Canadian climate policy and its implications for electricity grids


renewable energy generation

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Canada Electricity Decarbonization Costs indicate challenging greenhouse gas reductions across a fragmented grid, with wind, solar, nuclear, and natural gas tradeoffs, significant GDP impacts, and Net Zero targets constrained by intermittency and limited interties.

 

Key Points

Costs to cut power CO2 via wind, solar, gas, and nuclear, considering grid limits, intermittency, and GDP impacts.

✅ Alberta model: eliminate coal; add wind, solar, gas; 26-40% CO2 cuts

✅ Nuclear option enables >75% cuts at higher but feasible system costs

✅ National costs 1-2% GDP; reserves, transmission, land, and waste not included

 

Along with many western developed countries, Canada has pledged to reduce its greenhouse gas emissions by 40–45 percent by 2030 from 2005 emissions levels, and to achieve net-zero emissions by 2050.

This is a huge challenge that, when considered on a global scale, will do little to stop climate change because emissions by developing countries are rising faster than emissions are being reduced in developed countries. Even so, the potential for achieving emissions reduction targets is extremely challenging as there are questions as to how and whether targets can be met and at what cost. Because electricity can be produced from any source of energy, including wind, solar, geothermal, tidal, and any combustible material, climate change policies have focused especially on nations’ electricity grids, and in Canada cleaning up electricity is viewed as critical to meeting climate pledges.

Canada’s electricity grid consists of ten separate provincial grids that are weakly connected by transmission interties to adjacent grids and, in some cases, to electricity systems in the United States. At times, these interties are helpful in addressing small imbalances between electricity supply and demand so as to prevent brownouts or even blackouts, and are a source of export revenue for provinces that have abundant hydroelectricity, such as British Columbia, Manitoba, and Quebec.

Due to generally low intertie capacities between provinces, electricity trade is generally a very small proportion of total generation, though electricity has been a national climate success in recent years. Essentially, provincial grids are stand alone, generating electricity to meet domestic demand (known as load) from the lowest cost local resources.

Because climate change policies have focused on electricity (viz., wind and solar energy, electric vehicles), and Canada will need more electricity to hit net-zero according to the IEA, this study employs information from the Alberta electricity system to provide an estimate of the possible costs of reducing national CO2 emissions related to power generation. The Alberta system serves as an excellent case study for examining the potential for eliminating fossil-fuel generation because of its large coal fleet, favourable solar irradiance, exceptional wind regimes, and potential for utilizing BC’s reservoirs for storage.

Using a model of the Alberta electricity system, we find that it is infeasible to rely solely on renewable sources of energy for 100 percent of power generation—the costs are prohibitive. Under perfect conditions, however, CO2 emissions from the Alberta grid can be reduced by 26 to 40 percent by eliminating coal and replacing it with renewable energy such as wind and solar, and gas, but by more than 75 percent if nuclear power is permitted. The associated costs are estimated to be some $1.4 billion per year to reduce emissions by at most 40 percent, or $1.9 billion annually to reduce emissions by 75 percent or more using nuclear power (an option not considered feasible at this time).

Based on cost estimates from Alberta, and Ontario’s experience with subsidies to renewable energy, and warnings that the switch from fossil fuels to electricity could cost about $1.4 trillion, the costs of relying on changes to electricity generation (essentially eliminating coal and replacing it with renewable energy sources and gas) to reduce national CO2 emissions by about 7.4 percent range from some $16.8 to $33.7 billion annually. This constitutes some 1–2 percent of Canada’s GDP.

The national estimates provided here are conservative, however. They are based on removing coal-fired power from power grids throughout Canada. We could not account for scenarios where the scale of intermittency turned out worse than indicated in our dataset—available wind and solar energy might be lower than indicated by the available data. To take this into account, a reserve market is required, but the costs of operating such a capacity market were not included in the estimates provided in this study. Also ignored are the costs associated with the value of land in other alternative uses, the need for added transmission lines, environmental and human health costs, and the life-cycle costs of using intermittent renewable sources of energy, including costs related to the disposal of hazardous wastes from solar panels and wind turbines.

