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Globe and Mail
25-06-2025
- Business
- Globe and Mail
Does being an ‘energy superpower' really mean more oil and gas?
Janetta McKenzie is director of the Pembina Institute's oil and gas program. As Canada's new federal government settles in, we're hearing a repeated commitment to Canada becoming a world-leading 'energy superpower.' In this moment of Canadian unity, as we grapple with challenging trade and sovereignty dynamics with the United States, what should it mean? In the past, building more fossil-fuel infrastructure – in particular, pipelines – was an obvious choice, because everything was fossil-fuel-powered, and it seemed like it always would be. But now, Canadian decision-makers – laser-focused on enhancing our economic resilience and energy security – must look at global trends and make a call. The oil-and-gas sector faces a sustained decline, with global demand for oil set to peak in the 2030s, if not sooner. Even demand for LNG is looking increasingly uncertain, with the majority of B.C.'s proposed LNG terminals set to come online in an oversaturated market full of low-cost competitors. Then there's whether oil and gas build-out benefits Canadians in the ways we've been told. When oil and gas profits skyrocketed as the pandemic subsided, new investment and jobs didn't. Instead, companies increased the returns to shareholders. What if we thought about how to position our economy for long-term economic prosperity and energy security by investing in the best bets, given global energy trends? Opinion: Canada can help its allies ditch their dependence on Russian energy Opinion: To be an energy superpower, Canada must set aside flawed green ideology In 2025, global investment in clean energy is set to double that of fossil fuels once again, $2.2-trillion to $1.1-trillion. In 2024, investment in low-carbon solutions – such as electrified transport and renewables – grew by 11 per cent, hitting a record $2.1-trillion. All of these trends are driven by dramatic declines in the costs of new power generation and electrification technology. The global transition to clean energy is accelerating. Becoming an 'energy superpower' means equipping ourselves to lead in that world. Building out a clean, modernized electricity grid – removing barriers to interprovincial electricity transmission, and implementing a predictable regulatory system that favours sustainable development – would enhance our domestic energy security, allowing provinces like Ontario and Quebec to generate more of their own power. That abundance of low-emitting power would also show the world that Canada is ready for business. As the U.S. pauses its offshore wind approvals, for example, Canada could be ready to provide the clean power that emerging and existing sectors need. Alberta, whose oil and gas sector is vulnerable to trade disruptions with the U.S., could benefit from removing barriers currently throttling investment in local renewable power, too. In 2025, an 'energy superpower' does not invest taxpayer dollars or slacken regulatory guardrails to build new fossil-fuel infrastructure. Some fossil-fuel projects, such as cross-country pipelines, would cost tens of billions and take a decade to build. No private-sector company has put their hand up to take on this type of infrastructure. This doesn't mean we stop oil and gas production. But it does mean addressing the elephant in the room: Oil and gas producers are responsible for about one-third of Canada's national emissions for 5 per cent of GDP. Oil sands production is incredibly emissions-intensive, and those emissions continue to grow. In 2023, the oil sands alone emitted 80 per cent more emissions than Canada's entire electricity system. Last month in Calgary, Canada's Energy and Natural Resources Minister Tim Hodgson claimed, 'Every barrel of responsibly produced Canadian oil and every kilowatt of clean Canadian power can displace less clean, riskier energy elsewhere in the world.' But can Canada claim to be a 'responsible' oil and gas producer if the industry isn't fulfilling its commitments to responsible production? This means reducing emissions, and quickly. But despite years of announcements, companies have not meaningfully invested in decarbonization absent policy requiring them to do so — despite millions of taxpayer dollars on the table for carbon-capture projects. We clearly need an efficient and effective industrial regulatory regime, despite calls from industry to deregulate. Let's remember why regulation exists: to ensure stable, responsible and predictable energy development with as few negative impacts as possible; to ensure Indigenous communities are fully empowered in any development on their land; and to ensure project proponents produce enough benefits for Canadians to offset the environmental and social impacts of their operations. If fast-tracking select industrial projects — as the federal government intends, and as B.C. is doing with 18 energy and mining projects — there's an opportunity to improve our regulatory effectiveness. But red-tape reduction for its own sake would lead to new fossil fuel infrastructure built with lax environmental standards and inadequate constraints on pollution, and at high risk of becoming stranded assets in a declining global marketplace.
Canada Standard
10-06-2025
- Health
- Canada Standard
Q&A: How Deep Energy Retrofits Can Unlock Health Care Savings in Alberta
Across Canada, provinces like British Columbia, Quebec, Nova Scotia, and Ontario are investing in energy retrofits to cut emissions, lower energy bills, and improve health. But Alberta stands apart-not for what it's doing, but for what it isn't. There, 42% of 598,000 homes built before 1980 need repairs and upgrades. But Alberta is the only province or territory that doesn't allow utilities to engage in demand-side management (DSM) programs-initiatives that help people use less energy by funding things like insulation, heat pumps, and efficient appliances. Amid increasing wildfire smoke, extreme heat, and rising energy prices, retrofit advocates are working to build institutional support for programs to make homes safer for Albertans. Though retrofits can be costly and complex, a new Pembina Institute report shows their full value emerges when health care savings are factored into the equation. For example, researchers in England found that poor housing conditions cost their country's health care system $3 billion each year. Simply fixing homes that were too cold would save the National Health Service $1.8 billion per year in avoided costs, the study found. In New Zealand, researchers uncovered remarkable health and energy savings from retrofits made during a multi-year insulation and clean heating program, writes Pembina. After tracking hospitalization rates, prescription costs, and mortality across retrofitted and non-retrofitted homes, they found that insulation had the most benefit, while the biggest health savings came from reduced mortality. The program had a net return of $1.03 billion in health and energy savings-for every dollar spent, four dollars were returned. The Energy Mix talked with report author Raidin Blue, an analyst with the Pembina Institute's buildings program, about Alberta's retrofit gap, its health and equity impacts, and what's needed to drive policy change. The Mix : Why is it important to highlight both health and energy savings when making the case for deep retrofits? View our latest digests Retrofits aren't just about energy-they have a broader value proposition that we aren't capturing. We believe deep retrofits can be key to making life more affordable for Canadians, which is a huge priority right now. The business case for deep retrofits needs to be expanded to include non-energy benefits: improved health and safety, enhanced resilience, and better insurance coverage. When all of that is factored in, deep retrofits make strong financial sense. The Mix : Who do you hope will act on this report-and what message do you want them to walk away with? Building owners. I want them to understand that health is tied to housing-we spend 90% of our lives indoors. Poor ventilation? Air quality issues can damage your lungs. Struggling to keep your home warm in winter? Chronic cold is linked to cardiovascular issues. Both owners and tenants can face serious health impacts from their buildings, and retrofits are a powerful solution. The Mix: You highlight vulnerable households-like low-income families and seniors-living in poor-quality housing, yet Alberta has no province-wide retrofit strategy. However, we are seeing targeted programs like the Metis Government's federally funded $9.24-million retrofit initiative. What would it take to build broader political or institutional support for retrofits in Alberta? And should the feds step up with funding? People in Alberta want to retrofit. The demand is there. It is great to see this initiative from the Metis Government. The City of Calgary also expanded its Home Upgrades Program, and 20-some communities are involved in Alberta Municipalities' Clean Energy Improvement Program (CEIP). Unfortunately, CEIP programs are often out of reach for vulnerable populations, since the funding is tied to property taxes-and many low-income families and seniors don't own their homes. In provinces and territories where there are utility-led Demand-Side Management (DSM) programs, retrofit initiatives are common, and many focus specifically on low-income housing. These programs offer stable, year-over-year funding that building owners can rely on. So a key first step would be for Alberta-a DSM outlier in Canada-to enable utilities to administer and invest in them. At the federal level, the Canada Greener Homes Affordability Program has allocated C$800 to $900 million across the country to support retrofits in low- to median-income homes. So far, Alberta is the only province not actively working to access those funds. In most other jurisdictions, they're managed through a combination of designated agencies and utilities. To advance deep retrofits in Alberta and across Canada, all levels of government need to work more closely with important players like Natural Resources Canada, Infrastructure Canada, Canada Mortgage and Housing Corporation, insurance companies, and health authorities. We need to better understand the impacts of retrofits on everything from health to resilience to affordability-and then create stable supports and incentives. That's when building owners will begin to see real returns on deep retrofit investments-beyond just utility bill savings and emissions reductions. The Mix : You've drawn on international examples from Australia, New Zealand, and the United States. Are