Canada's Clean Electricity Regulations

Nearly 80% of the country’s total emissions are linked to energy production and consumption. Reducing the effects of the climate crisis therefore requires the decarbonization of all sectors of our economy, particularly the energy sector, which is one of the most polluting in Canada. This means switching from fossil fuels (gas and oil) to clean forms of energy (hydroelectricity, solar, wind, etc.) to heat and cool our buildings, power our appliances and vehicles, and fuel our industries.

The federal government announced Canada's Clean Electricity Regulations in December 2021. The aim of these regulations is to reduce GHG emissions from fossil fuel powered electricity by 2035, a crucial step towards achieving the country's energy transition objectives and net-zero targets by 2050.

Critics of these regulations, namely representatives of the fossil fuel industry, are spreading misleading information about them. It’s important to rely on factual data in order to understand the true implications of these regulations. So, here are the facts!

What are the Clean Electricity Regulations?

The Clean Electricity Regulations are part of Canada’s overall strategy to fight climate change by regulating electricity generation in Canada. The regulations will enable regions that currently rely on fossil fuel electricity to transition to renewable energy sources such as hydro, wind and solar power. The regulations also set strict limits on emissions from fossil fuel power plants, such as those that are powered by natural gas.

The goal is to ensure clean, affordable electricity while supporting innovation and creating jobs in green sectors.

Will the Clean Electricity Regulations make electricity more expensive?

While the transition to clean electricity sources may involve upfront costs (such as building solar panels or infrastructure), and could therefore increase electricity costs, renewable energy has become more and more competitive with fossil fuels.

With the price of oil constantly on the rise, consumers who rely on fossil fuels for their electricity are subject to the uncertainties of these market fluctuations. This is especially true of the natural gas market. Natural gas (a significant energy source in Canada) is becoming increasingly expensive, driving up the cost of all types of energy, which in turn has a direct impact on our electricity bills.

Transitioning to clean electricity across Canada would limit GHG emissions and help reduce the impact and the costs of climate change (such as extreme weather events) and the associated public health costs (such as respiratory diseases and cancer), which could more than offset the initial costs of the transition to clean energy. The Clean Electricity Regulations should therefore ultimately result in a lower cost of living.

Does Canada have the capacity to produce enough clean electricity to meet the demand?

Yes, with investments in energy efficient technologies and infrastructure, Canada is able to meet the growing demand for electricity with clean energy sources. The country has vast amounts of renewable resources, including hydroelectricity (especially here in Quebec), wind, solar and biomass.

But it’s not enough to just talk about increasing the production of clean energy, we also need to think about reducing the demand for electricity. Our energy needs are continually increasing, requiring ever more natural resources. Overconsumption and energy waste are major issues. The construction of new energy infrastructures is not without consequences for our natural environments, and puts pressure on our agri-food supply chains, as well as having a major impact on local communities and our ecosystems.

We need to be focusing more on collective energy sobriety and energy efficiency than on increasing energy production.

Will a transition to clean electricity really reduce greenhouse gas emissions?

The fossil energy sector is a major source of greenhouse gas emissions. Renewable energy produces comparatively very little greenhouse gases, and these emissions are more often generated during the initial phases of a project.

By switching from oil and gas to clean energy to produce electricity, Canada will make significant progress toward achieving its climate objectives, thereby reducing the impacts of the climate crisis that we're already dealing with.

Will the Clean Electricity Regulations lead to job losses in the oil and gas and heavy industry sectors?

With the move away from fossil fuels, some industries will see a reduction in jobs in their sectors, but the transition to clean electricity will create new jobs in the renewable energy sector.

The new Canadian Sustainable Jobs Act is already bringing in provisions to help those affected as they try to adapt to these new opportunities, specifically through training and retraining programs. The energy transition must be fair for the workers and communities that are currently dependent on fossil fuel industries. The number of clean energy jobs is expected to grow by almost 50% to reach 639,200 by 2030.

It is critically important that we rethink the way that we consume energy, and that we transition from fossil fuels to renewable energies.

Canada'a Clean Electricity Regulations are an important step in a series of measures to fight the climate crisis, such as the federal government's cap on emissions from the oil and gas sector.