Power Perspectives 2026

Canada’s power sector is undergoing rapid change—and the pace isn’t slowing. From sweeping market reforms and clean energy expansion to landmark Indigenous partnerships and major regulatory shifts, these developments are reshaping investment strategies and operational priorities nationwide.

Our Power Perspectives 2026 publication takes a look at the most significant changes in 2025 and highlights key trends to watch in 2026. Spanning regional and national developments, environmental and regulatory updates, Indigenous law, and Canada’s newly established Major Projects Office, our in-depth coverage will help you navigate the sector with confidence.

For 11 years, our market-leading National Energy Group has published our annual analysis and insights into the forces reshaping Canada’s power sector. Power Perspectives is designed to help you anticipate change and make informed decisions on project development, financing, M&A, regulatory compliance, procurement, and risk management strategies.

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Power Perspectives 2026

Our 11th annual power industry retrospective reviews key developments in Canada’s power sector and emerging energy industries in 2025, and explores 2026 trends at regional and national levels.

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Our 2026 guide to Canada’s power sector looks at these topics:

British Columbia – How will the province’s muscular new energy policies affect new projects going forward?

Building on the momentum of BC Hydro’s 2024 Call for Power, which procured roughly 5,000 GW/h year of generation capacity, BC Hydro launched the 2025 Call for Power to add another 5,000 GW/h year by 2033. With strong Indigenous co-ownership, and alongside numerous provincial clean energy policies and programs, the 2025 Call for Power takes its place as a pillar of the broader provincial economic and energy policy taking shape. Read the publication for our take on new EPA terms, the Clean Power Action Plan and legal and policy updates streamlined to enable Indigenous co-ownership of grid projects, demand management and project development, among other things.

Alberta – How did the province redefine its energy future in 2025?

Last year marked a turning point for Alberta’s electricity sector. A landmark provincial–federal MOU set the stage for economic growth, a net-zero 2050, stronger Indigenous partnerships and expected alignment of TIER carbon pricing with federal standards. Regulators introduced the final design for the Restructured Energy Market to enhance reliability and competition with the impacts of implementation still to be determined, an Optimal Transmission Planning framework for cost-effective grid expansion. Meanwhile, a bold AI data centre strategy aims for $100 billion in investment, supported by integrated grid planning and Bill 8’s fast-track for self-generating facilities. Improvements and modernization of Alberta’s electricity system continue to be developed and implemented, signalling even bigger changes ahead in 2026.

Ontario – A year defined by market renewal, significant procurements and sweeping legislation.

In 2025, Ontario’s electricity sector underwent transformative change with the IESO’s Market Renewal Program, the largest market overhaul since market opening, improving price transparency and reliability. IESO procurement initiatives sought to secure 3 TWh of long-term energy and 600 MW of long-term capacity through the LT2 procurement, and secured 3 GW of medium-term contracted capacity through the MT2 procurement. The Ontario Government passed Bill 5 and Bill 40 to streamline project approval processes and align energy planning with economic growth. Key Indigenous partnership agreements and new transmission and generation projects in the Ring of Fire region represented positive momentum to potentially spur further investment and development in the region. Expect additional opportunities in 2026.

Québec – What did the province do in 2025 to accelerate its renewable revolution?

Hydro-Québec is driving bold change with a solar and wind strategy targeting 3,000 MW by 2035 and starting in 2026, generous residential rebates up to 40% of total installation cost to facilitate the installation of solar panels in over 125,000 homes. Massive wind projects are also advancing, including the 1,200 MW Des Neiges farm, the 1,500 MW Wetsok project, and Mi’gmaq partnerships that could unlock 6,000 MW in Gaspésie. To support this growth, Hydro‑Québec committed $10 billion to grid modernization and launched its first 25‑year Integrated Resource Plan, embedding Indigenous collaboration at the core of a sustainable transition.

Atlantic provinces – Atlantic Canada is shaping a regional clean-energy future.

In 2025, the region united under the ambitious Eastern Energy Partnership to integrate wind, hydro, and hydrogen resources. Nova Scotia led with Wind West, an offshore wind plan targeting 40 GW by 2040 alongside grid reforms. Newfoundland and Labrador secured a landmark Churchill Falls agreement worth $1 billion annually until 2041, paving the way for the 2,250 MW Gull Island hydro project. New Brunswick doubled down on nuclear with plans for 600 MW of SMRs by 2035 and major reliability upgrades, while Prince Edward Island focused on resilience by doubling undersea cables to prevent a 27% shortfall by 2033.

Environmental – Canada’s revamped environmental framework sets a bold trend.

Last year brought sweeping changes to environmental laws nationwide. Provinces accelerated permitting for clean energy and critical projects—like B.C.’s Clean Power Action Plan and Ontario’s Bill 5 fast-tracking mines and infrastructure. Alberta introduced new reclamation rules for renewables and froze its carbon price at $95/tonne, while a federal–Alberta MOU now charts a path to $130/tonne toward net-zero by 2050. Québec modernized assessments with Bill 81, and Ottawa’s Climate Competitiveness Strategy strengthened carbon pricing and spurred clean investment. What’s in store for 2026? Read our publication to find out.

Aboriginal Law – Reshaping Indigenous participation in Canadian energy.

In 2025, Indigenous partnerships in power projects continued to grow and was incentivized through major procurement programs like B.C.’s Call for Power and Ontario’s Long-Term 2 and expanded financing—including a doubled $10-billion federal loan guarantee and Ontario’s $3-billion fund. Courts delivered significant rulings on the impact of the B.C. and federal UNDRIP legislation while B.C.’s Supreme Court recognized Aboriginal title on private land for the first time—an unprecedented decision now under appeal.

Major Projects – How is Canada fast-tracking nation-building projects?

In 2025, the federal government launched the Major Projects Office (MPO) under the Building Canada Act to accelerate approvals for critical infrastructure and natural resource projects. With statutory powers to designate “Projects of National Interest” and a single-window authorization model, the MPO is positioned as a potential a game-changer. By year-end, 11 projects worth $116 billion—including LNG export expansions, Canada’s first grid-scale SMR, Indigenous-led hydro, and critical mineral mines—were referred for support. This ambitious approach now faces challenges around Indigenous consultation, federal–provincial coordination, and legal scrutiny. Our chapter discusses how the changes could affect your business.

Want to see how this bold model will evolve in 2026? Download the full publication for our insights.

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