Canadians are at 
an exciting but also uncertain time with regards to the supply and demand for energy. For example, Alberta’s economy is sure to face turbulence given the plummeting oil prices that don’t meet many projects’ breakeven point. However, we here in BC are fortunate enough to have most of our electricity generated by large hydroelectric dams. The Crown Corporation BC Hydro is the sole provider of electricity and responsible for powering everything from our office buildings to our smartphones. Most of us think nothing of it – we just plug into the grid, and we have power. However, if we’re not conscientious, the rate at which we consume energy will soon surpass the rate at which we can generate it. As CEO Jessica McDonald stated, we are at a pivotal time and “planning for future demands of energy is critical.” With respect to this, she identified 3 major challenges that BC Hydro and the province itself will face:
1) An Aging System
– The existing infrastructure (including dams and generators) is in need of refurbishing – which means a lot of time and money will be spent ensuring that these assets are sustainable moving forward.
2) Demand Will Exceed Supply
– With an anticipated 40% increase in demand over the coming years (mostly due to population increase), BC Hydro will need to source electricity to power the equivalent of 3 additional Vancouver’s. One of the first initiatives they have taken to deal with this is with the proposal of the Site C Dam situated just south of Ft St. John on the Peace River. They have estimated that it has the potential to boost BC’s economy by providing 10,000 jobs and contributing $3.2 billion in GDP over 10 years. A project of this scale is subject to potentially huge cost over runs, but BC Hydro feels confident that proper due diligence has been done to ensure that the dam will be operationally and economically feasible.
3) Demand Management
– The last and most important challenge will be to try to persuade energy consumers to simply use less of it. This needs to make up about 75% of BC Hydro’s efforts which means really knowing their customers. It might seem counterintuitive to be telling your customers to curb the use of your product – but it is the most cost effective and efficient way to match supply and demand.
This changing landscape presents unique opportunities for us business students to pioneer conservation initiatives and propose disruptive innovations that will help offset the increase in demand. The internet of things is a big buzzword that will be playing a large part in making “smart homes” as we look to the future. There are already products on the market such as Vancouver start up Neurio that offer a simple, yet sophisticated metering system for your house’s electricity consumption. I for one, am excited to see how new technologies like drones will come into play within the energy sector.
Replete with curiosity and driven by big goals Lewis knows that the Beedie School of Business has opened many doors and pushed him to realize his potential very quickly. Prior to Beedie, Lewis was gaining valuable experience travelling and working in different industries. He is currently a 4th year Finance and Operations Management student and enjoys public speaking. Lewis is excited to have represented Beedie in Victoria at JDC West within the Entrepreneurship category. You can contact Lewis at lewis_matthews@sfu.ca