Clean-Energy Science and Technology (S&T)
The Government commitment to energy science and technology

January 17, 2007

Throughout the world, the production and use of energy has created a wealth of economic and social benefits, together with two serious environmental challenges—air pollution and greenhouse gas emissions. The Government of Canada has made a commitment to address these challenges and, to this end, is investing heavily in energy science and technology.

The $230-million ecoENERGY Technology Initiative forms part of the Government's plan to clean up the air and the environment. It will accelerate the development and market readiness of technology solutions in clean energy.

Projects under the ecoENERGY Technology Initiative will be expected to lead to significantly reduced emissions of particulates, gaseous pollutants, toxic substances and greenhouse gases from the production and use of energy. Most of the projects will be carried out by public–private partnerships.

Additional program details are being developed and will be available in April.

Energy in the world

Demand for energy is increasing throughout the world, driven by growing industrialization, particularly in developing countries such as China and India. This growth is almost certain to continue. For the next 50 to 100 years, by far the greater part of the world's demand for energy is likely to be met by fossil fuels. There is only a finite quantity of these traditional energy resources, and supplies are steadily being diminished. We can use science and technology to assist in making conventional energy sources cleaner at home. By exporting our technologies to rapidly growing countries like China and India, we can obtain a double benefit: a reduction of greenhouse gas emissions and commercial opportunities for our own industries.

Energy in Canada

Canada possesses massive energy resources—very likely more aggregate energy resources than any other country in the world. We have the world's second-largest proven oil reserves after Saudi Arabia. Almost a third of our oil production now comes from the Alberta oil sands, and this prodigious source is producing more oil every year. Canada ranks third in the world in the production of natural gas, second in hydroelectricity, and first in uranium. We have enough coal to generate electricity for more than 200 years, and we have excellent power potential from wind, solar, biomass, and heat from the earth's interior. We export nearly half the energy we produce, and energy accounts for about one-seventh of our total exports. Fossil fuels (oil, gas, coal, bitumens) provide much of the energy for Canadians, and this is not apt to change until at least the middle of this century.

Canada's S&T (science and technology) energy challenge

In Canada, our production and use of energy 2007-09-05eenhouse gases. They account for 85 percent of all smog-causing nitrogen oxide emissions, 46 percent of acid rain-causing sulphur dioxide, and 85 percent of greenhouse gases. The challenge for Canada is to develop the technology to produce and use its vast energy resources cleanly.

Meeting the challenge: regulation and S&T, a dynamic relationship

There is no magic bullet that will result in instant clean air for Canada. Addressing this problem calls for an integrated approach that makes full use of every available means. The Government's initiative is driven by two engines: regulation and S&T. Regulation encourages scientific and technological development by setting standards for industry to meet in upgrading products and processes. Science and technology inform regulation, defining its limits, determining its course and ensuring that the standards imposed by government are technically realistic and economically sound.

Regulation

Canada needs regulations that are responsive, coordinated, effective and understandable. The Government's new approach integrates climate change and clean air, emphasizing legislative and regulatory action to limit air pollutants and greenhouse gas emissions. In the fall of 2006, the Government approved the policy contained in the Clean Air Regulatory Agenda. The agenda lays out a comprehensive plan for regulating industrial emissions from industrial sources, as well as new provisions for regulating cars and commercial products.

S&T Scope

The Government is directing its energy technology funds toward three main areas:

• Increasing clean-energy supplies. This means developing technologies that allow us to make more use of clean, renewable energy sources such as solar, wind, small hydro and bioenergy.
• Raising energy efficiency. One of the largest untapped energy sources in Canada is the energy we waste. New energy-efficient technologies can increase the availability of energy, reduce environmental damage and save Canadians a lot of money.
• Reducing pollution from conventional energy sources.At present, Canada's greatest energy challenge is to overcome the environmental effects of traditional energy sources. Developing and deploying key technologies (such as clean coal and carbon dioxide (CO₂) capture and storage) has enormous potential to reconcile continued fossil fuel use with our air-emissions objectives during the transition to a cleaner energy economy.

S&T Focus

Within these three main areas, the Government, based on advice from key stakeholders, including the National Advisory Panel on Sustainable Energy S&T, will take leadership on a number of energy priorities. For example:

• CO₂ sequestration and storage
• Clean coal
• Clean oil sands production
• Renewable energy and other clean-energy sources
• Advanced vehicles, including hydrogen fuel cells and plug-in electric vehicle technologies
• Next-generation nuclear
• Bioenergy

A joint effort: industry; universities; federal, provincial, and territorial governments

The S&T effort will require the participation of industry, the universities, and federal, provincial, and territorial governments. Industry can do much but not all of, the necessary S&T—mainly because industry tends to focus on late-stage technology development with low investment risk and short-term outcomes. Similarly, the role of the universities is important but somewhat restricted—their focus is principally on fundamental research. For these reasons, it falls to the federal government to take the lead in medium- to long-term S&T that (1) carries a higher investment risk, (2) is essential to the public good and (3) would not otherwise be done. Public–private partnerships with industry, federal, and provincial governments will be forged where interests overlap.