2014 SaskEnergy Annual Report
SUSTAINABILITY REPORT 2022-23
On the cover
Sustainability for SaskEnergy means providing safe, reliable and affordable energy to our customers today and for years to come. From project planning and design through to construction, operation, and reclamation activities, we are committed to the protection of the environment and to engaging with landowners and Indigenous groups. We continue to expand our natural gas system to meet the current and future demand for energy in Saskatchewan while supporting the provincial economy and the communities where we live and work.
Land acknowledgement We acknowledge that we work and live on the traditional lands of First Nations and Métis peoples. We respect and honour the Treaties and are committed to moving forward with Indigenous Nations in the spirit of reconciliation and collaboration.
2022-23 Sustainability Report
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President’s message
4
About SaskEnergy
5
Table of contents
At a glance
6
2022-23 highlights
7
Our sustainability path
8
Reporting on performance
8
Governance
9
Our sustainability framework
11
Pillar One: Environment
12
Pillar Two: Prosperity
24
Pillar Three: People
33
Looking ahead
41
Measures and standards: key indicators
42
2022-23 Sustainability Report
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Our sustainability path
Measures and standards: key indicators
2022-23 highlights
Looking ahead
President’s message
About SaskEnergy
Our sustainability framework
Pillar one: Environment
Pillar two: Prosperity
Pillar three: People
President’s message
Our ability to provide safe and reliable energy to our customers is of the utmost importance, especially during some of Saskatchewan’s most extreme weather. We will continue to invest in our infrastructure to maintain the level of reliability that our customers count on and will do so while supporting the province’s economy through local and Indigenous procurement. In 2022-23, we purchased $246.8 million in goods and services from Saskatchewan vendors, which made up 63 per cent of our purchase orders, and more than $16 million in contracts was awarded to businesses with Indigenous ownership or Indigenous content. We are also committed to strengthening the communities we serve and are proud to have supported 641 programs and events in 267 communities across the province throughout 2022-23. In alignment with our sustainability goals, focus areas for these sponsorships included environmental stewardship, natural gas education and safety, and Indigenous engagement initiatives. We also know affordability is an ongoing concern, and we are committed to providing our customers with competitive rates. To do so, we will balance our emissions reduction efforts with our ability to provide affordable energy to customers, which includes our continued focus on financial stewardship and our efforts to identify further operational efficiencies. As we progress on our sustainability path and work toward a lower carbon future, our success will come from the efforts of our dedicated team of employees across Saskatchewan. With that said, I am pleased to present our 2022-23 Sustainability Report, which illustrates how our team demonstrates our commitment to sustainability and our continued progress on environmental, social and governance principles.
Looking back at 2022-23, I am incredibly proud of SaskEnergy’s performance and accomplishments across the three pillars of our sustainability framework. Thanks to our most valuable resource — our team of employees — we continued to meet Saskatchewan’s growing energy needs while contributing to the province’s economy, supporting the communities where we live and work, and demonstrating our dedication to environmental responsibility. Since making our commitment to reduce our emissions from operations by 35 per cent by 2030 back in 2020-21, I’m pleased to share that we are well on our way to reaching this target. So far, we’ve reduced emissions by 11.5 per cent since our 2019 baseline year. Numerous projects and initiatives have contributed to this success, including the installation of additional emissions reduction devices on our compressors, the use of higher-efficiency operational equipment on our system, and an energy monitoring pilot project at our Regina Service Centre that helped us reduce our year-over-year electricity consumption by 5.8 per cent. It was also exciting to construct our first large-scale solar project at one of our town border stations in Regina, which will generate enough solar electricity to offset annual power consumption at this site, with plans in place to convert additional facilities throughout the next seven years. Equally as important as reducing our emissions from operations is assisting our customers in meeting their environmental goals and reducing their end-use emissions. In 2022-23, we increased our investment in our energy efficiency rebate programs, providing more than $4 million in rebates to customers to purchase and install high-efficiency heating equipment. This allowed our customers to reduce emissions by 19,225 tonnes of carbon dioxide equivalent (CO 2 e), which is equal to the annual emissions of roughly 4,280 gasoline-powered automobiles.
Mark Guillet, K.C. President and Chief Executive Officer
2022-23 Sustainability Report
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Our sustainability path
Measures and standards: key indicators
2022-23 highlights
Looking ahead
President’s message
About SaskEnergy
Our sustainability framework
Pillar one: Environment
Pillar two: Prosperity
Pillar three: People
About SaskEnergy
Values
Vision Environmental sustainability and economic prosperity for future generations.
We are always committed to our personal safety, the safety of our team and the public. Safety We support a respectful, dynamic and a diverse work environment that encourages achievement. Spirit
SaskEnergy’s natural gas system has served Saskatchewan for more than 70 years. We provide our customers with the energy they need, and our rural distribution network has a broader reach than any other gas distribution utility in Canada. As a provincial Crown corporation, it is our mission to provide safe, reliable and affordable energy to our customers in a way that meets their expectations. We are committed to environmental sustainability and economic prosperity for Saskatchewan communities, now and into the future. SaskEnergy strives to contribute to a lower carbon future and is dedicated to reducing our emissions from operations by 35 per cent by 2030. At the same time, we support our customers in making their homes and businesses more energy efficient.
