With an election coming, updates on Alberta energy policy

pembina energy alberta 2019With a provincial election looming large in Alberta, the Pembina Institute released a new publication, Energy Policy Leadership in Alberta, on March 8,  with  this introduction: “Like most Albertans, we want to see the responsible development of oil and natural gas. The province’s policy and regulatory environment must ensure that our resources are produced in a manner that is both economically and environmentally sustainable. … Alberta’s future as an energy provider is directly linked to an ability to demonstrate a demand for its products in a decarbonizing world. With the right policies, Alberta can be competitive, attract investment, spur innovation and remain a supplier of choice in the global energy market.”  The 17-page document, intended to reach across political partisan thinking, continues by outlining 23 policy recommendations “to unleash innovative technologies, deploy renewables, promote energy efficiency, continue greening our fossil fuel industries, and reduce climate pollution.”

The Alberta government itself is active in getting out its story about its energy policies.  Most recently, the Alberta Climate Leadership Progress Report  was released in March 2019, documenting the fiscal year of April 1, 2017 to March 31, 2018 –  the first year Alberta collected a carbon levy.  The report states that a total of $1.19 billion of carbon revenue was invested back into the economy that year, and a press release of March 7  catalogues the impacts, including:

  • Climate Leadership Plan (CLP) investments have supported more than 5,000 jobs in 2017-18. CLP commitments, such as the Green Line in Calgary, will support a further 20,000 jobs in the coming years.
  • Combining 2016-17, 2017-18 and 2018-19 fiscal years, a total of $978 million in rebates has made life better and more affordable for lower- and middle-income Albertans.
  • The solar industry in Alberta has grown by more than 800 per cent…. About 3,100 solar installations have been completed across the province.
  • Alberta is forecast to cut emissions by more than 50 megatonnes in 2030.

Further press releases from the government :

“Alberta solar on the rise“: (Feb. 15) announced a new contract for  solar electricity with Canadian Solar,  to run from 2021 to 2041,  at an average price of 4.8 cents per kilowatt hour, sufficient  to supply approximately 55 per cent of the government’s annual electricity needs while creating jobs in Southern Alberta.

Premier’s plan unlocks $2-billion energy investment” (Feb. 20) announced that the province will provide up to $80 million in royalty credits, funded through the Petrochemicals Diversification Program , to support phase one of the a Methanol production project by Nauticol Energy  . Construction is scheduled to begin in 2020, with a commercial operational date set for 2022; the government states that the project will create “as many as 15,500 construction jobs and an additional 1,000 permanent jobs.”

The Alberta Community Transit Fund announced a program which will provides $215 million over 4 years .  The press release lists 33  municipal projects awarded funding  on March 7, 2019.

Quebec unveils its Vision 2030 for sustainable mobility and transportation

Quebec electric busOn April 17, Quebec’s Liberal Premier Philippe Couillard announced the  government’s  Vision 2030, a 12-year strategy to increase sustainable mobility. The official government information is available only in French,  here .  Information in the English language is available from the Liberal Party of Quebec press release , and a Montreal Gazette report.  The government will invest $9.7 billion ($2.9 billion of which is new funding) to provide Quebecers with a 20% reduction in average commuting time, 20% reduction in commuting costs, and  access to at least four types of sustainable mobility by 2030 for 70 % of the population. Investments will be made in a light-rail electric train line for Montreal and an extension of the métro’s Blue Line; as well as transit services to Montreal’s suburbs. (The government had already called for tenders for 300 additional hybrid buses for Montreal in January 2018).   Future projects also include a tramway system for Quebec City, and transit alternatives for the regions, outside the two main cities. As environmental benefits, the province aims to achieve a 40% reduction in the amount of fuel consumed for transportation, with a 37.5% reduction in transportation-related greenhouse gas emissions over 1990 levels.

Although the majority of the plan addresses personal transportation, it also sets a goal to increase the goods shipped at ports and intermodal rail terminals by 25%, and promises an increase in the province’s  annual sales of transportation equipment from $10 billion to $15 billion.

Premier Couillard is calling the initiative “the James Bay of our era” – referring to the transformative hydro development of the 1970’s.

Infrastructure Canada invests in public transit and requires Community Employment Benefits agreements

An April 11 article in the National Observer, “After massive investments , Trudeau government puts public transit on track” attempts to explain the political and bureaucratic tangle of the Canada Infrastructure Plan in the wake of a series of press releases by the federal government.  Those press releases have announced  $33 billion in funding for infrastructure projects through bilateral agreements with the provinces and territories, with the lion’s share – $20.1 billion –  going to public transit.  The National Observer article also profiles some public transit projects already announced or in progress: the 12.5-kilometre, 13 stations Ottawa light rail project; a  $365 million plan to extend the Montreal’s  Blue Line for five stops; Calgary’s Green Line LRT; Victoria B.C.’s plan to improve resilience against seismic activity; and new electric and hybrid buses for Gatineau and Laval, Quebec, and London Ontario. Another excellent update of Canada’s public transit appeared in Corporate Knights magazine in January 2018, “The e-bus revolution has arrived”. And in March, Winnipeg Transit released its report on electrification of its bus fleet- summarized by the CBC here ; Winnipeg is home to the New Flyer Industries, which manufactures the battery-electric buses in use.

