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About this Report
2019 & 2020 Sustainable ElectricityTM Annual Report Electricity Canada
Acknowledgement
As Canada works to meet emission and GHG targets, electrification of transportation, buildings, and processes will be necessary. Since 2017, Electricity Canada members have increased the immediate and promising initiative of personal-use electric vehicles (EVs), with 84% of members using innovative technology to support electrification of transportation. ‘Green buildings’ means buildings have specific standards for energy use, energy sources and resource
Report Intent
The 2019/2020 Sustainable ElectricityTM Annual Report discloses performance data from Electricity Canada members. It provides detail on their operating environment and initiatives that are being implemented in an effort to advance sustainability in the electricity sector, all within five reporting pillars. Electricity Canada’s five reporting pillars represent sustainable aspects that are most relevant to the Canadian electricity sector’s stakeholders and that have the most significant influence on the success of the industry. The five pillars are: 1. Low-carbon Future 2. Infrastructure Renewal and Modernization 3. Building Relationships 4. Risk-Management Systems 5. Business Excellence recycling, all of which contribute to a low-carbon building system. The Canadian electricity grid has a tremendous opportunity to supply clean electricity for all types of buildings. Technologies for, and access to, electrified industrial and commercial processes are increasing. Electricity Canada members are well positioned to provide reliable and low-cost electrification of some of the most fossil-fuel intensive processes.
2019 & 2020 Sustainable ElectricityTM Annual Report Electricity Canada
A Focus on Renewal and a Comment on COVID-19
The COVID-19 pandemic has impacted everyone in the world – governments, individuals, businesses and communities alike. Electricity Canada would like to take this moment to publicly thank all of the utility employees across Canada for their dedication in the face of such unprecedented and rapid change. Their commitment to making sure ‘the lights are always on’ in their communities is a testament to our national values and the ideals of what all member utilities strive to be. We also recognize that many of these employees persevered through their own illness with COVID-19, loss of loved ones, disrupted child- or elder-care and home-schooling. As Canadians, we would not be emerging as strongly from the pandemic as we are without the dedication of these individuals.
When Electricity Canada celebrated its 130th anniversary in 2021, we did so with renewal in mind. We wanted to support our member companies and their communities who were healing from a period of prolonged stress, while seizing on opportunities to make innovative and needed improvements. During our anniversary, Electricity Canada also reflected on and celebrated our member utilities’ continued efforts to modernize and maintain focus on many important areas. These areas included working towards net zero carbon emissions by 2050; the United Nations Sustainable Development Goal regarding Indigenous rights in Canada; improving and enlarging the electricity grid; and modernizing the provincial and territorial energy regulatory frameworks. Our association embarked on its own renewal, changing our name from the Canadian Electricity Association, to Electricity Canada in early 2022. This name change reflects a new vision for the organization; to be the leading energy voice in Canada as the country moves towards a Net Zero electricity grid by 2035 and a Net Zero economy by 2050.
The prestigious Sustainable Electricity CompanyTM designation has also been redesigned to reflect the new priorities of the organization and to represent progress, movement and the flow of energy. Now re-introduced as the Sustainable Electricity LeaderTM brand, the designation is awarded to Electricity Canada members who demonstrate leadership in building our energy future.
2019 & 2020 Sustainable ElectricityTM Annual Report Electricity Canada
The Sustainable ElectricityTM Program originated from Electricity Canada’s Environmental Commitment and Responsibility Program, which was established in 1997. The program was created as a formal industry-led sustainability standard to which member companies would strive to reach. Electricity Canada teamed up with sustainability leaders within our member companies to develop the program as a way to address three key goals: integrate sustainability; improve continuously; and, acquire public acceptance and support for utility operations. The third-party-assessed metrics that are holistic in nature and touch on environmental, social, economic, and governance aspects of each member company. The standard is held in high regard and promotes the standardization of the triple bottom line pillars necessary for continued success of the industry. Specific items within the program, that are required by member companies, include demonstrated compliance to the Electricity Canada Sustainable Development-Corporate Responsibility Policy and conformance to an environmental management system that is consistent with ISO 14001.
The program provides a documented and comparable standard of care that gives regulators confidence, reinforces advocacy efforts, demonstrates alignment with international standards, and creates a point of comparison. In addition, the program also creates a platform for members to share tools and experiences with other members and puts the electricity sector on par with other sectors in the country. Participation in the program also signals commitment, ensures focused effort, and gives credit to a utility for their work done. It provides an enterprise wide “how-to”, identifies risks, and supports understanding among all stakeholders. Electricity Canada also offers members the opportunity to be branded as a Sustainable Electricity LeaderTM . Currently, members are using the brand for media releases and promotions, public and other annual reports including financial reports, Environmental, Social, and Governance (ESG), and sustainability reports. The brand is being featured prominently on company websites and in presentations to stakeholders to showcase sustainability efforts. Being a Sustainable Electricity LeaderTM helps utilities move their ESG agendas forward.
Branded utilities will lead the narrative as the sector supports improvements in regulator, Indigenous, community and customer relationships. These companies will also continue to lay the foundation upon which progress in economic, environmental, and social improvements are made within the sector.
Both Electricity Canada and non-Electricity Canada member companies can apply to become a Sustainable Electricity LeaderTM. Electricity Canada views the brand as a critical tool for the sector and is seeking increased uptake by its members. The more members that achieve this prestigious brand, the better Electricity Canada can fulfil its mandate and support the sector. We look forward to all utilities becoming a Sustainable Electricity LeaderTM .
2019 & 2020 Sustainable ElectricityTM Annual Report Electricity Canada
Joint Executive Message
On behalf of the members and directors of Electricity Canada, we are pleased to present our 2022 Sustainable ElectricityTM Annual Report. It provides data and commentary on what we believe to be the most impactful and relevant aspects of sustainability within the Canadian electricity industry today.
It has been over two years since our last official Annual Report in 2019. The COVID-19 pandemic challenged economies, supply chains, and communities across the globe. Whether Canadians were isolating in their homes, relying on healthcare services, or staying digitally connected with loved ones, reliable electricity was essential. As the health crisis made headlines, the electricity sector worked hard to ensure that access to power was never in question.
As the immediate health threat from COVID-19 begins to subside, other challenges have surfaced. Canada has committed to achieving a net zero greenhouse gas-emitting electricity sector by 2035 on the way to a net zero economy by 2050. These targets will require two- to three-times more electricity while also decarbonizing nearly a fifth of its current generation fleet.
Meanwhile, a backlogged supply chain and war in Europe are impacting prices and availability of critical equipment. Maintaining affordability and reliability, while expanding the sector and scaling up new low-carbon technologies such as hydrogen, small modular reactors (SMRs) and others will be challenging.
Though these past two years have been unusual in many ways, our members continued to make progress on their sustainability journeys. Our members managed to continue generating electricity while driving down greenhouse gas emissions and water use in terms of reportable spills. Members continued investing in the communities they serve and rely on, and deployed more innovative solutions to better serve their customers, all while decreasing the duration and frequency of outages. We also recognize where there is more work to be done. Investors and the public are demanding more disclosure from companies on climate-related risks and impacts. And we must continue to work with Canada’s Indigenous peoples and to support further reconciliation.
Despite the work ahead, we are optimistic about the future of electricity. The world is changing quickly, and electricity will be even more central in a rapidly decarbonizing and more connected world.
This year, our organization changed its name from the Canadian Electricity Association to Electricity Canada. Our new name reflects our optimism and the importance of our industry as we move towards a net zero future with our members and Canadians.
Sincerely, Francis Bradley & Andrew Hall
