Accelerating the Deployment of Zero Emission Vehicles: Atlantic Canada and the Prairies
Executive Summary
The main objectives of this study were centered around understanding perspectives on zero-emissions vehicles (ZEVs) and their deployment in the Atlantic and Prairie regions of Canada, two regions that have seen minimal uptake of ZEVs. This report serves to communicate the current state of play of ZEVs in these two regions and is particularly focused on regional and inter-regional challenges and opportunities, which were confirmed and discussed via stakeholder consultations carried out in each region.
In addition to serious detrimental impacts to the natural environment, climate change represents one of the largest threats to social, economic, and political systems worldwide. A 2011 study by the National Round Table on the Environment and the Economy estimated that climate change could cost Canada
$21-43 billion per year by 2050.
International concern has been demonstrated by the near-unanimous ratification of the Paris Agreement, which aims to limit global warming to “well below 2°C above pre-industrial levels”. A low carbon economy will ultimately be required to achieve the significant greenhouse gas (GHG) emission reductions required to meet the objectives of the Paris Agreement.
Canada has set a 30% GHG emissions reduction target below 2005 levels by 2030 (equivalent to 523 Mt CO2e). Canada’s long-term goal is to reduce emissions by 80% from 2005 levels by 2050.Federal and provincial governments have introduced climate policies to help achieve these ambitions.
GHG emissions from the transportation sector are the second largest source of emissions in Canada, representing 24% of total GHG emissions in 2015, of which 12% originate from light duty vehicles. Canada recognizes that reducing transport emissions will be required for meeting its targets and has identified expanding the number of ZEVs on Canadian roads in its approach for doing so. The federal government is working with provincial and territorial governments, industry and other stakeholders to develop a Canada-wide ZEV strategy in 2018.
ZEVs include battery electric vehicles (BEVs), plug-in hybrid electric vehicles (PHEVs), and hydrogen fuel cell electric vehicles (FCEVs). Canada has seen impressive growth in ZEV sales over the past few years. In fact, ZEV sales in Canada increased 68% between 2016 and 2017. As of the end of 2017, the total number of ZEVs on Canadian roads was 47,800.
General key barriers to ZEV adoption in Canada include the upfront purchase cost, technology uncertainty, lack of charging infrastructure and lack of public awareness and education. Quebec, Ontario and British Columbia have implemented policies and programs to help overcome a number of these barriers and have seen significant growth in ZEV sales over the 2013 to 2017 time period.
Provinces in the Prairie and Atlantic regions have seen much lower ZEV adoption rates. While some municipalities in Alberta (namely Calgary and Edmonton) are developing their own ZEV strategies, accelerating ZEV deployment does not feature prominently in provincial climate strategies. Several provinces in the Atlantic region have included ZEVs as part of their plans to reduce GHG emissions from the transportation sector, however policies have not yet been defined and implemented, and uptake remains low.
Regional Barriers and Opportunities
Subject matter expert interviews, regional workshops in Fredericton and Calgary, and an Atlantic Canada webinar were conducted to explore regional and provincial barriers and opportunities with respect to accelerating ZEV deployment.
In Atlantic Canada, barriers to ZEV adoption were identified including:
- Lack of incentives and high purchase costs
- Lack of consumer and policy-maker awareness and education about ZEVs and their benefits
- Lack of public charging infrastructure
- Lack of ZEV availability in dealerships
- Lack of available models (e.g., pickup trucks) to meet required vehicle performance
- specifications for large consumer demographics
- Lack of access to maintenance and repair
- Higher future ZEV deployment would displace revenue from gasoline sales taxes used
- for road infrastructure
- Displaced revenue for dealerships from service and repairs for ZEVs
- Priority opportunities for action identified by Atlantic Canada region stakeholders included:
- Incentives for vehicle purchase and charging infrastructure
- Increase charging infrastructure
- Education and awareness campaigns by multiple groups (Government, NGOs, OEMs, etc.)
Priority opportunities for action identified by Atlantic Canada region stakeholders included:
- Incentives for vehicle purchase and charging infrastructure
- Increase charging infrastructure
- Education and awareness campaigns by multiple groups (Government, NGOs, OEMs, etc.)
In the Prairies region, barriers to ZEV adoption were identified including:
- Lack of provincial government interest/engagement
- Lack of coordination of stakeholders/activities
- The higher cost of ZEVs and lack of equivalent models (e.g., pickup trucks and SUVs)
- Lack of public charging infrastructure
- Lack of consumer awareness (economic and environmental benefits, total cost of ownership,
- infrastructure, safety)
- Lack of ZEVs and service capabilities at dealerships
- Technology barriers (battery performance and perceived cold weather performance)
- Lack of standardization of charging infrastructure
Prairie region stakeholders identified several priority opportunities for action including:
- The need for governments to make ZEVs a priority
- Funding for vehicle incentives, charging infrastructure incentives and education/awareness
- Exploring future/smart mobility systems
Provincial perspectives on grid readiness
While utility stakeholders from across Canada agree that ZEVs do not pose an immediate challenge from
an electricity generation capacity and transmission perspective, the primary challenge that ZEVs pose
is to local electricity distribution systems. This is especially true considering that ZEV adoption tends to
be concentrated in certain, mostly urban, neighbourhoods. Regional perspectives on grid readiness are
highlighted below.
NEWFOUNDLAND AND LABRADOR |
PRINCE EDWARD ISLAND | NOVA SCOTIA | NEW BRUNSWICK |
---|---|---|---|
Newfoundland and |
Approx. 25% of the |
NS Power is keen to |
NB Power targets 40% |
MANITOBA | SASKATCHEWAN | ALBERTA | |
Provincial grid is >98% |
Electricity generation is the |
Not an issue on transmission |
|
Full reports available upon request. Please contact Low Carbon and Alternative Fuels / Carburants à faible teneur en carbone et alternatifs at nrcan.lowcarbonandalternativefuels-carburantsafaibleteneurencarboneetalternatifs.rncan@canada.ca
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