Management’s Discussion and Analysis
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Reliability SaskEnergy’s system integrity, safety and environmental protection programs combine predictive analysis and proactive response to help drive the reliability of the natural gas system and service delivery. Program effectiveness is demonstrated through reduced levels of gas leaks, failures and third-party contacts, and other measures. Unplanned Distribution Customer Outage Events arise from activities such as third-party damage (line hits), operator error, facilities failure, and security issues that cause service disruptions affecting more than one customer. The outage events in the year ending March 31, 2026 were higher than expected with a total of 38 reported outages, up from 18 reported in 2024-25. SaskEnergy will utilize its programs and processes to analyze potential factors in the increase and progress towards a reduced number in future years.
Environment and Energy Solutions SaskEnergy continues to concentrate on monitoring and reducing the environmental impact of its operations. SaskEnergy’s operational greenhouse gas (GHG) emissions show a continued decline compared to the 2019 baseline. Cumulative GHG emissions continue to be achieved relative to 2019 levels through efforts such as infrastructure enhancements, improved data and analysis, and installation of emissions reduction technology and equipment. At the end of 2025-26, SaskEnergy reached a reduction in operational emissions of 27.1 per cent relative to 2019, surpassing its target and making strong progress on achieving the goal of a 35 per cent reduction by 2030. Additional contributing factors this year included reduced engine runtimes for compression as a result of operational efficiencies and warmer than normal temperatures, as well as improved measurement of electricity consumption. SaskEnergy is also committed to assisting customers in their own efforts to make their homes and businesses more energy efficient. Maturing and evolving residential and commercial equipment rebates are available year- round to encourage and support the installation of high- efficiency equipment. In recent years, SaskEnergy has introduced programs for homes built to higher energy efficiency levels than minimum code requirements, as well as furnace upgrades for First Nations and income- qualified households. In 2025-26, SaskEnergy launched the Heating Affordability Program, which assists income- qualifying homeowners in the replacement of their current furnace with a high-efficiency furnace at no cost — helping reduce their energy use and lower their annual energy bills. In 2025-26, customers who participated in programs reduced their annual emissions by a total of 22,727 tonnes of CO 2 e, exceeding last year’s results by 20 per cent. These programs continue to perform very well year over year.
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