Saskatchewan is committing $900 million over four years to refurbish its three coal-fired power plants, extending their operation well past Ottawa’s 2030 coal phase-out deadline. The provincial government says the move is driven primarily by energy security needs, as it doubles down on coal despite federal climate rules.
SaskPower, the province’s Crown electricity provider, has been developing a long-term grid plan since 2022, including public consultations on future generation options. However, coal was not presented as part of those discussions.
In an interview with The Globe and Mail, Energy Minister Jeremy Harrison said Saskatchewan weighed its power supply options based on three factors: security, reliability, and affordability. While affordability was not central to the decision, he noted that refurbishing coal plants is projected to cost roughly half as much as building new natural gas plants of similar capacity.
“We’re importing over 90 per cent of our natural gas right now from Alberta and the U.S. Energy security was really the driver of this decision,” Harrison said.
The $900-million investment will cover most of the capital required to keep the province’s Shand, Poplar River, and Boundary Dam plants operating. Together, they produce about 1,608 megawatts (MW) of electricity, comparable to the 1,667 MW generated by TransAlta Corp.’s converted gas units in Alberta.
By contrast, Alberta completed its coal phase-out in June 2024, years ahead of schedule. Coal had accounted for 80% of Alberta’s electricity in the early 2000s; by 2014, it was 60%. Today, it’s gone—contributing to a 60% drop in emissions from Alberta’s power fleet since 2005.
Saskatchewan has rejected a similar coal-to-gas conversion path. Harrison argued that the high cost of materials, new infrastructure, and reliance on imported natural gas would undermine energy security.
“As far as the absolute core of our power generation base load, it is coal, and it’s going to continue to be coal,” he said.
The province has an estimated 100 years’ supply of coal near its southeastern plants, giving it a reliable domestic resource. Harrison framed coal as a bridge to nuclear power, with Saskatchewan uranium fueling future reactors. The province has pledged to reach net-zero grid emissions by 2050, relying on nuclear, though it remains undecided between small modular reactors and a large-scale plant.
The move will set up a constitutional clash with Ottawa. The federal government accelerated the coal phase-out from 2061 to 2030 under 2018 regulations, but Saskatchewan maintains those rules are unconstitutional, arguing that energy policy falls under provincial jurisdiction.