Power in Reserve: Indigenous Participation in Canada’s Battery Energy Storage Boom
- IEM
- 5 days ago
- 4 min read
Updated: 4 days ago
As provinces and territories across Canada race to decarbonize and modernize their electricity grids, battery energy storage systems (BESS) have emerged as a critical solution for managing intermittent renewable power and grid reliability. From Atlantic Canada to British Columbia, utilities and developers are rolling out large-scale battery projects to store excess solar and wind energy, stabilize the grid, and defer costly infrastructure upgrades.
But what about Indigenous participation in this emerging asset class?
BESS in Canada Overview
Canada’s battery energy storage sector is growing rapidly, driven by grid decarbonization, renewable integration, and emerging provincial procurement programs.
Large-Scale vs. Small-Scale BESS
Battery energy storage projects in Canada range from multi-hundred-megawatt systems connected to transmission infrastructure, to small-scale microgrid systems serving off-grid communities:
Mid-to-large-scale BESS (1 MW and up) are typically procured by utilities or developers to manage peak demand and grid stability. These often involve complex partnerships and long-term revenue models.
Small-scale BESS (under 1 MW) are often deployed in remote or off-grid Indigenous communities, where they store energy from solar, wind, or diesel hybrid systems to improve reliability and reduce fuel costs.
Both scales offer meaningful opportunities for Indigenous participation—whether through equity investment, land use agreements, or clean energy leadership at the community level.
Ontario Leading the Charge
In May 2024, Ontario completed the largest battery storage procurement in Canadian history, securing 2,195 megawatts of battery storage capacity through the IESO's Long-Term 1 (LT1) RFP. Source: Ontario Government News Release
Highlights include:
10 battery storage projects totaling 1,784 MW from LT1 RFP
9 of 10 selected storage projects have 50% or more Indigenous ownership
8 expedited projects totaling 411 MW already under development
Projects will store surplus electricity and deliver it back during peak periods
This is a transformative move that positions Ontario as a national leader in grid-scale battery deployment, setting the stage for broader Indigenous participation across the province.
Other Jurisdictional Momentum
Other select projects are popping up across Canada, from British Columbia, Nunavut, and the Atlantic provinces. IEM expects to see more announcements for Indigenous participation in BESS projects as provinces push to stabalize and decarbonize their grids.
Why BESS Projects Matter for Indigenous Communities
Battery projects present a new generation of infrastructure opportunities - ones that are lower impact, more flexible, and often eligible for funding under clean energy and Indigenous reconciliation initiatives.
For Indigenous governments and economic development corporations, BESS projects can offer:
Equity ownership in clean energy infrastructure
Revenue from leasing land or hosting facilities
Participation in utility-scale procurements and partnerships
Strategic positioning for future renewable development
They’re also more scalable than full generation assets, opening the door to involvement from smaller communities or joint ventures.
For remote and off-grid Indigenous communities, small-scale BESS systems can be transformational. When paired with renewable generation like solar or wind, batteries help reduce diesel dependence, improve local energy reliability, and lower long-term operating costs. They also support local control over energy systems, an essential component of energy sovereignty.
Where Indigenous Participation is Already Happening
Indigenous Equity Stats:
IEM is currently tracking 27 energy storage projects across Canada—ranging from 1 to 411 MW in capacity—that feature Indigenous equity ownership at various stages of development:
These projects represent more than $3 billion of investment into 2,638 MW of storage capacity. Most of these projects are either half or majority-owned by Indigenous communities and organizations.
Project Examples:
⚡ Oneida Energy Storage (Ontario) - Operating
250 MW / 1,000 MWh battery system – the current largest operating BESS in Canada
$800 million estimated capital cost.
Owned by Oneida Energy Storage LP, a partnership between NRStor, Northland Power, Aecon Concessions, and Six Nations of the Grand River Development Corporation.
Minority 10% Indigenous equity stake in the project.
Funding provided by Canada Infrastructure bank ($535M) and Natural Resources Canada ($50M) with remaining balance funded through private lenders.
⚡ Nemiah Valley Microgrid Project (British Columbia) - Operating
1 MW battery system + 250 kW solar array microgrid project.
Led by the Xeni Gwet'in First Nations Government.
100% Indigenous-owned.
Funding provided by Natural Resource Canada ($1.9M) and Province of British Columbia ($1.86M).
⚡ Nova Scotia Power BESS Projects - In Development
Three (3) 50 MW / 400 MWh battery systems to be operational in 2025/2026.
$354 million estimated capital costs.
Owned by Nova Scotia Power Inc. and Wskijinu'k Mtmo'taqnuow Agency Ltd.
Exact Indigenous equity stake is unknown at this time.
Funding provided by Canada Infrastrucuture Bank ($132.8M) and Natural Resources Canada ($130M).
These are just a few examples, and they reflect a broader shift where Indigenous entities are seeking not just participation, but long-term ownership and influence in future grid infrastructure in Canada.
Opportunities and Barriers
Opportunities
Clean energy procurement targets increasingly emphasize Indigenous participation
Federal and provincial funding is available for Indigenous-led clean energy projects
Shorter development timelines compared to generation assets
Strong co-location potential with solar, wind, and even gas peaker sites
Barriers
Upfront capital requirements for equity stakes
Limited transparency on where battery projects are planned or who is involved
Need for technical and legal capacity to evaluate deals and partnerships
Data gaps around Indigenous ownership in this fast-moving sector
How IEM is Supporting Transparency in the BESS Sector
We’re actively tracking Indigenous participation in Canada’s growing BESS market as part of our Indigenous Energy Ownership Tracker (IEOT).
By centralizing and visualizing ownership data, we help communities, developers, and policymakers:
Identify where Indigenous equity is being deployed
Benchmark successful ownership models
Understand trends across regions and sectors
Discover funding sources that get projects built
Build partnerships based on evidence
And so much more
🔗Discover the IEOT Tool Here: https://www.indigenousenergymonitor.ca/ieot
Stay Informed, Get Involved
Whether you’re an Indigenous economic development group looking to evaluate BESS opportunities, or a project developer seeking Indigenous partners, IEM's transparency and data are essential.
🔗 Explore our solutions: www.indigenousenergymonitor.ca
📩 Contact us: info@indigenousenergymonitor.ca