Clean Electricity Regulations

Overview

A clean electricity grid is central to our efforts to fight climate change and build a more prosperous low-carbon future. It will also give our industries a competitive advantage in the global race to build a low-carbon economy. As the demand for electricity increases over the coming decades, Canada must enable that expanded supply to be clean, reliable and affordable.

That’s why the Government of Canada is developing the Clean Electricity Regulations. The regulations provide an early signal to enable each province and territory’s progress towards a cleaner grid.

The Regulations are being developed using three core principles:

  1. enable significant greenhouse gas reductions to help transition towards a net-zero electricity grid
  2. enable provinces and territories to maintain electricity affordability for Canadians and businesses
  3. enable provinces and territories to maintain grid reliability as Canada’s electricity needs grow

The CER are an integral part of Canada’s 2030 Emissions Reduction Plan to help the country reach its emissions reduction target of 40 to 45 per cent below 2005 levels by 2030 and net-zero emissions by 2050. Learn more about the Government of Canada’s broader electrification strategy.

What's new

On February 16, 2024, an update on the Clean Electricity Regulations (CER) was released. The feedback period on the changes under consideration for the final Clean Electricity Regulations closed on March 15, 2024. We thank everyone that submitted their comments.  

The draft Clean Electricity Regulations (CER), along with a cost benefit analysis, were published on August 19, 2023, followed by a 75-day comment period. You can read comments received on the draft regulations in the Canada Gazette.

The final regulations are expected to be published in the Canada Gazette, Part II, later this year.

Clean Electricity Regulations public update

What we heard during consultations and directions being considered for the final regulations

Executive summary

Following the publication of the draft Clean Electricity Regulations (CER) on August 19, 2023, Environment and Climate Change Canada (ECCC) and Natural Resources Canada (NRCan) undertook extensive engagement. This included national public webinars attended by more than 550 participants, bilateral sessions with more than 75 organizations, and meetings in Alberta, Saskatchewan, Ontario, Nova Scotia and New Brunswick with electricity generators, utilities, government officials, non-governmental organizations, academics and Indigenous organizations. ECCC also received around 600 unique written submissions out of a total of over 18,000 letters and emails, including repeated submissions from six letter writing campaigns.

Most parties voiced support for the overarching goal of establishing a net-zero grid as a foundational element of achieving a net zero economy by 2050. There was also widespread support for the three pillars of affordability, grid reliability, and decarbonization.

There was also support for the basic regulatory architecture proposed for the CER, including a technology-neutral compliance obligation with flexibilities for operators to continue to use some natural gas in order to support grid reliability and affordability while the system transitions to net zero.

Many electricity system operators and some provincial governments argued for more flexibility. This position is well summarized by a recent report from the Canada Electricity Advisory Council:

Our ability to decarbonize the remainder of the economy by 2050 depends in part on our ability to get the CER balance right. … if the electricity system bears too great a cost burden or is unable to meet growing demand reliably, it will be hindered in its ability to support economy-wide net-zero emissions by 2050. The Council … is concerned that [the draft CER] does not provide sufficient flexibility to utilities, system operators and market participants to achieve that desired balance. … [and] calls on the federal government to consider providing substantively greater flexibility to covered entities, recognizing that such flexibility could render the CER more practicable, more affordable and more likely to enable electricity to decarbonize other sectors of the economy in the long run.”