Corporate vision Providing critical energy for a greener Saskatchewan and reducing our emissions from operations by 35 per cent by 2030.
We are accountable for our decisions, our actions, and the results. Integrity
We succeed through strong internal and external collaboration, trust and open communication. Relationships
Mission SaskEnergy delivers natural gas and energy solutions responsibly to the residents, businesses and industries of Saskatchewan.
We are responsible in our use of all resources. Stewardship
2022-23 Sustainability Report
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Our sustainability path
Measures and standards: key indicators
2022-23 highlights
Looking ahead
President’s message
About SaskEnergy
Our sustainability framework
Pillar one: Environment
Pillar two: Prosperity
Pillar three: People
At a glance
1,100+ employees working in more than 50 locations across the province
408,000+ customers in 93 per cent of Saskatchewan communities
$45 million dividend declared to Crown Investments Corporation in 2022-23
$3.6 billion total assets
15,336 kilometres of transmission lines
71,936 kilometres of distribution lines
85% overall residential customer satisfaction rating
99.9998% reliable service
2022-23 Sustainability Report
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Our sustainability path
Measures and standards: key indicators
2022-23 highlights
Looking ahead
President’s message
About SaskEnergy
Our sustainability framework
Pillar one: Environment
Pillar two: Prosperity
Pillar three: People
2022-23 highlights
22,200 tonnes CO 2 e (carbon dioxide equivalent) reduction in year-over-year greenhouse gas emissions from operations
19,225 tonnes CO 2 e reduction in residential and commercial customer GHG emissions through natural gas conservation programs
More than $4 million in rebates to homeowners and businesses to purchase and install high-efficiency heating equipment
Investing in our communities supported 641 charitable and non-profit programs and events in 267 communities across Saskatchewan
$246.8 million in goods and services procured from Saskatchewan vendors, making up 63 per cent of all purchase orders
$16.3 million in contracts awarded to businesses with Indigenous ownership or Indigenous content
First major solar project 176 solar panels installed at town border station in south Regina will generate enough solar energy to power the station’s operations Emissions reduction technology partnership installation of carbon capture equipment at the Regina International Airport to reduce emissions and create carbon-sequestered soap
Top Employer recognized as one of Canada’s Top 100 Employers and one of Saskatchewan’s Top Employers
2022-23 Sustainability Report
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Our sustainability path
Measures and standards: key indicators
2022-23 highlights
Looking ahead
President’s message
About SaskEnergy
Our sustainability framework
Pillar one: Environment
Pillar two: Prosperity
Pillar three: People
Our sustainability path SaskEnergy is focused on improving our core operations while advancing our environmental, social and governance (ESG) performance. As a Crown corporation and energy utility that serves the people of our province, we contribute to the ESG priorities of the Government of Saskatchewan while achieving on our sustainability efforts. SaskEnergy’s sustainability path is aligned with the policy direction of the Government’s Prairie Resilience: A Made-in-Saskatchewan Climate Change Strategy aimed at reducing greenhouse gas (GHG) emissions in the province. In 2020-21, SaskEnergy set a target to reduce our emissions from operations by 35 per cent, from 2019 levels, by 2030. This includes emissions from our natural gas system as well as company-owned vehicles, and heating and powering our offices and facilities. Building on our commitment, SaskEnergy unveiled the roadmap for how we will reduce emissions to meet the target, focusing on three priority areas — vent gas reduction, renewable electricity, and operational optimization. In 2022-23, and looking ahead to 2023-24, we are executing on many of these initiatives, most notably with the installation of additional large-scale solar projects to power operations at our buildings and facilities, and the implementation of new flare systems to support venting reduction. Reporting on performance SaskEnergy is working to continuously improve and mature our reporting processes as public expectations and ESG reporting standards and frameworks evolve. This year, SaskEnergy worked with our shareholder and peer Crown corporations to review existing ESG standards and frameworks, as well as to monitor the development of new International Sustainability Standards Board disclosure standards. In the coming year, we look to continue our collaborative efforts as we refresh our material topics and the measures we are tracking. SaskEnergy is currently measuring performance within our Sustainability Framework, which includes 15 key indicators across three pillars: Environment, Prosperity, and People. These pillars align with our corporate vision and set a strong foundation for our future as a sustainable energy provider for Saskatchewan. The indicators are aligned to, and reference, the Global Reporting Initiative (GRI) standards, as well as provincial and corporate goals. We have set annual targets for performance to demonstrate our commitment to continuously advancing in our ESG journey, as measured by these indicators.
