Good morning! This is Queen Street Analytics' weekly roundup of regulatory developments, legislative discussions, political announcements, and other government-related news concerning power generation and transmission, wind and solar, utilities, midstream companies, batteries and energy storage, LNG, biofuels and nuclear. Every Monday, we break down the most important updates in this space in under five minutes.

Dates: 2025-06-29 to 2025-07-05

📋 In This Week's Newsletter

• 🇨🇦 Canadian Federal GR News
• 🇺🇸 US Federal GR News
• 🗺️ Canadian Provincial GR News
• 💬 Government Consultations
• 📱 Public Officials' Social Media
• 📚 What We're Reading This Week

Canadian Federal GR News

Federal Government Allocates Over $21.5 Million to Carbon Capture and Storage Projects in Alberta

On July 4, 2025, Natural Resources Canada announced more than $21.5 million in funding for carbon capture, utilization, and storage (CCUS) projects across Alberta. The largest allocation, $10 million, will support the Bow Valley Carbon Storage Demonstration Project, designed to capture 40,000 tonnes of CO2 annually from the Inter Pipeline Cochrane Natural Gas Extraction Plant and store it via new compression, transportation, and sequestration infrastructure. Enbridge Inc. is receiving $4 million to characterize deep saline reservoirs for the Wabamun Hub for utility-scale carbon transportation and storage solutions. Enhance Energy Inc. will use $5 million to conduct subsurface analysis targeting unique aquifer geology for the Origins CCS Hub. Other recipients include OptiSeis Solutions Ltd. ($538,000 for subsurface imaging) and OCCAM’s Technologies Inc. (over $2 million for diesel engine carbon capture modifications). The initiatives focus on advancing CCUS research, expanding transportation and storage networks, and supporting decarbonization in hard-to-abate sectors.

Sources: Announcements: www.canada.ca, Announcements: www.canada.ca

Low Carbon Economy Fund Supports Clean Energy and Emissions Reduction Initiatives in Alberta and the Northwest Territories

The federal government announced more than $13.3 million for five projects under the Low Carbon Economy Fund (LCEF) on July 2, 2025. In Alberta, Sherritt International Corporation will use approximately $1.6 million to install economizers and recover waste heat, enhancing boiler efficiency at its Fort Saskatchewan plant. Cavendish Farms Corporation is to receive nearly $1.4 million for a heat recovery system in Lethbridge. Taurus Canada Renewable Natural Gas Corp. secured $3.4 million for a manure-based carbon capture and storage project at a feedlot operated by Kasko Cattle Co. In the Northwest Territories, Denendeh Manor GP Ltd. will receive about $2.3 million to retrofit and electrify heating at an Indigenous-owned apartment building in Yellowknife, including solar thermal and biomass integration. The Inuvialuit Regional Corporation will receive $4.6 million for a solar PV installation kit rollout and associated workshops in Inuvialuit-owned communities, with an open call for further local proposals.

Sources: Announcements: www.canada.ca, Announcements: www.canada.ca

Federal Draft Legislation Confirms Non-Taxability of Canada Carbon Rebates for Small Businesses

Finance Minister François-Philippe Champagne tabled draft legislation on June 30, 2025, to clarify that Canada Carbon Rebates for Small Businesses will not be taxed. Payments linked to fuel charge years 2019-20 through 2024-25 will be excluded from taxable income. The Canada Revenue Agency will update guidance and process amended T2 returns once Parliament enacts the bill. Amendments also confirm eligibility for small businesses filing 2023 and 2024 returns within specific windows.

Sources: Announcements: www.canada.ca

Canada Gazette Publishes Draft Equivalency Agreement on Methane Regulation for Alberta Oil and Gas

On July 5, 2025, the Department of the Environment published notice in the Canada Gazette regarding the availability of a proposed equivalency agreement between the federal government and Alberta on methane emissions regulations for the upstream oil and gas sector. The agreement is open for public comment or objection for 60 days. Once finalized, the agreement would recognize the equivalency of Alberta's regulations with federal requirements under the Canadian Environmental Protection Act, 1999, specifically concerning the release of methane.

Sources: Gazette, Part I: www.gazette.gc.ca

Statistics Canada Reports Growth in Natural Resources Sector GDP in Q1 2025

Statistics Canada's report published June 30, 2025, found that real GDP for the natural resources sector increased by 1.6% in the first quarter of 2025, up from a 0.2% gain in Q4 2024. This metric is monitored for implications on sectoral investment, production planning, and public policy evaluation.

Sources: Open Government Data Set: www.statcan.gc.ca

Government Announces Upcoming Funding for Five Clean Energy Projects in Alberta and the Northwest Territories

Minister Julie Dabrusin held a media event on July 2, 2025, at Denendeh Manor in Yellowknife to outline federal support for five clean energy projects. The projects, spanning Alberta and the Northwest Territories, aim to advance clean technology, efficiency retrofits, and solar PV deployment in community and industrial settings.

Sources: Announcements: www.canada.ca

Federal Advisory—Minister Hodgson to Announce Carbon Management Funding

The Honourable Timothy Hodgson, Minister of Energy and Natural Resources, scheduled a July 4, 2025, press event in Calgary to announce new funding for Alberta carbon management technologies. Details regarding application processes and eligibility were provided to media following the session.

