Renewable energy and well-being in remote Indigenous communities of Canada: A panel analysis

Abstract

Energy transitions in Indigenous, Northern and remote communities in Canada promise benefits that go beyond reliable, clean and affordable energy services. The Federal and Provincial governments have committed funding to get remote communities off diesel, acknowledging energy transitions' global and local benefits. Besides climate change mitigation, other benefits, including job creation, income generation, community ownership and local economic growth, are fundamental components of the value proposition of renewable energy projects. However, despite the promises, little evidence of the impacts of renewable energy on communities' local conditions exists. This article looks at the relationship between renewable energy projects and community well-being in Canada. We construct a panel of Indigenous communities and well-being levels using Census data and information about renewable energy projects for the period 1981–2016. The findings suggest that renewable energy is associated with higher levels of well-being. Concretely, having access to renewable energy increases overall well-being by 1 to 5 points on the 0–100 well-being scale, depending on the component of the well-being index considered in the analysis.