 

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Winds of Change: Vineyard Wind Ushers in a New Era for Clean Energy

Vineyard Wind Offshore Wind Farm delivers clean power to Massachusetts near Martha's Vineyard, with 62 turbines and 800 MW capacity, advancing renewable energy, cutting carbon, lowering costs, and driving net-zero emissions and green jobs.

 

Key Points

An 800 MW Massachusetts offshore project of 62 turbines supplying clean power to 400,000+ homes and cutting emissions.

✅ 800 MW powering 400,000+ MA homes and businesses

✅ 62 turbines, 13 MW each, 15 miles from Martha's Vineyard

✅ Cuts 1.6M tons CO2 annually; boosts jobs and port infrastructure

 

The crisp Atlantic air off the coast of Martha's Vineyard carried a new melody on February 2nd, 2024. Five colossal turbines, each taller than the Statue of Liberty, began their graceful rotations, marking the historic moment power began flowing from Vineyard Wind, the first large-scale offshore wind farm in the United States, enabled by Interior Department approval earlier in the project timeline. This momentous occasion signifies a seismic shift in Massachusetts' energy landscape, one that promises cleaner air, lower energy costs, and a more sustainable future for generations to come.

Nestled 15 miles southeast of Martha's Vineyard and Nantucket, Vineyard Wind is a colossal undertaking. The project, a joint venture between Avangrid Renewables and Copenhagen Infrastructure Partners, will ultimately encompass 62 turbines, each capable of generating a staggering 13 megawatts. Upon full completion later this year, Vineyard Wind will power over 400,000 homes and businesses across Massachusetts, contributing a remarkable 800 megawatts to the state's energy grid.

But the impact of Vineyard Wind extends far beyond mere numbers. This trailblazing project holds immense environmental significance. By harnessing the clean and inexhaustible power of the wind, Vineyard Wind is projected to annually reduce carbon emissions by a staggering 1.6 million metric tons – equivalent to taking 325,000 cars off the road. This translates to cleaner air, improved public health, and a crucial step towards mitigating the climate crisis.

Governor Maura Healey hailed the project as a "turning point" in Massachusetts' clean energy journey. "Across the Commonwealth, homes and businesses will now be powered by clean, affordable energy, contributing to cleaner air, lower energy costs, and pushing us closer to achieving net-zero emissions," she declared.

Vineyard Wind's impact isn't limited to the environment; it's also creating a wave of economic opportunity. Since its inception in 2017, the project has generated nearly 2,000 jobs, with close to 1,000 positions filled by union workers thanks to a dedicated Project Labor Agreement. Construction has also breathed new life into the New Bedford Marine Commerce Terminal, with South Coast construction activity accelerating around the port, transforming it into the nation's first port facility specifically designed for offshore wind, showcasing the project's commitment to local infrastructure development.

"Every milestone on Vineyard Wind 1 is special, but powering up these first turbines stands apart," emphasized Pedro Azagra, CEO of Avangrid Renewables. "This accomplishment reflects the years of dedication and collaboration that have defined this pioneering project. Each blade rotation and megawatt flowing to Massachusetts homes is a testament to the collective effort that brought offshore wind power to the United States."

Vineyard Wind isn't just a project; it's a catalyst for change. It perfectly aligns with Massachusetts' ambitious clean energy goals, which include achieving net-zero emissions by 2050 and procuring 3,200 megawatts of offshore wind by 2028, while BOEM lease requests in the Northeast continue to expand the development pipeline across the region. As Energy and Environmental Affairs Secretary Rebecca Tepper stated, "Standing up a new industry is no easy feat, but we're committed to forging ahead and growing this sector to lower energy costs, create good jobs, and build a cleaner, healthier Commonwealth."

