Government of Québec launches $6.7B 2030 Green Economy Plan; emphasis on transportation electrification
The Premier of Québec François Legault, and the Minister of the Environment and the Fight against Climate Change and Minister responsible for the Laval region, Benoit Charette, unveiled the 2030 Green Economy Plan (PEV 2030) and its first 2021-2026 implementation plan, with an envelope of $6.7 billion over five years.
In the context of uncertainty caused by the pandemic, the government is presenting a first implementation plan for the period 2021-2026 that, in addition to reducing GHG emissions, is intended to stimulate economic recovery and job creation. The government estimates that this electrification and climate change project should add $2.2 billion to Québec’s GDP in real terms by 2030 and create more than 15,500 new jobs. Additional investments that will support the development of green sectors, such as batteries and green hydrogen, will enhance these benefits.
The government is launching a major electrification project, mainly in the transport sector, but also in those of building heating and industrial activities. Over the next five years, $3.6 billion from the 2030 PEV implementation plan will be invested in the transportation sector, which alone accounts for more than 43% of Québec’s GHG emissions.
In addition to this amount, there are investments of $15.8 billion in public transit under the 2020-2030 Québec Infrastructure Plan. Light trains, urban and school buses, taxis, cars and trucks will all be gradually electrified. A target of 1.5 million electric vehicles on Québec roads is targeted by 2030.
Measures that will stimulate the electrification of transport, buildings and industries and GHG reduction include:
Renewal of the discount on the acquisition or lease of an electric vehicle and charging stations for citizens, as well as assistance programs for businesses and the taxi industry;
Enhancement of the requirements of the zero-emission vehicle standard to encourage manufacturers to fuel the Québec market with more vehicles and a greater diversity of models;
Prohibition on the sale of new gasoline vehicles from 2035;
Acceleration of the deployment of fast charging stations by Hydro-Québec and standard charging stations;
Investments of $768 million to make the industrial sector greener and more competitive (support for GHG emission reduction projects, program enhancement and personalized support);
Injection of more than $550 million to reduce GHG emissions from heating residential, commercial and institutional buildings by 50%. This target will be achieved in particular through optimal complementarity between the electricity and gas networks and the use of dual energy, energy efficiency, the conversion of fuel oil to electricity and the use of renewable natural gas and other renewable energy sources.
For the period 2021-2026, $401 million will be used to implement a set of strategies to foster the emergence of new businesses in strategic and innovative areas. The government will support the development of a dynamic industrial ecosystem around electric vehicles, charging infrastructure and batteries.
Investments of $213 million are planned to support the emerging renewable natural gas sector, and $15 million will be invested to support the green hydrogen sector in its development and search for innovation. Québec’s first green hydrogen and bioenergy strategy will be presented in 2021 and will aim to position Québec as a leader for the future. The government’s ambition is for Québec to be recognized worldwide for its green hydrogen, as it already is for its clean electricity.
In addition, the government will continue to focus on energy efficiency and responsible consumption. More than $307 million will be invested over the next five years in the following measures:
Under the EcoPerformance program, $113 million will be used to support energy conversion and efficiency projects in commercial and institutional buildings. In addition, $75 million is planned to encourage heat recovery and recovery projects;
The 2018-2023 Energy Innovation and Efficiency Master Plan is extended until 2026;
At the same time, Hydro-Québec will double its energy efficiency objective, bringing it to 800 gigawatt hours (GWh) per year by 2021.
The five-year implementation plan will be reassessed annually and will systematically cover the following five years.