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ARTICLE · 11 DECEMBER 2025

Federal-Provincial Cooperation In The Canada-Alberta Electricity MOU

McLennan Ross LLP
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The Federal Government and the Government of Alberta signed a Memorandum of Understanding ("MOU") on November 27, 2025 which highlights the Federal Government's interest in developing Alberta's energy sector...

CanadaEnergy and Natural Resources
Gavin Fitch, K.C.
Gavin Fitch, K.C.
Kurt Soderstrom
Kurt Soderstrom
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The Federal Government and the Government of Alberta signed a Memorandum of Understanding ("MOU") on November 27, 2025 which highlights the Federal Government's interest in developing Alberta's energy sector but also seeks to strike a balance with Canada's climate change policies.

While media attention to the MOU has largely focused on the improved prospects of a new bitumen pipeline out of Alberta, we have conducted a deeper review of the MOU's terms to summarize the possible implications for the regulation of electricity and transmission in Alberta.

The Objectives and the Projects

In addition to seeking to increase Alberta's oil and gas production while simultaneously pledging carbon neutrality by 2050, the MOU also lays out objectives on electricity generation in Western Canada; one of which is to increase electrical generation in Alberta for both consumer and industrial use, including meeting the needs of AI data centres. Another is to create new

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