Question Period Note: Climate Change Adaptation and Clean Energy in Northern and Indigenous Communities

• Our government is working with Indigenous and northern communities to support adaptation to the impacts of climate change and to reduce reliance on diesel in the North by shifting to renewable sources of energy.
• Budget 2022 further supported Indigenous leadership on climate action by providing $29.6 million to advance the co-development of an Indigenous Climate Leadership agenda.
• Budget 2021 invested $40.4 million to support feasibility and planning of hydroelectricity and grid interconnection projects in the North like the Kivalliq Hydro-fibre Link and $300 million to transition Indigenous and remote communities from diesel.
• We continue to support the Atlin Hydro Expansion project with investments, Budget 2022 announced 32.2 million, which will provide clean electricity to the Yukon to reduce greenhouse gas emissions.

Climate change impacts in Indigenous and northern communities
Indigenous and northern communities are already experiencing the significant and complex impacts of climate change on every aspect of their lives, and are the most in need of adaptation support. Unprecedented changes in temperature, precipitation, sea ice, glaciers, permafrost, freshwater availability, ecosystem dynamics, oceans, and sea level exacerbate existing challenges and health stressors across communities.
The overlapping impacts of climate change are especially apparent in the North as is evident in the northernmost Inuit hamlet of Grise Fiord. For example, the community, which is located along a narrow strip of land between the ocean and a glacier, is experiencing coastal erosion accelerated by reduced sea-ice extent and permafrost melt which is threatening infrastructure and roads. In addition, the community’s freshwater source, the Brume glacier, is retreating with run-off from the glacier menacing landslides and flooding in the community. Beyond the physical impacts, Indigenous communities are also experiencing impacts to food security due to changing animal migration patterns and un-safe travel conditions over sea ice. When animals are no longer available to hunt and fish, or accessing them becomes too dangerous, cultural and spiritual practices linked to these activities are also compromised which can have an effect on the survival of the culture and language in the long term.
Indigenous communities also face challenges in ensuring a safe, reliable, and affordable supply of energy. This challenge is even more significant in Indigenous and northern communities that rely on diesel for heating and electricity generation. Climate change will place additional stress on all Indigenous and northern infrastructure, including energy systems and already vulnerable supply chains. Increasing volatility in both the price and availability of fuel supplies will also place these communities at greater risk and increase financial contributions required by the federal government. Fuel transportation costs will continue to increase due to winter road failures and other climate change impacts.
CIRNAC climate change programming
CIRNAC’s suite of five climate change adaptation and clean energy programs have been recognized as best practices for working with Indigenous Peoples on climate change by ECCC and the AFN. They are:
o First Nation Adapt – funding for climate change adaptation assessments including flood maps in First Nations south of the 60th parallel with an emphasis on impacts to infrastructure and emergency management.
o Climate Change Preparedness in the North – climate change adaptation program for Indigenous and northern communities in the three territories and four Inuit regions with funding for small scale implementation of adaptation measures.
o Indigenous Community-Based Climate Monitoring – distinctions-based for climate monitoring in Indigenous communities across the country.
o Northern REACHE – funding for the planning and construction of renewable energy and energy efficiency projects and related capacity building in the three territories and four Inuit regions.
o Engaging Indigenous Peoples in Climate Policy – funding for the participation of the National Indigenous Organizations at bilateral distinctions-based senior-level tables with the Government of Canada with additional funding for non-affiliated groups to participate in climate change policy discussions.
These programs aim to empower Indigenous Peoples and northerners to take a leadership role in climate action through participation in policy and programming. Projects are community-led, build capacity and skills and yield economic opportunities for communities.
Indigenous Climate Leadership
Canada’s Strengthened Climate Plan committed to support Indigenous Climate Leadership which invests in the agency of Indigenous communities and rights holders and supports self-determined Indigenous climate action on adaptation and mitigation. The Emissions Reduction Plan released in March 2022 committed $29.6 million over three years to advance this work.
Starting in 2022-23, CIRNAC will work with Environment and Climate Change Canada to co-develop with Inuit, Métis and First Nations an agenda for climate action and framework for collaboration on climate policy and climate programming. Funding will also support Indigenous-led climate strategies.
Opportunities and constraints for renewable energy development
Besides the high risks and costs associated with supplying fuel to northern and Indigenous communities, burning diesel fuel presents a number of environmental, social and economic challenges, including, but not limited to, greenhouse gas emissions, risks of fuel leaks and spills from storage facilities, and energy security issues (i.e., reliance on uncertain availability of seasonal roads, barges, etc). These challenges drive the need for programming targeted at reducing energy consumption and developing clean energy projects within these communities.
Improving energy efficiency and deploying clean energy technologies such as hydro, wind and solar diversifies the energy mix in remote communities. Energy efficiency and conservation measures reduce overall energy demand and can provide significant savings to communities ahead of adding new generation capacity. While renewable energy sources, some of which are intermittent such as wind and solar, cannot completely replace diesel consumption, they can displace it in part to reduce the negative impacts of diesel generation while also creating opportunities for local skills development, job creation, and economic development.
CIRNAC Investment in Clean Energy
Budget 2021 proposes to invest $40 million over three years, starting in 2021-22, to support feasibility and planning of hydroelectricity and grid interconnection projects in the North. This funding could advance projects, such as the Atlin Hydro Expansion Project in Yukon and the Kivalliq Hydro-Fibre Link Project in Nunavut. These projects will provide clean power to northern communities and help reduce emissions from mining projects.

$300 million to help transition Indigenous and remote communities was allocated under Strengthened Climate Plan in December 2020. CIRNAC is working with Natural Resources Canada and Indigenous Services Canada to stand up an Indigneous and Remote Communities Off-Diesel Hub that streamlines community access to those funds and related energy programming.

