In the Air - HRAI Industry News

The National Energy Corridor Agreement, signed this past week by 10 provinces and territories, will connect and strengthen Canada’s electricity systems as electricity generators and utilities navigate demand spurred on by population growth and the decarbonization of buildings and industry, which includes growth in the use of such HVACR technologies as heat pumps. 

According to Ontario’s Independent Electricity System Operator (IESO), that province’s demand for electricity is forecast to increase by as much as 90 per cent by 2050, and it is not the only province managing rising use of electricity. 

Initiated by Ontario, this first-of-its-kind interprovincial-territorial partnership aims to build the transmission infrastructure needed to power the country’s next generation of growth to  address a significant rise in demand. The agreement commits British Columbia, Alberta, Saskatchewan, Manitoba, New Brunswick, Yukon, Prince Edward Island, Nova Scotia and the Northwest Territories to advancing new electricity transmission projects and strategic interties across Canada, connecting neighbouring electric systems with the intent of improving stability and reliability by trading energy, as needed, back and forth between participating energy systems. 

Rapid population growth, major industrial expansion, critical mineral development and electrification are driving unprecedented demand for power, while limited interprovincial connections prevent regions from sharing reliable, clean electricity efficiently. The participating governments warn that without action, these constraints will lead to higher costs, slower project development, and missed economic opportunities. 

“Access to clean and affordable energy is a priority – period. No matter where you live in this country, we rely more and more every day on electricity to accomplish many of the important things we need to do,” stated René Legacy, New Brunswick’s Deputy Premier and Minister of Energy. “We recognize the need to strengthen our ability to share that power to create a more resilient electrical system that supports the swell in demand in New Brunswick and across Canada.” 

In announcing the agreement, the Province of Ontario called it a major nation-building milestone, breaking down longstanding barriers between provincial grids, and enabling a more connected, resilient and self-reliant energy system. Participating provinces and territories will collaborate to advance new interprovincial and territorial transmission infrastructure, expand electricity trade within Canada, and advocate for federal support on investment that will accelerate transmission corridors, and in an electricity strategy that connects Canada east-west and north-south. 

“This first-of-its-kind partnership lays the foundation for thousands of jobs, billions in investment, and a modernized grid that advances Canada’s long-term energy future,” said Stephen Lecce, Ontario’s Minister of Energy and Mines.  

In addition to the provinces and territories that have signed onto the agreement, Quebec has also indicated its support of ​​enhanced collaboration between the provinces and territories, and to identify the most promising projects that meet market needs, provided that the collaboration respects the exclusive jurisdiction of the provinces. That province currently has interties with Ontario and New Brunswick. 

For more information about electricity use in Ontario, visit www.ieso.ca.