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Our sustainability path
Measures and standards: key indicators
2022-23 highlights
Looking ahead
President’s message
About SaskEnergy
Our sustainability framework
Pillar one: Environment
Pillar two: Prosperity
Pillar three: People
Governance Environmental sustainability, social conscience and strong governance are critical to SaskEnergy as we meet Saskatchewan’s demand for safe and reliable energy. It’s also important to our customers and the communities where we operate. SaskEnergy’s work to encourage and promote ESG principles starts with the stewardship of our organization, through our Board of Directors. ESG principles are embedded into our Board’s oversight of SaskEnergy as part of strategic planning, enterprise risk management, internal controls and objectives setting. The Board provides strategic leadership on ESG initiatives and risks, including environmental sustainability, Indigenous relations, stakeholder engagement, community investment, financial stewardship and employee and public safety. Our Board is committed to high standards of governance that are consistent with regulatory expectations and evolving best practices. We believe that good governance, and being clear about our expectations around governance, supports ethical conduct and allows us to achieve better performance in operating in a sustainable manner. SaskEnergy’s Board is representative of Saskatchewan communities, and members represent community and stakeholder diversity. Our Board provides stewardship, including direction setting and general oversight of our operations management, and oversees and closely monitors our ESG strategies. SaskEnergy’s governance structure supports accountability to our customers, stakeholders, the public and our shareholder. The Board has appointed three committees — the Environmental, Social and Governance Committee, the Audit and Finance Committee, and the Human Resources and Safety Committee — which facilitate efficient conduct of the affairs and business of SaskEnergy.
Women in Leadership Board Chair Vice Chair
58% of Board members 50% of Executive members 38.9% women in mangement roles
Environmental, Social and Governance Committee The Environmental, Social and Governance Committee provides leadership in relation to governance processes, policies and principles of SaskEnergy and its subsidiary companies. The committee strives to ensure that environmental, social and governance issues are being proactively addressed. Audit and Finance Committee The Audit and Finance Committee advises the Board on issues relating to adequacy and effectiveness of financial reporting, internal controls, management information systems and risk management. Human Resources and Safety Committee The Human Resources and Safety Committee oversees the employment environment of SaskEnergy and has overall responsibility for human resource strategies, compensation and succession planning.
2022-23 Sustainability Report
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Our sustainability path
Measures and standards: key indicators
2022-23 highlights
Looking ahead
President’s message
About SaskEnergy
Our sustainability framework
Pillar one: Environment
Pillar two: Prosperity
Pillar three: People
Risk management SaskEnergy’s approach to risk management is to examine our operating activities, identify current and emerging risks, effectively communicate those risks throughout the organization, and actively manage risks through our Enterprise Risk Management (ERM) program. While risk management is the responsibility of all levels of management, the Board of Directors and Executive Committee set the tone, and provide leadership and oversight, for ERM. For example, the possibility of a cyberattack against SaskEnergy’s operating or information technology systems, which results in a loss or misuse of critical data and information, has been considered. The Board has received training on this issue and efforts have been made to address cyberattack risk, including putting programs and processes in place to prevent unauthorized access, and continued monitoring of the threat environment. Because the risks facing the organization continuously evolve, SaskEnergy’s risk management plans remain adaptive and flexible. Many sustainability-related risks — such as those related to the physical and transitional impacts of climate change, environmental protection, and stakeholder and community engagement — are overseen by the ESG Committee. Risks are monitored on an ongoing basis with the Board, Executive, and management. Executive risk owners are identified for each risk, and those risk owners oversee, through delegation, the existing processes and controls to manage the risk, as well as any new or additional process to further address the risk.
Integrity and ethics How SaskEnergy conducts our business, serves our communities, and meets our objectives is as important as the results we achieve. Sustainability is embedded in our corporate culture and is demonstrated in our operational activities. ESG principles foster a constructive approach to health and safety, community relations, environmental protection and diversity. SaskEnergy’s corporate values are reflected in our Code of Business Conduct and Ethics, which applies to every employee, contractor, officer, and director of SaskEnergy. The Code guides our behaviour and decision making as we serve our customers, interact with our fellow employees, and engage with stakeholders and communities. The Board’s ESG Committee monitors compliance with SaskEnergy’s Code, which includes waivers of the Code, our Whistleblower Policy, and the Reporting of Losses Policy. Our focus is on behaviours, judgments, decisions and actions that lead to fair outcomes for customers, our employees, communities and other stakeholders. Diversity policies A diverse workforce allows us to meet our environmental responsibilities as we provide energy to the people of Saskatchewan. We strive to ensure our director recruitment and succession planning efforts include a wide variety of expertise, perspectives and backgrounds. Also taken into consideration is a workforce that is representative of the communities in which we live and work, as well as other important dimensions of diversity such as gender and non-gender diversity, ethnicity, race, ancestral origin, age, geography, background, and sexual orientation. SaskEnergy’s Corporate Plan includes formal targets around the representation of women and non-gender diversity. We are committed to equality of opportunity and to increasing the representation of women and non-gender diversity in management and underrepresented roles within our company.
Full details of SaskEnergy’s Risk Management and Disclosure are available in the 2022-23 Annual Report, which is available on saskenergy.com.
More information on governance, including SaskEnergy’s Statement of Corporate Governance Practices, Board and Executive member biographies, and stakeholder engagement, is available on saskenergy.com.
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Our sustainability path
Measures and standards: key indicators
2022-23 highlights
Looking ahead
President’s message
About SaskEnergy
Our sustainability framework
Pillar one: Environment
Pillar two: Prosperity
Pillar three: People
Our sustainability framework At SaskEnergy, sustainability is built into every decision we make. We are committed to reducing our impact on the environment as we provide safe, reliable and affordable energy to our customers and we acknowledge their desire for a cleaner energy future. Our commitment to environmental sustainability and economic prosperity for future generations guides us as we strengthen and build meaningful relationships with customers, stakeholders and Indigenous communities, and provide a welcoming work environment for our employees.
