The first phase of the initiative, led by Dunsky, was to develop a scorecard to benchmark utility efforts and progress towards a clean, modern and customer-centric grid. It represents a comprehensive, robust and utility-supported framework to assess electric utility decarbonization efforts and progress. With 140+ indicators across 13 metrics, the scorecard collectively assessed the progress of participating utilities towards three core goals: 1) cleaning energy supply, 2) transitioning to a modern grid, and 3) enabling customers and society goals. 

The 12 utilities, not surprisingly, are at different stages of the decarbonization process. All 12 participants demonstrated leadership across certain metrics and indicators. Several benefited from having a relatively clean or non-emitting grid, but utilities shone in other indicators such as corporate leadership, enhanced grid planning and management, climate resiliency, comprehensive electrification strategies, customer engagement, and equity, diversity, and inclusion initiatives.  

More broadly, results from the benchmarking highlight insights on the broader progress and pathways for Canadian utilities’ decarbonization journey. This includes:  

• Everyone is on board: although they are at various stages of progress, Canadian utilities have recognized the urgency to prepare their grids and organizations for the energy transition.  

• No one size fits all: the diversity of Canadian utilities matches the diversity of Canada’s energy markets. While learnings can – and should – travel across provincial boundaries, the unique regulatory and market contexts each utility operates in must be considered when comparing progress, ambitions, and pathways to net-zero. 

• Utility innovation is a necessary driver of the transition: While utilities have historically been viewed as risk-averse, there is increasing recognition and momentum that utilities have a critical role to play in enabling and leveraging Distributed Energy Resources (DERs), smart grid technologies and other innovations to support the energy transition. 

• Utilities can’t do it alone: Utilities are facing a massive transformation, and they cannot do it alone. Policy and regulatory frameworks must keep up with the magnitude and pace of change in the sector by removing barriers that are constraining utilities’ efforts as well as supporting utilities in delivering on their expanded mandates. 

• The energy transition is an opportunity: The pace and magnitude of change required for the energy transition can be challenging;however, it is equally an opportunity. The energy transition presents an opportunity to enhance our power system’s resiliency and reliability, achieve long-term operational cost savings, create economic opportunities, empower our communities , secure a competitive advantage and indeed, ensure a more sustainable future for all Canadians.  

Phase 2 – Capability Maturity Model Support 

The second phase of the initiative, led by Siemens’ Power Technologies International (PTI Consulting), was to develop a Utility Capability Assessment with the objective of creating a framework that serves as a support tool for utilities in the planning of strategic programs that advance Smart Energy objectives. 

The Capability Model builds on the Smart Energy scorecard and is intended to help utilities understand where they stand today and how they compare to others with their ability to realize objectives supporting the energy transition. This includes identifying key processes and use cases that have been implemented and comparing these to aspirational levels of capability and to those of other utilities.  

A subset of seven utilities from Phase 1 participated in this phase and performed the assessment. 

The results of this assessment were then used to inform recommendations on specific areas that can be matured by proposing initiatives that would drive the development of the changes in people, processes, and technology associated with the target level of capability. 

Some general key insights from this phase include: 

• Size matters: large vertically integrated utilities typically have a greater scope of service as well as regulatory constraints which can mean larger hurdles to overall capability maturity.  The dimensions and interdependencies between business groups within a larger organization can increase the effort and significantly challenge change management enablement.  

• Policy direction is a significant driver: similar to the size of the utility, the influence of government and regulatory policy has a greater impact on the priorities and constraints of larger, vertically integrated utilities. This can significantly influence how the utility prioritizes grid modernization and business transformation activities. 

More detailed findings are described in the second phase of the report. 

In its first iteration, the Smart Energy Benchmarking Initiative demonstrates the value that comes from utility and industry collaboration in getting to net-zero. The insights that have come from the project – and the varied expertise brought by SGIN, Dunsky, Siemens and UNB – are already helping utilities make more informed decisions and focusing their decarbonization efforts. 

We look forward to welcoming more utility participants in future phases of this initiative, and to further strengthening utility capacity to meet net-zero goals.  

Utilities interested in participating in a future version of this initiative should contact jenn@sgin.ca. 

To read details about our methodology, in-depth utility results and insights, please consult the report below.