Municipal governments across Canada stand to benefit with the growth of clean energy. While not every Municipality will benefit from projects directly, the distributed nature of clean energy means projects have less restrictions for siting and can therefore be located across diverse geographies.
One large benefit to Municipalities, is the tax generated by new clean energy projects. Typically, the tax assessment is based on the capital cost or size of the project (this depends on where you are of course). There is usually a school or education tax as well which is a highly beneficial tax for local school districts. While taxes are a major benefit to Municipalities, the creation of new local jobs is another one that cannot be overlooked. Clean energy projects are often powering local facilities, and construction, maintenance and early stage preliminary work typically involve plenty of local businesses and create new jobs locally or in nearby jurisdictions.
Both rural and urban municipalities can be active supporters of development in the clean energy industry. Municipalities often own numerous parcels of land that have potential to be suitable for a number of different projects. With some internal or external champions, these projects can proceed swiftly.
Here are a few ideas we think could be applicable to any Municipality to help them actively support clean energy development:
1) Hire Designated ‘Energy Managers’
-On staff energy managers can help stay up to date on trends and technologies and work to support different departments, local businesses and companies advancing their clean energy or energy efficiency related projects.
-If you are one of the lucky municipalities located in Alberta and with a population of less than 150,000 you can tap into the MCCAC’s Municipal Energy Manager Program and receive a large portion of their salary covered! This is a great program that helps create new jobs that add value to Municipalities that take part.
2) Update or Prepare Zoning and Development Process
-Ensure zoning and development process is clear for different technologies and is not cost prohibitive to go through the approval process. Developers may avoid Municipalities with notoriously difficult or expensive zoning/development processes.
3) Engage Local Businesses
-Start engaging local businesses to gather service and product offerings information and share this with clean energy project proponents in order to help keep more business local.
4) Investigate Feasibility of Projects and Support Early Stage Development Work
-To really spur economic activity, Municipalities can begin investigating feasibility of projects themselves and support early stage development work for others. This does require some risk and considerable time, but it will show that your Municipality is an active supporter of clean energy.
5) Establish Strategic Partnerships
-Municipalities can begin establishing partnerships with companies or Indigenous groups specializing in those clean energy projects that the Municipality finds most applicable to its jurisdiction.
Over the last few years, we have seen a growing interest in Municipalities taking an active role in clean energy development and we fully expect this trend to continue. Blue Harp Consulting is currently working with various Municipalities to originate and develop community focused energy projects. We can help your Municipality get more involved in clean energy: just reach out to us to book a no obligation consultation to learn how we can help.
Do you have questions about our consulting services or blog post? Connect with Dave via email at: dcarscadden@blueharpconsulting.ca
