Cost of Electricity in Canada

Cost of Electricity in Canada – 2020

As the second-largest producer of hydroelectricity in the world, Canada’s electricity sector is striving on different sources. The cost of electricity in Canada varies based on different factors. The province you reside in, the source of electricity, among many other factors affect the cost of electricity in Canada.

Electricity in Canada

Electricity is an essential source of energy that we all need for survival all over the world. We all depend on electricity for our daily activities. Most of our household equipment like the blender, dishwasher and washing machine all depend on electricity.

Electric cars are the new advancement in the use of electricity. As a country advances technologically and its economy develops, the demand for electricity grows rapidly. The sources of electricity and technology used to generate electricity have changed over the years.

Most electricity is generated with steam turbines using fossil fuels, nuclear, biomass, geothermal solar thermal energy. All over the world, electricity supply and price are regulated by governments of respective countries.

Aside Hydroelectricity which accounts for about 59.3% of Canada’s electricity supply, other sources for electricity in Canada include:

  • Non-hydro renewable sources
  • Uranium
  • Natural gas
  • Wind
  • Coal
  • Biomass
  • Solar
  • Petroleum

Home Appliances that Consumes Energy

  • Central Air Conditioner
  • Water Heater
  • Refrigerator
  • Dryer
  • Oven Range
  • Lighting 4-5 room household
  • Dishwasher
  • Television
  • Microwave
  • Washing Machine

Cost of Electricity in Canada

In Canada, there are a number of factors that influence the price of electricity. They include:

  • Fixed costs and variable costs
  • Geography of the region
  • Source of generation
  • Maintenance and renewal of infrastructure

The price of electricity in Canada is only a fraction of your household budget. An average Canadian spends about CA$3.59 per day on electricity. Most Canadians spend more money on clothing and footwear than they do on electricity.

The average price of electricity for residential use in Canada is CA$0.174 per KWh (Kilowatt.hour) with the inclusion of the territories. Excluding the territories, the average price is CA$0.135. This is based on the average monthly consumption of 1000 KWh. That is, in a month, the average price of electricity in Canada is CA$174 including the territories and, CA$135 excluding the territories.

Below is a table of the average residential cost of electricity in each province in Canada based on the average monthly consumption of 1000 KWh.


Province

Cost Per Kwh

Cost Per Kwh (Monthly)

Alberta

CA$0.167

CA$167

British Columbia

CA$0.124

CA$124

Manitoba

CA$0.096

CA$96

New Brunswick

CA$0.127

CA$127

Newfoundland and Labrador

CA$0.138

CA$138

Nova Scotia

CA$0.150

CA$150

North-West Territories

CA$0.387

CA$387

Nunavut

CA$0.375

CA$375

Ontario

CA$0.125

CA$125

Prince Edward Island

CA$0.168

CA$168

Quebec

CA$0 .073

CA$73

Saskatchewan

CA$0.182

CA$182

Yukon

CA$0.145

CA$145

Quebec currently has the cheapest cost of electricity, followed by Manitoba. The Northwest territories have the most expensive electricity price followed by Nunavut.

Electricity Source per Province in Canada

Regulation of electricity in Canada occurs at provincial levels and the regulations include pricing as well as types of power generation used. Currently, in Canada, electricity is generated and distributed by either publicly or privately owned utilities or both, as in the cases of Alberta and Ontario.

Deregulated wholesale electricity markets can only be found in Alberta and Ontario. Different provinces in Canada use different sources for generation of electricity.

In British Columbia, Manitoba, Quebec, Newfoundland and Labrador, and Yukon, more than 80% of electricity is generated from hydropower.

In Ontario, New Brunswick and the Northwestern territories, a combination of nuclear, hydro, wind, biomass, coal, natural gas and petroleum is used in generating electricity.

In Alberta, Saskatchewan, Nova Scotia and Nunavut, they generate the majority of their electricity from fossil fuels like coal, natural gas or petroleum.

With the increase in demand for electricity, Canada’s electricity sector has noted a 5% growth since 2015, and currently exports about 9% of the electricity it generates to the United States.

Electricity Production per Province and Source

Hydro

60.2% of Canada’s electricity is generated from Hydro. Below are details of provinces that generate electricity from hydroelectricity.


Province

Electricity Supply

Manitoba

96.8%

Quebec

95.0%

Newfoundland and Labrador

93.7%

Yukon

92.2%

British Columbia



90.5%

Northwest Territories

38.5%

Ontario

25.9%

New Brunswick

19.6%

Saskatchewan

13.7%

Nova Scotia

8.8%

Alberta

2.5%

Nuclear

About 14.6% of Canada’s electricity is generated from Nuclear. Below is the distribution per provinces that generates their electricity from nuclear.

