Alberta invokes Sovereignty Act over federal clean electricity regulations

Alberta's United Conservative government has invoked its controversial Sovereignty Act for the first time by introducing a resolution to push back against the federal government's proposed Clean Electricity Regulations. 

The resolution, tabled in the Alberta legislature Monday, instructs governments and provincial entities such as the Alberta Electric System Operator and the Alberta Utilities Commission to ignore the regulations when they come into force "to the extent legally permission."

The resolution also raises the possibility of Alberta setting up a Crown corporation to protect the private sector companies that provide electricity in the province.

The Clean Electricity Regulations, currently in draft form, lay out the rules for getting Canada's electricity grid to net zero emissions by 2035.

Alberta Premier Danielle Smith says the deadline is impossible for the province to meet without risking blackouts and high costs for consumers.

The government says investors are afraid of proposing new power generation projects in light of the CER. The Crown corporation could commission new natural gas-fired plants, make deals for small-scale nuclear reactors or buy existing gas-fired plants.

At a news conference Monday, Smith said a provincial Crown corporation would encourage private sector companies to keep investing, but it would be a generator of last resort. 

"I cannot give direction to a private sector company to defy the law," she said. 

"But if we operate a Crown corporation, we will do it on the basis that we're only stepping in so that we can make sure that we preserve power."

Smith said a resolution passed by the legislature would help the province if the matter goes to court. But she also hopes it compels the federal government to avoid a legal battle by abandoning the 2035 net zero goal. 

"Why don't we just work together on a 2050 target?" she asked.  

"I'm hoping that they now understand that we're serious, that we are going to preserve the integrity of our power grid in whatever way we need to, so that we can get back to the table and talk about the ways in which we can agree."

WATCH | Alberta Premier Danielle Smith plans first use of Sovereignty Act:

Smith publicly proposed the Sovereignty Within a United Canada Act when she was running for the leadership of the UCP in summer 2022.