B.C. Faces Critical Energy Choices Ahead of Budget: Import Dependence vs. Pragmatic Solutions
B.C. Energy Pragmatism Essential as Budget Day Approaches

Energy Pragmatism Takes Center Stage as B.C. Budget Day Nears

As British Columbians anticipate what many expect to be an austerity-focused provincial budget, Premier David Eby's government confronts pivotal decisions that will directly impact household affordability and the province's long-term economic resilience. The upcoming fiscal plan represents a crucial test of whether British Columbia is genuinely committed to achieving greater self-sufficiency and reducing its dependence on unpredictable external energy sources.

Two Critical Issues Demanding Immediate Attention

Two interconnected challenges deserve particular scrutiny in this budget cycle. The first is British Columbia's continued and growing reliance on electricity imports from the United States. The second is the escalating cost of living for residents across the province, occurring precisely as signals point toward necessary fiscal restraint.

Imported electricity is frequently portrayed as a harmless, temporary solution—assumed to be both environmentally clean and economically sensible. However, the reality paints a different picture. British Columbia has now been a net importer of electricity for three consecutive years. In 2025 alone, net imports surpassed 5,500 gigawatt hours. This staggering volume exceeds the typical annual output of the massive, recently completed $16-billion Site C hydroelectric dam.

Reliability Concerns and Financial Exposure

This persistent import pattern raises serious questions about the province's long-term energy planning, especially as overall electricity demand continues to climb. Reliability is becoming a paramount concern. A recent report from the Western Electricity Coordination Council, which includes British Columbia in its jurisdiction, concluded that the Pacific Northwest region will face increasing vulnerability to energy shortages.

Utilities are increasingly turning to wind, solar, and battery storage to power data centers, heat homes, and fuel electric vehicles. The council warns that so-called "loss of load events," where electricity demand outstrips available supply, could materialize as early as 2028. By 2035, such shortages could potentially last up to five days, depending on actual load growth and the types of new energy sources integrated into the grid.

Relying on neighboring jurisdictions to supply power during shortages represents a risky policy. Documents filed with the B.C. Utilities Commission reveal the substantial financial exposure tied to these imports, which have already translated into billions of dollars in costs over the past two fiscal years.

Exploring Domestic Alternatives and Policy Contradictions

British Columbia is not lacking in domestic energy alternatives. The province possesses abundant natural gas resources that already support reliable electricity generation when needed. This gas is produced locally, sustains employment across various regions, and generates royalties that help fund essential public services—a critical consideration during a financially challenging budget year.

However, current provincial policy under the CleanBC framework paradoxically limits the ability to leverage this domestic advantage. The policy mandates phasing out natural gas as a backup source for electricity generation within British Columbia, even as the province simultaneously purchases power from the United States—some of which is generated from the very same natural gas that B.C. exports.

This contradiction results in increased import dependency and greater exposure to external market risks and geopolitical uncertainties. Furthermore, the policy calls for replacing natural gas used for home and commercial heating with increased electricity consumption. B.C. Hydro's latest Integrated Resource Plan models the significant financial consequences of this shift, costs that will ultimately be borne by ratepayers across the province.

As budget day approaches, the conversation must center on pragmatic energy solutions that prioritize affordability for British Columbians while strengthening the province's energy security and economic independence for the future.