Newfoundland and Labrador: Rebounding Into The New Energy Revolution

The province of Newfoundland and Labrador is quickly becoming a global leader in renewable energy. Boasting an abundance of natural resources the province is home to some of the most innovative and exciting projects in the world.

Newfoundland and Labrador is a hotbed of activity serving the new energy revolution. The energy transition to clean fuels and renewables makes the province a powerful solution for meeting global demand and responsible oil.

Newfoundland and Labrador provide a secure, strategically located, prosperous location for energy companies who want to invest and work in the region.

Andrew Parsons, Minister of Industry, Energy, and Technology outlines his views on energy and the highly lucrative opportunities for the future ahead.

The OGM: Many people blame oil and gas for the climate crisis, what are your thoughts on this?

Andrew Parsons: The Province understands the importance of the Newfoundland and Labrador oil and gas sector in the energy transition. With our low emissions per barrel compared to the international average and our strong environmental, social, and governance structure – Newfoundland and Labrador can be a part of the solution in helping meet global demand for responsible oil while the world transitions to a lower-carbon economy. 

The OGM: What’s the province’s plan for a new energy mix?

Andrew Parsons: Newfoundland and Labrador are fortunate to have an abundance of renewable energy resources. Currently, over 80 percent of our electricity is generated from renewable energy resources, which will increase to 98 percent with the in-service of Muskrat Falls, and decommissioning of the Holyrood Thermal Generating Station. The province developed a renewable energy plan late last year with input from residents, industry, and stakeholders. The five-year, “Maximizing Our Renewable Future” plan has a vision of reducing the province’s fossil fuel use, and delivering affordable and reliable renewable energy to the people of the province and beyond while developing and using its renewable energy resources in a manner that ensures environmental protection, meaningful Indigenous engagement, job creation, and industry growth. This plan is available on IET’s website.

The OGM: What do you think are the feasible solutions for Carbon capture and storage?

Andrew Parsons: With our existing infrastructure and highly trained workforce, Newfoundland and Labrador are very well positioned to take advantage of the economic opportunity presented by carbon capture and storage. Our world-class offshore carbon (CO2) storage prospectivity spans 1.8 million km2, with the potential for much more. The province’s extensive database of seismic data will play a role in the identification of these reservoirs. 

The OGM: What’s the economic opportunity in clean-tech innovation?

Andrew Parsons: The clean technology sector will play a vital role in the economic recovery of Newfoundland and Labrador.  Clean technology innovation will contribute to job creation, economic diversification, and a sustainable economy. It will drive economic development, playing an increasingly important role in the development of many of our resource sectors such as oil and gas, mining, forestry, fisheries and aquaculture, tourism, and oceans. This diversity uniquely positions our province to research and develop clean tech solutions for our traditional industries, and sell these solutions to the world.  

The OGM: Where will oil and gas play a role in energy 10 years from now – 20 years from now.

Andrew Parsons: Well-known and respected sources of energy-market analysis, such as the International Energy Agency and the United States Energy Information Administration, forecast that oil and natural gas could meet approximately 50% of total global energy supply and consumption over the next 10 to 20 years in recent long term scenario outlooks. Even in some of the more stringent pathways forecasted, to achieve net-zero CO2 emissions by 2050, oil and natural gas still represent around 30% of the world’s energy supply and consumption mix by 2040. With the restart of the West White Rose, Terra Nova coming back online this year, and the recent approval of Bay du Nord, the province’s offshore will play a key role in helping the province meet global demand for environmentally responsible and geopolitically secure sources of oil. 

The OGM: What’s the best-case scenario for responsible development while mitigating climate impact?

Andrew Parsons: Newfoundland and Labrador have a strong environmental, social, and governance structure, matched with our low emissions per barrel compared to the international average we continue to show our commitment to net-zero by 2050 while managing a just green transition.

Source and Image: www.gov.nl.ca