The Standing Senate Committee on Energy, the Environment and Natural Resources. June 12, 2014

Size: px

Start display at page:

Download "The Standing Senate Committee on Energy, the Environment and Natural Resources. June 12, 2014"

Augusta Shepherd
6 years ago
Views:

1 The Standing Senate Committee on Energy, the Environment and Natural Resources June 12, 2014

2 Overview Who is Sustainable Development Technology Canada (SDTC)? The importance of Canada s North Solutions to common challenges for remote communities 2

3 SDTC Funds Canadian Cleantech SD Tech Fund launched on April 4, 2002 Aimed at development and demonstration of emerging clean technologies SD Natural Gas Fund launched on February 25, 2014 Aimed at development and demonstration of emerging downstream natural gas technologies NextGen Biofuels Fund launched on September 12, 2007 Aimed at establishment of first-of-kind large demonstrationscale facilities for the production of next-generation renewable fuels and co-products SDTC s funds are complementary, operate close to the market, and address gaps in the innovation chain. 3

4 Industry s Contribution is Impressive Applications to Date 2,444 applications (>7700 entities) $6.1 Billion in funding requests 246 Projects Total Eligible Project Costs $2.2 B Leveraged Funding is high particularly at this stage of technology risk 73% of the funding is leveraged from consortia members Industry contribution is strong $1.3 Billion leveraged from private-sector Small and Medium Sized Enterprises 90% of SDTC s portfolio is SME led SDTC Contribution $598 M (27%) Industry Leveraged Funding $1.3 B (81%) Leveraged Funding $1.6 B (73%) Other Funding* $298 M (19%) * Includes funds from federal departments, provincial governments and academia as of June 2013 Private industry in Canada is supporting cleantech, providing 81% of all leveraged funding into SDTC projects. 4

5 SD Tech Portfolio Segmentation by Market Sector Energy Exploration and Production Power Generation Energy Utilization $126M (21%) $119M (20%) $141M (24%) Transportation $99M (17%) Agriculture Forestry, Wood Products and Pulp & Paper Products Waste Management $31M (5%) $34M (6%) $48M (8%) SDTC s current investment into 246 projects is $598M. $0 $20 $40 $60 $80 $100 $120 $140 $160 $M as of June 2013 SDTC supported projects contribute technology solutions to major economic sectors in Canada, reducing costs while increasing productivity and competitiveness. 5

SDTC Impacts - Providing Environmental Benefits Climate Change Total annual GHG reduction, attributable to the 245 projects in SDTC s portfolio, is projected to be between 7 and 17 megatonnes*by 2015.

6 SDTC Impacts - Providing Environmental Benefits Climate Change Total annual GHG reduction, attributable to the 245 projects in SDTC s portfolio, is projected to be between 7 and 17 megatonnes*by Clean Air 81 transportation and power generation related projects have an estimated avoided health-related cost of more than $1.5 billion by Soil and Water 28 SDTC-funded projects with water impacts have an estimated avoided cost of at least $60 million by * These figures include adjustments for the uncertainty of projections by applying a discounting factor to individual projects of between 80% and 93.5% Clean technologies embody the integration of environmental and economic considerations, resulting in numerous environmental benefits. 6

7 Importance of Canada s North Issues that reinforce the need for made-in- Canada solutions: Climate Change, Resource Development, Transportation, Sovereignty, Inuit and other Aboriginal People 7

8 Arctic Sea Ice: the Climate Change Leading Indicator Sources: NASA, Natural Resources Defense Council 8

9 Canada s Northern Resources now being developed Source: Natural Resources Canada 9

10 New Shipping Routes Opening Panama Canal Suez Canal 24,000 km 21,000 km Tokyo to London Estimated Prize (cost savings) Northwest Passage Northern Sea Route* 13, 500 km 13, 000 km $120B/yr 10

11 Communities of the North 11

12 Common Issues for the North Waste Management Clean Water Reliable Energy SDTC is taking an integrated approach in developing solutions to these issues 12

13 Reliable Power is not an option it is a must in the North Problem Diesel is expensive and unsustainable, but it provides baseload power all day, all night. Challenge To find a sustainable energy solution which is cheaper and more reliable than diesel. 13

14 Comparison of Northern Energy Options Levelized Cost of Energy (LCOE; C$/MWhr) (includes capital and operating costs over the lifetime of the asset) $/MWhr BASELOAD POWER OPTIONS INTERMITTENT 14

15 Northern Energy Options Considering Infrastructure & Operations Levelized Cost of Energy (LCOE; C$/MWhr) (includes capital and operating costs over the lifetime of the asset) $/MWhr BASELOAD POWER OPTIONS INTERMITTENT 15

16 Clean Water, Waste Management Problem Electricity is only part of the equation. There are also issues with generating affordable and sustainable heat, clean water, as well as dealing with waste. Challenge To find a solution which cost-effectively addresses all the basic utilities in an integrated fashion. 16

17 Reliable Energy Problem: Remote community electrical grids are weak since they don t enjoy the same economies of scale as large grids. Renewables must plug in seamlessly. Challenge: To find an energy storage and grid-firming approach which cost- effectively enables a wide range of loads and generation sources and work in cold climates. 17

18 For More Information Sustainable Development Technology Canada Rick Whittaker

Polar Knowledge Canada. Bringing Technology to the North and the Case for Collaboration

Polar Knowledge Canada. Bringing Technology to the North and the Case for Collaboration Polar Knowledge Canada Bringing Technology to the North and the Case for Collaboration Introduction Polar Knowledge Canada Science and Technology Priorities Drivers for A&R POLAR has to offer Challenges