The average household in the Canadian Provinces spends 3.2% of their annual
after-tax income on home energy.
Energy poverty is considered any amount above 6%, and while no province has reached this rate on average, many regions within the provinces have, particularly in rural areas.
Energy burdens are influenced by household incomes, the amount of energy used, the type of energy used, and energy prices.
A higher after-tax household income means less share of wallet is spent on energy and lowers the energy burden.
The amount of energy used, which is much higher in colder climates, will increase the energy burden.
In most areas, natural gas is a more affordable energy used to heat a home. However natural gas is not available everywhere, especially in rural areas.
Energy prices have multiple factors including, fixed and variable costs, incentive programs, carbon prices, and taxes. Energy prices may be subsidized by provincial and municipal governments, and subsidies can often be hidden.
Detailed analysis of each province can be found below.