Government of Canada takes steps towards strategic procurement of energy

News Release

For immediate release

Greening government through national natural gas contract

December 8, 2017 - Gatineau, Quebec - Public Services and Procurement Canada

The Government of Canada is using innovative approaches to energy procurement to provide sound financial stewardship and be better positioned to take advantage of renewable natural gas when it becomes available in Canada.

Public Services and Procurement Canada has awarded Direct Energy Business a contract to supply gas management services to 3 federal government departments operating across Canada.

Throughout this 10-year contract, Direct Energy Business will provide strategic advice to mitigate future risks of cost volatility, billing consolidation, data management, consumptive studies, budget estimates and delivery of natural gas. This new comprehensive data amalgamation will enable detailed tracking and analysis of the majority of the Government of Canada’s natural gas usage, identify areas for investment and enable more accurate reporting to Canadians and the international community on the results of Canada’s greenhouse gas reduction efforts. The 3 departments participating are Correctional Service Canada, National Defence and Public Services and Procurement Canada. The contract is valued at approximately $8 million.

The contract will also enable the Government of Canada to have access to new sources of renewable natural gas (green gas) as it becomes available.

By consolidating the usage data of the 3 largest users of natural gas across Canada, the Government of Canada is better placed to make decisions around its assets, including targeting energy-efficiency upgrades, renovations and changes.


“This contract will allow our government ‎to implement evidence-based energy decisions so we can realize opportunities to save money and reduce our impact on the environment. This is an excellent example of how we are finding better ways to buy natural gas.”

The Honourable Carla Qualtrough
Minister of Public Services and Procurement

“Through strategic collaboration with other departments, National Defence will benefit from consolidated natural gas purchases and superior usage reporting, positioning us to become better stewards of our energy resources and improve the environmental performance of defence buildings.”

The Honourable Harjit Sajjan
Minister of National Defence

“We are pleased to be a part of this collaborative effort to reduce natural gas consumption and cost while supporting green energy to lower our carbon footprint.”

The Honourable Ralph Goodale
Minister of Public Safety and Emergency Preparedness

“We are so proud to be the Government of Canada’s strategic natural gas partner and are confident that our expertise will provide the government with innovative solutions to reduce the impact of energy on its budget, its operations and the environment.”

John Schultz
President, Centrica North America and Direct Energy Business

Quick Facts

  • The 3 departments included in this contract use approximately 10 million gigajoules annually, mainly to heat buildings.

  • The contract will strategically position the Government of Canada to have access to new sources of renewable natural gas (green gas) as it becomes available.

  • Renewable natural gas is a carbon-neutral, sustainable fuel that is created from decomposing organic waste. This waste can come from many different sources, including landfills, wastewater treatment plants, farms and residential organic waste.

  • The Greening Government initiative, led by the Treasury Board of Canada Secretariat, commits the Government of Canada to leading by example and greening its own operations by reducing emissions from its operations and fleets by 40% below 2005 levels by 2030 at the latest.

Associated Links


Ashley Michnowski
Press Secretary
Office of the Honourable Carla Qualtrough

Media Relations
Public Services and Procurement Canada

Follow us on Twitter

Follow us on Facebook

Report a problem or mistake on this page
Please select all that apply:

Thank you for your help!

You will not receive a reply. For enquiries, contact us.

Date modified: