Statement from Minister Laking on the Yukon’s electricity grid following December’s cold snap

Minister of Energy, Mines and Resources, Minister responsible for the Yukon Development Corporation and Minister responsible for the Yukon Energy Corporation Ted Laking has issued the following statement:

"The Government of Yukon will be announcing new, enhanced initiatives to further stabilize and improve the reliability of our energy grid. In the meantime, we wanted to update Yukoners on the lessons learned from this winter, how they will inform our path forward and the vital role thermal power plays in energy reliability during the coldest times.

"In December 2025, our prolonged cold snap pushed electricity demand to record levels. Data from December is informing the development of the Winter Reliable Energy Plan, which will outline immediate and long-term actions for winter preparedness and grid resilience. This work aligns with efforts to increase energy independence through the Whitehorse Power Centres Project to improve reliability and handle peak loads, and make emergency repairs to infrastructure like the Wareham Dam to strengthen hydroelectric assets.

"Forecasts show peak demand growing by about 40 megawatts by 2030, mainly from new electrically heated homes. Without reliable thermal capacity, we risk more outages and higher costs.

"Wind and solar play an important role, particularly in our summer and shoulder season energy mix. They help to reduce fossil fuel use and support sustainability goals. However, they are not dependable during the coldest and darkest days of the year. They cannot be activated on demand to prevent rolling blackouts.

"A key factor informing our planning is the dependable winter capacity of each resource. This is the maximum output that a resource can reliably provide during periods of greatest demand in the winter.

"There is a difference between total capacity and dependable winter capacity. For example, independent power producers' wind generators have a capacity of up to four megawatts, but in December 2025 were only running at 14 per cent capacity factor. Solar was running at close to zero per cent capacity factor during that time. During cold snaps, some solar installations use more energy to stay warm than they generate. All of this underscores the need for thermal and hydro for reliable winter energy.

"The Government of Yukon is committed to a secure, reliable and affordable energy system. To meet rising winter peak demand and keep Yukoners safe, we are prioritizing dependable thermal generation, including diesel and liquefied natural gas sources. These deliver controllable, on-demand power that can be dispatched quickly during extreme cold when renewables like wind and solar produce less.

"Dependable winter energy is essential in the Yukon. When temperatures drop to -40°C or lower, reliable power ensures homes stay heated, hospitals and essential services operate without interruption and communities remain safe.

"The Yukon's key dependable sources of electricity includes:

• hydro power, which is our primary renewable source, providing consistent electricity from water running through turbines, even in winter;
• liquefied natural gas, which is a cleaner-burning fuel offering flexible, dispatchable generation; and
• diesel, which is essential for emergencies and peak winter demand, and includes generators owned by Yukon Energy and rental diesel generators.

"The Government of Yukon remains focused on balancing environmental objectives with energy security. The Winter Reliable Energy Plan will deliver short-, medium- and long-term actions toward a flexible, resilient and modernized electricity system. It includes initiatives like the Whitehorse Power Centres and potential grid enhancements for long-term affordability, safety and growth.

"Yukoners are encouraged to conserve energy during peak periods. More information on energy programs and updates is available at yukonenergy.ca"