Budget 2021 also allocated $25 million to the Government of Yukon to support its climate change priorities.

Under the Pan-Canadian Framework on Clean Growth and Climate Change, Budget 2016 provided $10.7 million over two years starting in 2016-17 to Indigenous and Northern Affairs Canada to implement the Northern Responsible Energy Approach for Community Heat and Electricity Program (Northern REACHE program). Program funding was renewed in Budget 2017 for $53.5 million over ten years starting in 2018-19, and $5.4 million per year ongoing starting in 2028-29.
CIRNAC's Northern REACHE program provides funding for planning and construction of renewable energy and energy efficiency projects, and related capacity-building and planning in Yukon, Northwest Territories, Nunavut, Nunavik, and Nunatsiavut. The objective of the program is to reduce diesel fuel use for electricity and heating and to build capacity within northern communities, governments, and organizations to support the development and long-term operation and maintenance of clean energy projects.
Federal coordination to reduce diesel reliance in northern and remote communities
CIRNAC also works in close collaboration with federal partners including Infrastructure Canada and Natural Resources Canada to ensure coordination of other investments that aim to support energy security and reduce reliance on diesel in the North, such as:
o Natural Resources Canada: $220 million over 6 years to reduce the reliance of rural and remote communities on diesel fuel, and support the use of more sustainable, renewable power solutions.
o Infrastructure Canada: $400 million over 10 years in an Arctic Energy Fund to support energy security in communities in the North, including Indigenous communities, by investing in upgrades to existing fossil fuel-based energy systems, as well as supplementing or replacing these systems with renewable energy options thereby improving energy reliability and efficiency as well as reducing pollution. Funding is delivered through integrated bilateral agreements with territorial governments. This Fund is distributed among the three territories-$175 million each to the Northwest Territories and Nunavut, with $50 million allocated to Yukon.
Atlin Hydro Expansion Project
The Atlin Hydro Expansion project, located on the British Columbia/Yukon border, is a priority project for the Taku River Tlingit First Nation and the Government of Yukon. It represents an important opportunity for integrating additional clean and secure energy capacity onto the isolated Yukon electrical grid, which is relying on rented diesel generators to meet demand.

Yukon’s hydro system is at capacity, even in the Summer, when hydro resources are most available. During the winter, to meet increased demand and prevent power outages, Yukon Energy must now rent diesel generators. In the winter of 2020, Yukon Energy rented 17 large diesel generators. Adding to the challenge, demand for power in Yukon is expected to grow by 40% in the next 10 years.

The current 2.1 megawatt Atlin hydro facility is 100 percent owned by the Taku River Tlingit First Nation. The First Nation, through Tlingit Homeland Energy Limited Partnership, is seeking to expand the system. The project will see the existing facility upgraded to produce an additional 8.5 megawatts to be sold directly to Yukon Energy Corporation through a 40-year electricity/power purchase agreement. It would be fully owned by the Taku River Tlingit First Nation and is projected to avoid upwards of 30,000 tonnes of CO2 per year.

The project and revenue it generates will contribute to the autonomy of the Taku River Tlingit First Nation, providing a long-term and stable source of revenue for the First Nation in that profits from the project will be reinvested in their community and First Nation. Several programs will benefit directly including the First Nation’s Land Guardian program and the Tlatsini Fund which supports joint land use planning and implementation. The Taku River Tlingit will also be able to expand their existing Skills Training Employment Program with the goal of building a skilled workforce within the First Nation.

This project also contributes to achieving the Government of Yukon’s 45 per cent reduction in carbon emissions in the territory by 2030, as committed in Yukon’s climate change strategy, Our Clean Future. It also supports Indigenous participation in Canada’s energy sector and economic recovery, while also contributing to the North’s transition to clean energy and energy security.

If pressed on Streamlining Indigenous and remote community access to clean energy

• Our Government is committed to supporting northern and remote Indigenous communities transition from diesel onto clean, renewable and reliable energy.

• CIRNAC has worked closely with Natural Resources Canada, Indigenous Services Canada as well as Infrastructure Canada, and Environment and Climate Change Canada to develop the Indigenous and Remote Communities Clean Energy Hub.

• The Hub will better support communities in accessing federal funding and expertise to support their clean energy priorities.

If pressed on Clean Energy Hub

• The Hub is delivering $300 million identified in Canada’s Strengthened Climate Plan, A Healthy Environment and a Healthy Economy, to advance the Government’s commitment to ensure that rural, remote and Indigenous communities that currently rely on diesel have the opportunity to be powered by clean, reliable energy by 2030.

• Additionally, CIRNAC is delivering $40.4 million through the Hub to support feasibility and planning of hydroelectricity and grid interconnection projects in the North.

If pressed on Hydroelectricity and Atlin Hydro Expansion

• Hydroelectricity is a proven technology that offers significant advantages in getting northern communities entirely off of diesel.

• CIRNAC is working with territorial governments and Indigenous organizations to support hydroelectric and grid interconnection projects like Iqaluit Hydro Project and the Kivalliq Hydro-Fibre Link.

• The Atlin Hydro Expansion project, led by the Taku River Tlingit First Nation will provide clean power to Yukon reducing diesel use by 10 million litres and avoiding 30,000 tonnes of GHG emissions per year

• The project will create high quality jobs for the region and provide a source of revenue for the Taku River Tlingit First Nation First Nation with profits being reinvested in community programming.

If pressed on Indigenous Climate Leadership

• CIRNAC is working with Environment and Climate Change Canada and Indigenous partners to co-develop an Indigenous Climate Leadership agenda and support Indigenous Peoples to take action on their self-determined climate priorities.