Continued close collaboration throughout market deregulation
The strong relationship between Hydro-Québec and New York State continued throughout the evolution of power pooling arrangements and wholesale electricity markets, as Hydro-Québec became an active participant in the New York Power Pool in the 1980s and continued to work with its successor, the New York Independent System Operator (NYISO), created in 1999.
This shared history has fostered a rich partnership and has allowed New York to harness Hydro-Québec’s vast renewable energy reserves to meet its electricity needs and implement policy initiatives related to improving the reliability as well as the economic and environmental performance of its energy mix.
Today, the energy partnership is demonstrated in several ways:
- Annual deliveries of approximately 7 TWh of energy, which in 2014 avoided 1.7 million metric tons of GHG emissions, and 900 MW of capacity
- Development and implementation of an intra-hour dispatch program facilitating the integration of more intermittent renewables into the New York system
Into the future, Hydro-Québec can contribute to a long-term clean energy vision for New York:
- 50% of the state’s electricity use to be met by renewables by 2030
- 100% of New York City operations to be powered from renewable sources
- Retired nuclear plants replaced by other non-emitting generating facilities
- Construction of a 1,000-MW interconnection between Québec and New York City and efforts to expand existing interconnections importing clean energy
History of energy trading with New York State
Signing of a 20-year contract between Hydro-Québec and the Power Authority of the State of New York (PASNY) providing for up to 800 MW of diversity power each year. These arrangements are based on the seasonal complementarity of their peak periods.
Two additional long-term contracts follow, for significant quantities of clean energy to be delivered from Québec into New York State.
Signing of a contract with NYPA for capacity and energy sales covering a period of nearly two decades. A contract is also signed with Con Edison for firm capacity service until the early 2000s, along with a cooperation agreement for R&D and mutual assistance.
Commitment to offer up to 900 MW of capacity to NYISO for 20 years (2010 through 2030).