South Winnipeg neighbourhood will be first to go geothermal

A new neighbourhood in south Winnipeg will be Manitoba’s first to use a shared, large-scale geothermal system to heat and cool hundreds of homes over coming decades.

The province is giving up to $4 million to the developers of Southwood Circle, just north of the University of Manitoba’s Fort Garry campus, for a district geothermal system as part of the NDP’s goal to reach net-zero greenhouse gas emissions by 2050.

“It means a whole neighbourhood can tap into geothermal, which means low-carbon heating and cooling for at least 1,000 homes,” Premier Wab Kinew said at a news conference Wednesday.

Geothermal systems, equipped with pumps and pipes, use underground temperatures to heat and cool one or more buildings. Proponents point to long-term energy and cost savings compared with conventional heating and cooling systems.

Canadian Mennonite University’s campus and the Seasons of Tuxedo shopping complex in Winnipeg, and Île-des-Chênes’ arena, community centre and fire hall are examples of existing district systems in Manitoba.

Funding for Southwood Circle’s system is one of first steps in the government’s three-year, 90-action plan toward its net-zero goal. The province is forecasting more than $350 million in spending to cut carbon emissions.

Published Wednesday, the plan includes interim greenhouse gas emission targets, which Environment and Climate Change Minister Mike Moyes said will be released this fall, and more than $55 million in grants for businesses and industry, First Nations, farmers and others to reduce emissions.

The plan will extend the electric vehicle rebate program, add EV charging stations, develop options for a carbon offset and credit protocol, and commit almost $5 million to plant one million trees annually through 2030, the government said.

At an estimated cost of $6 billion and footprint of 112 acres, Southwood Circle is Winnipeg’s largest residential mixed-use infill project. It is expected to be home to about 20,000 people when completed in more than 20 years.

The first residents are expected to move into their homes in 2028. The neighbourhood will feature medium- to high-rise condo and apartment buildings, townhouses and businesses.

Formerly occupied by Southwood Golf and Country Club, the land is owned by the U of M and leased to master developer UM Properties GP Inc., which Moyes said will own the district geothermal system.

He said the system will prevent 400 to 1,600 tons of greenhouse gas emissions per year, lowering the impact on Manitoba’s electricity grid.

“This is the first district geothermal model being used for residential. I think that is ‘monumentous,’” Moyes said. “We are showing this can be the way forward. Before you can (determine), ‘This is going to go across the whole sector,’ we need to demonstrate a proof of concept, and that’s exactly what this is going to do.”

James Wilt, a policy development manager with Climate Action Team Manitoba, welcomed the announcement.

“This is something climate and energy advocates in Manitoba have been pushing for for years, if not longer, and ground-source heat pumps in general are a well proven technology,” he said. “This is a really positive direction, and it’s something we want to see a lot more of.

“It has to be done well, and it has to be planned and installed properly, but I think industry and government is up to that challenge, and they’ve proven it can be done.”

District geothermal heating has greater efficiencies when a diverse mix of buildings, including non-residential, are connected, Wilt said.

Prior to the provincial government’s news conference, Mayor Scott Gillingham told the Free Press he’s very supportive, in principle, of the concept of using geothermal energy to heat and cool buildings.

— With files from Joyanne Pursaga

chris.kitching@freepress.mb.ca