The Government of Canada is committed to reducing greenhouse gas emissions, leading by example to green its own operations.
Today, the Honourable Joël Lightbound, Minister of Government Transformation, Public Works and Procurement and Quebec Lieutenant, marked the launch of the modernized National Capital Region District Energy System (NCR DES), delivered through the Energy Services Acquisition Program (ESAP), one of the federal government's most significant initiatives to reduce greenhouse gas emissions from its operations.
The announcement coincides with the International District Energy Association's 2026 conference in Ottawa, where global industry leaders are gathering to share knowledge and advance low-carbon district energy systems.
The modernized system provides heating and cooling to federal and non-federal buildings across Ottawa and Gatineau, while significantly reducing emissions, improving reliability and supporting long-term cost effectiveness.
Through ESAP, Public Services and Procurement Canada (PSPC) has transformed a system originally built 50 to 100 years ago into a modern, efficient and flexible network powered primarily by low-carbon electricity. The modernization replaces high-temperature steam with a low-temperature hot water system and electric chillers, improving energy efficiency, reliability and safety.
Delivered through a public-private partnership with Innovate Energy, the $3.4-billion project includes $1.3 billion for design and construction and $2.1 billion for long-term operations and maintenance. This approach provides long-term cost certainty and supports performance over the life of the contract.
The modernized NCR DES is designed to operate using a balanced mix of energy sources, primarily low-carbon electricity, complemented by natural gas to meet peak seasonal demand. This ensures reliable, efficient and cost-effective service while reducing greenhouse gas emissions.
Designed for future expansion, the system will enable additional buildings, including those from other levels of government and the private sector, to connect to clean and reliable energy in the years ahead.