Sources: Announcements: www.canada.ca

From our Editors' Desk

Electricity Costs to pit steel and aluminum smelters against data centers: As Canada looks to lean into its plentiful energy to increase its manufacturing supply chain resilience while also gaining competitive advantage in AI, these twin objectives will naturally pit the world of atoms against the world of bits and bytes: In the U.S., the U.S. Aluminium Association recently said that Big Tech is ready to pay more than $100 per MWh, as cited by the FT last week. Aluminium smelters, on the other hand, can only afford $40 per MWh. And that’s in the U.S., which has its own cheap gas. Even in Australia, which has plenty of gas, coal and metal mines, electricity is getting too expensive as Australia is also becoming a top destination for data centre investments. Australian smelters have warned the industry was facing collapse unless the government intervened.

US Federal GR News

White House Orders Unified Federal Funding Application for Energy Infrastructure and Critical Minerals

President Trump issued a memorandum on June 30, 2025, directing multiple agencies to institute a common application process for federal funding of energy infrastructure and critical mineral projects. Agencies are required to eliminate redundant diligence procedures and allow applicants to apply to multiple programs via a single unified application within 180 days. The National Energy Dominance Council (NEDC) will coordinate cross-agency information sharing, and the Office of Management and Budget is tasked with developing required policies.

Sources: White House Announcements: www.whitehouse.gov, White House Announcements: www.whitehouse.gov

Trump Administration Grants Presidential Permits for Two US-Canada Border Pipeline Facilities

On June 30, 2025, President Trump issued two Presidential permits covering cross-border pipeline activities. Junction Pipeline Company, LLC received authorization to construct, connect, operate, and maintain crude oil and refined products pipeline facilities at Toole County, Montana. Separately, Steel Reef US Pipelines LLC was granted permission to continue operating and maintaining pipeline assets at Burke County, North Dakota, focused on exports of natural gas liquids. Both permits contain stipulations regarding reporting, facility maintenance, and compliance with applicable US laws, as well as rights reserved for national security needs.

Sources: White House Announcements: www.whitehouse.gov, White House Announcements: www.whitehouse.gov

FERC Amends Regulations to Remove References to Rescinded NEPA Rules

On July 3, 2025, the Federal Energy Regulatory Commission (FERC) issued a final rule amending its environmental review and procedural regulations to remove all references to the Council on Environmental Quality's (CEQ) rescinded NEPA regulations. These changes stem from Executive Order 14154 and are effective August 18, 2025.

Sources: U.S. Federal Announcements: www.federalregister.gov

DOE Requests Industry Feedback for 2026 Energy Critical Materials Assessment

On June 30, 2025, the Department of Energy released a request for information soliciting input from industry, academia, and other stakeholders to inform the forthcoming 2026 Energy Critical Materials Assessment. The DOE seeks public input on key energy technologies, material supply chain data, market trends, and methodologies relevant to critical materials and minerals.

Sources: U.S. Federal Announcements: www.federalregister.gov

Canadian Provincial GR News

Ontario Prioritizes Electricity Approvals for Data Centres under New Energy Plan

Ontario's government announced a new approach to accelerate grid connections for data centres delivering measurable economic benefits, with grid requests from this sector now representing roughly 30% of the province’s peak demand in 2024.

Sources: Provincial Announcement: news.ontario.ca

Ontario Amends Regulations for Energy Sector and Environmental Compliance

As of July 1, 2025, Ontario amended regulations under the Electricity Act and Ontario Energy Board Act to facilitate non-emitting resource PPAs, ease environmental permissions for infrastructure, and allow OPG to recover costs associated with the Pickering Nuclear Generating Station's potential refurbishment.

Sources: Provincial Announcement: news.ontario.ca

Alberta and Ontario Request Repeal of Select Federal Energy and Environmental Statutes

In a joint letter, Alberta and Ontario ministers urged the federal government to end certain regulations, including the Impact Assessment Act, Clean Electricity Regulations, and oil and gas emissions cap, citing impacts on project development and provincial competitiveness.

Sources: Provincial Announcement: www.alberta.ca

Government Consultations

Consultation Open on Bruce C Nuclear Project Draft Impact Statement Guidelines

The Impact Assessment Agency of Canada is accepting public feedback until July 11, 2025, on the draft Integrated Tailored Impact Statement Guidelines and the related public participation plan for the Bruce C Nuclear Project.

Sources: Canadian Government Consultations: iaac-aeic.gc.ca

Public Officials' Social Media

Randeep Sarai noted on Twitter that Canadian-supported projects are advancing renewable energy and circular economy models at organizations such as SafiSana.

Sources: Social Media: x.com

Dan Albas posted about the perceived disadvantage of Canada's pipeline network for domestic producers, calling for better returns for Canadian resources.

Sources: Social Media: x.com

Senator Yuen Woo stated he proposed two amendments at the third reading of Bill C-5, including reinstating 'clean growth' as a reporting metric and enabling parliamentary oversight of regulations; both were defeated.

Sources: Social Media: x.com

What We're Reading This Week

• Here's what to know about clean energy in Republican megabill headed to Trump: A look at the clean energy provisions in a major piece of US legislation.
• Narada's Center L Ultra 6.25MWh Liquid-Cooled Energy Storage System Ready for Global Delivery: New large-scale liquid-cooled energy storage solution enters the global market.
• Will Energy Transfer's Wide Pipeline Network Power Long-Term Growth?: Energy Transfer’s pipeline footprint and future growth examined.
• In a big bill that hurts clean energy, residential solar likely to get hit fast: Discussion on potential impacts of US legislation on residential solar installers.