Changes recommended during the consultations by a number of stakeholders include:

  • reduce the stringency of the performance standard to enable facilities that implement CCS to be confident they will achieve the standard
  • allow the limited use of offsets for units that are unable to meet the standard for various reasons
  • enable greater use of natural gas-fired units during peak demand periods. Several operators and provinces argued for a percentage of capacity threshold rather than an envelope of hours
  • adjust the small unit exemption to avoid unintended proliferation of small fossil-fuel fired units
  • allocate more time for the end-of-prescribed life of existing gas and liquid fuel units to further reduce the cost of stranded assets
  • avoid a framework that incentivizes operating less efficient units as much as more efficient units
  • enable more flexibility for co-generation to avoid the unintended result of cogeneration units deciding not to export electricity to the grid, resulting in the loss of a significant source of power in jurisdictions that rely more heavily on electricity from cogeneration
  • modify emergency circumstance provisions to reduce the risk of a Minister denying an application and to ensure that critical generation during emergency periods will be available

In addition to the need for more flexibility, some argued that the stringency of some of the provisions in the draft regulations would make it difficult to decide to invest in decarbonization options given the uncertainty about the actual performance levels of some technologies, emphasizing that issues outside of their control could make compliance with the strict performance standard very difficult. By contrast, some members of civil society urged the Government to retain or strengthen the overall stringency of the draft regulations.

This report describes these concerns in more detail. It also describes some changes being considered to address them. We welcome input on the merits of these changes compared to an approach based on changing some of the key parameters in the draft regulations.

What we heard

The performance standard and CCS flexibility

Almost all provinces and utilities asserted that a 30t/GWh performance standard would be difficult to achieve by natural gas units equipped with CCS that are “load following.” When load-following, the unit ramps up and down to fill in when renewables are not producing or when demand is very high. This almost inevitably results in a facility operating at a higher emissions intensity than if the same unit were operated on a continuous steady-state basis. Many commentators observed that a natural gas facility with CCS would only be able to achieve an emissions intensity of 30 t/GWh if it operated as baseload. This would limit the ability of utilities to retrofit existing gas plants with CCS for the purpose of playing a back-up or load-following function and would be an undesirable result because an approach that allows natural gas with CCS to load-follow could be an effective way to support the integration of variable renewables onto the grid.

More generally, a lot of feedback warned that high uncertainty about the ability of CCS to achieve the draft regulation’s performance standard could have the unintended effect of disincentivizing investments in this important, emerging technology.

Peaker provisions

Many operators argued that the 450-hour limit in the proposed peaker provisions would undermine reliability because it would limit the ability of some jurisdictions to provide peaking services.

Many stakeholders also noted a potential unintended outcome of limiting the operation of unabated emitting units by defining a maximum number of hours: once a relatively efficient unit meets its hourly limit, a less efficient unit would then be operated if there remained a need for further peaking services. This would result in more emissions than if the more efficient unit had been allowed to operate for longer.

Offsets

Many stakeholders emphasized the inherently uncertain and unpredictable environment in which electricity systems must operate and argued that the regulation should provide a mechanism for operators who exceed a given limit despite having acted in good faith to remain in compliance. Many proposed allowing the use of GHG offsets for this purpose.

End-of-prescribed life

Provinces whose electricity systems include large portions of emitting units asserted that the proposed 20-year end-of-prescribed life (EoPL) is too short, and could strand assets, increase costs and reduce reliability because it would force emitting baseload units into retirement before sufficient replacement low- and non-emitting units can be built. Other provinces did not comment on this aspect of the regulation.

Date for new versus existing units

Due to labour and material shortages and other supply chain disruptions, some generators expressed concern that emitting generation projects that were planned to be commissioned before 2025, and already have substantial investments committed and work underway, may not be commissioned before the proposed deadline of December 31st, 2024 to be considered an “existing” unit. This could result in stranding these assets as they would be considered “new units” and have to abate by 2035 instead of benefiting from the full EoPL timeline.

Cogeneration

Stakeholders from multiple industries, as well as officials from Alberta and Saskatchewan, observed that the performance requirements in the proposed regulations could be difficult for most existing cogen facilities to meet. They expressed concern that these facilities might decide to stop exporting electricity to the grid in order to avoid being subject to those requirements. This would affect Alberta and Saskatchewan in particular, which depend on cogeneration for a significant portion of their generation.

Emergency circumstances

Many stakeholders observed that the provision in the draft regulations requiring the federal Minister to review emergency exemptions after the fact could inhibit decisions to operate during emergencies.

