A ban imposed on some renewables projects by the provincial government in Alberta, Canada, could cost C$11.1bn ($8.24bn) in lost clean energy investment and stall up to 6.3GW of new solar and wind power capacity, according to a study published on Monday.
New restrictions on renewables development, announced by the Government of Alberta on 28 February, could impact as many as 42 projects, nine of which are already awaiting regulatory approval, a study from clean energy think tank Pembina Institute found.
The study analysed potential impacts on renewables projects that could stem from two new rules relating to land use and ‘viewscapes’. The government has now imposed a ban on the use of Class 1 and 2 agricultural land – that is, high-quality agricultural land – and has ordered the creation of buffer zones of at least 35km around protected areas and ‘pristine viewscapes’ where wind farms will no longer be permitted.
The study found that of a total of 111 solar and 34 wind projects proposed in Alberta, 36 solar projects (28 proposed and 8 already awaiting regulatory approval) and six wind projects (five proposed and one already waiting approval) could be affected by the agricultural land classification restriction. The wind project awaiting regulatory approval might also be affected by the viewscapes buffer.
Collectively, these projects would add 6.3GW of renewable energy to the state’s grid, which would almost double current capacity, the study finds. This could now be put at risk, along with up to 9,360 new jobs.
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Alberta’s Government said in its announcement of the new rules that exceptions would be made if companies could show that livestock or crops could exist alongside proposed projects. The restrictions are an extension of previous rules announced in August last year, which prohibited the development of large renewables projects due to concerns over land use.
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By GlobalDataThe ban has also put Premier Danielle Smith’s provincial government at odds with Canadian Prime Minister Justin Trudeau, whose Liberal national government is currently drafting ambitious federal regulations to make provinces net zero by 2035.
In January, Alberta faced power shortages amid frigid winter weather. The state’s Affordability and Utilities Minister Nathan Neudorf said at the time that he had “high concern” about whether the province had a large enough power supply to avoid electricity shortfalls.
