The Montreal-born Peterson learned to play piano in childhood and by the 1940s was actively performing in Canadian big bands such as the Johnny Holmes Orchestra. A groundbreaking performance at New York's Carnegie Hall in 1949 brought Peterson's career to an international level.
"The world has lost the world's greatest jazz player," Hazel McCallion, mayor of Mississauga and Peterson's friend said on Monday afternoon.
Among many honours, he was appointed a Companion of the Order of Canada, the nation's highest civilian honour, in 1984. He also received seven Grammy Awards and in 1978 was inducted into the Canadian Music Hall of Fame.
"The minute we get to the sections where he's featured, I take no prisoners! I like to take liberties, and he's got to be right there to hear where I'm going. We still open doors in the improvisation for one another to develop."
He also loved the competitive nature of this kind of jazz and the unexpected pleasures that could emerge in live performances.
"There is always the chance for moments of great beauty to emerge," he said.
Among the dozens of awards and acknowledgments over the decades, Peterson racked up eight Grammy Awards, including for Lifetime Achievement in 1997, received an International Jazz Hall of Fame Award in the same year and was named a Companion of the Order of Canada, its highest level.
Story Revision: Typo fixed; Petersen -> Peterson