Province Electricity Supply
Ontario 58.6%
New Brunswick 36.1%

Wind

Wind makes up about 4.4% of Canada’s electricity generation. Below is the provincial supply from wind.


Province

Electricity Supply

Prince Edward Island

97.9%

Nova Scotia

11.8%

Ontario

6.7%

New Brunswick

6.6%

Alberta

5.4%

Quebec

3.9%

Saskatchewan

3.8%

Manitoba

2.7%

Northwest Territories

2.0%

British Columbia

1.3%

Newfoundland and Labrador

0.5%

Biomass

1.8% of Canada’s electricity is from Biomass. Below is the provincial supply from Biomass in Canada.


Province

Electricity Supply

Prince Edward Island

0.7%

Nova Scotia

4.9%

Ontario

1.3%

New Brunswick

4.2%

Alberta

2.2%

Quebec

0.8%

Manitoba

0.1%

British Columbia

6.4%

Newfoundland and Labrador

0.3%

Natural Gas

Natural gas constitutes 8.6% of Canada’s electricity generation.


Province

Electricity Supply

Alberta

42.2%

Saskatchewan

35.7%

Nova Scotia

14.3%

New Brunswick

9.9%

Ontario

5.2%

Northwest Territories

4.0%

Yukon

2.0%

British Columbia

1.1%

Newfoundland and Labrador

0.7%

Quebec

0.1%

Petroleum

1.2% of Canada’s electricity is generated from Petroleum.


Province

Electricity Supply

Nunavut

100%

Northwest Territories

55.3%

Nova Scotia

12.2%

Yukon

5.5%

Newfoundland and Labrador

4.8%

Alberta

2.6%

Prince Edward Island

1.1%

British Columbia

0.7%

Quebec

0.2%

Manitoba

0.2%

Ontario

0.1%

Solar

Solar makes up 0.5% of Canada’s electricity generation. Below are provincial supply from solar in Canada.


Province

Electricity Supply

Ontario

2.2%

Prince Edward Island

0.3%

Yukon

0.3%

Northwest Territories

0.2%

Saskatchewan

0.1%

Alberta

0.1%

Nova Scotia

0.03%

Coal

8.6% of Canada’s electricity is generated via coal.


Province

Electricity Supply

Nova Scotia

47.9%

Saskatchewan

46.6%

Alberta

44.9%

New Brunswick

15.8%

Manitoba

0.1%

Other Sources


Province

Electricity Supply

Alberta

0.2%

Nova Scotia

0.2%

Electricity Distribution Company per Province in Canada

The use of electricity in Canada differs greatly by province. Provinces like British Columbia and Quebec with cheap and plentiful electricity from large scale electricity projects tend to use more electricity per person when compared with other provinces that rely on other alternative sources of energy for things like heating their homes and water.

Below is a table of some electric utilities in Canada, their type and provinces by size:


Company Name

Type

Province

Hydro Quebec

Public

Quebec

Hydro One

Public/Private

Ontario

Ontario
Power Generation

Public

Ontario

BC Hydro

Public

British Columbia

Alectra Utilities

Municipal

Ontario

Enmax

Municipal

Alberta

Trans Alta

Investor-Owned

Alberta

Toronto Hydro

Municipal

Ontario

Atco

Private

Alberta

Bruce Power

Private

Ontario

Epcor

Municipal

Alberta

Capital
Power Corporation

Private

Alberta

Manitoba Hydro

Public

Manitoba

NB Power

Public

New Brunswick

Sask Power

Public

Saskatchewan

Nova Scotia Power

Private

Nova Scotia

Hydro Ottawa

Municipal

Ontario

Newfoundland
And Labrador Hydro

Public

Newfoundland
And Labrador

Saskatoon
Light& Power

Municipal

Saskatchewan

Cornwall Electric

Public

Ontario

Most of the public-owned utilities have integrated services, that is, they generate and distribute electricity. While the privately-owned utilities sometimes deal with generations but are mostly involved in transportation and distribution of electricity. The municipal utilities are mainly for the distribution of electricity.

Energy Saving Tips

  • Get a prepared electric bill plan
  • Find and seal leaks around the house
  • Use a programmable thermostat
  • Cover drafty windows
  • Use less hot water
  • Unplug appliance when not in use
  • Replace air filters
  • Extra-insulate your room

Generally, electricity is considered cheap in Canada as you only spend a small percentage of your monthly budget on it. Bear in mind that depending on all the factors that influence the price of electricity, the price is not constant and can change based on provincial policies.

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