Canada
Critical minerals, policy, and the energy transition
The Energy Transition in Canada
Canada's journey towards an energy transition reflects its commitment to combat climate change and transition towards a more sustainable and green economy. This vast country, endowed with abundant natural resources, is strategically pivoting from traditional energy sources towards renewable energies such as hydro, wind, solar, and geothermal. Integral to this transition is the country's focus on leveraging its rich deposits of critical minerals like lithium, cobalt, nickel, and rare earth elements, essential for renewable energy technologies, electric vehicles, and energy storage solutions. However, the pathway to this greener future is intricately complicated by the convoluted nature of province-specific legislation governing the extraction, processing, and management of these critical minerals. Each province's distinct regulatory frameworks, environmental standards, and indigenous rights agreements add layers of complexity to the national ambition. This decentralised approach creates a mosaic of policies that enrich and challenge Canada's energy transition efforts. Balancing national goals with provincial autonomy, Canada's energy transition is a nuanced narrative of ambition, local governance, and the quest for sustainable development.
A comprehensive approach to the global energy transition
Canada is positioning itself at the forefront of the global energy transition through the adoption of renewable energy, critical mineral development, technological innovation, and robust policy frameworks.
Canada’s approach to critical minerals and the energy transition is deeply intertwined with its international alliances. These relationships enable Canada to influence global policies, secure essential resources, and collaborate on innovative solutions for a sustainable future. The federal and provincial governments are implementing robust policy frameworks to support the energy transition. The Pan-Canadian Framework on Clean Growth and Climate Change outlines the national strategy for reducing emissions, fostering clean technology, and creating resilient communities. Carbon pricing mechanisms, renewable energy incentives, and emissions regulations are key components of this framework.
The energy transition in Canada faces several challenges to becoming a global leader in clean energy. Infrastructure development is essential, requiring the upgrade of the national grid to accommodate renewable energy sources. Regulatory hurdles present another obstacle, as the country must navigate complex and varied regulatory environments across its provinces. Economic diversification is also critical, as Canada needs to balance economic growth while shifting away from fossil fuels. Additionally, social acceptance is a crucial factor, necessitating efforts to ensure community support for renewable energy projects. These challenges must be met with innovative solutions and collaborative efforts to achieve a sustainable energy future.
Source: SFA (Oxford)
Critical Minerals mapping and policy developments
Provincial efforts to develop and manage critical minerals in Canada are diverse and tailored to local contexts, with each key province contributing uniquely to the energy transition. Quebec, a leader in hydropower, is emerging as a significant player in lithium production. Ontario focuses on integrating nuclear power and renewable energy while playing a vital role in nickel and cobalt production. British Columbia is developing hydro, wind, and solar power and boasts significant deposits of copper, nickel, and other critical minerals. Alberta is transitioning from oil sands to renewable energy sources like wind and solar and leads in lithium extraction practices. Saskatchewan invests in wind power, explores small modular nuclear reactors (SMRs), and focuses on uranium and other critical minerals.
In Newfoundland and Labrador, significant advancements have been made in nickel and cobalt development, while Manitoba is developing strategies for these minerals. The Northwest Territories are mapping rare earth elements and other critical minerals, and Nunavut is actively exploring and developing critical minerals. Yukon explores rare earth elements and sustainable mining practices. New Brunswick and Prince Edward Island are exploring the potential for rare earth elements, and Nova Scotia emphasises sustainable mining practices.
Each province's unique approach reflects the regional strengths and resources available, contributing collectively to Canada's overall strategy in critical minerals and the energy transition. Discover the energy transition and critical minerals across Canada.
Canada's energy and power mix
Critical Minerals in Canada
Energy Raw Materials and products produced in Canada
Essential Mineral Production and Products in Canada
Meet the Critical Minerals team
Trusted advice from a dedicated team of experts.
Henk de Hoop
Chief Executive Officer
Beresford Clarke
Managing Director: Technical & Research
Jamie Underwood
Principal Consultant
Ismet Soyocak
ESG & Critical Minerals Lead
Rj Coetzee
Senior Market Analyst: Battery Materials and Technologies
Dr Sandeep Kaler
Market Strategy Analyst
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