The launch of Vineyard Wind transcends Massachusetts, serving as a beacon for the entire U.S. offshore wind industry, as New York's biggest offshore wind farm moves forward to amplify regional momentum. This demonstration of large-scale development paves the way for further investment and growth in this critical clean energy source. However, the journey isn't without its challenges, and questions persist about reaching 1 GW on the grid nationwide as stakeholders navigate timelines. Concerns regarding potential impacts on marine life and visual aesthetics remain, requiring careful consideration and ongoing community engagement.

Despite these challenges, Vineyard Wind stands as a powerful symbol of hope and progress. It represents a significant step towards a cleaner, more sustainable future, powered by renewable energy sources at a time when U.S. offshore wind is about to soar according to industry outlooks. It's a testament to the collaborative effort of policymakers, businesses, and communities working together to tackle the climate crisis. As the turbines continue their majestic rotations, they carry a message of hope, reminding us that a brighter, more sustainable future is within reach, powered by the wind of change.

Additional Considerations:

  • The project boasts a dedicated Fisheries Innovation Fund, fostering collaboration between the fishing and offshore wind industries to ensure sustainable coexistence.
  • Vineyard Wind has invested in education and training programs, preparing local residents for careers in the burgeoning wind energy sector.
  • The project's success opens doors for further offshore wind development in the U.S., such as Long Island proposals gaining attention, paving the way for a clean energy revolution.

 

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DOE Issues Two LNG Export Authorizations

DOE LNG Export Approvals expand flexibility for Cheniere's Sabine Pass and Corpus Christi to ship to non-FTA countries, boosting U.S. supply to Europe while advancing methane emissions reductions and strengthening global energy security.

 

Key Points

DOE LNG export approvals authorize Sabine Pass and Corpus Christi to sell full-capacity LNG to non-FTA markets.

✅ Exports allowed to any non-FTA country, including Europe

✅ Capacity covers Sabine Pass and Corpus Christi terminals

✅ DOE targets methane reductions across oil and gas

 

The U.S. Department of Energy (DOE) today issued two long-term orders authorizing liquefied natural gas (LNG) exports from two current operating LNG export projects, Cheniere Energy Inc.’s Sabine Pass in Louisiana and Corpus Christi in Texas, following a recent deep freeze that slammed the American energy sector.

The two orders allow Sabine Pass and Corpus Christi additional flexibility to export the equivalent of 0.72 billion cubic feet per day of natural gas as LNG to any country with which the U.S. does not have a free trade agreement, including all of Europe, such as the UK natural gas market as well.

While U.S. exporters are already exporting at or near their maximum capacity, with today's issuances, every operating U.S. LNG export project has approval from DOE to export its full capacity to any country where not prohibited by U.S. law or policy constraints in place.

The U.S. is now the top global exporter of LNG and exports are set to grow an additional 20% beyond current levels by the end of this year as additional capacity comes online, even as a domestic energy crisis influences electricity and gas markets.  In January 2022, U.S. LNG supplied more than half of the LNG imports into Europe for the month.

With the expected rise in LNG exports, DOE is particularly focused on driving down methane emissions in the oil and gas sector both domestically and abroad, leveraging the deep technical expertise of the Department, and supporting nuclear innovation as well.

U.S. LNG remains an important component to global energy security worldwide and DOE remains committed to finding ways to help our allies and trading partners, including support to Ukraine and others with the energy supplies they need while continuing to work to mitigate the impact of climate change.

 

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High-rise headaches: EV charging in Canada's condos, apartments and MURBs a mixed experience

Canada EV-ready rules for MURBs vary by city, with municipal bylaws dictating at-home Level 2 charging in condos, apartments, strata, and townhomes; BC leads, others evaluating updates to building codes.

 

Key Points

Municipal bylaws mandate EV-ready, Level 2 charging in multi-unit housing; requirements vary by city.

