Sectoral study Economy

Quebec’s renewable natural gas production industry: Economic impacts expected by 2030

Renewable natural gas (RNG) has the technical-economic potential (TEP) to account for two thirds of Quebec’s total natural gas production in 2030 (WSP and Deloitte 2018). In 2018, a regulation respecting the quantity of RNG to be delivered by a natural gas distributor required that the minimum quantity distributed in 2025 be 5%. Achieving these targets requires accelerating the development of RNG projects in Quebec. It is in this context that Aviseo Consulting examined the economic benefits of such a scenario and the role of RNG in Quebec’s circular economy and analyzed its structuring effects, particularly for municipalities, agricultural and forestry businesses, and consumers. This energy transition would have the beneficial effect of diversifying sources of revenue in the forestry, agricultural, and municipal sectors. RNG production fits perfectly into Quebec’s circular economy—by reusing organic matter in the production of additional RNG, landfill waste, and energy imports are reduced, and consumers are made aware of their involvement in waste sorting.

Énergir - La filière de production de gaz naturel renouvelable au Québec

Key figures

  • The technical-economic potential for RNG production by 2030 is equivalent to 3.9 billion m3 (144.3 million GJ) or nearly two thirds of the volume of natural gas currently distributed in Quebec.
  • Using these amounts would eliminate 7.2 million tonnes of greenhouse gas (GHG) emissions annually.
  • This would generate significant investments totalling nearly $20 billion during the construction period.
  • These investments would contribute $7.9 billion to Quebec’s GDP while operating expenses would contribute $1.6 billion per year across all regions of Quebec.
  • RNG production would support 88,000 jobs during the infrastructure construction period and 15,000 jobs per year.
  • After the construction period, operating expenditures would provide tax revenues of $256 million per year for both governments.
Please note this publication is only issued in French.

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