Thanks to the province’s abundant hydro power, British Columbians’ electricity bills are among North America’s lowest and half of what an Alberta household pays for power. Thoughtful planning decades ago set the stage for an affordable and reliable electricity system that has underpinned the province’s economy and helped keep electricity bills low for B.C. households.
Not only is electricity a much more efficient power source than fossil fuels, going electric saves households and businesses money. For example, a Metro Vancouver family that adopts clean energy solutions — including EVs and heat pumps — could knock over $700 off its average monthly energy bill compared to one largely reliant on fossil fuels.
Despite this, some groups have argued that B.C.’s electricity grid isn’t up to the task, using these concerns to call for the rollback of key climate policies — like regulations to increase EV supply — that would impact electricity demand.
But these concerns are often not grounded in fact, finds a new report from Clean Energy Canada. B.C.’s grid is well positioned for the demands of electrification, thanks in large part to the build-out of renewables and, more often than not, advantageous power trading with our neighbours. In truth, the energy transition can keep our energy bills enviably low.
As one example, meeting B.C.’s robust 2030 EV sales targets would increase electricity demand in the province by only two per cent, according to B.C. Hydro. Heat pumps, meanwhile, have a nominal impact on the grid. Given that 42 per cent of B.C. households use electric baseboard heating, moving these dwellings to heat pumps could reduce overall provincial electricity demand by five per cent. A heat pump is also three to five times more energy efficient than a natural gas furnace.
B.C. has a clear plan to meet this future demand by building more low-cost renewable power, recently finalizing agreements to add eight per cent of supply from renewables to the grid by 2032. With the Site C dam coming online this year and adding another eight per cent alongside energy efficiency investments freeing up an additional three per cent, B.C. is on track to meeting a projected 15 per cent increase in electricity demand by 2030.
What’s more, because our grid is connected to the U.S. and Alberta, it is well set up to manage future power demand and even makes the province money. In fact, since 2019, the value of the province’s electricity exports was 35 per cent higher than all of its imports. This profitable arrangement equates to lower bills. Specifically, 10 per cent lower in 2025 than they would be without energy trading, while similar savings are forecast for the years ahead — a mutually beneficial arrangement for B.C. and its neighbours. Case in point: Last January’s cold snap almost overwhelmed Alberta’s electricity grid, until B.C.’s power exports saved the day.
Of course, the spectre of tariffs looms over B.C. Should tariffs be enacted, B.C.’s hydro reservoirs would still allow the province to buy power from the U.S. and Alberta when it is cheapest and sell power when prices are high. As the U.S. becomes less reliable as a trading partner, increasing electricity trade with and through Alberta to other provinces should be a priority — not just for B.C. but all provinces seeking to expand and fortify their electricity grids in the most affordable way possible.
Renewables, like wind and solar, are now the cheapest sources of electricity globally and have been shown to help drive down power bills. The U.S. states with the highest shares of solar and wind (Iowa leads with 55 per cent) also have electricity rates that are 25 per cent lower than the U.S. average.
A look at other countries offers plenty of examples of high wind and solar shares, such as 67 per cent in Denmark, around 40 per cent in Germany and the Netherlands, and 28 per cent in Australia. In a scenario where Canada achieves a net-zero economy by 2050, wind and solar would be responsible for only 30 per cent to 40 per cent of required electricity production, less than some countries already produce today.
An electrified future is affordable, reliable, and the backbone of B.C.’s economy. With the right planning and investments now, British Columbian families and businesses can enjoy affordable and reliable electricity in the decades to come.
This post first appeared in the Vancouver Sun.
