Nunavut
Critical minerals, policy, and the energy transition
The Energy Transition in Nunavut, Canada
In the heart of Canada's Arctic, Nunavut embarks on a pioneering energy transition tailored to its stark landscapes and isolated communities. With an ambitious aim to slash its dependence on costly, carbon-heavy diesel, the territory is weaving renewable energies like wind, solar, and small-scale hydro into its rugged fabric. Nunavut's strategy shines with initiatives to retrofit buildings with superior insulation and introduce energy-efficient appliances, significantly lowering energy consumption and costs. The deployment of cutting-edge microgrid technologies promises to revolutionize power delivery, enabling remote communities to harness a mix of renewable sources for a steadier, more sustainable energy supply. This bold transition is buoyed by a strong current of community involvement, ensuring that projects resonate with local values and needs, backed by a framework of supportive policies and incentives from the territorial government. By cultivating robust partnerships among federal entities, Indigenous peoples, and the private sector, Nunavut is navigating its unique challenges, lighting the way toward a resilient, energy-secure future amid the Arctic's vast expanse.
Nunavut's energy revolution
Nunavut is undergoing a significant energy transformation, driven by the urgent need to reduce reliance on diesel fuel, cut greenhouse gas emissions, and improve energy security in its remote communities. Central to this shift is a growing focus on renewable energy, with a diverse mix of solar, wind, and hydroelectric projects being developed. These initiatives are supported by federal funding and guided by Inuit-led efforts, ensuring that solutions are both locally driven and sustainable.
Solar and battery storage projects
One of the most notable projects is the Ikayuut Solar and Energy Storage Project in Naujaat, which began construction in September 2024. This 1+ megawatt solar facility, combined with battery storage, is expected to reduce the community’s diesel dependence by 30%, supplying enough electricity to power approximately 130 homes. The project, led by Kivalliq Alternative Energy, an Inuit partnership between Sakku Investments Corp. and Northern Energy Capital, will save 400,000 litres of diesel annually and cut carbon dioxide emissions by 30,000 tonnes over its 30-year lifespan.
Wind energy development
Wind energy is also a key focus, with projects like the Baker Lake and Rankin Inlet Wind Energy Development Projects receiving federal funding. These initiatives aim to reduce reliance on diesel by incorporating Inuit knowledge into wildlife studies and supporting local labour and economic development. The Nunavut Nukkiksautiit Corporation is also exploring a 1 MW wind turbine project in Sanikiluaq, which includes battery storage and promises long-term employment opportunities while reducing fossil fuel dependency.
Hydroelectric and waterpower projects
Hydroelectric power is being developed to provide a more sustainable energy source. The Iqaluit Nukkiksautiit Project, supported by a $6 million federal investment, is exploring a 15-30 megawatt waterpower project near Iqaluit. This project aims to strengthen energy security, reduce reliance on diesel, and create job opportunities for Nunavummiut.
Federal and Inuit-led initiatives
The Canadian government has invested over $19 million in clean energy projects across Nunavut, including solar installations in Rankin Inlet and wind energy development in Baker Lake. These projects, led by Inuit organizations like Sakku Investments Corp., are crucial for transitioning to renewable energy and reducing diesel consumption in the territory.
Energy efficiency and community engagement
Nunavut’s Energy Management Program aims to improve energy efficiency in government-owned buildings by 20%, with pilot projects in Iqaluit serving as models for other communities. Programs like Save 10 encourage energy-efficient behaviour among residents, further reducing energy consumption and costs.


Essential minerals production and products in Nunavut
The journey of Canada's critical minerals
Canada's renewable energy progress hinges on crucial minerals like lithium, nickel and cobalt, PGMs, rare earths, and minor metals, essential for low carbon and future technologies supported by sustainable mining and innovation policies. This strategy underscores the importance of these minerals in achieving a future of sustainability and energy security. Discover how these critical minerals are pivotal to Canada's sustainable energy transition.


Meet the Critical Minerals team
Trusted advice from a dedicated team of experts.

Henk de Hoop
Chief Executive Officer

Beresford Clarke
Managing Director: Technical & Research

Jamie Underwood
Principal Consultant

Ismet Soyocak
ESG & Critical Minerals Lead

Rj Coetzee
Senior Market Analyst: Battery Materials and Technologies

Dr Sandeep Kaler
Market Strategy Analyst

How can we help you?
SFA (Oxford) provides bespoke, independent intelligence on the strategic metal markets, specifically tailored to your needs. To find out more about what we can offer you, please contact us.