Nunavut: Clean electricity snapshot

Overview of electricity in Nunavut.

Nunavut is moving away from its reliance on diesel fuel and looking to expand its wind and solar electricity generation capacity. There is a focus on creating community-owned projects that will help empower communities to switch from diesel fuel to renewable energy.

A clean electricity grid can have several benefits

In addition to cleaner air and reduced greenhouse gas emissions, a clean electricity grid can provide several benefits:

• Independent experts from Clean Energy Canada forecast that there will be 6,800 clean energy jobs added in Northern Canada between 2025 and 2050^{Footnote 1} , providing both economic growth and new job opportunities as the territories move towards a net-zero economy.
• The Qulliq Energy Corporation has created a shortlist of 5 Nunavut communities that would have the potential to generate electricity through wind power. These communities were highlighted in a 2016 survey on the potential for wind energy in Nunavut communities.
• A 100-kilowatt (KW) rooftop solar installation has been installed on the student housing building at Nunavut Arctic College in Iqaluit. It is expected to save up to 62 per cent of energy use and reduce greenhouse gas emissions by 352 tonnes.
• The Qulliq Energy Corporation of Nunavut is installing a 500 KW solar panel with storage capacity at the new Kugluktuk power plant.
• The Aqsarniit Hotel and Conference Centre in Iqaluit is looking to install solar panels with battery storage as part of its microgrid program as it moves towards energy independence.

Electricity generation

In 2020, Nunavut generated 100% of its electricity through combustion of fuels.

Economic opportunities and key projects

Following the historic investments made in Budget 2023, the Government of Canada has now committed over $40 billion to support the clean electricity sector, including with below-market financing through the Canada Infrastructure Bank, grants and contributions such as the Smart Renewables and Electrification Pathways Program, and a new Clean Electricity Investment Tax Credit. These investments being made alongside the Clean Electricity Regulations will help drive significant economic opportunities in the province through the construction of new power sources and retrofitting of existing plants.

The Nunavut Nukkiksautiit Corporation has proposed to build a 1-megawatt (MW) wind turbine project with 800 kilowatts of battery storage in Sanikiluag, Nunavut. The project will bring local training and long-term employment opportunities to the remote island community while also reducing its reliance on fossil fuels.

Keeping electricity affordable

The Government of Canada is supporting households with their energy switching, through home retrofit programs, zero-emission vehicles purchase incentives and more, to help Canadians save on their energy bills.

$40 billion in new Government of Canada measures to meet the growing demand for electricity can minimize future cost impacts being passed down to residents of Nunavut.

The Government of Nunavut offers a one-time, non-repayable grant of $5,000 to help Nunavut residents install a renewable energy system on their cabin through the Renewable Energy Cabin Grant Program.

Recent announcements

In April 2022, $300 million of federal clean energy funding was directed to the Wah-ila-toos partnership for clean energy projects in Indigenous, rural and remote communities in Canada.

The Government of Canada is investing $4.1 million to help five Nunavut communities build solar power projects.

The Government of Canada has also invested $7 million in the Inuk-led Kivalliq Hydro-Fibre Link, which aims to bring clean hydroelectricity from Manitoba to the Kivalliq region of Nunavut. The project is estimated to reduce greenhouse gas emissions by 371,000 metric tons annually.

The Government of Canada has invested over $21.6 million in funding to 14 Indigenous communities to help implement clean energy projects with four communities located in the Territory.

Through the Northern Responsible Energy Approach for Community Heat and Electricity (REACHE) program, the Government of Canada is providing funding for renewable energy and energy efficiency projects in Canada’s north. The goal of the program is to reduce Northern communities’ reliance on diesel heating and electricity generation and increase the use of sustainable, local, and clean energy.