Public transit is obviously good for reducing Canada’s transportation-related GHG emissions, and investments at this scale are obviously important sources of  job creation. The Bilateral Letter of Agreement with Ontario states: “ a Climate Lens will be applied to these federal investments, and a Community Employment Benefits Reporting Framework will be applied for relevant programs under the Investing in Canada Plan. Both the Climate Lens and the Community Employment Benefits Reporting Framework will be developed in consultation with provinces, territories, municipalities and other stakeholders over the next few months and will be embedded in the integrated bilateral agreements once completed.”   Community benefits agreements are already in place in some transit construction projects in Toronto,  and Ontario passed the  Infrastructure for Jobs and Prosperity Act, 2015 , which states: “Infrastructure planning and investment should promote community benefits …. to improve the well-being of a community affected by the project, such as local job creation and training opportunities”.

For inspiration on another side of the issue, read the recent article, “Connecting green transit and great manufacturing jobs” in Portside on April 14.  It provides a very detailed case study of the fight to bring domestic, union jobs to light rail manufacturing in Los Angeles,  a campaign spearheaded by Jobs to Move America (JMA) .  From their website, JMA “is dedicated to ensuring that the billions of public dollars spent on American infrastructure create better results for our communities: good jobs, cleaner equipment, and more opportunity for historically marginalized people.”  Their website provides research papers and news updates.

electric_bus_banner Winnipeg

New Flyer Electric Bus, Winnipeg Manitoba. Image from http://winnipegtransit.com/en/major-projects/electric-bus-demonstration/ 

 

Catching up to the transportation revolution: Canada will have a national electric vehicle strategy by 2018

Electric vehicles Wikimedia Commons 768x512On May 26, Canada’s Minister of Transportation announced  that Canada will develop  a national electric vehicle strategy by 2018 in consultation with provincial and territorial governments, as promised in the Pan-Canadian Framework on Clean Growth and Climate Change agreement.  A national Advisory Group has already been established to develop options in five areas: vehicle supply, cost and benefits of ownership, infrastructure readiness, public awareness, and clean growth and clean jobs.  The Advisory Group includes representatives from governments, industry, consumer and non-government organizations and academia.  In November 2016, the Minister had released a vision document,   Transportation 2030: A Strategic Plan for the Future of Transportation in Canada , which included all modes of transportation – air, ships, trucks and trains, as well as  a section on Green and Innovative Transport . According to the government press release on May 26 , transportation accounts for about 24 percent of Canada’s emissions, mostly from cars and trucks.  The Pembina Institute states that there are only 21,000 electric cars on the road in Canada in 2017.

Relevant views of the future:    Expect the Unexpected  , a report from Carbon Tracker Initiative in February 2017,  forecasts that electric vehicles will account for over two-thirds of the road transport market worldwide by 2050.  “The Transportation Revolution is Closer Than You Think” , a May 22 blog  from Climate Works Foundation summarizes several recent studies.    And a new report, Three Revolutions in Urban Transportation  envisions three scenarios up to 2050, and states:  “ The world is on the cusp of three revolutions in transportation: vehicle electrification, automation, and widespread shared mobility (sharing of vehicle trips). Separately or together, these revolutions will fundamentally change urban transportation around the world over the next three decades.”    …Our central finding is that while vehicle electrification and automation may produce potentially important benefits, without a corresponding shift toward shared mobility and greater use of transit and active transport, these two revolutions could significantly increase congestion and urban sprawl, while also increasing the likelihood of missing climate change targets. In contrast, by encouraging a large increase in trip sharing, transit use, and active transport through policies that support compact, mixed use development, cities worldwide could save an estimated $5 trillion annually by 2050 while improving livability and increasing the likelihood of meeting climate change targets.”  Three Revolutions was published by the Institute for Transportation and Development Policy and Sustainable Transportation Energy Pathways at UC Davis.

3 revolutions in transportation Infographic_itdp

Ontario Proposes Green Bonds for Transportation

An October 30 announcement from Ontario’s Premier states that Ontario will become the first Canadian province to implement a “green bonds” program to help fund environmentally-friendly transportation. According to the government, the bonds would help address critical infrastructure needs, create jobs, and strengthen the economy while keeping funding interest rates low and minimizing costs for consumers. The bonds would also be internationally certified, so they could be officially recognized as investments in sustainability. Green bonds are securities that raise capital for specific projects with environmental benefits. According to think-tank Clean Energy Canada, green bonds are in high demand which, combined with Ontario’s attractive credit rating, may result in substantial benefit to Ontario’s sustainable transportation sector.

See the government press release at:  http://news.ontario.ca/opo/en/2013/10/province-proposes-new-way-to-fund-infrastructure.html?utm_source=ondemand&utm_medium=email&utm_campaign=p, and see the Clean Energy response at “Green Bonds: an Investment to Write Home About” at:http://cleanenergycanada.org/2013/11/01/green-bonds-investment-write-home/.

For background on green bonds in Canada, see the articles at the Initiative Climate Bonds website at: http://www.climatebonds.net/category/canada/