✅ No federal/provincial mandates; municipal bylaws set EV access.

✅ B.C. leads; many cities require 100% EV-ready residential stalls.

✅ Other cities are evaluating code changes; enforcement varies widely.

 

An absence of federal, provincial rules for EV charging in Canada’s condos, apartment buildings, strata or townhomes punts the issue to municipalities and leaves many strata owners to fend for themselves, finds Electric Autonomy’s cross-Canada guide to municipal building code regulations for EV charging in MURBs

When it comes to reducing barriers to electric vehicle adoption in Canada, one of the most critical steps governments can do is to help provide access to at-home EV charging.

While this is usually not a complicated undertaking in single-unit dwellings, in multi-unit residential buildings (MURBs) which includes apartments, condos, strata and townhomes, the situation and the experience is quite varied for Canadian EV drivers, and retrofitting condos can add complexity depending on the city in which they live.

In Canada, there are no regulations in the national building code that require new or existing condos, apartment buildings, strata or townhomes to offer EV charging. Provinces and territories are able to create their own building laws and codes, but none have added anything yet to support EV charging. Instead, some municipalities are provided with the latitude by their respective provinces to amend local bylaws and add regulations that will require multi-residential units — both new builds and existing ones — to be EV-ready.

The result is that the experience and process of MURB residents getting EV charging infrastructure access is highly fragmented across Canada.

In order to bring more transparency, Electric Autonomy Canada has compiled a roundup of all the municipalities in Canada with existing regulations that require all new constructions to be EV-ready for the future and those cities that have announced publicly they are considering implementing the same.

The tally shows that 21 cities in British Columbia and one city in both Quebec and Ontario have put in place some EV-ready regulations. There are eight other municipalities in Alberta, Saskatchewan, Ontario, Nova Scotia and Newfoundland evaluating their own building code amendments, including Calgary’s condo charging expansion initiatives across apartments and condos.

No municipalities in Manitoba, Prince Edward Island and New Brunswick have any regulations around this. City councils in Edmonton, Saskatoon, Hamilton, Sarnia, Halifax and St. John’s have started looking into it, but no regulations have officially been made.

British Columbia
B.C. is, by far, Canada’s most advanced province in terms of having mandates for EV charging access in condos, apartment buildings, strata or townhomes, leading the country in expanding EV charging with 20 cities with modified building codes to stipulate EV-readiness requirements and one city in the process of implementing them.

City of Vancouver: Bylaw 10908 – Section 10.2.3. was amended on July 1, 2014, to include provisions for Level 2 EV charging infrastructure at all residential and commercial buildings. On March 14, 2018, the bylaw was updated to adopt a 100 per cent EV-ready policy from 20 per cent to 100 per cent. The current bylaw also requires one EV-ready stall for single-family residences with garages and 10 per cent of parking stalls to be EV-ready for commercial buildings.

City of Burnaby: Zoning Bylaw 13903 – Section 800.8, which took effect on September 1st, required Level 2 energized outlets in all new residential parking spaces. This includes both single-family homes and multi-unit residential buildings. Parking spaces for secondary suites and visitor parking are exempt, but all other stalls in new buildings must be 100 per cent EV-ready.


City of Nelson: The city amended its Off-Street Parking and Landscaping Bylaw No. 3274 – Section 7.4 in 2019 to have at least one parking space per dwelling unit feature
Level 2 charging or higher in new single-family and multi-unit residential buildings, starting in 2020. For every 10 parking spaces available at a dwelling, two stalls must have Level 2 charging capabilities.

City of Coquitlam: The Zoning Bylaw No. 4905 – Section 714 was amended on October 29, 2018, to require all new construction, including single-family residences and MURBs, to have a minimum of one energized outlet capable of Level 2 charging or higher for every dwelling unit. Parking spaces designated for visitors are exempt.

If the number of parking spaces is less than the number of dwelling units, all residential parking spots must have an energized outlet with Level 2 or higher charging capabilities.