PILLAR ONE: Environment
PILLAR TWO: Prosperity
PILLAR THREE: People
FOCUS SaskEnergy strengthens Saskatchewan’s
FOCUS SaskEnergy strives to reduce our impact on all aspects of the environment and we are committed to helping our customers reduce their environmental footprints. KEY INDICATORS · Cumulative GHG emissions reduction relative to 2019 baseline (tonnes CO 2 e) · Incremental customer GHG emissions savings from natural gas conservation programs (tonnes CO 2 e/year) · Spills and releases (reportable)
F OCUS SaskEnergy is committed to providing a safe, inclusive and engaging work environment to attract and retain the people who can meet the environmental and business landscape of tomorrow.
economy by investing in the communities where we live and work. We provide customers with reliable and affordable energy, supporting the province’s standard of living.
KEY INDICATORS · SaskEnergy customer satisfaction · TransGas customer satisfaction
KEY INDICATORS · Representative workforce · Women on Board (%)
· Women on Executive (%) · Women in management roles (%) · Indigenous (%)
· Average safety service response time (minutes) · Unplanned service disruptions – distribution · First Responder training · Communities trained · Attendees
· Total recordable injuries · Frequency rate · Severity rate
· Discrimination and harassment incidents · Total annual hours of training per employee
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Our sustainability path
Measures and standards: key indicators
2022-23 highlights
Looking ahead
President’s message
About SaskEnergy
Our sustainability framework
Pillar one: Environment
Pillar two: Prosperity
Pillar three: People
PILLAR ONE: ENVIRONMENT As an organization, SaskEnergy has long considered the impact of our own operations, as well as the impact of our customers' activities, on the environment. We have a strong foundation set to meet stakeholder expectations. Our environmental sustainability efforts are focused on reducing emissions from our operations, supporting customers in reducing end-use emissions and protecting the local environment including plant life, wildlife, water bodies, native prairie and species at risk.
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Our sustainability path
Measures and standards: key indicators
2022-23 highlights
Looking ahead
President’s message
About SaskEnergy
Our sustainability framework
Pillar one: Environment
Pillar two: Prosperity
Pillar three: People
Critical energy for a greener Saskatchewan: our commitment to environmental sustainability and stewardship Environmental sustainability and stewardship are key to our success as we meet Saskatchewan’s demand for safe and reliable energy. We also know that our environmental commitments, and the actions we take, are important to our customers and to the communities where we operate. As an energy company, we recognize the important role we have in reducing GHG emissions within our own operations, and in assisting our customers in reducing their environmental footprints. SaskEnergy also promotes environmental stewardship through collaboration with stakeholders, including industry and customers, and through supporting community organizations. Reducing our emissions from operations by 35 per cent by 2030 In 2020-21, we set an ambitious target to reduce our emissions from operations by 35 per cent, from 2019 levels, by 2030. SaskEnergy’s operational emissions include those from our natural gas system and company-owned vehicles, as well as emissions related to heating and powering our offices and facilities. These emissions are measured in tonnes of carbon dioxide equivalent (CO 2 e). By the end of 2022-23, we’ve reduced our emissions from operations by more than 57,000 tonnes CO 2 e from 2019 levels, or 11.5 per cent, surpassing our target of seven per cent. As we progress on our roadmap to 35 per cent by 2030, SaskEnergy will continue to categorize, prioritize, and execute on projects and activities to address our direct GHG emissions (scope 1 emissions) and our indirect GHG emissions from electricity (scope 2 emissions). Projects are categorized within three priority areas: vent gas reduction, renewable electricity, and optimization.
SASKENERGY OPERATIONAL EMISSIONS
Vent gas reduction Approximately 25 per cent of our emissions come from venting, whether through gas line maintenance work or from devices that vent gas by design. By conserving and flaring gas, we can have a significant impact on overall scope 1 emissions. Renewable electricity This focus area involves bringing more renewable electricity into our operations. The implementation of renewable electricity is a cost-effective approach to reducing indirect, scope 2 emissions. Optimization SaskEnergy will focus on optimizing our existing operational practices, and our infrastructure, to reduce GHG emissions. This directly impacts scope 1 emissions from operational activities such as venting, flaring, and combustion.
