{"id":11125,"date":"2025-04-22T18:21:57","date_gmt":"2025-04-22T18:21:57","guid":{"rendered":"https:\/\/www.rbc.com\/en\/?post_type=rbc_tl&#038;p=11125\/"},"modified":"2025-05-29T18:42:38","modified_gmt":"2025-05-29T18:42:38","slug":"earth-day-edition-canadas-power-move","status":"publish","type":"rbc_tl","link":"https:\/\/www.rbc.com\/en\/thought-leadership\/climate-action-institute\/climate-crunch\/earth-day-edition-canadas-power-move\/","title":{"rendered":"Earth Day Edition:\u00a0Canada\u2019s Power Move"},"content":{"rendered":"\n<section class=\"wp-block-rbc-section-block  pos-rel\" style=\"border-radius:0px\">\n<div class=\"wp-block-rbc-section-inner-block  section-inner pad-b-hlf mob-pad-b-hlf\" style=\"border-radius:0x\">\n<p class=\"has-grey-color has-text-color\">Issue #11<\/p>\n\n\n\n<p>\u2794&nbsp;Earth Day edition focuses on Canada and B.C.\u2019s power struggles<br>\u2794&nbsp;Green steel is coming<br>\u2794&nbsp;EVs: Open road or roadblocks?<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-hot-takes\">Hot takes<\/h3>\n\n\n\n<p>\u2794&nbsp;<strong>Our power, our planet.&nbsp;<\/strong>That\u2019s the theme of this year\u2019s Earth Day, celebrated today, just as the world feels a little less empowered to take care of the planet. But this edition is striving to celebrate small victories in a (very) long journey to heal the planet. Despite policymakers axing or toning down several ambitious global climate policies, there are rays of sunshine: led by solar and wind, renewable energy capacity additions hit a new record globally in 2024, while renewables accounted for more than 92% of total power expansion last year. Still,&nbsp;<a href=\"https:\/\/click.communication.rbc.com\/?qs=ff3949c96e94230ac0e0b566e17f138326a46ddafa4308ccbbcbf1f84fb229544d6a3ea5d47fca6f3189ebf9c6c30e98e877907a48ccb8ce\">IRENA&nbsp;<\/a>forecasts, the world\u2019s falling short of the collective goal set in 2023 to triple installed renewable energy capacity by 2030.<\/p>\n\n\n\n<p>\u2794&nbsp;<strong>Sault Ste. Marie, Ont., is the setting for a Canadian green power revolution.<\/strong>&nbsp;The northern Ontario-based Algoma Steel is gearing up to launch its electric arc furnace (EAF) this month\u2014it would cut back on coke, or coal power, and slash the company\u2019s annual emissions by 70%. That\u2019s a feat for any sector, but a monumental one for an industry considered among the hardest to abate.<\/p>\n\n\n\n<p>\u2794&nbsp;<strong>Canada\u2019s first SMR got the green light this month.<\/strong>&nbsp;The small modular reactor (SMR) at the&nbsp;<a href=\"https:\/\/click.communication.rbc.com\/?qs=ff3949c96e94230a51bdcdbb447d00dddebe65cfdbb823d3c471a25e933a042a084864eded7e546583e1eb18dff56a86abe933b1f60d567c\">Darlington Nuclear Generating Station&nbsp;<\/a>in Ontario\u2014the first in a G7 nation\u2014 has the all-clear from the Canadian National Safety Commission. Ontario Power Generation, the developer, is now awaiting the provincial okay. There is a trade twist, though: the BWRX-300 reactor was built by North Carolina-based GE-Hitachi Nuclear Energy\u2014making Canada dependent on the American supply chain at a time when ties between the two countries are strained.<\/p>\n\n\n\n<p>\u2794&nbsp;<strong>Climate drops off the radar as an election issue.<\/strong>&nbsp;About 24% of Canadians believed climate was an important issue in the 2021 federal election cycle. Just under 4% feel the same way as they start voting in the run-up to election day on April 28. Predictably, U.S.-Canada ties topped the list in the non-partisan&nbsp;<a href=\"https:\/\/click.communication.rbc.com\/?qs=20be05be4382143be9811f529ed85fa47e9882a9d9e5cb2bf08701862d513bd4e52d042c060d6668fb0640d3d048122b10dd4b9194fdad34\">Vote Compass\u2019s<\/a>&nbsp;poll of 161,000 Canadians, followed by economy, affordability, social justice and healthcare. The environment did not crack the top 5. Climate change also barely got a mention in the leaders\u2019 TV debates (<em>read John Stackhouse\u2019s LinkedIn post&nbsp;<\/em><a href=\"https:\/\/click.communication.rbc.com\/?qs=20be05be4382143b1751451f0bd0d5357a92a01c7b4d93b786747500a4fb3f45caf8f0157f5a4c7444da7ff2f2dee831dcbdf4814d218c4a\"><em>here<\/em><\/a>).<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-earth-day-a-clean-super-power\">Earth Day: A Clean Super-Power<\/h3>\n\n\n\n<p>With this year\u2019s&nbsp;<a href=\"https:\/\/click.communication.rbc.com\/?qs=20be05be4382143b6bae3e76d513844a5af481763d66dbcb85d56b94f41eae907ff84514b7ea7af612ff6bc0ac31871ff64a7772ac8add69\">Earth Day<\/a>&nbsp;theme focused on tripling renewable energy by 2030, Canada can point to some victories in the electricity sector, the big one being that it\u2019s&nbsp;<a href=\"https:\/\/click.communication.rbc.com\/?qs=20be05be4382143b1bb6cb50ee420358b59fc26184c14a4a321d1a3e203afceddfbc6b1859cd47b82e00453d73eccd4aa536e4f52936220c\">Paris Agreement-compliant<\/a>&nbsp;already. Alberta is coal-free, six years ahead of schedule, while Canada\u2019s absolute electricity emissions declined by about 10% in 2024 compared to 2023.<\/p>\n\n\n\n<p>Three charts that illustrate why electricity is Canada\u2019s climate poster child:<\/p>\n\n\n\n<figure class=\"wp-block-image size-large is-resized\"><img loading=\"lazy\" decoding=\"async\" height=\"1024\" width=\"485\" src=\"https:\/\/www.rbc.com\/en\/wp-content\/uploads\/sites\/4\/2025\/05\/Climate-Crunch-Weekly-Charts-for-4.22-Earth-Day-NEW-01-1.png?quality=80&amp;w=485\" alt=\"\" class=\"wp-image-11127\" style=\"aspect-ratio:0.4736328125;width:1170px;height:auto\" srcset=\"https:\/\/www.rbc.com\/en\/wp-content\/uploads\/sites\/4\/2025\/05\/Climate-Crunch-Weekly-Charts-for-4.22-Earth-Day-NEW-01-1.png 4099w, https:\/\/www.rbc.com\/en\/wp-content\/uploads\/sites\/4\/2025\/05\/Climate-Crunch-Weekly-Charts-for-4.22-Earth-Day-NEW-01-1.png?resize=142,300 142w, https:\/\/www.rbc.com\/en\/wp-content\/uploads\/sites\/4\/2025\/05\/Climate-Crunch-Weekly-Charts-for-4.22-Earth-Day-NEW-01-1.png?resize=768,1622 768w, https:\/\/www.rbc.com\/en\/wp-content\/uploads\/sites\/4\/2025\/05\/Climate-Crunch-Weekly-Charts-for-4.22-Earth-Day-NEW-01-1.png?resize=485,1024 485w, https:\/\/www.rbc.com\/en\/wp-content\/uploads\/sites\/4\/2025\/05\/Climate-Crunch-Weekly-Charts-for-4.22-Earth-Day-NEW-01-1.png?resize=727,1536 727w, https:\/\/www.rbc.com\/en\/wp-content\/uploads\/sites\/4\/2025\/05\/Climate-Crunch-Weekly-Charts-for-4.22-Earth-Day-NEW-01-1.png?resize=969,2048 969w\" sizes=\"auto, (max-width: 485px) 100vw, 485px\" \/><\/figure>\n\n\n\n<p>There is no room for complacency, though. Here are 3 critical challenges Canadian policymakers\u2014and a new federal government\u2014will need to address soon.<\/p>\n\n\n\n<p>\u2794&nbsp;<strong>Balancing affordability with clean energy goals.<\/strong>&nbsp;New hydro dams and nuclear buildouts will be expensive, straining the ability of utilities to keep electricity bills affordable.&nbsp;<\/p>\n\n\n\n<p>\u2794&nbsp;<strong>Expanding grids cleanly.<\/strong>&nbsp;Canada needs to more than double electricity capacity by 2050\u2014and keep it clean\u2014, if it wants to compete for investment dollars for data centres, automotive supply chains and other heavy manufacturing.