City of North Vancouver: According to Zoning Bylaw No. 6700 – Section 909, all parking spaces in all new residential multi-family buildings must include Level 2 EV charging infrastructure as of June 2019 and 10 per cent of residential visitor parking spaces must include Level 2 EV charging infrastructure as of Jan. 2022.

District of North Vancouver: Per the Electric Vehicle Charging Infrastructure Policy, updated on March 17, 2021, all parking stalls — not including visitor parking — must feature energized outlets capable of providing Level 2 charging or higher for multi-family residences.

City of New Westminster: As of April 1, 2019, all new buildings with at least one residential unit are required to have a Level 2 energized outlet to the residential parking spaces, according to Electric Vehicle Ready Infrastructure Zoning Bylaw 8040, 2018. Energized Level 2 outlets will not be required for visitor parking spaces.

City of Port Moody: Zoning Bylaw No. 2937 – Section 6.11 mandated that all spaces in new residential constructions starting from March 1, 2019, required an energized outlet capable of Level 2 charging. A minimum of 20 per cent of spaces in new commercial constructions from March 1, 2019, required an energized outlet capable of Level 2 charging.

City of Richmond: All new buildings and residential parking spaces from April 1, 2018, excluding those provided for visitors’ use, have had an energized outlet capable of providing Level 2 charging or higher to the parking space, says Zoning Bylaw 8500 – Section 7.15.

District of Saanich: Zoning Bylaw No. 8200 – Section 7 specified that all new residential MURBs are required to provide Level 2 charging after Sept. 1, 2020.

District of Squamish: Bylaw No. 2610, 2018 Subsection 41.11(f) required 100 per cent of off-street parking stalls to have charging infrastructure starting from July 24, 201, in any shared parking areas for multiple-unit residential uses.

City of Surrey: Zoning By-law No. 12000 – Part 5(7) was amended on February 25, 2019 to say builders must construct and install an energized electrical outlet for 100 per cent of residential parking spaces, with home and workplace charging rebates helping adoption, 50 per cent of visitor parking spaces, and 20 per cent of commercial parking spaces. Each energized electrical outlet must be capable of providing Level 2 or a higher level of electric vehicle charging

District of West Vancouver: Per Zoning Bylaw No. 4662 – Sections 142.10; 141.01(4), new dwelling units, all parking spaces for residential use, except visitor parking, need to include an energized outlet that is: (a) capable of providing Level 2 charging for an electric vehicle; (b) labelled for the use of electric vehicle charging.

City of Victoria: In effect since October 1, 2020, the Zoning Bylaw No. 80-159 – Schedule C Section 2.4 stipulates that all residential parking spaces in new residential developments must have an energized electrical outlet installed that can provide Level 2 charging for an electric vehicle, and residents can access EV charger rebates to offset costs. This requirement applies to both single-family and multi-unit residential dwellings but not visitor parking spaces.

Township of Langley: In Zoning Bylaw No. 2500 – Section 107.3, all new residential construction, including single-home dwellings, townhouses and apartments, required one space per dwelling unit to have EV charging requirements, starting from Nov. 4, 2019.

Town of View Royal: As per Zoning Bylaw No. 900 – Section 5.13, every commercial or multi-unit residential construction with more than 100 parking spots must provide an accessible electric vehicle charging station on the premises for patrons or residents. This bylaw was adopted on Feb. 2021.

Nanaimo: According to the Off-Street Parking Regulations Bylaw No. 7266 – Section 7.7, a minimum of 25 per cent of all off-street parking spots in any common parking area for multifamily residential housing must have shared access to a Level 2 EV charging, and have an electrical outlet box wired with a separate branch circuit capable of supplying electricity to support both Level 1 and Level 2 charging.