2022-23 Sustainability Report
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Our sustainability path
Measures and standards: key indicators
2022-23 highlights
Looking ahead
President’s message
About SaskEnergy
Our sustainability framework
Pillar one: Environment
Pillar two: Prosperity
Pillar three: People
Year-over-year emissions reductions In 2022-23, SaskEnergy achieved year-over-year GHG emissions reductions of 22,200 tonnes CO 2 e, which is equivalent to taking nearly 5,000 vehicles off the road. The emissions decrease was primarily due to infrastructure projects that saw the installation of higher efficiency operational equipment on our transmission system, as older and less efficient equipment was retired. Progress was also made on a number of emissions reduction initiatives that align with the focus areas in our roadmap to 35 per cent by 2030. Capturing vented gas to reduce emissions and fuel costs SaskEnergy continues to install emissions reduction devices on compressors to capture vented gas and redirect it into the engine air intake for use as a supplemental fuel source. In addition to the emissions reductions realized through this technology, it also lessens the amount of fuel needed to operate our compressors. We now have 24 compressors outfitted with emissions reduction devices and in 2022-23, the technology captured 160,800 m 3 of vented gas from compressors. This resulted in more than 2,900 tonnes CO 2 e of emissions reductions and saved nearly $27,000 in fuel costs. Monitoring energy consumption at the Regina Service Centre As part of our commitment to optimizing energy use in our buildings and facilities, we are piloting energy management software at our Regina Service Centre facility to monitor electricity and natural gas consumption. Through the software, the energy consumption of various electrical and natural gas equipment is monitored and assessed to identify opportunities to further optimize the building’s operations. In addition to consumption data, the software provides data on tonnes of carbon dioxide saved as operational efficiencies are achieved. Those savings are then calculated into relatable equivalents, such as vehicles removed from the road, and are displayed for everyone in the facility to see, keeping energy efficiency top of mind. In 2022-23, SaskEnergy achieved a 5.8 per cent reduction in electricity consumption at the Regina Service Centre as a result of this ongoing project.
SASKENERGY RECEIVES FOURTH NATIONAL AWARD FOR ENVIRONMENTAL STEWARDSHIP SaskEnergy was honoured to be the recipient of the Canadian Gas Association’s (CGA) 2023 Environmental Stewardship Award for Innovation in Emissions Reductions for our 35 per cent by 2030 Emissions Reduction Roadmap . The roadmap, which was unveiled in 2021-22, began with more than 850 emissions reduction ideas from our team members throughout the province. Based on these ideas, three priority areas were created to categorize the projects and activities that we will undertake to reduce our emissions from operations by 35 per cent by 2030. SaskEnergy’s emissions reduction roadmap will continue to evolve as regulatory requirements change and new technologies are advanced. This award marked our fourth CGA Environmental Stewardship award in just over one year.
“We recognized that achieving this target would require a coordinated and collaborative effort across the company. It is not just about implementing new technologies, but how we can impact processes and business decisions to achieve longer-term, sustainable emissions reduction.” – Lori Parks, Manager, Emissions Management
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Our sustainability path
Measures and standards: key indicators
2022-23 highlights
Looking ahead
President’s message
About SaskEnergy
Our sustainability framework
Pillar one: Environment
Pillar two: Prosperity
Pillar three: People
Improving efficiency through line heater upgrades As the pressure within our gas lines drop from high to low — such as when gas moves from our transmission system to the distribution system at town border or regulating stations — the temperature within the gas line also drops, which can lead to the creation of condensation. To avoid the formation of liquids that can freeze within our lines, we use line heaters to preheat the gas and keep it flowing. As line heater technology has improved, SaskEnergy has been replacing older conventional line heaters with new models, which are 20 to 30 per cent more efficient. During 2022-23, higher efficiency line heaters were installed at 10 of our stations, with additional upgrade projects scheduled for 2023-24. Reducing fugitive emissions through leak detection and repair Since our leak detection and repair (LDAR) program began in 2020, the incidence of leaks at our above-ground transmission and storage facilities has been significantly reduced. To contribute to our goal of reducing emissions from operations by 35 per cent by 2030, we are surveying our compressor stations and meter stations for leaks numerous times each year, and more than what is required through regulations. Infrared cameras and other detection tools are used to identify leaks, which are then repaired. More than 1,500 leaks have been identified and repaired since the inception of the LDAR program and in 2022-23, a 55 per cent year-over-year reduction in the average number of leaks per site was achieved.
A new line heater, which is up to 30 per cent more efficient than older line heaters, is hoisted for installation.
Optimizing our electricity use In 2022-23, SaskEnergy’s first large-scale solar project was constructed at our town border station in south Regina. The 176 solar panels installed at this site can generate nearly 80,000 watts, which is enough to power the station’s lighting and electric heat and offset its annual power consumption. Three additional solar systems will be installed at our offices and facilities in 2023-24 and, over the next seven years, several other facilities will be converted to generate solar power. In addition, for more than 10 years, SaskEnergy has been installing solar panels at our natural gas pressure reduction stations and compressor sites. In 2022-23, we installed 85-watt solar panels with seven-day battery capacity at an additional 40 sites. Approximately 400 sites throughout the province now include solar power and another 40 sites are targeted to have panels installed or upgraded throughout 2023-24. SaskEnergy has also incorporated LED lighting at many of our larger compressor sites and as lights need to be replaced at our offices and facilities, they are being converted to LEDs. Moving forward with regulatory requirements Evolving federal and provincial methane regulations will influence our emissions reduction priorities and projects related to the reduction of vent gas and leaks on our system. SaskEnergy will adjust capital project plans in our roadmap to 35 per cent by 2030 to comply with these regulatory requirements as we continue to identify and address emissions reduction opportunities related to renewable electricity and the optimization of our infrastructure and processes.
