GREEN LIGHT TO LAUNCH DUAL-ENERGY OFFER TO DECARBONIZE THE HEATING OF BUILDINGS

MONTRÉAL, May 19, 2022 /CNW/ - Hydro-Québec and Énergir welcome the Régie de l'énergie's decision allowing them to proceed with the launch, in June 2022, of a dual-energy offer aimed at decarbonizing the heating of buildings at the lowest possible cost for society.

In its decision, the Régie recognizes that:

• It is in the public's best interest that Énergir and Hydro-Québec assume their social responsibilities by contributing to the decarbonization of space heating systems in the current climate crisis.
• The dual-energy scenario has a much lower impact on Hydro-Québec's electricity rates than the total electrification scenario.
• The estimated rate impacts are balanced and reasonable from the standpoint of achieving a significant reduction in greenhouse gas (GHG) emissions by 2030.
• The GHG contribution is necessary to allow the rapid rollout of the dual-energy offer, accelerate the reduction of GHG emissions and ensure successful collaboration between the two distributors.

This decision is a major milestone towards the decarbonization of space heating and the achievement of Québec's GHG reduction targets. By 2030, it will decrease the natural gas consumption of participating customers by over 70%, thus resulting in a significant reduction of GHG emissions generated by the heating of buildings at the lowest possible cost for society.

The two distributors will also roll out a zero-emission electricity/renewable natural gas solution for all Énergir customers. New constructions will be eligible.

The energy transition and the reduction of GHG emissions represent a huge challenge and major costs for society. They will lead to higher demand for electricity, which in turn will result in higher prices for this resource, especially during peak periods on the coldest days of winter. The innovative solution developed by Hydro-Québec and Énergir constitutes a pragmatic way of rapidly cutting GHG emissions while minimizing the rate impact for the customers of both distributors.

Residential customers will be able to sign up for the dual-energy offer in a few weeks' time, and further details on the financial assistance available will be announced soon.

Quotes

"This Régie decision comes at a pivotal moment in the electrification and energy transition of Québec. The dual-energy solution will lead to a significant reduction of GHG emissions resulting from space heating while limiting the rate impact for our customers." ? Éric Filion, Executive Vice President, Chief Operating and Customer Experience Officer, Hydro-Québec

"The decision handed down by the Régie today supports our aim of significantly reducing the amount of fossil-fuel based natural gas distributed and consumed in favor of greater electrification, especially in the building sector. We are delighted that the Régie recognized that this transition must be done at the lowest possible cost for society."
? Éric Lachance, President and Chief Executive Officer, Énergir

SOURCE Hydro-Québec