Hydro-Québec projects deficit that could force it to rely on U.S. and other provinces

Hydro-Québec, the state-owned utility, has released a report foreseeing a potential deficit in electricity supply that may force it to import power from neighboring provinces or the United States within the next three years. The utility's supply plan for 2027 to 2041 predicts a significant surge in energy demand due to several factors, including the electrification of transportation, the growth of data centres, and the retrofits of buildings that previously relied on fossil fuels.

According to the report, Quebec's electricity demand is projected to increase by more than 30% by 2041. The report attributes the rising demand to factors like the shift towards electric vehicles, the expansion of data centres, and the upgrading of older structures to reduce their reliance on fossil fuels. Additionally, the demand from data centres is anticipated to escalate sharply in the coming years.

Hydro-Québec emphasizes that the utility may face energy shortages as early as 2029 due to the projected escalation in demand. The report advises that Hydro-Québec may need to rely on external sources, such as transmission lines to neighboring provinces or the U.S., to bridge the gap between supply and demand.