Port Coquitlam: For residential buildings that do not have a common parking area, one parking space per dwelling unit is required to provide “roughed-in” charging infrastructure, put in effect on Jan. 23, 2018. This must include an electrical outlet box located within three metres of the unit’s parking space, according to Zoning Bylaw No. 3630 – Section 2.5.10;11. For a residential building with a common parking area, a separate single utility electrical meter and disconnect should be provided in line with the electrical panel(s) intended to provide EV charging located within three metres of the parking space.

Maple Ridge: The city’s Bylaw No. 4350-1990 – Schedule F says for apartments, each parking space provided for residential use, excluding visitor parking spaces, will be required to have roughed-in infrastructure capable of providing Level 2 charging.

Apartments and townhouses with a minimum of 50 per cent of required visitor parking spaces will need partial infrastructure capable of Level 2 charging.

White Rock: The city is currently considering changes to its Zoning Bylaw, 2012, No. 2000. On March 18, 2021, the Environmental Advisory Committee presented recommendations that would require all resident parking stalls to be Level 2 EV-ready in new multi-unit residential buildings and 50 per cent of visitor parking stalls to be Level 2 EV-ready in new multi-unit residential buildings.

Kamloops: The city of Kamloops is looking to draft a zoning amendment bylaw that would require new residential developments, all new single-family, single-family with a secondary suite, two-family, and multi-family residential developments, to have EV-ready parking with one parking stall per dwelling unit, at the beginning of Jan. 1, 2023.

Kamloops’ sustainability services supervisor Glen Cheetham told Electric Autonomy Canada in an email statement that the city’s council has given direction to staff to “conduct one final round of engagement with industry before bringing the zoning amendment bylaw to Council mid-June for first and second reading, followed by a public hearing and third reading/approval.”

 

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Toronto to start trial run of 'driverless' electric vehicle shuttles

Toronto Olli 2.0 Self-Driving Shuttle connects West Rouge to Rouge Hill GO with autonomous micro-transit. Electric shuttle pilot by Local Motors and Pacific Western Transportation, funded by Transport Canada, features accessibility, TTC and Metrolinx support.

 

Key Points

An autonomous micro-transit pilot linking West Rouge to Rouge Hill GO, with accessibility and onboard staff.

✅ Last-mile link: West Rouge to Rouge Hill GO

✅ Accessible: ramp, wheelchair securement, A/V announcements

✅ Operated with attendants; funded by Transport Canada

 

The city of Toronto, which recently opened an EV education centre to support adoption, has approved the use of a small, self-driving electric shuttle vehicle that will connect its West Rouge neighbourhood to the Rouge Hill GO station, a short span of a few kilometres.

It’s called the Olli 2.0, and it’s a micro-shuttle with service provided by Local Motors, in partnership with Pacific Western Transportation, as the province makes it easier to build EV charging stations to support growing demand.

The vehicle is designed to hold only eight people, and has an accessibility ramp, a wheelchair securement system, audio and visual announcements, and other features for providing rider information, aligning with transit safety policies such as the TTC’s winter lithium-ion device restrictions across the system.

“We are continuing to move our city forward on many fronts including micro-transit as we manage the effects of COVID-19,” said Mayor John Tory. “This innovative project will provide valuable insight, while embracing innovation that could help us build a better, more sustainable and equitable transportation network.”

At the provincial level, the public EV charging network has faced delays, underscoring infrastructure challenges.


Although the vehicle is “self-driving,” it will still require two people onboard for every trip during the six- to 12-month trial; those people will be a certified operator from Pacific Western Transportation, and either a TTC ambassador from an agency introducing battery electric buses across its fleet, or a Metrolinx customer service ambassador.

Funding for the program comes from Transport Canada, as part of a ten-year pilot program to test automated vehicles on Ontario’s roads that was approved in 2016, and it complements lessons from the TTC’s largest battery-electric bus fleet as well as emerging vehicle-to-grid programs that engage EV owners.