conditions in Alberta different enough that more local research is still needed? Where should that work start? It is great to see that Australia saved senior households $840 a winter-I think a health-focused retrofit study in Alberta would see significant health savings. We had hesitations with extrapolations because our examples vary from Alberta in both climate and by types of buildings-so we tried not to make direct comparisons. Alberta-specific pilots would showcase the health benefits of retrofits to building owners, local and provincial governments, and the retrofit industry as a whole. Fortunately, these benefits are likely to emerge even without extensive data collection or formal studies. A good starting point could be post-retrofit surveys, where program managers ask tenants about increased comfort or improvements in their overall health and well-being. From there, deeper research could explore reductions in sick days or asthma symptoms. This means working with health care providers to make stronger links between retrofits, health outcomes, and avoided health care costs. The Mix: Are there any promising examples in Canada-provincial or local-where health research is already influencing retrofit policy or program design? Canadians are really starting to make this connection between our built environment and health. For years people have discussed active transportation, walkable cities, and their health benefits. The University of Alberta has a Climate Change + Health Hub and the Housing for Health initiative because these are important issues to Albertans. Look to the 2021 heat dome, when 619 people died in British Columbia, 66 in Alberta. The B.C. government responded with a formal coroner's investigation and the province worked with utility BC Hydro to provide free air conditioners to vulnerable people. Similar programs were also launched in Oregon and Washington State. These are promising, but still just responses to acute events-they don't take a whole-building approach to deep retrofits. I want policy-makers and researchers to understand that-beyond heat waves-there are chronic health impacts associated with our housing. The Mix : What makes you optimistic that this framing will gain traction? Are decision-makers starting to think differently about the value of deep retrofits? Retrofits do make a difference and that gives me optimism. They are the one form of climate policy that does both climate mitigation and adaptation. They can make our homes healthier, safer, and more affordable. Part of our work over the next year will be to bring together all of these pieces for a complete deep retrofit business case. We just need coordinated efforts from all orders of government, utilities, insurance and investment sectors, and building owners, to keep Canadians healthy and safe. Source: The Energy Mix
Calgary Herald
09-06-2025
- Business
- Calgary Herald
Global Energy Show expected to draw thousands to Calgary, highlight 'global energy story'
The Global Energy Show is expecting more than 30,000 attendees at Calgary's BMO Centre this week, featuring speakers from around the world. Article content In May, the show revealed that Haitham Al Ghais, secretary general of the Organization of the Petroleum Exporting Countries, would appear as a keynote speaker. Article content The event will also feature more than 350 speakers, including energy industry CEOs, leaders from the private sector and elected officials. Article content Article content Broadly, the conference aims to tackle big questions and issues, looking at Canada's energy mandate over the next five years. Article content Article content 'We really wanted to . . . put a stake and say, let's make a conference this year that's going to tell a global energy story,' said Nick Samain, senior vice-president of dmg events and head of the energy show. Article content In terms of what will come out of this year's show, goals include some influence on federal policies and to 'reinforce' many important discussions around energy, according to Samain. Article content Talk coming from Ottawa and Prime Minister Mark Carney around Canada as an 'energy superpower' has created an air of cautious optimism from delegates, added Samain. Article content 'Over the next five years, we've got some really big decisions to make that could fundamentally change our (lives),' he said. Article content Amanda Bryant, a senior oil and gas analyst with the Calgary-based Pembina Institute, highlighted many 'issues of the moment.' Article content Article content 'Nation-building projects. What does that mean? What is (actually) in the national interest? How do we weigh costs and benefits?' she posed. Article content Article content 'How do we take Canada into the future, and what does it mean to be an energy superpower for Canada?' Bryant added. Article content She hopes to get more 'nuance' around many of the questions facing the industry. Article content Rather than just a slogan of 'we need to build pipelines,' she proposed ensuring that options are explored that 'will be economic and actually will have longevity.' Article content Bryant is speaking for a panel at the show on Wednesday afternoon focused on tackling methane innovations for cleaner energy production, which she specializes in. Article content 'That panel will really focus on opportunities to mitigate methane emissions from the oil and gas sector,' said Bryant.
