2022 Canada Energy Policy
Key Takeaways:
- Canada aims to reduce greenhouse gas emissions by 40-45% by 2030 compared to 2005 levels and achieve net-zero emissions by 2050. Policies emphasize carbon pricing, clean fuel regulations, and phased coal elimination by 2030 (Canada 2022 - Energy Policy Review).
- Canada’s goal is to reach 100% net-zero electricity by 2035 (Canada 2022 - Energy Policy Review). Hydropower, already a major contributor, is supported by expanding wind, solar, and nuclear energy, and increasing interconnections between provinces.
- The oil and gas sector, a significant emission source, has specific mandates, including reducing methane emissions by 75% by 2030 and reaching net-zero emissions by 2050 (Canada 2022 - Energy Policy Review).
- Canada promotes innovation in clean technologies such as carbon capture, utilization, and storage (CCUS), hydrogen energy, and small modular nuclear reactors, positioning itself as a global leader in clean energy solutions.
- Canada’s policy supports a “just transition,” with initiatives for workers in fossil fuel sectors and efforts to expand clean energy access in Indigenous, northern, and remote communities (Canada 2022 - Energy Policy Review).
Read the full policy here: Canada 2022 Energy Policy
Meeting 2050 Climate Goals
Canada’s journey to net-zero by 2050 is ambitious and achievable—but it demands action today. Canada needs a massive boost in wind, solar, and energy storage capacity.
CanREAs plan calls for adding 3,800 MW of wind and 1,600 MW of solar energy every year for the next three decades. This will require nearly ten times the capacity we have today, along with major investments in energy infrastructure (Powering Canada’s Journey to Net Zero).
Canada’s energy production by source (2000-2020)
Read more at Canada 2022 - Energy Policy Review
The Question
- Can Canada reach this level of growth?
The challenge is enormous. Current deployment rates fall far below what’s needed, and regulatory barriers, policy gaps, and outdated infrastructure create roadblocks. For example, from 2016 to 2020, Canada added just 3,292 MW of new capacity—far short of the annual targets outlined in CANREAs plan. (Powering Canada’s Journey to Net Zero).
Success will depend on collaboration. Governments, regulators, and industries must align to modernize electricity markets, streamline approvals, and drive investments. Clear investor signals and innovative policies will also be essential to enable growth (Powering Canada’s Journey to Net Zero).