 

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Cost is the main reason stopping Canadians from buying an electric car: Survey

Canada EV Incentives drive adoption toward the 2035 zero-emission target, with rebates, federal and provincial programs boosting affordability amid concerns over charging infrastructure, range anxiety, and battery life, according to a BNN Bloomberg-Leger survey.

 

Key Points

Canada EV incentives are rebates and tax credits reducing EV costs to accelerate zero-emission vehicle adoption nationwide.

✅ Federal and provincial rebates reduce EV purchase prices

✅ Incentives offset range, battery, and charging concerns

✅ Larger incentives correlate with higher adoption rates

 

If the federal government wants to meet its ambitious EV goals of having all cars and passenger trucks sold in Canada be zero emissions by 2035, it’s going to have to do something about the cost of these vehicles.

A new survey from BNN Bloomberg and RATESDOTCA has found that cost is the number one reason stopping Canadians from buying an electric car.

The survey, which was conducted by Leger Marketing earlier this month, asked 1,511 Canadians if they were planning to purchase a new electric vehicle in the near future. It found that just over one in four, or 26 per cent of Canadians, are planning to do so, with Atlantic Canada lagging other regions. On the other hand, 19 per cent of Canadians are planning to buy a gas/diesel/hybrid card for their next purchase. 

Those who aren’t planning on buying an EV were asked what the biggest reason for their decision was. By far, it was the price of these vehicles: 31 per cent of this group cited cost as the main reason for not electrifying their ride. Another 59 per cent of respondents cited it as a concern, but not the main one. Other reasons for not wanting to buy an electric vehicle included lack of infrastructure (18 per cent), range concerns (16 per cent), and battery life and replacement (13 per cent), and some report EV shortages and wait times too.

What’s interesting is that it’s clear that government incentives for EVs are the most powerful tool right now to drive adoption, though some argue subsidies are a bad idea for Canada. When asked if further government incentives would convince them to buy an electric vehicle, 78 per cent of those surveyed said yes.

That’s right. If more governments increased the incentives offered for buying electric vehicles, reaching the goal of only selling zero emission vehicles in Canada by 2035 would no longer be a pipe dream, despite 2035 mandate skepticism from some.

At the moment, only Quebec and B.C. offer government incentives to buy an electric vehicle, even as B.C. charging bottlenecks are predicted. The federal government offers up to a $5,000 incentive, with restrictions including a limit on the total price of the vehicle, and has signaled EV sales regulations are forthcoming. Ontario previously offered a rebate of up to $14,000, however, the popular program was cancelled when the Progress Conservative government was elected in 2018.

The cancellation led to a plunge in new electric vehicle sales in Ontario, falling more than 55 per cent in the first six months of 2019 when compared to the same time period in the previous year, according to Electric Mobility Canada.

It’s no surprise that the larger the incentive, the more Canadians will be swayed to buy an electric car. Perhaps what’s surprising is that the incentive doesn’t even have to be as large as the previous Ontario rebate was. The survey found that seven per cent of Canadians would buy an electric vehicle if they got an incentive ranging anywhere from $5,001-$7,250. A full 35 per cent said a $12,500 or higher incentive would convince them.

The majority of Canadians surveyed said they use their vehicles for leisure or commuting to work. Leisure uses include running errands and seeing friends and family, of which 43 per cent of respondents said was the primary way they used their vehicle. Meanwhile, 36 per cent said they primarily used their car to commute to work.

The survey also found that incentives were more effective at convincing younger people to buy an electric vehicle. Eighty-three per cent of those under the age of 55 could be swayed by new incentives. But for those over 55, only 66 per cent said they would change their mind. 

 

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Renewables Projected to Soon Be One-Fourth of US Electricity Generation

U.S. Renewable Energy Forecast 2024 will see wind and solar power surpass one-fourth of electricity generation, EIA projects, as coal declines, natural gas dips, and clean energy capacity, grid integration, and policy incentives expand.

