Manitoba Hydro has reported a net loss of C$446m for the financial year ending 31 March 2026, as severe drought reduced hydroelectric generation and forced the Canadian utility to import more electricity at higher market prices.
Its 75th Annual Report shows that 2025–26 was the fourth year of low water conditions in the past five years. The drought also reduced electricity export opportunities, contributing to a deterioration from the C$63m net loss recorded in 2024–25.
More than 97% of electricity generated in Manitoba comes from renewable hydroelectric resources, leaving generation exposed to prolonged periods of low water availability.
“While this year’s financial results were significantly affected by factors largely outside our control, we remained focused on ensuring reliable service for Manitobans and making prudent investments that will strengthen our energy system for decades to come,” said Hal Turner, Interim President and CEO of Manitoba Hydro.
The utility also incurred approximately C$52m in wildfire-related operating and capital costs during one of Manitoba’s most severe wildfire seasons on record.
Despite the financial pressures, Manitoba Hydro continued investing in its electricity system, including work to modernise the province’s high-voltage direct current transmission system. It also filed its 2025 Integrated Resource Plan and proposed development plan, setting out a long-term strategy to meet growing energy needs.
Manitoba Hydro plans to invest nearly C$17bn over the next decade to maintain, renew and expand generation, transmission and distribution infrastructure. The investment is intended to support future electricity demand, strengthen reliability and enable economic development across the province.
“Manitoba Hydro is facing many of the same pressures affecting utilities across North America, including aging infrastructure, climate-related impacts and the need to develop new energy resources,” said Turner. “The investments we’re making today are critical to maintaining reliability, supporting economic growth and ensuring Manitobans continue to benefit from some of the most affordable electricity rates on the continent.”
Other initiatives advanced during the year included plans to procure up to 600MW of Indigenous majority-owned wind generation, alongside advanced metering, demand-response technologies and grid modernisation programmes.
Manitoba Hydro reported domestic revenue of C$2.35bn, net export revenue of C$569m and total assets of C$33.1bn. It served more than 640,000 electricity customers across Manitoba.
The report also outlined continued work with Indigenous communities, including C$81.8m spent with Indigenous businesses during the year and progress on Indigenous-led energy development opportunities.