National Observer
06-06-2025
- Business
- National Observer
Canada's retrofit momentum hinges on more than just heat pumps
The new federal mandate letter call for 'bringing down costs for Canadians' and 'creating new careers in the skilled trades.' Residential retrofits can do both, giving renewed urgency to programs like the Canada Greener Homes Initiative. A special warrant issued just before the federal election ensured a temporary top-up for the Greener Homes Loan program. However, unless long-term funding is secured, the program could soon stall, mirroring the abrupt end of the Greener Homes Grant. The Greener Homes Initiative — largely due to the grant portion — has arguably been successful in meeting government goals. According to Green Communities Canada, from 2020 to 2024, the Greener Homes Grant and other rebate and grant programs supported more than 605,000 retrofits. However, only 29,000 were considered deep energy retrofits. Most of the funds went to mechanical system upgrades, like heat pumps, to replace existing heating and cooling units approaching the end of their lives. Heat pumps have become a go-to solution for electrifying heating and cooling, especially when a furnace or air conditioner reaches the end of its life. They are efficient and climate-friendly. But heat pumps alone do not constitute a deep retrofit. According to Natural Resources Canada, a deep energy retrofit involves a suite of coordinated upgrades that reduce a building's energy use by up to 60 per cent. That includes insulation, air sealing, ventilation, windows and doors, mechanical systems like heat pumps, and smart grid integration. Design teams at the Pembina Institute's Reframed Lab estimate that deep retrofits can cut energy use by as much as 90 per cent, and reduce operational carbon emissions between 68 and 99 per cent. Compare that to a standard mechanical replacement at end-of-life, which delivers reductions of just three to 55 per cent. While there are many on-ramps in the retrofit process, one of the most impactful, especially for older homes, is starting with the building envelope. Adequate insulation and airtightness reduce heating and cooling demand, making homes more comfortable and efficient. These improvements also last for decades, far longer than the average 15-year lifespan of furnaces or heat pumps. The clock is ticking. Roughly 12 million existing low-rise houses in Canada must be retrofitted by 2050, write Betsy Agar, Jessica McIlroy and Jay Nordenstrom Crucially, an envelope-first approach allows for properly 'right-sized' heat pumps, which perform better and cost less to operate. Yet insulation and air sealing — considered 'minor' and 'low-cost' by federal program definitions — remain underused. ICF estimates that 89 per cent of Canadian homes are under-insulated. Many current programs unintentionally reinforce this pattern by supporting heat pump replacements without encouraging homeowners to complete multiple, coordinated upgrades. That leaves efficiency gains — and emissions reductions — on the table. And the clock is ticking. Roughly 12 million existing low-rise houses in Canada must be retrofitted by 2050. That's an average of 480,000 homes per year for the next 25 years. It's a staggering target that cannot be reached without deeper, better-sequenced retrofits. The new government is also reviewing its overall approach to energy efficiency, making this a crucial moment to ensure retrofit programs evolve to meet today's challenges. Now is the time to strengthen policies that reduce emissions, bring down household costs, and create good jobs across the country. The urgency to extend funding for programs like the Canada Greener Homes Initiative is real, but so is the need to evolve. As governments look to secure the loan program's future, they should ensure it's structured to deliver on its full potential — not just enabling action, but helping Canadians take the right steps, in the right order. Future programs should also focus on comprehensive deep retrofits for social, below-market housing, especially low–rise, multi–unit residential buildings (MURBs) built in the 1950s, 1960s and 1970s. Canada needs to protect this particular type of housing segment from declining in condition and number. Markets will respond if retrofit programs are adjusted in simple, strategic ways. To scale deep retrofits, we need a stronger business case — one that highlights more than just energy savings. These upgrades improve health, boost resilience during extreme weather, reduce insurance risks and lower household costs. Heat pumps are efficient, but they aren't deep retrofits on their own. Federal, provincial and municipal governments — as well as utilities — must rethink their programs. That means redesigning or adding offerings that support the full sequence of upgrades. Only then can we help homeowners make smarter choices and reach our climate goals. Betsy Agar is director of buildings policy at Efficiency Canada.
