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Home » Energy Market Update: September 2026

Energy Market Update: September 2026

Alberta

Canada breaks ground on nation’s largest carbon capture and storage hub

Enhance Energy has started construction on the Origins CCS Hub in Clive, Alberta, which is expected to become Canada’s largest carbon capture and storage (CCS) project. The facility is designed to initially store up to 1.5 million tonnes of CO₂ annually and is expected to begin operations in January 2027, with capacity to expand over time. Supported by federal funding and approved by the Alberta government, the project reflects growing cooperation between governments and industry on CCS and emissions reduction. The project will use Canadian steel and connect to Alberta’s CO₂ transportation network, serving emissions-intensive industries such as cement, oil and gas, power generation, hydrogen, and petrochemicals. Enhance Energy says its existing Clive facility has already permanently stored more than 9 million tonnes of CO₂, generating significant carbon-credit value and economic activity in Central Alberta. Government officials say Origins will support jobs, investment, Alberta’s energy sector, and Canada’s broader goal of reaching net-zero emissions by 2050.

Source: Environment Journal

Electricity Prices for Alberta

The Alberta power pool price averaged 2.940 cents per kWh in September 2026. This price is 1.631 cents lower than last month’s average of 4.571 cents. The pool price has averaged 3.495 cents per kWh over the last 12 months.

As of October 1, 2026, the forward market was predicting electricity prices for the calendar years of 2026, 2027, 2028, 2029, 2030, and 2031. These prices are 4.053, 4.404, 6.115, 7.772, 8.347, and 8.597 cents per kWh respectively.

Gas Prices for Alberta

Direct Energy’s gas rate for September 2026 was $1.124 per GJ in Alberta. The October 2026 rate has been set at $1.458 per GJ. Alberta gas prices have averaged $2.025 per GJ over the last 12 months.

As of October 1, 2026, the forward market was predicting gas prices for the calendar years of 2026, 2027, 2028, 2029, and 2030. These prices are 1.62, 2.13, 2.66, 2.71, and 2.73 cents per GJ respectively.

 

British Columbia

Canada breaks ground on North Coast Transmission Line to deliver clean power and reduce emissions

The Government of Canada and British Columbia have broken ground on Phase 1 of the North Coast Transmission Line (NCTL), a major expansion of the province’s electricity grid between Prince George and Terrace. The 165-km, 500-kV first phase is intended to more than double access to clean, low-cost electricity along B.C.’s West Coast, enabling industrial projects such as LNG and critical-minerals developments. The full project is projected to generate $10 billion in economic activity, nearly 10,000 jobs, and emissions reductions of up to 3 million tonnes annually. The project is backed by $3.9 billion in federal and provincial funding for its first two phases, along with financing from the Canada Infrastructure Bank and strong participation from First Nations, which can potentially own up to 50% of the new transmission line. The NCTL is presented as a key component of Canada’s broader National Electricity Strategy, aimed at expanding the electricity grid, strengthening energy security, supporting economic development, and increasing access to clean power while accelerating infrastructure development through federal-provincial and Indigenous partnerships.

Source: Government of Canada

 

Ontario

Canada invests in clean fuels innovation in Ontario

The Government of Canada is providing $4 million in funding through Natural Resources Canada’s Energy Innovation Program to support two clean-fuels research projects in the Greater Toronto Area. Next Hydrogen will receive $2 million to develop more efficient, scalable, and cost-effective electrolyzer technology for producing low-carbon hydrogen, while CERT Systems will receive $2 million to advance a process that converts captured CO₂ into ethylene, a key ingredient for sustainable aviation fuel. The investments are intended to accelerate development and commercialization of Canadian clean-energy technologies, reduce emissions, strengthen energy security, and support jobs and investment in the clean-technology sector. According to the project estimates, the technologies could substantially reduce lifecycle emissions compared with conventional hydrogen and jet-fuel production, contributing to Canada’s broader transition toward a lower-carbon economy.

Source:  Government of Canada

 

Saskatchewan

Moe floats idea of two massive nuclear reactors in Saskatchewan

Saskatchewan Premier Scott Moe says the province is considering one or two large-scale nuclear reactors, potentially located near Lloydminster on the North Saskatchewan River. The reactors could provide enough electricity for Saskatchewan and neighbouring jurisdictions while supplying growing power demands from potash and uranium mines, oil production, and carbon capture projects. The idea revives a 2008 feasibility study that identified the Lloydminster–North Battleford–Prince Albert region as a viable nuclear site. It would complement SaskPower’s separate plans to evaluate a small modular reactor in Estevan. The proposal faces significant financial, regulatory, and construction challenges.

Experts note that large nuclear projects can experience substantial cost overruns, while Saskatchewan’s relatively small ratepayer base could make financing difficult without federal or interprovincial support. A new partnership with Alberta and the Northwest Territories to explore nuclear technology and electricity-grid connections could help distribute costs and demand. However, experts emphasize that feasibility, public acceptance, environmental approvals, construction timelines, and keeping the project on budget would all need to be resolved before a large-scale reactor could proceed.

