As mentioned in the "CO2 and energy reductions" section, the Net-Zero Act, which became law on 29 June 2021, enshrines in legislation Canada's commitment to achieving net-zero emissions by 2050. In Canada, 84% of electricity comes from sources, such as hydroelectricity, solar, wind and nuclear, which are far less polluting than electricity generated from coal, oil and natural gas. As Canada aims to achieve a net-zero emissions economy by 2050, its electricity supply will need to at least double by then, according to recent studies. To meet this surging demand, and to avoid an increase in greenhouse gas emissions from the electricity sector, the Government of Canada has developed the Clean Electricity Regulations (CER), which are expected to come into force by 2025.

The draft CER were developed around the following core principles:

• Maximize greenhouse gas reductions to achieve net-zero emissions from the electricity grid by 2035
• Maintain electricity affordability for Canadians and businesses
• Maintain grid reliability to support a strong economy and meet Canada's growing energy needs

The CER are an integral part of Canada's 2030 Emissions Reduction Plan to help the country reach its emissions reduction target of 40%-45% below 2005 levels by 2030 and net-zero emissions by 2050.