Canada's Solar Surge: Behind-the-Meter Installations Drive Record Growth

Canada is experiencing a significant boom in solar energy deployment, with behind-the-meter installations, particularly residential systems, leading the charge. This trend is poised to surpass the solar capacity installed in 2024, signaling a robust expansion of renewable energy adoption across the nation.

Key Takeaways

• Behind-the-meter solar installations are driving Canada's solar growth, exceeding previous year's figures.

• Rising electricity costs, aging infrastructure, and climate change are motivating consumers to adopt solar.

• Favorable policies and financing for battery storage are further accelerating adoption.

• While large-scale solar projects have seen a slower year, significant developments are expected.

• Provinces like Alberta and Ontario are showing increased interest and activity in solar deployment.

The Rise of Behind-the-Meter Solar

Phil McKay, senior director of technical and utility affairs at CanREA, highlighted that Canada is on track to exceed the 314 MW of solar deployed in 2024, largely due to the surge in behind-the-meter systems. These systems generate electricity for direct use by homeowners, offering a tangible way to combat rising power bills. Historically, Canada has enjoyed low electricity costs, but aging infrastructure and the impacts of climate change have led to price increases, making solar a more attractive option for consumers.

Provincial Powerhouses and Emerging Trends

Alberta, a leader in Canadian solar projects, reported 43 MW of behind-the-meter installations and 5 MW of distributed generation in the first half of the year. The adoption of solar is further bolstered by supportive policies and financing options for home battery storage in several provinces. CanREA also noted a growing interest in balcony solar systems, a technology not yet available in Canada, indicating a strong pent-up demand for more accessible and affordable solar solutions.

Large-Scale Projects and Future Outlook

While larger-scale solar projects have experienced a more subdued year, a significant 112 MW project near Edmonton International Airport is anticipated to come online in the latter half of the year. Investment tax credits and energy supply shortages are identified as key drivers for these larger developments. Ontario, traditionally slower to adopt renewables, is showing increased interest, with system operators forecasting potential energy shortages in the coming years, making distributed generation a crucial solution.

CanREA data indicates a substantial pipeline of renewable energy projects across Canada, with over 10 GW scheduled for procurement in the coming years. Quebec, for instance, has ambitious plans to deploy 3 GW of solar by 2035, starting with a 300 MW solar tender announced in May. This overall growth trajectory underscores Canada's commitment to expanding its renewable energy capacity.

Sources

• Canada set to surpass 2024 solar growth with rise in behind-the-meter PV – pv magazine International, pv magazine International.