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Our sustainability path
Measures and standards: key indicators
2022-23 highlights
Looking ahead
President’s message
About SaskEnergy
Our sustainability framework
Pillar one: Environment
Pillar two: Prosperity
Pillar three: People
Soaking Up the Sun at Our Town Border Station in South Regina As part of our commitment to reduce emissions, we converted our town border station in south Regina to generate solar power. Increasing the use of renewable electricity is one of the priority areas in our roadmap to reduce emissions from operations by 35 per cent by 2030. When the sun is shining, the 176 solar panels at the Regina station will capture enough solar energy to power the station and generate excess energy to put onto the province’s power grid. During times with little-to-no sunshine, the station will use power from the grid through a net metering agreement with SaskPower. Over the course of a year, the station’s net electrical usage from the grid is expected to balance out to zero. The solar system has a total generation capacity of nearly 80,000 watts, which is enough to power the station’s lighting and electric heat, as well as the equipment that controls the station’s odourization and distribution of natural gas to homes and businesses in Regina. This station is the first of several of our facilities across Saskatchewan that will be converted over the next seven years. In 2023-24, work will begin on the installation of solar systems at three additional SaskEnergy offices and facilities — all of which will be designed to offset annual power usage.
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Our sustainability path
Measures and standards: key indicators
2022-23 highlights
Looking ahead
President’s message
About SaskEnergy
Our sustainability framework
Pillar one: Environment
Pillar two: Prosperity
Pillar three: People
Supporting customers in reducing end-use emissions and energy costs Natural gas is a valuable energy source that has a role in Saskatchewan’s lower carbon future. SaskEnergy is committed to helping our customers reduce their end-use emissions and meet their environmental goals. More than 80 per cent of natural gas-related emissions are created through end-use combustion. As such, reducing customer end-use emissions is an area in which immediate environmental impacts can be made. Residential and commercial end-use emissions have declined by nearly 20 per cent over the last 20 years due to energy efficiency programs, more efficient natural gas appliances and improved building design. SaskEnergy’s customer programming supports the installation of equipment to optimize energy use, which allows our customers to reduce their end-use emissions and save money. SaskEnergy also collaborates with organizations such as the Canadian Gas Association (CGA) and the Natural Gas Innovation Fund (NGIF) on emissions reduction initiatives. We will continue to leverage investments to explore new cost-effective technologies that help customers reduce their emissions and achieve their sustainability objectives. Customer rebate programs As part of our commitment to assisting customers in reducing their emissions and lowering their energy costs, SaskEnergy offers — through our Network Members — rebate programs to residential and commercial customers. In 2022-23, we provided $1 million in additional funding toward customer energy efficiency rebates, bringing total program funding to more than $4 million. SaskEnergy has invested nearly $10 million in rebates since the beginning of 2019-20. · SaskEnergy’s Residential Equipment Replacement Rebate provides rebates for the purchase and installation of qualifying high-efficiency natural gas furnaces, boilers, combi-boilers, heat recovery ventilator systems (HRV), and water heaters. · The Commercial Boiler Rebate helps offset the incremental price of a high-efficiency natural gas condensing boiler over the purchase price of standard-efficiency equipment. · Our Commercial Space & Water Heating Rebate program offers rebates for natural gas furnaces, boilers, tankless and condensing water heaters, and infrared tube heaters in commercial applications. · The Hydronic Additive Rebate for Boilers is for the purchase and installation of eligible hydronic additives for boiler systems, which can increase operational efficiency.
Incremental GHG Savings (tonnes CO ² e/year)
Incremental Savings (GJ/year)
Year
2017-18
38,600
2,400
2018-19
24,300
1,600
2019-20
102,300
6,600
2020-21
127,400
8,300
2021-22
228,400
15,900
2022-23
277,600
19,225
Over the last six years, SaskEnergy’s efficiency programs have continued to reduce the amount of energy our customers use, as well as their GHG emissions. Customers who have participated in our energy efficiency programs, since 2017-18, are now saving more than 54,000 tonnes in CO 2 e emissions per year. This is equivalent to taking about 12,000 vehicles off the road. These GHG reductions are a result of high-efficiency gas appliances and include gas use savings as well as emissions reductions from electricity savings.
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Our sustainability path
Measures and standards: key indicators
2022-23 highlights
Looking ahead
President’s message
About SaskEnergy
Our sustainability framework
Pillar one: Environment
Pillar two: Prosperity
Pillar three: People
Tune-Up Assistance Program SaskEnergy’s Tune-Up Assistance Program (TAP) assisted 1,415 homeowners in 38 Saskatchewan communities in 2022-23. Through TAP, income-qualified homeowners can apply for a free home heating tune-up. The program provides up to $400 worth of products and services to each qualified homeowner, including a free SaskEnergy Network home heating tune-up, up to $200 in repairs, two furnace filters, and a carbon monoxide alarm. TAP, which is offered through SaskEnergy Network Members, helps customers meet their home energy needs safely and efficiently, and brings awareness to the importance of carbon monoxide safety. More than 3,700 customers have received assistance through TAP since the program began in 2017.
