by: John Clore | 3/11/2025 at 7:22 AM
In a recent escalation of trade tensions, Ontario Premier Doug Ford announced a 25% surcharge on electricity exports to the United States, specifically targeting states like Michigan, Minnesota, and New York. This move is a direct response to President Donald Trump’s proposed tariffs on Canadian goods. Ford further warned that if the situation intensifies, Ontario might “shut the electricity off completely” to these states.
politico.com
However, the interconnected nature of the North American power grid means that any significant disruptions could have broader implications. The North American Electric Reliability Corporation (NERC) has expressed concerns that restricting electricity and gas supplies between the U.S. and Canada could jeopardize grid stability for both countries. While cross-border electricity trade accounts for less than 1% of total generation, it remains vital for balancing the grid and meeting demand.
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Historical Context
The North American power grid has experienced significant disruptions in the past. For instance, the Northeast blackout of 2003 affected large portions of the U.S. and Canada, including Michigan and Ontario. This event highlighted the vulnerabilities of the interconnected grid and underscored the importance of cross-border cooperation in maintaining grid stability. en.wikipedia.org
While Michigan’s direct dependence on Ontario’s electricity is limited, the potential for increased surcharges or a complete cutoff raises concerns about regional grid reliability and economic impacts. As trade tensions continue, it’s crucial for both nations to consider the broader implications of such measures on interconnected infrastructures.