Global News
28-05-2025
- Business
- Global News
Alberta policies have dampened investor confidence in renewables: report
A report from clean energy think tank Pembina Institute suggests investor confidence in Alberta's renewables sector has been dampened by provincial policy moves. Authors of the report released Wednesday looked at the provincial electrical system operator's queue of projects waiting to connect to the grid between 2021 and 2024. That data gave them a sense of investor interest in Alberta renewables before and after the province imposed a surprise seven-month moratorium on new wind and solar projects in 2023. 2:04 Strict regulations introduced for Alberta renewable energy development With the threat of U.S. tariffs continuing to loom, Alberta should be actively seeking out every investment dollar it can, said Scott MacDougall, director of the Pembina Institute's electricity program. Story continues below advertisement 'There is strong evidence that Alberta has weakened renewable energy investments through its actions to date,' he said in a news release. 'The good news is the growth in low-cost renewable electricity is continuing elsewhere in Canada and the world, so those dollars are still there for the taking, if the Government of Alberta works to restore market confidence quickly.' View image in full screen The Pembina Institute says the Alberta government has work to do to restore investors confidence in renewable energy in the province. File Photo Pembina recommends Alberta create regulations that support a vision for a 'clean, resilient and affordable' electrical system and fast-track developments in areas where utility-scale renewable projects would be particularly well suited. Get daily National news Get the day's top news, political, economic, and current affairs headlines, delivered to your inbox once a day. Sign up for daily National newsletter Sign Up By providing your email address, you have read and agree to Global News' Terms and Conditions and Privacy Policy It is also calling for ways to boost the system's independence and resilience by enabling electricity exports and imports with neighbouring grids, energy storage and other measures. The renewables moratorium is over, but the institute said continuing sources of uncertainty include a broad restructuring of the electricity market, Alberta's legal challenge to federal clean electricity regulations, barring wind developments near 'pristine viewscapes' and new reclamation requirements. Story continues below advertisement 'No other industry sectors have been subjected to such onerous rules,' Pembina said in the report. Based on data from the Alberta Electric System Operator, the think tank said the number of proposed new projects in the queue last year were on par with two years earlier, before the moratorium. But more projects were cancelled than proposed last year — 9.5 gigawatts versus 8.3 GW. Meanwhile, other jurisdictions like Australia and Texas are seeing their numbers of new projects climb, as other provinces chase renewables growth. 'Restoring investor confidence in the renewables sector has to be a priority item for this government, to ensure Albertans aren't left out while Canadians in other provinces experience the benefits of low-cost, abundant, reliable energy to power their lives for years to come.' The new project queue surged to 20 GW in 2023, in part due to a change that saw project proposals assessed in batches instead of individually, as well as developers rushing to get up and running ahead of the moratorium kicking in. 1:45 Alberta to introduce renewable energy recycling fee A spokesman for Alberta Energy Minister Brian Jean said the province continues to lead Canada in renewable investment. Story continues below advertisement 'Our government has set a clear, responsible path forward for a balanced approach on renewable energy development, ensuring our grid is reliable, affordable and sustainable for generations to come,' Josh Aldrich said in an email. 'Over the past year, we have driven down the cost of electricity in Alberta, improved grid stability with (three GW) of baseload power generation from natural gas and have passed legislation that will restructure the market, providing long-term stability for industry and Albertans.' The Alberta Utilities Commission has approved 44 new generation projects in the past year totalling 3.6 GW, and 2.8 GW of that is from renewables, surpassing the previous two years.