Investing in market transformation and innovative technology
In 2022-23, SaskEnergy invested $420,000 toward projects that assist customers in reducing their environmental footprints. This investment included education sessions, local technology demonstrations, and providing grants for the development of energy efficiency technology. Since 2018, SaskEnergy has been a member of the NGIF, which seeks applications for funding from companies that are developing technology to reduce emissions related to natural gas. Projects fall under the categories of waste heat utilization, hydrogen, small-scale carbon capture and utilization, gas heat pumps and renewable natural gas. REBATES FOR CUSTOMERS TO REDUCE EMISSIONS AND SAVE MONEY SaskEnergy provided an additional $1 million in funding toward customer energy efficiency programs in 2022-23, resulting in more than $4 million in rebates for residential and commercial customers. A total of $3.5 million in rebates was provided to homeowners, through the Residential Equipment Replacement Rebate program, to purchase high- efficiency furnaces, water heaters, boilers, combi boilers and heat recovery ventilators. Another $528,000 in rebates was provided to commercial customers to install new energy efficient appliances, and for a new hydronic additive rebate for boilers to help commercial customers reduce emissions while still using their current boiler systems. Through our natural gas conservation programs, customers reduced their annual energy consumption by 277,600 gigajoules (GJ), avoiding 19,225 tonnes CO 2 e of emissions.
Congratulations!
You’ve taken a step towards a more energy-efficient home. Don’t stop now. We can help you find even more savings on your energy use and bills.
“My plumber called me about it and said I should go ahead and apply. Later, I received a message from SaskEnergy that I was one of the people picked! Times are much harder now, and everything is more expensive. I appreciated it so much.”
– 2022-23 TAP recipient
2022-23 Sustainability Report
18
Our sustainability path
Measures and standards: key indicators
2022-23 highlights
Looking ahead
President’s message
About SaskEnergy
Our sustainability framework
Pillar one: Environment
Pillar two: Prosperity
Pillar three: People
Carbon Capture Project Redefines Clean Technology SaskEnergy and the Regina Airport Authority (RAA) are piloting the use of a CarbinX small-scale carbon capture device that could reduce GHG emissions from the main heating system at the Regina International Airport by about 20 per cent. Manufactured by Calgary- based CleanO2, the CarbinX device is installed in the airport’s mechanical room and captures a portion of the carbon dioxide emissions from the building’s boiler heating system, converting it into non-toxic pearl ash (potassium carbonate). CleanO2 collects the pearl ash and incorporates it into a line of carbon-capture soaps and other cleaning products, where it will be permanently sequestered. The carbon-capture reaction of the CarbinX device releases heat that is also captured and used to preheat water in the airport’s heating equipment, which further reduces emissions through reduced natural gas usage and saves the RAA money on monthly heating costs. SaskEnergy provided $40,000 for the cost and delivery of the unit and will receive annual deliveries of carbon soap, which will be given out at tradeshows and donated to community organizations across the province.
2022-23 Sustainability Report
19
Our sustainability path
Measures and standards: key indicators
2022-23 highlights
Looking ahead
President’s message
About SaskEnergy
Our sustainability framework
Pillar one: Environment
Pillar two: Prosperity
Pillar three: People
Commitment to the local environment SaskEnergy is committed to the protection of the environment as we meet Saskatchewan’s demand for safe and reliable energy. From project planning and design through to construction, operation, and reclamation activities, we strive to reduce our impact on all aspects of the environment, including plant life, wildlife, water bodies, native prairie, and species at risk. Working around environmentally sensitive land, water and wildlife Not only is the protection of land, water and wildlife critical to maintaining healthy ecosystems, it’s an essential part of our business. When planning our projects, we make it a priority to avoid environmentally sensitive landscapes and water features. First, we use geographic information system (GIS) layers to determine the best route for our gas line that will avoid environmentally sensitive areas. Once a route is selected, we conduct a risk assessment for any sensitive habitats, landscape features and species. Depending on the findings, we coordinate field visits. For areas that aren’t as environmentally sensitive, a high-level field visit takes place to see what’s in the area. In areas that are more sensitive, we visit the sites during spring, summer and fall to gain a greater understanding of the land use, species habitat and species of concern. Based on these visits and what is found, we will then either re-route our project to avoid sensitive species and habitats, or put mitigation measures in place to reduce the risk of disturbing any sensitive habitats or species. Mitigation measures include: · adjusting construction timing such that work occurs in the winter to avoid disturbing the breeding of any critical species or flowering timelines. · adapting construction practices, such as reduced topsoil stripping in areas with sensitive plant species, rig matting to avoid sensitive areas, and directional drilling to avoid disturbing water features and habitats. · environmental monitoring to reduce the disturbance of sensitive species and habitats.
