Tribunal report ‘hard to take seriously’: Federal Environment Minister’s office

A report from the Saskatchewan Economic Impact Assessment Tribunal on the coming Clean Electricity Regulations from the federal government came to incorrect conclusions, according to the office of Steven Guilbeault, the federal environment minister.

The tribunal released its report into the regulations on Tuesday, saying the measures would reduce Saskatchewan’s economic growth by $7.1 billion and cost the province at least 4,200 jobs. As a result, the provincial government announced that Saskatchewan will not be abiding by the federal regulations when they come into effect on January 1.

In a statement, Guilbeault’s office said it wasn’t surprising the incorrect conclusions were reached in the report.

“Saskatchewan launched this tribunal with an underlying ideological agenda to build a political fight with the Government of Canada,” read the statement.

The federal minister’s office pointed out that Saskatchewan Justice Minister Bronwyn Eyre has said the tribunal’s role was to quantify the “dollar figure harm of federal policies.”

The statement said the results of the report are “wildly” out of sync with the benefits that could come with a clean energy grid.

“Saskatchewan has huge opportunities to reap in transitioning its grid to clean energy, including through the development of carbon capture and storage technology, small modular nuclear reactors, and renewable energy,” the statement read.

Guilbeault’s office said all parts of the country are going to see higher expenses in expanding the electricity system, but building a cleaner grid will create tens of thousands of jobs.

But the tribunal’s assessment found regional differences – including population, geography and climate – weren’t considered in the development of the Clean Electricity Regulations.

The minister’s office defended the regulations, saying they’re essential to provide market certainty for businesses to plan for a net-zero future, and claimed third-party studies show the total energy bill of most households will be lower in 2050 than it is today, though it didn’t name those studies.

“This report is hard to take seriously, as it considers an outdated draft version of the Clean Electricity Regulations and fails to acknowledge the significant additional flexibilities that were proposed earlier this year,” read the statement.

However, the report from the tribunal said its mandate was expanded to include the public update released in February.

“Many potential modifications to the CER are signaled, but without clarity as to actual changes it is not possible to measure the effect on the cost comparison and analysis that the Tribunal undertook in respect of the current version of the CER,” the authors explained in the report.

The statement from Guilbeault’s office said the regulations aren’t finalized and the federal government is engaging in detailed consultations to design the regulations in a way that achieves its objectives while enabling provinces to provide affordable and reliable electricity.

“We are creating many flexibilities to ensure a smooth transition of existing grid infrastructure across Canada, including in Saskatchewan,” said the statement.

Guilbeault’s office also pointed out the tribunal’s analysis didn’t include the $40 billion the federal government has put on the table to help provinces expand their electricity grids.

The statement also pointed to the money it said the federal government has already put into the province’s grid, including $74 million for the development of small modular reactors, $174 million to upgrade the E.B. Campbell Hydroelectric Station, the rollout of smart metres, upgraded infrastructure, and support for wind and solar projects.

While the provincial government said the onus is now on the federal government to prove that its proposed regulations are constitutional, Guilbeault’s office said the Supreme Court has recognized the federal government’s role in regulating greenhouse gas emissions.