Yukon government takes steps to address energy needs

On March 24, Minister of Energy, Mines and Resources Ted Laking introduced Bill No. 2, An Act to Repeal the Clean Energy Act (2026), in the Yukon Legislative Assembly.

As the territory aims to balance grid capacity with peak winter demand, the Government of Yukon is taking immediate actions to stabilize and reduce demand on the grid.

Repealing the Act will end legislated policies such as the electric vehicle mandate and emissions targets, which increased electricity demand across the territory. The Government of Yukon will also review policies, programs and subsidies, including tax rebates, that incentivize electrification on a strained grid that cannot sustain additional pressure.

The Winter Reliable Energy Plan will expand on this approach. It will promote and support policies that reduce widespread electrification in housing, construction and transportation so they are better aligned with the Yukon’s peak reliable winter energy capacity.

The Yukon government is also working to expand the territory’s energy supply and move away from rental diesel generators that have cost Yukoners and ratepayers over $70 million. Budget 2026 advances the Whitehorse Power Centres Project, valued at over $500 million, which will add much needed thermal energy. Phase one brings this new capacity online by 2028, while phase two will bring on additional supply by 2030.

Repealing the Clean Energy Act supports the Yukon government’s mandate to refocus climate change efforts on developing a plan focused on realistic and tangible actions.

We cannot keep driving demand for electricity on a grid that cannot handle it. Electric vehicles work when they are powered by clean electricity from a grid that has excess power. But the Yukon does not have excess electricity and we must rely on thermal energy in the winter. We can no longer incentivize electricity demand until our system has enough supply. This is the result of 10 years of not planning properly for the territory’s energy future.

 Minister of Energy, Mines and Resources Ted Laking

Our government is committed to addressing the impacts of climate change through the development of a Climate Change Action Plan. This plan will take a practical approach to building climate resilient communities that includes tangible, realistic actions to improve our resilience.

Minister of Environment Wade Istchenko

Media contact

Tim Kucharuk
Press secretary, Cabinet Communications
867-335-2419
[email protected] 

John Thompson
Communications, Energy, Mines and Resources
867-332-6042
[email protected] 

Mara De La Rosa
Communications, Environment
867-456-5565
[email protected] 

News release #:
26-084
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Date modified: 2026-03-24