Yukon Energy, Mines and Resources Minister Ted Laking has told the territory’s two government-owned corporations not to pursue or consider coal-fired power generation, a written directive that arrived in the lead-up to a legislature debate on the issue.
The short letter, addressed to the presidents of the Yukon Energy Corporation and the Yukon Development Corporation, sets out the territorial government’s position on coal in clear terms.
“The government of Yukon is not pursuing or considering coal-fired power generation,”
The letter went on to say the government expects both corporations to continue to refrain from pursuing or considering coal-fired power.
Context and legislative timing
The instruction was issued just before the legislature began debating an opposition motion that would have sought to bar coal-fired energy projects from moving forward under Yukon’s regulatory regime. The motion, put forward by NDP MLA Carmen Gustafson, asked the territorial government to direct the Yukon Utilities Board — under section 17 of the Public Utilities Act — to reject any applications for energy projects intended to use, convert or process coal.
Gustafson’s motion was prompted in part by a private-sector proposal from Vancouver-based Strategic Metals, which is conducting coal exploration near Braeburn and considering whether extracted coal could be used for power generation in the territory. The proposal comes against the backdrop of the federal government’s commitment to phase out coal-fired power by 2030.
What this means for territorial corporations and projects
The minister’s direction is aimed at the two territorial corporations that play central roles in energy planning and economic development. It signals a policy boundary for government-owned agencies without requiring legislation.
Key immediate implications include:
- Yukon Energy Corporation should not evaluate or advance proposals that would lead to coal-fired generation.
- Yukon Development Corporation is equally expected to avoid pursuing coal projects as part of its mandate.
- Private proponents of coal projects, including exploration work, may still proceed under existing rules, but will face a territorial government that has disavowed coal-fired generation within its own corporations.
| Stakeholder | Role |
|---|---|
| Yukon Energy Corporation | Territorial utility involved in power generation and system planning |
| Yukon Development Corporation | Government-owned corporation focused on economic development initiatives |
| Strategic Metals | Private company conducting coal exploration near Braeburn |
| Carmen Gustafson, MLA (NDP) | Opposition member who moved motion to block coal projects via Utilities Board |
Because the minister’s direction applies to government corporations, it does not automatically ban private-sector exploration or potential private power projects. However, it removes a potential pathway for coal-fired generation that might have relied on territorial corporate involvement or support.
Policy alignment and federal context
The minister’s statement aligns the territorial government’s public position with broader national policy that aims to eliminate conventional coal-fired electricity by 2030. It also anticipates and addresses political pressure from the opposition to formalize a prohibition through regulatory instruction to the Yukon Utilities Board.
The debate in the legislature and the minister’s instruction illustrate how local energy questions intersect with federal timelines, private mineral exploration and municipal and territorial planning. For communities and stakeholders across the territory, the announcement clarifies that government-owned entities will not be active proponents of coal-fired generation.
As the story develops, questions remain about how private proposals will be assessed under territorial and federal rules, the potential environmental assessments required for exploration and any future direction from the Utilities Board.
Reporters will continue to monitor responses from the Yukon Energy Corporation, the Yukon Development Corporation, Strategic Metals and opposition parties as the issue moves through the legislature and regulatory processes.
— Kaylee Johns, Yukon correspondent
