québec. Except for strategic contracts for which Hydro-Québec strives to maintain competitive Québécois expertise, all goods and services are obtained through an open (over $100,000) or closed ($100,000 and under) tendering process.
Our main achievements in 2010
Technological innovation
Robotics: We organized the first International Conference on Applied Robotics for the Power Industry (CARPI 2010); it was held in Montréal and attended by over 150 experts from 22 countries.
Lithium batteries: The 15th International Meeting on Lithium Batteries (IMLB) that we hosted in Montréal drew 1,100 participants from many different countries.
Battery development saw spectacular progress: enhanced energy and power performance, battery life increased from 20,000 to 30,000 charge/discharge cycles and a full 16-kWh battery recharge in four minutes using a quick-charge station
TM4 electric powertain systems: As at December 31, 2010, Hydro-Québec subsidiary TM4 had delivered nearly a hundred powertrains to Indian automaker Tata Motors for demonstration projects in the United Kingdom and Norway.
Testing of Mitsubishi i-MiEV: Hydro-Québec deployed charging stations in Boucherville for Canada's largest all-electric vehicle pilot project. As many as 50 Mitsubishi i-MiEVs will be tested under real-world conditions. Mitsubishi Canada delivered the first five i-MiEV vehicles in December 2010.
Vehicle fleet: Under a partnership with Chevrolet Canada, Hydro-Québec will add 20 Chevrolet Volts to its fleet.
Public transportation electrification: In line with its commitment to the electrification of public transportation, Hydro-Québec participated in feasibility studies with various partners (AMT, STL, city of Montréal) to determine the electric infrastructure that will be required and assess the investments that it will assume.
| Examples of sustainable development innovation projects – 2010 | ||
|---|---|---|
| Project | Achievement | Investment |
| Technology – migration of aquatic species | Study of migration barrier technologies to reduce mortality of American shad during their annual migration Analysis of methods to keep downstream-migrating eels away from water that is being channeled through turbines Study of technologies for monitoring salmon parr during reservoir impoundment at the future Romaine complex | $0.99 million |
| Reduction of the environmental impact of treated wood poles | Optimization of the performance/cost ratio for new filtration technologies for water contaminated by preservatives leached from treated wood poles in storage yards | $1.06 million |
| Hydrologic modeling tools | Improvement of modeling tools that factor in environmental constraints related to river flows at different times of year | $3.26 million |
| Numerical Turbine Production (SAMH) project | Project to model and simulate the behavior of generating units under various operating conditions to enhance generating fleet performance and reliability | $2.10 million |
| Modeling of wind farm behavior and simulation of the impact of wind power on the grid | Modeling and simulation to facilitate wind power integration into the grid by verifying the grid's current capacity to receive this new output | $0.92 million |
Infrastructure projects and operations
Between 2007 and 2020, the main generating projects represent capital spending of $13.4 billion. For 2010 alone, construction activity costs totaled $2.6 billion.
Construction Projects
Hydro-Québec activities by region
| Main generating projects between 2007 and 2020 | ||||
|---|---|---|---|---|
| Project | Administrative region | Construction site calendar | Installed capacity (MW) | Total investment ($B) |
| Romaine complex | Côte-Nord | 2009–2020 | 1,550 | 6.5 |
| Eastmain-1-A/Sarcelle/Rupert project | Nord-du-Québec | 2007–2012 | 918 | 5.0 |
| Gentilly-2 (generating station refurbishment and construction of solid radioactive waste management facilities) | Centre-du-Québec | 2012–2013 | 675 | 1.9 |
| Total | 13.4 | |||
Hydro-Québec procured goods and services worth nearly $3.0 billion in 2010, with 91% going to Québec businesses. (The 2009 total was $2.9 billion, with 87% in Québec.)
