International Day of Clean Energy: Toronto in the Spotlight

Energy systems underpin economies and support modern societies, yet the way we produce and consume energy remains the largest driver of climate change. Cities and their residents sit at the heart of this challenge, accounting for an estimated 75 per cent of energy-related carbon dioxide emissions.

On this International Day of Clean Energy, which advocates for the crucial role of clean energy in the just and inclusive transition to a net-zero economy, we highlight clean energy efforts in the City of Toronto. These initiatives, ranging from the role of its utilities to energy incentives and rebates for homeowners, align closely with UN Sustainable Development Goal (SDG) 7: ensuring access to affordable, reliable, sustainable, and modern energy for all.

Why clean energy matters

According to the United Nations Environment Programme, the energy sector is responsible for 34 per cent of global anthropogenic greenhouse gas emissions. This is largely driven by the use and transformation of fossil fuels, or energy derived from ancient organic matter, such as coal, oil and natural gas. While seen as a reliable and dense source of energy, extracting and burning fossil fuels causes irreversible environmental damage.

Renewable sources such as solar, wind and hydropower offer an alternative to polluting, carbon-intensive fossil fuels. By generating no direct emissions, they provide ‘clean’ power with minimal environmental impact.

City of Toronto: Strategy, start-ups and incentives

Over three million people call Toronto home, and powering such a large urban population requires significant energy use. Buildings and transportation account for the two largest sources of emissions in the city, primarily due to natural gas use and gasoline combustion.

Electricity, however, tells a more encouraging story. Toronto draws its power from Ontario’s low-carbon grid, where approximately 83 per cent of energy comes from non-emitting sources such as nuclear, hydropower, wind and solar. This electricity is delivered to the city’s residential, industrial and commercial customers through utility providers, including Toronto Hydro, which is the city’s chief electricity distributor and serves 796,000 customers.

Clean energy is a vital component of the city’s ambitious climate goals. Transform TO, Toronto’s award-winning decarbonization strategy, commits the city to achieving net-zero emissions by 2040. To reach this goal, the strategy focuses on cutting natural gas use; setting performance targets for existing buildings; expanding access to low-carbon transportation options such as walking, cycling, public transit, and electric vehicles; and increasing local renewable energy to support a resilient, carbon-free grid.

Toronto is also home to a vibrant clean energy scene, with start-ups like SWTCH and Peak Power advancing electric vehicle (EV) charging and battery storage solutions. They are supported by institutions like Toronto Metropolitan University’s Centre for Urban Energy, which provides entrepreneurs access to a host of resources, industry experts and mentors.

Beyond policy and innovation, Toronto clean energy efforts extend to homeowners seeking to decrease energy use and lower their carbon footprint. Through the Home Energy Loan Program, they can obtain up to CAD 125,000 in low- or zero-interest financing for upgrades such as heat pumps, EV chargers and battery storage. Additional incentives, including the Eco-Roof Incentive Program, provide grants for green and cool roof installations, while BetterHomesTO helps residents navigate rebates across all levels of government.

Building a low-carbon future for Toronto

As energy demand continues to grow, municipalities like Toronto face the challenge of expanding energy supply while reducing emissions and reliance on fossil fuels to meet their climate-related targets. Targeted incentives, emerging technologies, and thoughtful long‑term planning give the city powerful tools to cut emissions, boost energy efficiency and build a resilient, low‑carbon future.

Edited by Aleksandar Cimeša

Image credit: Peter Beukema