2022-23 Sustainability Report
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Our sustainability path
Measures and standards: key indicators
2022-23 highlights
Looking ahead
President’s message
About SaskEnergy
Our sustainability framework
Pillar one: Environment
Pillar two: Prosperity
Pillar three: People
SaskEnergy works with environmental professionals and governing agencies to determine what mitigation measures are the best fit for any environmentally sensitive areas where we work. Environmental monitors are also an important part of our construction team, acting as our environmental eyes and ears in the field. In addition to assessing compliance with any specific mitigation measures or regulatory requirements, they are continuously watching for new potential concerns that may arise, such as birds nesting on equipment or on the open right of way. We rely on environmental monitors to work with our teams on the interpretation and implementation of environmental regulatory requirements, and to apply related best practices during construction. Biosecurity measures to protect against invasive species and diseases With an extensive network of gas lines across Saskatchewan, we are proactive about preventing the spread of invasive species, such as noxious weeds or agricultural diseases, through our work. SaskEnergy has a biosecurity policy and tools in place that help us to protect the environment, landowners and the public. We use a GIS screening tool to assess the risk of clubroot or noxious plants in the area in which we are planning to work. If an area is high risk for clubroot, guidelines are put in place for workers, including cleaning practices for boots and for equipment being moved to and from sites. We also physically survey any construction area to check for biosecurity concerns. While our gas line projects during the past year were assessed at a low risk of clubroot or other biosecurity concerns, standard cleaning practices were still implemented to lower the risk of biosecurity concerns post-construction. In addition, equipment was inspected prior to being allowed on the right of way of all construction projects to make sure no soil or plant debris was present. SaskEnergy has been a member of the Saskatchewan Clubroot Initiative — which identifies mitigation strategies, shares data, and applies risk-based approaches and standards — since 2009.
Leaving the land the way we found it We strive to return the land to its original state, or a better state, once our projects are complete. SaskEnergy’s reclamation inspection program involves checking and addressing crop and vegetation re-growth, as well as slumping and weed issues, on recently constructed gas lines and areas of legacy reclamation concerns. In 2022-23, we inspected 128 kilometres of gas line routes and identified 215 issues that required attention, mostly related to vegetation, including weed management and vegetation re-establishment. One hundred and sixty-seven issues were resolved, most of which were new in 2022-23. While not everything can be resolved during the same year as when identified, due to weather or other constraints outside of our control, SaskEnergy has plans to address all land or water-related issues that arise.
2022-23 Sustainability Report
21
Our sustainability path
Measures and standards: key indicators
2022-23 highlights
Looking ahead
President’s message
About SaskEnergy
Our sustainability framework
Pillar one: Environment
Pillar two: Prosperity
Pillar three: People
Mitigating and addressing spills and releases As part of regulatory reporting requirements, and our commitment to reducing and mitigating spills and releases, SaskEnergy has processes in place to track any liquid spills, mud releases and natural gas releases that occur during our operations. Despite following proper protocols, spills and releases can still happen; however, we have procedures to address spills and releases, including investigating, reporting, and cleaning them up as quickly as possible to minimize their impact to the environment. SaskEnergy experienced four reportable spills and releases during 2022-23. These were all mud releases that occurred during project construction. Drilling mud is a product of horizontal directional drilling activities, which route our gas lines under obstacles or environmentally sensitive areas such as roads, train tracks or wetlands. Typically, drilling mud is composed of water and bentonite, which is an inert swelling clay. Occasionally, underground conditions result in drilling mud making its way to the surface. Environmental monitoring activities are completed such that mud releases are quickly identified, contained, and cleaned up. Supporting organizations that conserve and protect the environment As part of our commitment to the land and the wildlife who make it home, we are proud to support organizations that conserve and protect the environment. Throughout the past 10 years, SaskEnergy has sponsored close to 450 environmental and wildlife initiatives across Saskatchewan. For 25 years, we have sponsored Nature Conservancy of Canada (NCC), which is Canada’s largest national land conservation organization. This long-standing sponsorship has included nearly $600,000 in cash and in-kind contributions. Most recently, we signed a two-year, $50,000 agreement to support NCC’s work to conserve the biodiversity of the Southwest Sandhills in Saskatchewan. This sponsorship funds research, conservation plans and partnerships that contribute to the sustainable management of the area, including the diverse species who make it home. The Southwest Sandhills areas provides habitat for 39 species at risk. SaskEnergy is also a partner in the Saskatchewan Prairie Conservation Action Plan (PCAP), which works toward a shared vision of conservation of native prairie and species at risk in our province.
BEETLES TAKE A BITE OUT OF INVASIVE PLANTS Leafy spurge is an invasive plant species that can choke out native vegetation or take over farmland and reduce yields. Its sap is also an irritant to humans and animals, causing blistering and rashes when it touches skin. Leafy spurge, which is estimated to have spread over two million hectares in North America, is resistant to many types of herbicides, so other methods are required to get rid of it — such as leafy spurge beetles! The beetles only target leafy spurge and have been used in biocontrol efforts for the weed in Canada since the 1980s. In 2022-23, SaskEnergy provided support to Nature Conservancy of Canada (NCC) to help monitor the impact of leafy spurge control efforts in the Willner-Elbow pasture and at Douglas Provincial Park. We also sponsored the important work of the Moose Jaw River Watershed Stewards to help with their efforts toward collecting leafy spurge beetles and distributing them to landowners. Supporting organizations such as NCC and the Moose Jaw River Watershed Stewards in protecting our ecosystem aligns with our commitment to environmental sustainability and stewardship. Through our biosecurity policy and program, SaskEnergy works to prevent the spread of leafy spurge and other invasive species in Saskatchewan during our operations.
2022-23 Sustainability Report
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