Documents revealed a climate program aimed at phasing out diesel generators in Arctic Canada is far from achieving its targets, even though it has received millions in government subsidies.According to Blacklock’s Reporter, the Department of Crown-Indigenous Relations (DCIR) blamed the limited reduction in diesel consumption on factors such as the pandemic and inflation.“Northern communities have faced challenged advancing projects since 2020 due to COVID-19 delays, significant cost increases caused by inflation and volatile supply chains as well as uncertain policy environment in some jurisdictions,” the department wrote the Senate National Finance committee.In 2017, the cabinet budgeted $53.5 million to replace diesel generators with renewable energy under a program called Northern REACHE, (Responsible Energy Approach for Community Heat and Electricity). Funding was later expanded to $340.4 million. “The program’s objective is to reduce Northern communities’ reliance on diesel for heating and electricity,” the department said in a statement.Program managers in a 2022 Departmental Plan claimed they would “reduce diesel consumption by two million litres by March 31, 2023.” However, the department acknowledged diesel consumption was reduced by only one million litres, with 368,000 litres saved in 2021 and 700,000 litres in 2022.The Department Plan also predicted it was “expected to reduce diesel consumption by seven million litres annually by 2030.” Managers acknowledged the target may not be met.“The program focuses on supporting the feasibility, planning and development stages of projects,” said the Senate committee submission. “Hydroelectricity and grid interconnection projects can take more than 10 years to develop. As a result, the projects the department is supporting are generally at an early stage of development or the ‘pre-development stage.’”Darlene Bess, chief financial officer with DCIR, testified at a September 27 Senate committee hearing phasing out diesel as a mainstay of Arctic power generation was crucial. “A lot of our work is about getting off diesel,” said Bess. “Is it a realistic target to start with?” asked Senator Larry Smith (QC). “That has been our main focus in those areas, getting off diesel and then working on some of the hydroelectric projects in the North,” replied Bess.To date, some of the subsidized projects include $1.4 million to install solar panels in remote hamlets in Nunavut, where the winter months have as few as four hours of daily sunlight. Additionally, the department spent $362,000 researching wind power in the Yukon.According to official estimates, Nunavut relies on diesel fuel for 100% of its energy production, while the Northwest Territories relies on it for 50%. Approximately 200 hamlets in these regions rely on diesel generators for their lighting and heating needs.
Documents revealed a climate program aimed at phasing out diesel generators in Arctic Canada is far from achieving its targets, even though it has received millions in government subsidies.According to Blacklock’s Reporter, the Department of Crown-Indigenous Relations (DCIR) blamed the limited reduction in diesel consumption on factors such as the pandemic and inflation.“Northern communities have faced challenged advancing projects since 2020 due to COVID-19 delays, significant cost increases caused by inflation and volatile supply chains as well as uncertain policy environment in some jurisdictions,” the department wrote the Senate National Finance committee.In 2017, the cabinet budgeted $53.5 million to replace diesel generators with renewable energy under a program called Northern REACHE, (Responsible Energy Approach for Community Heat and Electricity). Funding was later expanded to $340.4 million. “The program’s objective is to reduce Northern communities’ reliance on diesel for heating and electricity,” the department said in a statement.Program managers in a 2022 Departmental Plan claimed they would “reduce diesel consumption by two million litres by March 31, 2023.” However, the department acknowledged diesel consumption was reduced by only one million litres, with 368,000 litres saved in 2021 and 700,000 litres in 2022.The Department Plan also predicted it was “expected to reduce diesel consumption by seven million litres annually by 2030.” Managers acknowledged the target may not be met.“The program focuses on supporting the feasibility, planning and development stages of projects,” said the Senate committee submission. “Hydroelectricity and grid interconnection projects can take more than 10 years to develop. As a result, the projects the department is supporting are generally at an early stage of development or the ‘pre-development stage.’”Darlene Bess, chief financial officer with DCIR, testified at a September 27 Senate committee hearing phasing out diesel as a mainstay of Arctic power generation was crucial. “A lot of our work is about getting off diesel,” said Bess. “Is it a realistic target to start with?” asked Senator Larry Smith (QC). “That has been our main focus in those areas, getting off diesel and then working on some of the hydroelectric projects in the North,” replied Bess.To date, some of the subsidized projects include $1.4 million to install solar panels in remote hamlets in Nunavut, where the winter months have as few as four hours of daily sunlight. Additionally, the department spent $362,000 researching wind power in the Yukon.According to official estimates, Nunavut relies on diesel fuel for 100% of its energy production, while the Northwest Territories relies on it for 50%. Approximately 200 hamlets in these regions rely on diesel generators for their lighting and heating needs.
