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Electricity and the Canadian Economy
Electricity permeates Canada
’
s economy
 About one-quarter of all the energy used by Canadians iselectricity, and there is no substitute in most applications.Canadians use electricity in their jobs and homes, withoutgiving it a thought, because it is affordable and reliable.Businesses know that electricity affects productivity, growthand profitability; and they count on affordable, reliable andhigh quality power when they make investment decisions.Canadian electricity companies know that the economydemands a constant, reliable supply of electricity; they alsoknow that Canadians look to the electricity sector to meethigh standards of environmental performance.
Canada steadily demands more electricity
Electricity demand growth parallels or exceeds populationgrowth. Canadians use electricity more efficiently thanever before, but every year there are more of us using it.Forecasts show that demand will grow by 1-1.5% peryear during the next decade and beyond.This growth is inescapable. New appliances are more effi-cient, but more consumers are using them. Business andindustrial processes are more efficient, but population andeconomic growth create more businesses, buildings andmanufacturing facilities
–
all demanding more electricity.Consequently, we will need new investment in electricalgeneration, transmission and distribution. Over the next twodecades, expanding and modernizing our electrical systemwill require investments equivalent to almost 40% of ourexisting capacity.
Electricity and GHG Emissions
Electricity is only part of the GHG emissions pictureand it is also part of the solution
The electricity sector contributes 18% of Canada
’
s totalGHG emissions. In comparison, electricity in the US createsapproximately 34% of total US emissions. Canada
’
s mixtureof low GHG emitting plants makes the difference. We
The Canadian electricity industry is taking action on climate change. Electricitygenerators have made gains in areas such as low-emission technologies,energy efficiency, emerging renewable power, and emission offsets. However,the Kyoto timeframe and targets are very difficult to reconcile with thecontinuing need for affordable, reliable electricity. The electricity sector willcontinue to reduce greenhouse gas emissions growth but substantial absolutereductions are only possible in the long-term, and subject to the right policyconditions.
perspectives
Canadian Electricity Association
October 2002
Electricity and Climate Change
Climate Change
www.canelect.ca
 
ELECTRICITY GHG EMISSIONS 1990-2010
SOURCES: (1) EC 2001. Canada's GHG Emissions 1990-1999,(2) Electricity Covenant Group, Revised Base Case Projections,GCSI & Haloa Inc, Sept 200019900204060801001201401995200020052010
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