Newfoundland & Labrador: Rolling Blackouts, The Liberty Reports, & The Role of Reliability in Energy Provision

Sydni Kind
2017 Dalhousie Journal of Interdisciplinary Management  
Newfoundland's electrical system experienced significant outage periods in January 2013 and 2014 that left a large portion of the Island population without power for days at a time. This launched an investigation by the Board of Commissioners of Public Utilities (the "Board") into the supply issues and power outages. These events raise the question of what the systemic reasons for the blackouts were and what role the Board should play in regulating a monopolized public utilities industry. This
more » ... aper contends that the lack of a "reliability" requirement in the legislated service standard for public utilities in Newfoundland and Labrador constrained the Board's ability to effectively regulate the province's energy system and played a fundamental role in the blackouts experienced. Newfoundland and Labrador must take steps to actively and effectively regulate an energy system that is isolated from the mainland bulk power grid to ensure citizens have access to electricity despite adverse weather events. To do this, the legislation must incorporate reliability requirements and the Board must actively monitor whether these requirements are met. This paper does not address further reports produced or legislative and regulatory responses to the issue after December 2015. Further research, particularly into the effectiveness of the Muskrat Falls connection and the implementation of the Liberty Consulting Group recommendations, would help to evaluate the system's reliability going forward.
doi:10.5931/djim.v13i1.6932 fatcat:s7muv6p37razflwo3mhoimwyia