Connect with us
[the_ad id="89560"]

Alberta

Clean tech innovation cuts emissions, creates jobs

Published

7 minute read

March 12, 2019

Alberta’s Climate Leadership Plan is helping major industries reduce emissions and create jobs while cutting costs and becoming more competitive.

Emissions Reduction Alberta is funding more than a dozen new clean technology projects across the province, while Energy Efficiency Alberta is supporting small and medium-sized oil and gas companies to reduce methane emissions through upgrades.

“Innovation is a key part of Alberta’s economic and environmental success, and our industries continue to show tremendous leadership. Clean technology investments lead to made-in-Alberta solutions that support jobs, protect our environment, and point Alberta toward a healthy, prosperous future.”

Shannon Phillips, Minister of Environment and Parks and Minister responsible for the Climate Change Office

Emissions Reduction Alberta (ERA)

From Fort McMurray to Waterton, 16 innovative clean technology projects will receive funding through ERA’s $100-million Biotechnology, Electricity and Sustainable Transportation (BEST) Challenge – the largest challenge in ERA’s history.

These projects have a combined value of $600 million and the potential to reduce a total of 2.5 million tonnes of greenhouse gas emissions by 2030 – the same as taking 530,700 cars off the road. These projects will also result in 114 new jobs.

“Our BEST Challenge is about accelerating the most promising clean technology solutions across multiple sectors – from new solar opportunities in coal-impacted communities to efficient fleet solutions. These projects will be a showcase for innovative technologies that can be adopted in communities across Alberta. They support economic growth, community health and demonstrate environmental leadership on a national and global scale.”

Steve MacDonald, CEO, Emissions Reduction Alberta

The Alberta Motor Transport Association (AMTA) is working to develop and demonstrate a 700-kilometre-plus-range zero emission truck. These trucks will reduce greenhouse gas emissions through improved fuel efficiency of the fuel cell hybrid drivetrain. Sequestering carbon at the hydrogen generation facility will result in even greater emissions reductions.

“This is a very exciting project for the AMTA and our member companies. This initiative is primarily about moving freight on Alberta’s highways with zero emissions, but it is also about the future of the Alberta economy. Alberta is in the transportation fuel business, and that business is changing. The AZETEC project demonstrates that Alberta’s commercial transportation industry is leading the transition towards innovative, zero-emission transportation that meets the province’s unique needs.”

Chris Nash, president, Alberta Motor Transport Association

Another funding recipient, eCAMION, is working on a project to transition Alberta’s buses from diesel to electric. Its first-of-a-kind charging system could lower installation and operating costs, encouraging broader and faster adoption across the province. eCAMION will partner with the City of Edmonton on a trial of its fast-charge technology. A complete list of BEST Challenge projects is available here.

Energy Efficiency Alberta (EEA)

Government is providing an additional $5 million to support the continued success of EEA’s popular $10-million Methane Emissions Reduction initiative.

The program has already made it easier for 30 small and medium-sized oil and gas companies to address methane waste through energy-efficient equipment upgrades, which also helps facilities hire more staff, reduce annual emissions and boost competitiveness. To date, 2,534 applications are approved, with at least 1,500 more anticipated by March 31, 2019.

“Through methane-reduction education and deployment of existing technologies, companies ultimately have the ability to become more competitive and efficient. This announcement will result in a great collaboration to further our methane-reduction programming for the oil and gas sector.”

Monica Curtis, CEO, Energy Efficiency Alberta

The funding boost will also support a $1.5-million grant for the Petroleum Technology Alliance of Canada to introduce technologies that reduce methane emissions. The grant is expected to reduce up to 200,000 tonnes of emissions – the same as taking 42,460 cars off the road.

“Energy Efficiency Alberta’s Methane Emissions Reduction initiative is a momentous step towards a massive deployment of proven, cost-effective, economic methane-mitigation technologies that will benefit our people, planet and industry. It will enable producers – large and small – to maintain competitiveness, while helping Alberta’s entrepreneurs and small technology providers prosper and create jobs.”

Soheil Asgarpour, president, Petroleum Technology Alliance of Canada

“EEA’s Methane Emissions Reduction Program continues to improve the province’s emissions inventory while growing local jobs and incentivizing capital investment in Alberta-based emission-reduction projects. We look forward to continuing to contribute to the success of this program and working with industry to implement emission-reduction technologies.”

Jackson Hegland, executive director, Methane Emissions Leadership Alliance

Quick facts

  • The biotechnology, electricity and sustainable transportation sectors account for more than 40 per cent of Alberta’s annual greenhouse gas emissions.
  • ERA takes action on climate change and supports economic growth and diversification by investing carbon pricing paid by industry directly into clean technology solutions that reduce emissions, attract investment and create jobs. To date, ERA has committed more than $572 million in funding to 164 projects with a total value of roughly $4.3 billion.
  • The climate change impact of methane is 25 times greater than carbon dioxide over a 100-year period. Methane emissions in 2014 from Alberta’s oil and gas sector accounted for 70 per cent of provincial methane emissions, and 25 per cent of all emissions from the upstream oil and gas sector.
  • The Methane Emissions Reduction Program was announced in October 2018, and 60 per cent of the first year’s budget has already been committed. The program received three dozen applications in the first six weeks.

Todayville is an independently-owned digital media company. We specialize in helping community groups, local businesses and organizations tell their story. Our team has years of media and video production experience. Talk to us about advertising, brand journalism stories, opinion pieces, event promotion, or other ideas you have to make our product better. We also own and operate Todayville Red Deer and Todayville Calgary.