 

Key Points

EIA outlook: renewables at 26% of U.S. power in 2024, led by wind and solar as coal declines and gas share dips.

✅ Wind and solar hit 18% combined, surpassing coal's 17%.

✅ Natural gas dips to 37% as demand rebounds modestly.

✅ Coal plant closures accelerate amid costs, emissions, and age.

 

Renewable energy is poised to reach a milestone, after a record 28% in April this year, as a new government report projects that wind, solar and other renewable sources will exceed one-fourth of the country’s electricity generation for the first time, in 2024.

This is one of the many takeaways from the federal government’s Short Term Energy Outlook, a monthly report whose new edition is the first to include a forecast for 2024. The report’s authors in the Energy Information Administration are expecting renewables to increase in market share, while natural gas and coal would both decrease.

From 2023 to 2024, renewables would rise from 24 percent to 26 percent of U.S. electricity generation; coal’s share would drop from 18 percent to 17 percent; gas would remain the leader but drop from 38 percent to 37 percent; and nuclear would be unchanged at 19 percent.

It was a big deal in 2020 when generation from renewables passed coal for the first time in 130 years over a full year. Coal made a comeback in 2021 and then retreated again in 2022 as renewables surpassed coal in generation. The ups and downs were largely the result of fluctuations in electricity demand during and then after the Covid-19 pandemic.

The new report indicates that coal doesn’t have another comeback in the works. This fuel, which was the country’s leading electricity source less than a decade ago, is declining as many coal-fired power plants are old and economically uncompetitive. Coal plants continue to close, and developers aren’t building new ones because of concerns about high costs and emissions, a trend underscored when renewables became the second-most prevalent source in 2020 across the U.S.

The growth in renewable energy is coming from wind and solar power, with wind responsible for about one-third of the growth and solar accounting for two-thirds, the report says, and combined output from wind and solar has already exceeded nuclear for the first time in the U.S. Other renewable sources, like hydropower and biomass, would be flat.

In fact, the growth of wind and solar is projected to be so swift that the combination of just those two sources would be 18 percent of the U.S. total by 2024, which would surpass coal’s 17 percent.

A key variable is overall electricity consumption. EIA is projecting that this will fall 1 percent in 2023 compared to 2022, due a mild summer. Then, consumption will increase 1 percent in 2024.

If demand was rising more, then natural gas power would likely gain market share because of gas power plants’ ability to vary their output as needed to respond to changes in demand.

I asked Eric Gimon, a senior fellow at the think tank Energy Innovation, what he thinks of these latest numbers.

He said wind and solar have gotten so big that it almost makes sense to track them as their own categories as opposed to lumping them into the larger category of renewables. He expects that the government will do this sometime soon.

Also, he thinks the projected increases for wind and solar, while substantial, are still smaller than those resources are likely to grow.

“My experience over the last 10 years is that the EIA tends to have flattish forecasts,” he said, meaning the federal office has underestimated the actual growth.

Some energy analysts have criticized EIA for being slow to recognize the growth of renewables. But much of the criticism is about the Annual Energy Outlook, which has numbers going out to mid-century, even as the U.S. is moving toward 30% from wind and solar by the end of the decade. The Short Term Energy Outlook, with numbers going one year into the future, has been more reliable.

Gimon said EIA is “kind of like your conservative uncle” in its forecasts, so it’s notable that the office expects to see a significant uptick in wind and solar.

Even so, he thinks the latest Short Term Energy Outlook should be read as the lower end of the range of potential increase for wind and solar.

For him to be right, the wind and solar industries will need to figure out solutions to the challenges they’ve been having in obtaining parts; they will need to make progress in dealing with local opposition to many projects and in having enough interstate power lines to deliver the electricity. And, new policies like the Inflation Reduction Act will need to have their desired effect of encouraging projects through the use of tax incentives.

It’s not much of a stretch to imagine that clean energy industries will make some progress on all of those fronts.

 

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