The 25 MW threshold

Many provincial officials noted that the proposed minimum capacity threshold of 25 MW could create a perverse incentive to commission new facilities with multiple units smaller than 25 MW to avoid being subject to the CER.  Many Indigenous groups argued that any fix to this issue should be accompanied by another approach to continue to exempt generation in remote communities.

A possible emissions limit approach

ECCC is considering changes to the performance standard to give provinces, utilities and other electricity regulators and providers more flexibility while still delivering significant emissions reductions. We are interested in hearing if this approach is preferable to the approach proposed in the draft regulations.

The emissions limit approach being considered has four elements:

  1. change the regulated performance standard from a fixed emissions intensity standard that applies uniformly to all units to an annual emission limit (in tonnes) that is tailored to each unit’s capacity
  2. adjust the underlying performance standard used to calculate each unit’s emission limit
  3. allow regulated parties that own or operate multiple units to pool the emission limits of their individual existing units operating in the same jurisdiction
  4. allow a unit to emit over its emissions limit by a prescribed additional amount provided it remits GHG offsets to account for all excess emissions
1. Unit-specific annual emissions limit

The core change being considered is to move from an emissions intensity standard uniformly applied to all units to an annual emissions limit tailored to each unit’s capacity. In this approach, a unit’s limit would be set at the level of emissions in a year from a natural gas unit of the same size that operates full time and at an emissions intensity prescribed by the regulations (see #2 below). The CER would set the emissions limit for each unit according to the following formula:

Unit Emission limit (t/year) = Performance standard (t/GWh) X MW (capacity of unit) X 8760 hours (total hours in a  year) X ((1 GW)/(1000 MW)) (unit conversion)

A unit with a higher emissions intensity than the performance standard used to set the emissions limit would have to operate less than full time to remain under its limit. This would create an incentive to modify all units to be as efficient as possible, but would also give electricity providers considerable flexibility. Along with the potential to pool emissions limits (#3) and include offsets as a compliance option (#4), this would enable operators to decide to install CCS without the concern that the technology might not achieve the performance standard. Units could also increase the amount of time they can operate by improving equipment to increase efficiency or by blending with low-carbon fuel to reduce emissions intensity. All units would be able to manage within their annual emission limit by adjusting the amount of time they operate.

2. Adjusted underlying performance standard

Recognizing that the emissions intensity of 30 t/GWh proposed in the draft regulations would likely not be feasible on a load-following basis for most units equipped with CCS, an adjustment to the performance standard is under consideration.

3. Pooling

Consideration is being given to allowing responsible parties (e.g. utility, crown corporation) owning multiple existing units in the same jurisdiction to combine the emissions limits of individual existing unit into a pooled emissions limit. This would enable them to operate their more efficient units above each individual unit’s limit, compensated by less operation of less efficient units. In addition to enhancing flexibility, this may avoid the need to prescribe a time limit for peaker units, given that all emitting units would have an emission limit.

Consideration is also being given to whether and how to enable individual units to pool with other units owned or operated by different entities in the same jurisdiction.

4. Offsets

Consideration is also being given to enabling a unit to operate over its annual emissions limit by a limited amount provided it remits eligible GHG offsets for the excess emissions. 

Other changes under consideration

End of prescribed life

The EoPL provisions are intended to allow natural gas-fired units that were financed, approved and brought into operation before the CER comes into force in 2025 to continue operating past 2035 for a limited period of time relative to their age. Consideration is being given to slightly extending the EoPL, compared with maintaining the EoPL as proposed.

New units under development

Consideration is being given to allowing units that have substantial investment and work underway but are unable to commission by January 1, 2025 to make use of the EoPL provisions provided they start selling electricity to the grid by a future date to be determined. The duration of these units’ prescribed lives would be shortened commensurate with their delay in commissioning past 2025 so that such units would become subject to a regulated annual emissions limit no later than a unit commissioned by January 1, 2025. This would avoid adverse impacts on investment decisions that have already been made.

Cogeneration units

In keeping with the draft Regulations, all cogeneration units would only be subject to the emissions requirements in the years they have net exports to the grid.

Under the emissions limit approach described above, it is possible to distinguish the emissions from “behind the fence” electricity from the emissions associated with electricity provided to the grid. For existing units, consideration is being given to differentiating the treatment of emissions from electricity exported to the grid from “behind the fence” generation for a time-limited period.

Consideration is also being given to treating new cogeneration units the same as all other new units.

Minimum size threshold

Consideration is being given to applying the CER to all new units at the same facility whose capacities collectively amount to 25 MW or more, as well as to single units 25 MW and greater. This would avoid the unintended incentive identified during consultations for a facility to aggregate multiple small units, each of which would not meet the threshold to be subject to an emission limit on its own. Consideration is being given to how to continue to exempt remote communities in this context.

Emergencies

Consideration is being given to enabling a system operator’s declaration of an emergency to trigger an exemption from the emissions limit for a reasonable period of time (duration TBD) to enable operators to respond to emergencies. Emissions during this period would not count against the unit’s annual emissions limit. The Minister would need to be notified in all cases, and consideration is being given to requiring the Minister’s approval to continue operating under emergency circumstances beyond the exemption period.

Next steps

Continued collaboration with provinces, the electricity sector, Indigenous partners, industry, and other key interested parties is essential to ensure that the Clean Electricity Regulations are flexible and enable diverse regional electricity systems to deliver significant emissions reductions while safeguarding reliability and ensuring affordability.

ECCC will continue to engage with interested parties to understand the merits of the tailored annual emissions limit approach described above relative to providing increased flexibility based on the emissions intensity approach in the draft regulations. Further, we welcome input on the other changes outlined in this report.

Canadians were invited to send feedback by 11:30 PM EDT, March 15, 2024. The feedback period is now closed.

ECCC intends to seek approval to publish the final Clean Electricity Regulations later this year. 

ANNEX: Comparison of the Draft CER and the Provisions under consideration
- Draft regulations Changes being considered

Performance standard

30 t/GWh
Equivalent to 95% capture rate

Not directly regulated but considering slightly changing the underlying performance standard used to calculate the emissions limit (see below)

Emissions limit

N/A

Unit-specific annual emissions limit
Based on annual emissions from unit of same size operating 100% of the year at [X] t/GWh (TBD—considering increasing above 30 t/GWh)
Unit Emission limit (t/year) = Performance standard (t/GWh) X MW (capacity of unit) X 8760 hours (total hours in a  year) X ((1 GW)/(1000 MW)) (unit conversion)

Pooling

Not allowed

Allow responsible parties owning multiple existing units in the same jurisdiction to combine the emissions limits of individual existing unit into a pooled emissions limit.

Offsets

Not allowed

 Considering allowing up to a specified maximum percentage above each unit’s annual emissions limit.

Peaker provisions

450-hour limit
(= capacity factor of roughly 5%)

No peaker provisions
Each unit’s capacity factor would depend on its efficiency and its annual emissions limit.

EoPL for existing units

20 years

[TBD]

New units under development

Units commissioned by Dec 31, 2024 are existing units and exempt until EoPL

Units with substantial investment and work underway before January 1, 2025 and that start selling electricity to the grid by [TBD] would also receive an EOPL. However, the EOPL would be shortened so that the unit would become subject to an annual emissions limit no later than a unit commissioned by January 1, 2025.

Cogeneration units

Any unit with net exports to the grid must meet the emissions intensity performance standard at the end of its EoPL

Existing cogeneration with net exports:
Considering distinguishing treatment of emissions associated with "behind the fence” generation from generation exported to the grid.

New cogeneration units with net exports:
Considering treating new cogeneration units the same as new utility units.

Emergencies

System operator declares emergency.
Federal Minister must approve retroactively for emissions to be exempted.

System operator declares emergency.
Emissions not counted against the unit’s annual emissions limit for a reasonable period of time (duration TBD) to enable operators to respond to emergencies.
Minister must be notified.
Considering requiring Minister’s approval to continue operating under emergency provisions beyond the exemption period.

Minimum size threshold

25 MW

All new units at the same facility whose capacities collectively amount to 25 MW or greater, as well as single units 25 MW or greater.

Past engagement and consultation

Since March 2022, Environment and Climate Change Canada has engaged extensively with industry, utilities, experts, provinces and territories, Indigenous organizations, and non-governmental organizations to design the CER.

Clean electricity in Canada

Clean, affordable and reliable electricity

Clean, affordable and reliable electricity

Using more renewable sources such as wind, solar and hydropower to generate electricity will:

Transcript

There’s no avoiding it, we must address climate change now to make life in Canada healthier in the future.

Extreme weather is already making us less safe.

Governments must act.

We have to cut pollution and reduce the risk.

One of the most effective climate change solutions is to use more clean electricity to power our lives.

Today, more and more Canadians are using electric vehicles and heat pumps for heating and cooling.

Businesses are switching too, with everyone from steel makers to delivery vehicles going electric.

When we generate our electricity using clean sources, like hydro, wind and solar, we are on track to real climate solutions.

In Canada, almost 85% of our electricity already comes from clean generation.

We can build on this success.

But that means we need to invest in growing the electricity system.

As demand for electricity grows, we have to make sure supply remains affordable, reliable and clean.

We’re helping Canadians make their homes and businesses more energy efficient through programs such as the Canada Greener Homes Grant, while the switch away from fossil fuel energy will make power bills more predictable.

I know we can do this.

In fact, since the early 1980s, the amount of electricity produced in Canada has roughly doubled, while emissions from electricity generation have been cut in half.

To reach our goal, we are using all tools, including regulations, convening key partners, and funding, to support Canada’s transition to a net-zero grid.

We are working with all provinces and territories to identify regional priorities to clean electricity.

The Clean Electricity Regulations are an important part of the Government of Canada’s actions to achieve a net-zero electrical grid by 2035.

This is good news for Canada.

Cleaner electricity means cleaner air, healthier communities, and more jobs as we build Canada’s clean and sustainable economy of tomorrow.

Good jobs and sustainable economic growth

A net-zero electricity grid and a growing supply of clean electricity will support economic growth and good jobs. For example, the construction of new power sources and the retrofitting of existing plants and buildings is expected to create new jobs.

Clean Energy Jobs expected by Province/Region
Long description
Total clean energy jobs
Province/Territory 2025 2050
British Columbia 83,100 400,800
Alberta 41,500 460,400
Saskatchewan 15,200 146,000
Manitoba 21,300 119,400
Ontario 171,600 903,200
Quebec 140,400 507,000
Northern Canada 2,500 9,300
Atlantic Canada 33,100 132,100

According to modelling by independent experts from Clean Energy Canada and Navius Research, clean energy jobs are estimated to grow to 2.68 million by 2050. That is 1.63 million jobs in clean transportation, 478,000 jobs in clean energy supply, 391,000 jobs in clean buildings, and 172,000 jobs in clean industry. Increases like these are expected across the country, with Alberta and Saskatchewan seeing the greatest growth rates. 

Supporting workers

Canada’s workers are at the heart of the country’s prosperity. Effectively supporting them on the road to sustainable, good-paying jobs benefits us all. It will allow Canada and the Canadian workforce to seize the opportunities and benefits presented by a global transition to net-zero. The Government of Canada’s Sustainable Jobs Plan details concrete federal actions to advance economic prosperity and sustainable jobs in every region of the country.

Predictable and affordable electricity rates

A growing number of studies have shown that deploying non-emitting electricity across the country can make energy use more affordable for Canadians. Recent analysis by the Canadian Climate InstituteFootnote 1 suggests that although Canadians will use more electricity, they will spend less overall on energy. Their modelling concludes that average household spending on total energy costs will decrease by 12 per cent by 2050 as Canadians switch from fossil fuels to more efficient technologies like electric vehicles and heat pumps.

A greater use of renewable, Canadian-sourced electricity over fossil fuels could also keep electricity rates stable. Over the past couple years, we have seen how global events can have major impacts on volatile fossil fuel prices and availability.

Electricity rates are determined by provinces and territories and are dependent on many factors. With more than $40 billion in investments from the Government of Canada over the next 10 years, the provinces, territories, and utilities have an offer of support to assist in their transition to build the country’s net-zero electricity systems. The Government of Canada’s support is projected to cover more than half of the incremental costs expected from the Regulations and minimalizes the costs that are passed on to consumers.

Grid reliability

The draft Regulations will set a technology-neutral emissions performance standard and include flexibilities so that provinces and utilities are able to maintain reliable and affordable electricity for Canadians.

Price of renewable energy is decreasing

The costs of clean electricity projects, such as solar and wind, are cost competitive with fossil fuel-based electricity generation. A 2021 International Renewable Energy Association report found that the average cost to build, operate, and produce electricity from new solar and hydro was 11 per cent lower, and new wind 39 per cent lower than the cheapest new fossil fuel-fired power generation option. The costs of renewables continue to decline and are becoming the popular choice for new power generation. Clean Energy Canada found that cleaner electricity grids tend to have the lowest electricity rates for consumers.

Helping Canadians save on energy costs

The Government of Canada has many programs and tips to help you make energy efficiency upgrades to lower your electricity consumption and bills while reducing your carbon footprint. Many types of upgrades are also eligible for federal, provincial, and territorial rebates programs.

Learn more about saving electricity:

Find out how federal and provincial programs could help Canadians save on energy costs and gain skills needed for clean energy jobs.

Felix – Hamilton, Ontario

Felix is a mature student in Sustainable Energy and Building Technology at an Ontario college. Thanks to the $250 million Upskilling for Industry Initiative to retrain workers, Felix is looking forward to opening his own renewable energy business once he graduates.

Alice – Halifax, Nova Scotia

Alice is a senior on a fixed income and electricity costs were putting too much pressure on her budget. Nova Scotia’s HomeWarming program installed new spray foam insulation for free and reduced her electricity bill by 30 per cent. She also applied to the federal Oil to Heat Pump Affordability Program for up to $10,000 dollars toward a new electric heat pump.

Raphael – Brossard, Quebec

Raphael rents an apartment far from his job in manufacturing and spends over $500 a month commuting to work. Thanks to the Quebec Government’s financial assistance and federal incentives for electric vehicles, he received $12,000 to make the switch to an electric vehicle and put the extra fuel savings toward his student loan.

Mary – Winnipeg, Manitoba

Mary is an industrial electrician preparing to retrain as a renewable energy systems maintenance worker through the Government of Canada’s Union Training and Innovation Program. Alongside a diverse group of colleagues, she is motivated by the opportunities being created in the Prairies’ growing clean tech sector.

Ahmed – Langley, British Columbia

Ahmed and his girlfriend Margot purchased an electric heat pump for their first home using a $5,000 rebate  from the Canada Greener Homes Initiative. Next they are applying for up to $10,000 from BC Hydro’s rebates for home renovations. The money they save will help them pay off their mortgage sooner and save for the future.

Henry – Whitehorse, Yukon

Living with a family of five in the north, Henry has an ear to the ground for energy savings. His was one of the first households to receive a $5,000 rebate for renewable energy systems from the Government of Yukon to install a residential solar renewable electricity system.