Source: The Leader-Post

 

Manitoba

South Winnipeg neighbourhood will be first to go geothermal

Manitoba is providing up to $4 million to support a large-scale district geothermal heating and cooling system at Southwood Circle, a major mixed-use development in south Winnipeg. The system is expected to serve at least 1,000 homes when the first residents arrive in 2028 and would make Southwood Circle Manitoba’s first residential neighbourhood to use a shared geothermal system. The 112-acre development, formerly the Southwood Golf and Country Club, is expected to eventually house about 20,000 people and include apartments, condos, townhouses, and businesses. The project is part of Manitoba’s new three-year, 90-action net-zero plan, which forecasts more than $350 million in spending on emissions reductions. The province estimates the geothermal system could prevent 400 to 1,600 tonnes of greenhouse-gas emissions annually while reducing pressure on Manitoba’s electricity grid. Climate advocates support the project as a demonstration of proven ground-source heat-pump technology, while noting that proper planning and installation will be important; the provincial opposition has criticized the government for providing insufficient detail on its broader geothermal and climate plans.

Source: Winnipeg Free Press

 

New Brunswick

New Brunswick biogas plant cleared for construction

Bio Voltex has received provincial environmental approval to build a biogas facility in Penobsquis, New Brunswick, that will convert dairy manure and aquaculture waste into renewable natural gas. The plant will process up to 135,000 tonnes of organic waste annually through anaerobic digestion, producing approximately 200,000 gigajoules of natural gas for injection into the provincial pipeline network. The company has contracts with seven farms and aquaculture operators to supply waste for its expected 20-year lifespan, while organic fertilizer produced as a by-product will be returned to participating farms.

The project is expected to reduce emissions by the equivalent of about 40,000 tonnes of CO₂ per year, with the gas remaining in New Brunswick and potentially being supplied to NB Power for electricity generation. The environmental approval includes 17 conditions covering odour, air and water quality, noise, environmental monitoring, and potential impacts on neighbouring water supplies. Indigenous communities have also been consulted, with the Mi’kmaw assessment finding a low impact on rights and the Wolastoqey Nation reporting no current concerns. Construction is expected to begin in late October 2026 and take about a year.

Source: Bioenergy Insight Magazine

 

Prince Edward Island

Could a single Maritime power grid make electricity more reliable?

The Maritime provinces are exploring a regionally integrated electricity grid and potentially an independent energy system operator to coordinate power generation, transmission, and electricity sharing across Nova Scotia, New Brunswick, and P.E.I. The approach is intended to address rising electricity demand—federal projections anticipate energy use doubling by 2050—by making better use of regional resources such as wind, solar, and battery storage while coordinating investments in transmission infrastructure. An independent operator would work at arm’s length from governments and utilities, with the goal of making decisions based on the broader needs of electricity customers across the region.

The article points to ISO New England as an example of how such an organization could operate, balancing electricity supply and demand in real time while planning decades ahead for generation and transmission needs. Supporters argue that regional coordination could help the Maritimes manage the transition away from coal and expand renewable energy more efficiently. However, establishing a region-wide system operator and integrated grid would require significant cooperation among the provinces, and proponents say discussions need to advance quickly given the scale of the region’s upcoming electricity and infrastructure needs.

Source: CBC

 

Québec

Quebec allocates C$25 million for municipal green transition projects

Quebec is launching a C$25 million grant program to help municipalities advance environmental transition projects focused on reducing greenhouse-gas emissions and increasing renewable energy use. Eligible projects can receive funding covering up to 80% of costs, with municipalities required to submit proposals by November 30. The provincial government says the initiative is intended to help communities implement innovative climate and energy solutions while supporting local economic activity. By reducing municipalities’ upfront costs, the program is expected to accelerate investments in climate-related infrastructure and renewable-energy measures that might otherwise be delayed. It could also create additional demand for renewable-energy technologies and related services, linking Quebec’s decarbonization objectives with local economic development.

Source: Traders Union

 

Newfoundland and Labrador

NL, QC and Canada announce the single-largest clean energy investment in North American history

River in NewfoundlandThe new Definitive Cooperation and Implementation Agreement between Newfoundland and Labrador, Québec, and Canada covers the future development of the Churchill River’s energy resources. The agreement includes a proposed 2,700-MW Gull Island hydroelectric project, upgrades to Churchill Falls, 2,000 MW of onshore wind development in Labrador, and major transmission investments. The initiatives are being designated projects of national significance and referred to the federal Major Projects Office, with approximately $3.5 billion in federal support through financing, investments, loan guarantees, and tax credits.

