SASKATCHEWAN: Risks and opportunities in the global low-carbon transition

Saskatchewan faces significant economic risks due to its reliance on oil and gas, with 6% of its workforce in transition-vulnerable sectors. While the province has strengths in agricultural technology, critical minerals, and renewable energy potential, it lags behind other Canadian provinces in attracting transition-consistent investment. Growth is concentrated in Saskatoon and Regina, primarily within ag-tech and alternative proteins. Barriers to scaling include a lack of early-stage policy support, low R&D funding, and continued subsidies for fossil fuels, which create uncertainty for clean-tech investors.

• Saskatchewan's workforce is highly exposed to the energy transition, with 6% of workers in transition-vulnerable sectors, the third highest rate in Canada. Specific communities with populations over 10,000 show high concentrations in oil, gas, and mining, including Lloydminster (14%), Estevan (13%), Weyburn (11%), and Swift Current (3%).
• The province's economy remains heavily dependent on fossil fuels, with the oil and gas sector contributing 16% of provincial GDP and 25% of goods exports in 2019. This reliance has led to fiscal volatility; oil and gas royalties dropped from $2.3B in 2008 to $347M in 2020, contributing to an increase in the debt-to-GDP ratio from 5.5% in 2014 to 18% in 2021.
• Saskatchewan possesses significant competitive advantages for the low-carbon transition, including high potential for wind, solar, and geothermal energy, large salt caverns for energy storage, and deposits of uranium, helium, and critical minerals. It also has established expertise in carbon capture, utilization, and storage (CCUS) technologies.
• Investment in transition-opportunity companies is growing but remains concentrated in a few sectors and cities. Of the 23 active transition-opportunity companies, 43% are in agricultural tech and alternative proteins, with 61% based in Saskatoon and 9% in Regina. There is currently no company-level representation in clean hydrogen, batteries and storage, or CCUS.
• Saskatchewan lags behind other provinces in capturing transition opportunities due to a lack of early-stage policies and funding. In 2018, companies in the province accounted for less than 0.5% of Canada's venture capital investment despite the province representing 4% of national GDP. The province also ranks among the lowest for public and private R&D funding.
• Current policy signals are inconsistent and may hinder the transition. While the province has targets for renewable electricity (50% capacity by 2030) and methane reduction (40-45% by 2025), it lacks policies for buildings and transportation. Furthermore, the government provided an estimated $380M in consumer and $32M in producer subsidies to the fossil fuel sector in 2020.

APA

Canadian Climate Institute (n.d.). SASKATCHEWAN: Risks and opportunities in the global low-carbon transition. https://climateinstitute.ca/wp-content/uploads/2022/05/SK-profile.pdf

Chicago

Canadian Climate Institute. SASKATCHEWAN: Risks and opportunities in the global low-carbon transition. n.d. https://climateinstitute.ca/wp-content/uploads/2022/05/SK-profile.pdf.

Wikipedia

{{cite report |author=Canadian Climate Institute |title=SASKATCHEWAN: Risks and opportunities in the global low-carbon transition |url=https://climateinstitute.ca/wp-content/uploads/2022/05/SK-profile.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{canadianclimateinstitutendsaskatchewan, author = {{Canadian Climate Institute}}, title = {{SASKATCHEWAN: Risks and opportunities in the global low-carbon transition}}, institution = {Canadian Climate Institute}, url = {https://climateinstitute.ca/wp-content/uploads/2022/05/SK-profile.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }