Ottawa is preparing to lay out a new climate-change vision that will deprioritize Canada’s commitments to reduce domestic greenhouse gas emissions, in favour of focusing on ways to reap economic advantage from the global transition toward low-carbon energy.
On electricity policy, most public attention will probably be paid to whether Mr. Carney recommits to the Clean Electricity Regulations – yet another existing policy, effectively restricting new investment in gas-fuelled power plants absent accompanying carbon capture, that Alberta opposes.
But building new sources of renewable electricity to bolster what are already low-emissions grids across most of Canada – a significant advantage in attracting industrial investment – is more in keeping with the competitiveness frame.
Another potential objective is encouraging Canadian sourcing of materials for those projects. One option, advocated by the Canadian Renewable Energy Association, would be a domestic-content bonus to the clean-electricity tax credit, as well as to an existing credit for private-sector clean-power investments. Read more here.