Halifax wind energy deal to cut city emissions by 24%

Halifax Regional Municipality (HRM) is taking a significant step towards reducing its greenhouse gas emissions by signing an agreement with Renewall Energy for a substantial portion of its electricity supply. Nearly half of Halifax’s municipal electricity will soon come from the new Mersey River Wind farm near Milton, N.S., starting in 2026. This move is expected to cut the city’s corporate emissions by 24% and overall energy consumption by 19%.

Kevin Boutilier, HRM’s manager of clean energy, emphasized the importance of this deal in helping Halifax achieve its goal of reaching net-zero municipal operations by 2030. This commitment to renewable energy is outlined in the city’s climate-change plan, known as HalifACT, which aims to achieve zero emissions by 2050.

The terms of the agreement with Renewall Energy offer competitive rates that start at five percent less than the current market price and will not increase by more than one percent annually for the next 20 years. This cost-effective approach is crucial for HRM, considering the city’s significant expenditure of approximately $9 million on electricity in 2022.

Daniel Roscoe, CEO of Roswall Development, the parent company of Renewall, highlighted the economic viability of renewable energy projects in Nova Scotia. He noted that renewable energy is becoming increasingly competitive with fossil fuels, which are subject to inflation and geopolitical uncertainties.

Renewall Energy is currently the only company in the province, besides Nova Scotia Power, authorized to sell renewable energy to businesses, governments, and homeowners. The company received its license from the Nova Scotia Utility and Review Board through the Renewable to Retail program in 2021.

HRM is also exploring a potential additional agreement with Renewall that would include street lighting, further increasing the percentage of municipal electricity sourced from renewable energy. The city plans to allocate the remaining 25% of its electricity for use in the province’s Green Choice Program, which allows entities consuming over 10,000 annual megawatt hours to purchase renewable electricity from wind developments set to come online by 2028.

Roscoe expressed confidence that other companies are observing Renewall’s progress and are likely to follow suit in pursuing retail licenses for renewable energy sales. He emphasized the need for diverse pathways for renewable energy projects, including municipal-led initiatives, Indigenous-led projects, and community-based ventures.

The Mersey River Wind project, which aims to generate 148.5 megawatts of power through 33 turbines, is set to commence construction this year, with the first turbines expected to be operational in 2026. In addition to Halifax, three other municipalities have also signed agreements with Roswell: the Region of Queens, Town of Bridgewater, and Municipality of the District of Shelburne.

The agreement with Shelburne is projected to save the municipality nearly $500,000 over 20 years, further demonstrating the financial and environmental benefits of transitioning to renewable energy sources. As Halifax leads the way in adopting renewable energy solutions, it sets a precedent for other communities to follow suit in reducing emissions and embracing sustainable energy practices.