Follow Author

Alberta

Low oil prices could have big consequences for Alberta’s finances

Published on

From the Fraser Institute

By Tegan Hill

Amid the tariff war, the price of West Texas Intermediate oil—a common benchmark—recently dropped below US$60 per barrel. Given every $1 drop in oil prices is an estimated $750 million hit to provincial revenues, if oil prices remain low for long, there could be big implications for Alberta’s budget.

The Smith government already projects a $5.2 billion budget deficit in 2025/26 with continued deficits over the following two years. This year’s deficit is based on oil prices averaging US$68.00 per barrel. While the budget does include a $4 billion “contingency” for unforeseen events, given the economic and fiscal impact of Trump’s tariffs, it could quickly be eaten up.

Budget deficits come with costs for Albertans, who will already pay a projected $600 each in provincial government debt interest in 2025/26. That’s money that could have gone towards health care and education, or even tax relief.

Unfortunately, this is all part of the resource revenue rollercoaster that’s are all too familiar to Albertans.

Resource revenue (including oil and gas royalties) is inherently volatile. In the last 10 years alone, it has been as high as $25.2 billion in 2022/23 and as low as $2.8 billion in 2015/16. The provincial government typically enjoys budget surpluses—and increases government spending—when oil prices and resource revenue is relatively high, but is thrown into deficits when resource revenues inevitably fall.

Fortunately, the Smith government can mitigate this volatility.

The key is limiting the level of resource revenue included in the budget to a set stable amount. Any resource revenue above that stable amount is automatically saved in a rainy-day fund to be withdrawn to maintain that stable amount in the budget during years of relatively low resource revenue. The logic is simple: save during the good times so you can weather the storm during bad times.

Indeed, if the Smith government had created a rainy-day account in 2023, for example, it could have already built up a sizeable fund to help stabilize the budget when resource revenue declines. While the Smith government has deposited some money in the Heritage Fund in recent years, it has not created a dedicated rainy-day account or introduced a similar mechanism to help stabilize provincial finances.

Limiting the amount of resource revenue in the budget, particularly during times of relatively high resource revenue, also tempers demand for higher spending, which is only fiscally sustainable with permanently high resource revenues. In other words, if the government creates a rainy-day account, spending would become more closely align with stable ongoing levels of revenue.

And it’s not too late. To end the boom-bust cycle and finally help stabilize provincial finances, the Smith government should create a rainy-day account.

Continue Reading

Alberta

Governments in Alberta should spur homebuilding amid population explosion

Published on

From the Fraser Institute

By Tegan Hill and Austin Thompson

In 2024, construction started on 47,827 housing units—the most since 48,336 units in 2007 when population growth was less than half of what it was in 2024.

Alberta has long been viewed as an oasis in Canada’s overheated housing market—a refuge for Canadians priced out of high-cost centres such as Vancouver and Toronto. But the oasis is starting to dry up. House prices and rents in the province have spiked by about one-third since the start of the pandemic. According to a recent Maru poll, more than 70 per cent of Calgarians and Edmontonians doubt they will ever be able to afford a home in their city. Which raises the question: how much longer can this go on?

Alberta’s housing affordability problem reflects a simple reality—not enough homes have been built to accommodate the province’s growing population. The result? More Albertans competing for the same homes and rental units, pushing prices higher.

Population growth has always been volatile in Alberta, but the recent surge, fuelled by record levels of immigration, is unprecedented. Alberta has set new population growth records every year since 2022, culminating in the largest-ever increase of 186,704 new residents in 2024—nearly 70 per cent more than the largest pre-pandemic increase in 2013.

Homebuilding has increased, but not enough to keep pace with the rise in population. In 2024, construction started on 47,827 housing units—the most since 48,336 units in 2007 when population growth was less than half of what it was in 2024.

Moreover, from 1972 to 2019, Alberta added 2.1 new residents (on average) for every housing unit started compared to 3.9 new residents for every housing unit started in 2024. Put differently, today nearly twice as many new residents are potentially competing for each new home compared to historical norms.

While Alberta attracts more Canadians from other provinces than any other province, federal immigration and residency policies drive Alberta’s population growth. So while the provincial government has little control over its population growth, provincial and municipal governments can affect the pace of homebuilding.

For example, recent provincial amendments to the city charters in Calgary and Edmonton have helped standardize building codes, which should minimize cost and complexity for builders who operate across different jurisdictions. Municipal zoning reforms in CalgaryEdmonton and Red Deer have made it easier to build higher-density housing, and Lethbridge and Medicine Hat may soon follow suit. These changes should make it easier and faster to build homes, helping Alberta maintain some of the least restrictive building rules and quickest approval timelines in Canada.

There is, however, room for improvement. Policymakers at both the provincial and municipal level should streamline rules for building, reduce regulatory uncertainty and development costs, and shorten timelines for permit approvals. Calgary, for instance, imposes fees on developers to fund a wide array of public infrastructure—including roads, sewers, libraries, even buses—while Edmonton currently only imposes fees to fund the construction of new firehalls.

It’s difficult to say how long Alberta’s housing affordability woes will endure, but the situation is unlikely to improve unless homebuilding increases, spurred by government policies that facilitate more development.

Tegan Hill

Director, Alberta Policy, Fraser Institute

Austin Thompson

Senior Policy Analyst, Fraser Institute
Continue Reading

Trending

X