The broader package is described as a major opportunity for clean-energy production, industrial development, and critical-minerals projects. It is expected to create about 23,000 construction jobs, contribute an estimated $31 billion to Canada’s GDP by 2040, and provide Newfoundland and Labrador with greater flexibility to use or sell its electricity. The province will also introduce a 15% electricity rebate on the first 2,000 kWh used monthly, while new transmission capacity would expand access to U.S. electricity markets.

Source: econext

 

Nova Scotia

Nova Scotia opens door to battery storage for province’s planned peaker plants

Nova Scotia is reconsidering whether large-scale battery storage should be part of its strategy for meeting future electricity demand, alongside planned natural-gas peaker plants. Ontario-based NRStor has proposed a 150-megawatt, four-hour battery facility at Trenton Industrial Park in Pictou County, near a coal plant scheduled to retire by the end of the decade. Premier Tim Houston has said the province’s procurement process should be broadened beyond natural gas to include technologies such as batteries, pointing to recent Ontario procurements in which battery projects competed successfully with gas generation. The province currently seeks up to 600 megawatts of fast-acting capacity through one or two 300-MW facilities, with at least one expected to operate by 2030 and a potential second facility by 2032. The new capacity is intended to support reliability as electricity demand grows, renewables expand, and coal generation is phased out under Nova Scotia’s Clean Power Plan. Battery proponents argue that storage can provide peak-demand capacity without the emissions associated with fossil-fuel generation, while the provincial grid operator says competitive procurement is intended to secure reliable power at the lowest cost to customers.

Source: The Chronicle Herald

 

Nunavut

Wind turbine going up a ‘big moment’ in Sanikiluaq, Nunavut

A $30 million wind-and-battery project in Sanikiluaq, Nunavut, has reached a major milestone with the installation of a 1-megawatt wind turbine. Developed by the Inuit-owned Nunavut Nukkiksautiit Corporation in partnership with Qulliq Energy Corporation, the Anuriqjuak Nukkiksautiit Project also includes 1 MW of battery storage and is expected to displace at least 50% of the community’s diesel use, or roughly 600,000 litres annually. The project still requires additional construction, upgrades to the existing diesel plant, and commissioning before it can generate electricity, with officials hoping it will begin operating later in 2026. The project is expected to reduce reliance on diesel generators, lower emissions, provide backup power, and potentially extend the life of existing diesel equipment. It is also designed to deliver economic benefits to Sanikiluaq: under its agreement with QEC, NNC will sell electricity to the utility, with 20% of project profits directed to a community enhancement fund governed by local representatives. Funding includes $16.7 million from Natural Resources Canada, $7 million from the Qikiqtani Inuit Association, and a $6.7 million Canada Infrastructure Bank loan.

Source: CBC

 

Northwest Territories

Upcycling waste: researchers pitch newest solution for Giant Mine’s arsenic trioxide

garbage canResearchers at the University of British Columbia have demonstrated a way to convert 237,000 tonnes of toxic arsenic trioxide stored at Yellowknife’s Giant Mine into metallic arsenic, producing small stones that could potentially be used as semiconductors in electronic devices. The lab-scale process dissolves the arsenic trioxide in water and uses a chemical reductant to produce a highly pure form of metallic arsenic. The researchers’ next steps are to test its performance in electronics and determine whether the process can be scaled up to handle the enormous quantity of waste at Giant Mine. The research could offer an alternative to permanently storing the arsenic underground, potentially reducing long-term monitoring and maintenance costs, although it is still years from practical application. The Giant Mine Oversight Board is interested in the approach while continuing to investigate other options, including converting the arsenic into glass. Even if metallic arsenic could be sold, researchers say there likely would not be enough market demand to cover the cost of a processing plant on its own; the economic case would instead come from the long-term savings and environmental benefits of removing the arsenic from the site.

Source: CBC

 

Yukon                           

 

They’re two of the biggest proposed mining projects in the Yukon. How will they be powered?

Two major proposed Yukon mining projects—Casino and Coffee Gold—plan to generate most of their own electricity because the territory’s existing grid is currently constrained. Casino, owned by Western Copper and Gold, plans to use an on-site liquefied natural gas (LNG) plant but could potentially connect to the Yukon grid in the future if the proposed Yukon-B.C. Grid Connect project creates additional capacity and surplus power. Coffee Gold plans a combination of LNG, diesel, solar, and battery storage. The projects would still produce significant greenhouse-gas emissions from fossil-fuel use. Coffee Gold is expected to emit about 91,900 tonnes of CO₂ annually over its projected 11-year operating life, while Casino would emit roughly 16,310 tonnes annually. Both companies say they are focusing on reducing emissions through greater efficiency and expanded renewable generation—for example, more efficient mining trucks, potential overhead electric cables at Casino, and additional solar capacity at Coffee. However, both projects are expected to continue relying on fossil fuels and pay the industrial carbon tax, while each remains subject to outstanding regulatory and environmental approvals.

Source: CBC