<\/p>\n\n\n\n<p>\u2794&nbsp;<strong>Ensuring Indigenous rights.<\/strong>&nbsp;Power and energy projects\u2014gaining renewed urgency\u2014require a buy-in, consent and financial involvement from First Nations. Canada has had a spotty track-record on that file, which needs to change to fast-track projects.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-ready-or-not\">Ready or not<\/h3>\n\n\n\n<p>Sticking to the power theme, B.C. LNG projects now only need to be net-zero ready. That\u2019s the distinction the B.C. government made in a new&nbsp;<a href=\"https:\/\/click.communication.rbc.com\/?qs=20be05be4382143b8d3620acbe2b681d075db21017d7384f8e2dcc9a251804c495709766c40193d8c244d534d42550fb7ca92292fa9eddf5\">letter<\/a>&nbsp;to the environmental regulator, widely considered a weaking of the province\u2019s environmental rules. Or is that&nbsp;<em>climate realism&nbsp;<\/em>? Jurisdictions are walking a fine line as they fast-tack new projects in a tariff-stricken world without abandoning their environmental commitments.<\/p>\n\n\n\n<p>The provincial utility BC Hydro has been bulking up, but not as fast as the surge in demand, which it estimates will rise 15% by 2030. Just over 90% of B.C. grid is no-emitting, but that could drop if natural gas power.<\/p>\n\n\n\n<p>Here\u2019s how the province is racing to meet its economic and climate goals:<\/p>\n\n\n\n<p>\u2794&nbsp;BC Hydro\u2019s updated 10-Year Capital Plan (2024\/25 to 2033\/34) includes almost $36 billion in community and regional infrastructure investments\u2014a 50% increase over its previous capital plan.<\/p>\n\n\n\n<p>\u2794&nbsp;The&nbsp;<a href=\"https:\/\/click.communication.rbc.com\/?qs=20be05be4382143b75b61791c39f1f7ebfc4933d38379de890a401cce2d159b5b73361643ed059952322db272f61a4a849d4968c3b666497\">Site C&nbsp;<\/a>hydro project\u2019s fourth unit began this month, with two more set to be switched on by the fall. Once fully operational, the project in the province\u2019s northeast can power nearly 500,000 homes, increasing BC Hydro\u2019s electricity supply by 8%. Given expectations for Canada\u2019s supply needing to 2x or 3x by 2050, we need similar additions every two to three years, Energy policy lead Shaz Merwat estimates. \u201cPolicy of needing to be \u2018ready\u2019 probably adds a level of ambiguity but good to see perspectives are changing about the need to build.\u201d<\/p>\n\n\n\n<p>\u2794&nbsp;In February, B.C. signed deals for&nbsp;<a href=\"https:\/\/click.communication.rbc.com\/?qs=20be05be4382143bfb6a3af2f219f1ed7ab1a1151cfdeabd008df06cc40744081e7a568ea3b0fd7b2658af63074af41d7fa3cc52c66ce599\">9 wind and 1 solar energy<\/a>&nbsp;projects with a combined 4,830 gigawatt hours (GWh) projects. All projects are majority-owned by First Nations.<\/p>\n\n\n\n<p>\u2794&nbsp;B.C. is working to electrify Northern B.C., vital for several big-ticket energy projects including the Ksi Lsims LNG project that\u2019s currently under regulatory review. The Indigenous-backed gas export project now faces competition for Asian markets from an Alaskan LNG development that\u2019s gaining traction. Canada needs to move fast.<\/p>\n\n\n\n<p>\u2794&nbsp;The North Coast Transmission Line is a critical piece of the northern B.C. clean grid. The government is fast-tracking permits to speed up construction of the NTCL and other major high-voltage transmission lines.