Spillway of a hydro electric dam in the Rocky Mountains of Canada
Canada’s massive hydro potential to remain elusive
Despite its southern neighbour seeking new sources of low-carbon power, further expansion of Canadian hydropower is unlikely to be competitive
The Canadian government views the Biden administration’s plan to achieve a carbon-free grid by 2035 as opening the door to substantially greater hydropower exports to the US, with environment minister Jonathan Wilkinson referring to it as “a big economic opportunity” in February. Canada is the second largest hydropower producer in the world, with 81GW of installed capacity and the potential to more than double that figure, according to Ottawa-based trade group Waterpower Canada. Canadian hydro accounts for 60pc of national electricity generation, while also holding significant market share in several US regions: 17pc of New England, 12pc of Midwest states and 5pc of New York. “Many of
Also in this section
2 January 2026
This year may be a defining one for carbon capture, utilisation and storage in the US, despite the institutional uncertainty
23 December 2025
Legislative reform in Germany sets the stage for commercial carbon capture and transport at a national level, while the UK has already seen financial close on major CCS clusters
15 December 2025
Net zero is not the problem for the UK’s power system. The real issue is with an outdated market design in desperate need of modernisation
28 November 2025
The launch of the bloc’s emissions trading system in 2005 was a pioneering step, but as the scheme hits 21 its impact as a driver of decarbonisation is still open to debate
