Canada’s Alberta Halts Approvals of Large Renewable Projects to Ensure Responsible Land Use

Canada’s Alberta Halts Approvals of Large Renewable Projects to Ensure Responsible Land Use

by  
Seneca ESG  
- August 9, 2023

Albert, a major producer of fossil fuel and renewable power in Canada, has halted the approval process for new renewable energy projects exceeding one megawatt (MW) in size for a duration of six months, as reported by Reuters on August 3. The decision was made  by the Alberta Utilities Commission (AUC) in response to concerns voiced by municipalities and landowners regarding responsible land utilization and the pace at which renewable energy expansion is occurring. The AUC also highlighted concerns about the reliability of energy grid stemming from the swift transition from coal to renewables. Throughout this six-month pause, the AUC will conduct evaluations on matters such as the utilization of agricultural and public land for wind and solar projects, land reclamation, and the role of municipal government in land selection.

Albert Province is a pivotal player in Canada’s efforts to advance renewable energy, contributing to 75% of the nation’s total additions to renewable energy capacity in 2022. The suspension is expected to impact nearly 100 renewable projects, amounting to at least CAD25bn (USD18.7bn) in investments. These projects have the capacity to provide electricity to over three million households. In response, the Canadian Renewable Energy Association (CanREA) has expressed concerns that this decision could undermine investor confidence in Alberta’s renewables market and pose a threat to the country’s renewable energy targets. Currently, the CanREA is in discussion with the AUC in an attempt to shorten the duration of the moratorium and mitigate its potential ramifications.

Sources:

https://www.reuters.com/world/americas/alberta-pausing-approvals-some-new-renewable-electricity-projects-2023-08-03/

https://www.pv-tech.org/alberta-pauses-renewables-development-for-6-months-to-address-land-use-concerns/

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