Canada Introduces New Rules to Transition to Renewable Energy

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Canada Introduces New Rules to Transition to Renewable Energy
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Ottawa announces details of proposed Clean Electricity Regulations, outlining flexible compliance options

, the new rules are aimed at ensuring that non-emitting power serves as the backbone of Canada’s transition to a low-carbon economy amid widespread electrification of transportation, buildings and industry.

The crux of the draft regulations is a cap, starting in 2035, on greenhouse-gas emissions from each large generating facility. It’s being proposed at a level that would allow gas plants with carbon capture technology to keep operating, but require those lacking it to curb output. The government also emphasized that the regulations will be “technology neutral,” meaning that they will not reward or punish certain types of non-emitting power – including nuclear and hydro, in addition to newer forms of renewables – compared to others.

But industry is waiting to see whether the wording of the regulations could also lead to penalties being applied to the production of energy that is used on the oil and gas sites, which is not the government’s stated aim. Nevertheless, the premiers of Alberta and Saskatchewan already railed against the regulations before seeing them, insisting that aiming for a net-zero emissions grid starting in 2035 was impossible, and slamming Ottawa for rules they said would quash use of their abundant natural gas reserves.on development of wind and solar projects, which she framed partly as a response to federal heavy-handedness.

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