Guilbeault surprised Alberta using Sovereignty Act to block electricity regulations, but says he’s undeterred

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The act would make it law that cabinet and any provincial agencies will not work with the federal government on the proposed electricity regulations or follow the new federal rules

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Published Nov 27, 2023  •  Last updated 1 hour ago  •  3 minute read

Alberta Premier Danielle Smith, with Minister of Environment and Protected Areas Rebecca Schulz and Minister of Affordability and Utilities Nathan Neudorf, at a news conference where they outlined the Alberta sovereignty act motion that will be brought before the Alberta Legislature, in Edmonton, Monday Nov. 27, 2023. Photo by David Bloom/Postmedia

OTTAWA – Federal Environment Minister Steven Guilbeault said he was surprised by Alberta invoking  provincial legislation aimed at blocking his attempts to eliminate fossil fuels from its electricity grid, but said he will not be deterred from pushing ahead with his plan.

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Guilbeault responded late Monday after Alberta Premier Danielle Smith’s government invoked its Sovereignty Within a United Canada Act — known as the Sovereignty Act — saying it intends to ignore impending federal regulations that aim to have a net-zero grid in place by 2035. The province had been campaigning for months against Guilbeault’s plan, which is says is too aggressive and will make its electricity supply expensive and unreliable.

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“There’s no basis for any of the claims that premier Smith has made about the impact that would have on rates in Alberta, the impact it would have on grid reliability,” Guilbeault said.

Smith said the act would make it law that cabinet and any provincial agencies will not work with the federal government on the proposed electricity regulations or follow the new federal rules when they’re in place.

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“We developed this legislation to shield the province from federal intrusion and we’re using it now because the consequences of this particular overreach would be so severe,” Smith said. “If the federal government has its way, many people will be left without electricity that they can pay for on a power grid that will fall short or even fail.”

The clean electricity regulations are still in draft form and final rules are expected early in 2024. Guilbeault said he was blindsided that the Alberta government decided to invoke the act rather than working with Ottawa.

“Not once in many meetings that we’ve had with them have they raised the Sovereignty Act motion, which jeopardize the collaboration that we’ve had so far,” he said. “The draft regulations are exactly that — draft regulations — because we want to have conversations with provinces, territories, Indigenous representatives and other stakeholders.”

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Five things to know about the Alberta Sovereignty Within a United Canada Act

Danielle Smith introduces Bill 1, the Alberta Sovereignty Act, giving cabinet new power

Canada currently has one of the greenest grids in the world. Ontario, Quebec, and British Columbia rely on hydro and nuclear power to operate their electricity systems with very few emissions.

Alberta, Saskatchewan, Nova Scotia and New Brunswick rely heavily on either coal or natural gas for their power grids. Guilbeault said Nova Scotia and New Brunswick are working with his government to get off fossil fuels and he said Alberta should be doing the same.

“It is possible to do so in Canada. It is possible to do so in jurisdictions that are still very dependent on fossil fuel, but it means we have to work together, not against each other,” he said.

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Smith’s Sovereignty Act says the government can ignore federal rules or regulations it disagrees with by passing a motion outlining its plan to do so.

The premier said the reason for invoking the act now is to send a message to the federal government that the proposed electricity rules are not sustainable for the province.

“I’m hoping that they now understand that we’re serious that we are going to preserve the integrity of our power grid in whatever way we need to,” Smith said Monday.

The motion won’t apply to private electricity producers, but it would apply to the grid operator and regulatory bodies who oversee electricity in the province.

Smith said her government will also explore creating a Crown corporation to either build power plants or purchase existing ones from private companies who might be intimidated by the federal government’s rules.

“I hope we’re able to continue with our entirely private sector market, but I can’t sit back and allow for the grid to fail,” she said.

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