Attracting new businesses, boosting global competitiveness and growing the economy

The draft Clean Electricity Regulations provide a clear market signal for new investments in renewable energy, smart grids, distributed energy systems, energy storage and the development and deployment of emerging technologies such as small modular reactors and carbon capture and storage.

Canada is joining some of the world’s largest economies - including the United States - in committing to clean electricity to power our vehicles, heat our buildings and support our industries.

Matching the commitments from all other G7 nations to reach net-zero electricity will aid Canada’s international competitiveness and attract businesses looking for clean power. It will support growth and create good paying jobs in communities across the country. For example, in April 2023, Volkswagen committed to build one of largest battery factories in the world because of Canada’s ability to supply clean and affordable electricity in the decades ahead.

Advance economic reconciliation with Indigenous peoples

The clean electricity transition presents an opportunity to advance economic reconciliation with Indigenous peoples. Supporting non-emitting electricity infrastructure growth, can empower Indigenous participation and promote equity ownership, while providing a means to create wealth. Further, clean power projects can support energy sovereignty and self-sufficiency of remote Indigenous and Northern Communities by reducing their reliance on diesel. As of 2021, Indigenous communities were the largest clean energy asset owners in Canada, apart from Crown and private utilities, and continue to be leaders in clean power generation.

We are supporting Indigenous peoples in the transition through various federal programs:

Reducing emissions for cleaner air and healthy Canadians

Cutting pollution in communities across the country is good for our climate, economy, health and well-being. It will reduce the impacts from climate change already costing billions every year.

Air pollution is recognized globally as a major contributor to the development of disease and premature death and is a key environmental risk factor to human health in Canada.

Alberta, Saskatchewan, Ontario, Nova Scotia, and New Brunswick are expected to see the biggest reduction of air pollutant emissions with the transition to net-zero electricity.

Electricity profile by provinces and territories

Electricity profile by provinces and territories

In Canada, 84% of our electricity comes from renewable and non-emitting sources such as solar, hydro, nuclear, and wind power. The pace of renewable energy growth in Canada is increasing as the costs of renewables decline. Other highlights of Canada’s electricity profile:

  • In 2021, hydroelectricity made up over 60% of electricity production in Canada. 
  • As of 2022, Canada had an installed capacity of more than 19 gigawatts (GW) of utility-scale wind (nearly 15 GW) and solar (more than 4 GW) energy. That’s enough to power about 19 million homes!
  • Renewable energy continues to grow across Canada with more than 1.8 GW of new generation capacity added in 2022. The Canadian Renewable Energy Association forecasts the addition of more than 5 GW of wind and 2 GW of major solar in the short term between 2023 and 2025.
  • Wind capacity is Canada’s second largest source of renewable electricity. Alberta, Ontario, Quebec, Nova Scotia, and Prince Edward Island are the biggest sources of this resource.  
  • The biggest source of solar power comes from Alberta and Ontario, with almost all the recent growth coming from Alberta.
  • In the near-term, Alberta and Saskatchewan are projected to lead Canada in renewable energy growth with large additions to wind and solar capacity.

Learn about the different energy sources of each province and territory, the economic opportunities of a clean electricity grid, clean energy projects underway, and what the Government of Canada is doing to ensure affordable electricity for consumers.

Support for net-zero electricity

Support for net-zero electricity

The transition to clean electricity is a shared responsibility. Collaboration with provinces, territories, Indigenous partners, and industry is essential. These partners have critical roles to play in ensuring Canadians have reliable and affordable power for years to come.

To support the shift to cleaner electricity now, the Government of Canada is putting in place a comprehensive suite of measures announced in the Fall Economic Statement 2022 and Budget 2023. These measures, totalling over $40 billion over the next 10 years, would provide the electricity sector with the regulatory certainty and financial support it needs to transition to a net zero electricity sector by 2035.

We are working with provinces and territories through the Regional Energy and Resource Tables and the Canada Electricity Advisory Council.

We are also supporting businesses and utilities through the following programs:

Learn about electricity in Canada

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