Canada Threatens To Cut Electricity To New York
As part of the tariff war between the US and Canada, the primary chess pieces are oil and gas. However, the Canadian government has threatened to cut electricity supply from Hydro-Quebec, a huge utility, to the Northeast US, which includes New York City. Hydro-Quebec gets its energy from large turbine installations.
*American Energy Future
The effect of the decision could create blackouts similar to those in New York City in 1977 and 2003. The first of these lasted two days from July 13 to July 14. Each was caused by malfunctions in the grid that carries electricity south.
While the interruption would be a catastrophe, even the threat of interrupted electricity would cause the Northeast to source its electricity from elsewhere, which would be nearly impossible.
Hydroelectric Power
The American Clean Power Association (ACP) chief Jason Grumet CEO said, “ACP and its member companies share the Trump Administration’s concern over the fentanyl crisis and public health emergency impacting our communities.”
Given the catastrophic effects of an interruption, it is very hard to see how the Canadian government would force the hand of Hydro-Quebec. The effects of the tariff war would need to be doing terrible damage to the Canadian economy.
A shutdown of electricity, particularly during the winter months would have a shattering effect.
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