The Government of Canada announces over $256.7 million in funding for clean electricity projects in Saskatchewan
Source: | · GOVERNMENT OF CANADA· | December 5, 2024
Source: Caroline Lee, LinkedIn
Saskatchewan projects supported by the Future Electricity Fund
Proceeds that have been collected through the federal industrial pollution pricing system are being put to work around the country to reduce greenhouse gas pollution. Today, the Government of Canada announced that eight projects in Saskatchewan will receive a total of over $256.7 million through the Future Electricity Fund. Indigenous clean energy projects will receive $42 million as a part of this funding announcement.
The federal Output-Based Pricing System collects a price on pollution from covered industries and returns proceeds to their jurisdictions of origin. These proceeds flow through the Output-Based Pricing System Proceeds Fund, which has two program streams: the Decarbonization Incentive Program, and the Future Electricity Fund. Through its major crown utility SaskPower, Saskatchewan will be administering funds under the Future Electricity Fund in support of the following projects:
Rural Underground Distribution Mitigation Program ($69.9 million): SaskPower will use program funding to rebuild aging underground rural electrical distribution infrastructure and increase the distribution system's capacity in various locations across rural Saskatchewan. The replacement of aging infrastructure improves grid reliability and resilience and optimizes line-loss savings.
Demand Side Management and Demand Response Program ($9.45 million): This project will support provincial energy-efficiency programs (both residential and commercial) to reduce energy demands. Residential programs will include lower-income, direct-installation activities; rebates on energy-efficient technologies and home retrofits; and a smart thermostat residential program. Commercial programming will include rebates on the purchase of energy-efficient technologies.
Fleet Street Battery Storage Project in Regina ($56.89 million): SaskPower will use program funding to procure, install, and integrate a 60-megawatt battery energy-storage system at the existing Fleet Street station. The system will be used during peak periods to reduce the need for additional power generation from fossil fuel sources and enable more intermittent renewable generation capacity.
Southwest Power Pool to SaskPower Interconnection Project ($78.9 million): Program funding will support the construction of a new substation and transmission lines that will connect the province to the Southwest Power Pool in the United States. The project will increase the availability of electricity for the province during emergencies or local high demand and assist the province in transitioning away from coal-fired electricity generation.