<\/p>\n\n\n\n<p>\u2794&nbsp;The&nbsp;<a href=\"https:\/\/click.communication.rbc.com\/?qs=20be05be4382143bfca89f6b982e7c1aeb02e43b38864cc0c05236969db5a11ddf0048e309c94e17ea832e77cdc1ecba882ef4564a4100fb\">B.C. government<\/a>&nbsp;is not ruling out more hydro dams in the province.<\/p>\n\n\n\n<p>\u2794&nbsp;Finally, we are watching how a greenhouse gas emissions cap for natural gas utilities, as envisioned in the&nbsp;<a href=\"https:\/\/click.communication.rbc.com\/?qs=20be05be4382143b7251b222983dcab2b28b2d64bf25ea5dba0b7ee245af5aeb359b6c324f37a639d891a621c8edb38ceed83e891ed82957\">CleanBC Roadmap to 2030<\/a>, will play out.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-four-roadblocks-ahead-for-evs\">Four roadblocks ahead for EVs<\/h3>\n\n\n\n<p><em>By John Stackhouse<\/em><\/p>\n\n\n\n<p>EVs may be one of the causalities in the trade war \u2014 or one of the winners. It\u2019s too early to tell.<\/p>\n\n\n\n<p>The latest quarterly assessment from BloombergNEF shows a U-turn forming in some markets, and acceleration in others, notably China. Canada is one of the markets at a turning point.<\/p>\n\n\n\n<p>EVs, including plug-in hybrids, accounted for one in five vehicle sales last year, reaching 17.2 million new vehicles on the road, up 24% in one year. Most of that growth was in China, where close to half of new vehicle sales are EVs\u2014a number expected to increase this year thanks to a scrappage scheme for car-owners.<\/p>\n\n\n\n<p>Elsewhere, EVs are facing new challenges, and not just the brand war that Tesla finds itself in. European sales started to flatline in 2024, while sales growth in the U.S. tempered. And that was before Liberation Day (April 2) and Donald Trump\u2019s decision to slap 25% tariffs on imported vehicles and parts. Higher costs are the last thing EV producers need. Other policy changes\u2014looser fuel standards in Europe and an end to the consumer carbon tax in Canada\u2014may further impede EV sales, as the economics of traditional car engines gain ground again on batteries.<\/p>\n\n\n\n<p>Canadian EV sales in the past year accounted for around 15% of passenger vehicle sales. BNEF expects Canadian EV sales to rise 20% this year, amid a decline in policy supports.<br>If EV sales stall, it will be due to four roadblocks in the months ahead:<\/p>\n\n\n\n<p>\u2794&nbsp;<strong>1. Subsidies.<\/strong>&nbsp;Fiscally challenged governments will be looking to cut spending in some areas to pay for economic supports for businesses and workers hit by the trade war. The Trump administration has its eye on generous supports introduced in the Biden years. And many governments are pulling back EV mandates for their own fleets.<\/p>\n\n\n\n<p>\u2794&nbsp;<strong>2. Tariffs.<\/strong>&nbsp;The U.S. is advancing a range of tariffs and trade restrictions on batteries and battery components, while China is also restricting exports of critical minerals. Battery-specific tariff rates are projected to hit 115% this year, and 132% next year. The Trump administration is also expected to continue to explore anti-dumping measures against Chinese battery components producers, even though a number of U.S. manufacturers, including Tesla, rely on them.<\/p>\n\n\n\n<p>\u2794&nbsp;<strong>3. Economic growth.<\/strong>&nbsp;If the trade war continues to be a drag on economic growth, consumers will hold back on vehicle purchases of all kinds \u2014 and the more expensive range of EVs will be especially challenged.<\/p>\n\n\n\n<p>\u2794&nbsp;<strong>4. Interest rates.<\/strong>&nbsp;If tariffs stoke inflation, and keep interest rates higher, car sales will be the first consumer item to take a dent, or worse. EVs may be at the front of that line, as car-owners hold on to their old vehicles for a year or two longer.