August 7-14, 2006

Survey shows 16.6% increase in sales of GHG reduction technologies, services

Canadian businesses earned $737.3 million in 2004 from the sales of technologies and services to reduce greenhouse gas (GHG) emissions. This was an increase of 16.6% over a revised total of $632.3 million for 2002, Statistics Canada reports. The agency recently released preliminary 2004 data and revised 2002 date from its biennial Environment Industry Survey.

Technologies to conserve energy and improve efficiency accounted for 43% of total revenue, while those for production of solar and wind energy accounted for 23%. Together, these two groups made up fully two-thirds of the total 2004 revenues from sales of GHG reduction technologies and services.

Technologies covered by the survey can have an impact on cutting GHG gas emissions into the atmosphere. They include those used in energy conservation, renewable energy systems and the capture and conversion of gases from landfills and agricultural sources. The energy conservation category covers, for example, systems designed to optimize energy use in manufacturing processes.

StatsCan acknowledges that in many cases, the use of these technologies may be driven more by economic than environmental considerations.

Solar and wind energy systems and small-scale hydro systems are examples of technologies that harness renewable energy sources, the consumption of which results in little or no GHG emissions. Revenues from renewable energy systems such as these totalled $169.0 million in 2004, up 19.7%.

The biggest jump in revenues over the two-year period was in the area of cogeneration, methane capture and waste-to-energy conversion. Sales of technologies and services in this sector rose by over 170% from $8.6 million in 2002 (revised) to $23.3 million in 2004 (preliminary).

In other areas, revenue from sales of fuel cells and alternative fuel technologies amounted to $95.2 million, down 19.1%.

The provision of services to reduce greenhouse gas emissions contributed $104.1 million in revenues. Product installation, maintenance and consulting in the area of energy efficiency and renewable energy represented most of these revenues.

Construction of renewable energy facilities added $17.2 million, a major increase over the 2002 figure of $2.2 million.

More information is available from Carol Gudz at Statistics Canada, 613/951-2752.

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