1 Business Development, Acquisitions and StrategiesHydro-Québec Setting new sights with our clean energy Gary Sutherland Business Development, Acquisitions and Strategies JPAC Session, Ottawa November 7, 2016
2 OUR REALITY HYDRO-QUÉBEC
3 Québec: vast land area and water resourcesHYDRO-QUÉBEC
4 Our energy, an asset to Québec99% OF ELECTRICAL POWER GENERATED USING WATER clean, renewable and reliable HYDRO-QUÉBEC
5 Greenhouse gas emissions from different power generation optionsHydroelectric - HQ: run-of-river Boreal Reservoirs = Low GHG Emitters Continuous generation Intermittent generation Nuclear Wind Hydroelectric - HQ: with reservoir Photovoltaic solar Thermal: natural gas Thermal: coal HYDRO-QUÉBEC
6 Evolution of inflation and energy prices in Québec 1963-2015Index (1963 = 100) Electricity Natural gas Oil CPI HYDRO-QUÉBEC
7 TODAY’S ENERGY TRADING RELATIONSHIPRADISSON DES CANTONS SANDY POND Ontario 3.6 TWh QUÉBEC ONTARIO NOUVEAU- BRUNSWICK ME VT NH MA NY New Brunswick 2.4 TWh New England 15.2 TWh New York 7.2 TWh THE NORTHERN PASS HYDRO-QUÉBEC
8 Avoiding greenhouse gases through electricity exportsHYDRO-QUÉBEC EXPORTS AVOIDED 7.4 MILLION METRIC TONS OF CO2 EQUIVALENT EMISSIONS, EQUAL TO: EMISSIONS FROM 1.85 MILLION CARS 25% OF EMISSIONS FROM NEW ENGLAND’S THERMAL GENERATING STATIONS HYDRO-QUÉBEC
9 600 $130 M Our context IN R&D CHARGING STATIONS More thanAnnual investment of IN R&D HYDRO-QUÉBEC
10 Our Strategies for the FutureHYDRO-QUÉBEC
11 Develop new growth avenuesIncrease exports Acquire assets or stakes Commercialize our innovations Increase the capacity of our generating fleet HYDRO-QUÉBEC
12 Enhancing the clean energy trading relationship Nuclear refurbishmentRADISSON DES CANTONS SANDY POND Nuclear refurbishment QUÉBEC ONTARIO NOUVEAU- BRUNSWICK ME VT NH MA NY Ambitious GHG reduction goals 40% GHG reduction and 50% renewable goal by 2030 Integration of renewable energy 100% renewable energy THE NORTHERN PASS HYDRO-QUÉBEC
13 Optimizing grid integration to reduce GHG emissionsRADISSON DES CANTONS SANDY POND QUÉBEC ONTARIO NOUVEAU- BRUNSWICK ME VT NH MA NY A significant agreement: Energy 2 TWh per year to Ontario Capacity 500 MW of winter capacity for Québec Energy cycling making the electricity market more efficient THE NORTHERN PASS
14 Massachusetts: new business opportunitiesRADISSON DES CANTONS SANDY POND QUÉBEC ONTARIO NOUVEAU- BRUNSWICK ME VT NH MA NY Hydro: 9.45 TWh Long-term contracts THE NORTHERN PASS
15 Business Development, Acquisitions and StrategiesHydro-Québec Setting new sights with our clean energy Gary Sutherland Business Development, Acquisitions and Strategies JPAC Session, Ottawa November 7, 2016