<\/p>\n<\/div>\n<\/section>\n\n\n\n<section class=\"wp-block-rbc-section-block  pos-rel mar-b-hlf mob-mar-b-hlf\" style=\"border-radius:0px\">\n<div class=\"wp-block-rbc-section-inner-block inner-section-cool-white section-inner  pad-t mob-pad-t mob-pad-b-hlf pad-b-hlf has-f-5-f-8-f-9-background-color has-background\" style=\"border-radius:0x\">\n<p>Climate Crunch would not be possible without&nbsp;<a href=\"https:\/\/www.linkedin.com\/in\/john-stackhouse-a113419\/\">John Stackhouse<\/a><em>,&nbsp;<\/em><a href=\"https:\/\/www.linkedin.com\/in\/myhatruong-regan\/\">Myha Truong-Regan<\/a><em>,&nbsp;<\/em><a href=\"https:\/\/www.linkedin.com\/in\/sarah-pendrith-26b65621\/\">Sarah Pendrith<\/a><em>,&nbsp;<\/em><a href=\"https:\/\/www.linkedin.com\/in\/panahov\/\">Farhad Panahov<\/a><em>,&nbsp;<\/em><a href=\"https:\/\/www.linkedin.com\/in\/lisa-ashton-a78b6656\/\">Lisa Ashton<\/a><em>,&nbsp;<\/em><a href=\"https:\/\/www.linkedin.com\/in\/shazmerwat\/\">Shaz Merwat<\/a><em>,&nbsp;<\/em><a href=\"https:\/\/www.linkedin.com\/in\/vivan-sorab-4a503623\/\">Vivan Sorab<\/a><em>,&nbsp;<\/em><a href=\"https:\/\/www.linkedin.com\/in\/capricebiasoni\/\">Caprice Biasoni<\/a><em>&nbsp;and&nbsp;<\/em><a href=\"https:\/\/www.linkedin.com\/in\/frances-dawson-58743142\/\">Frances Dawson<\/a><em>.<\/em><\/p>\n\n\n\n<p>Curated by&nbsp;<strong>Yadullah Hussain<\/strong>, Managing Editor, RBC Climate Action Institute.<\/p>\n\n\n\n<p>Have a comment, commendation, or umm, criticism? Write to me here (<a href=\"mailto:yadullahhussain@rbc.com\">yadullahhussain@rbc.com<\/a><em>)<\/em><\/p>\n\n\n\n<div class=\"wp-block-columns has-border-color is-layout-flex wp-container-core-columns-is-layout-28f84493 wp-block-columns-is-layout-flex\" style=\"border-color:#121212;border-width:1px\">\n<div class=\"wp-block-column mar-t-hlf mob-mar-t-hlf mar-b-hlf mob-mar-b-hlf is-layout-flow wp-block-column-is-layout-flow\">\n<p class=\"has-text-align-center has-text-major-lg-font-size\">Climate Crunch Newsletter<\/p>\n\n\n\n<div class=\"wp-block-buttons is-content-justification-center is-layout-flex wp-container-core-buttons-is-layout-a89b3969 wp-block-buttons-is-layout-flex\"><div>\n<div class=\"wp-block-button  is-style-primary primary btn before\"><a class=\"wp-block-button__link has-text-align-left wp-element-button\" href=\"https:\/\/www.rbc.com\/climate-action-institute\/subscribe.html\" data-dig-id=\"LP-11125-3cd4a894\" data-dig-category=\"LP\" data-dig-action=\"button click\" data-dig-label=\"Sign Up-https:\/\/www.rbc.com\/climate-action-institute\/subscribe.html \">Sign Up<\/a><\/div>\n<\/div><\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/section>\n","protected":false},"excerpt":{"rendered":"<p>Plus, climate drops off the radar as an election issue. <\/p>\n","protected":false},"author":298,"featured_media":11126,"parent":0,"menu_order":0,"template":"","meta":{"_acf_changed":false,"disable_focal_point":true,"featured_image_focal_point":{"x":0.5,"y":0.5},"advgb_blocks_editor_width":"","advgb_blocks_columns_visual_guide":"","footnotes":""},"rbc_tl_category":[175],"rbc_tl_tag":[],"class_list":["post-11125","rbc_tl","type-rbc_tl","status-publish","has-post-thumbnail","hentry","rbc_tl_category-climate-crunch"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.7 (Yoast SEO v26.8) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Earth Day Edition:\u00a0Canada\u2019s Power Move - RBC<\/title>\n<meta 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