| Hydro-Québec's contribution to the Québec economy | ||||
|---|---|---|---|---|
| 2007 | 2008 | 2009 | 2010 | |
| Capital tax ($M) | 278 | 202 | 132 | 51 |
| Tax on public services ($M) | 240 | 302 | 188 | 262 |
| Water-power royalties ($M) | 263 | 546 | 567 | 557 |
| Municipal, school and other taxes ($M) | 35 | 37 | 35 | 35 |
| Procurement of goods and services inside and outside Québec ($M)a | 2,586 | 2,660 | 2,925 | 2,998 |
| Procurement of goods and services from Québec businesses (%) | 94 | 89 | 87 | 91 |
| Direct jobs sustained by all procurement, including purchases outside Québec (person-years) | 13,000 | 11,462 | 12,333 | 13,750 |
- Excludes procurement by Société d'énergie de la Baie James.
Financial performance
Net income was $2,515 million, exceeding the Strategic Plan 2009–2013 projection of $2,400 million.
Dividend paid to the Québec government for 2010 will be $1,886 million.
Net exports accounted for 7% of net sales volume and 17% of net income.
The unit contribution of net exports rose to 8.2¢/kWh from 6.8¢/kWh in 2009.
Industrial tourism
Hydro-Québec's facilities and various sites operated in partnership with other organizations stimulate regional tourism. These facilities welcomed 140,000 visitors in 2010, compared to 142,000 in 2009.
Guided Tours for the Whole Family
- Cité de l'Énergie and Shawinigan-2 generating station (Mauricie): 56,281 visitors
- Électrium (Montérégie): 17,687 visitors
- Beauharnois generating station (Montérégie): 10,041 visitors
- Manic-5 generating station and Daniel-Johnson dam (Côte-Nord): 8,213 visitors
- Robert-Bourassa generating station (Nord-du-Québec): 4,203 visitors
- Sustainability Report 2010, p. 41
Support for universities and research groups
Supporting research: Hydro-Québec provided $9.8 million to universities, chairs and research groups in the form of contributions, commitments or contracts.
University Chair Endowments
- Sustainability Report 2010, p. 41
| Contributions, commitments, chair endowments and research contracts ($'000) | ||||
|---|---|---|---|---|
| Educational Institution or Research Group | 2007 | 2008 | 2009 | 2010 |
| Université de Montréal | 536.3 | 564.9 | 213.2 | 244.7 |
| HEC Montréal | 306.9 | 77.5 | 45.0 | 31.0 |
| École Polytechnique de Montréal | 1,005.8 | 912.0 | 817.2 | 454.8 |
| Université du Québec en Abitibi-Témiscamingue | 22.5 | 10.5 | 72.4 | 51.4 |
| Université du Québec à Chicoutimi | 237.5 | 400.0 | 225.0 | 325.4 |
| Université du Québec à Montréal | 691.9 | 906.8 | 1 643.4 | 1,521.6 |
| Université du Québec en Outaouais | 125.0 | 164.3 | 184.4 | 125.0 |
| Université du Québec à Rimouski | 174.0 | 100.0 | 50.0 | 35.0 |
| Université du Québec à Trois-Rivières | 395.8 | 356.4 | 300.0 | 300.0 |
| École de technologie supérieure | 375.9 | 348.9 | 456.6 | 440.0 |
| Institut national de recherche scientifique | 120.0 | 71.8 | 196.5 | 38.5 |
| Fondation universitaire de l'Université du Québec | 50.0 | — | 25.0 | 0.0 |
| McGill University | 348.0 | 596.0 | 988.0 | 1200.0 |
| Concordia University | 345.5 | 320.0 | 527.0 | 608.0 |
| Université Laval | 1,389.5 | 1,382.8 | 1,149.6 | 1,300.6 |
| Université de Sherbrooke | 923.0 | 700.0 | 556.7 | 526.9 |
| Ouranos, Cirano and Institute of Electrical Power Engineering | 1,179.9 | 1,572.1 | 1,690.8 | 1,706.8 |
| Institutions outside Québec | 152.8 | 408.6 | 453.8 | 895.8 |
| Total | 8,380.3 | 8,892.5 | 9,599.5 | 9,805.4 |
