SaskPower rates to rise if feds follow through on net-zero plan: Morgan

The province is warning people in Saskatchewan that SaskPower rates will be dramatically impacted if the Liberal government does what it says it will do.

Federal Energy and Natural Resources Minister Jonathan Wilkinson says provincial access to new funding for electricity projects will depend on those projects reducing climate impacts.

More specifically, that mean projects that help move power grids toward net-zero emissions levels by 2035.

“Certainly, to access the tax credit will require that we are moving in the direction of a non-emitting grid,” Wilkinson said Tuesday.

But Don Morgan — Saskatchewan’s minister responsible for SaskPower — says Saskatchewan cannot logistically, technically or financially meet Ottawa’s goal.

Saskatchewan remains committed to being net zero by 2050.

Wilkinson says he’ll be flexible in designing regulations taking each province’s current status into account.

In May, Saskatchewan Premier Scott Moe said the federal government’s goal for net-zero emissions by 2035 wasn’t realistic.

He doubled down on that statement later that month while announcing Saskatchewan is planning to take until 2050 to achieve net-zero emissions on the power grid.

“What we are putting forward today is a Saskatchewan plan that is realistic, it’s affordable, and ultimately is going to provide us with the reliability in the baseload electricity that we require as we grow and prosper,” Moe said on May 16.

Saskatchewan’s plan includes running SaskPower’s coal and natural gas plants until their end of life, which could, in a couple of cases, go into the 2050s.

“That’s the most efficient and affordable way to provide power. That is what they were designed to do and we made those investments. SaskPower on behalf of its customers made those investments in those facilities with the full expectation of utilizing those investments to the end of their life,” Moe said at the time.

It would have SaskPower continue to add wind and solar into the mix and to add in nuclear as well.

— With files from The Canadian Press