TORONTO — Evan Pivnick, associate director of public affairs at Clean Energy Canada, made the following statement in response to today’s announcement of a landmark electricity agreement between the federal government, Quebec, Hydro-Québec, Newfoundland and Labrador, and NL Hydro:
“Today’s announcement is an example of what’s possible when provincial and federal governments come together to advance the nation-building project that underpins all others: the build-out of Canada’s clean, affordable, and reliable electricity system. Coupled with infrastructure investments that will support the electrification of critical minerals mining, today’s announcement is a meaningful step towards positioning this country as a clean energy superpower.
“The federal government’s pledge to provide $10 billion in financing for upgrades to and the expansion of the Churchill Falls generating station, development of the Gull Island hydroelectric project, construction of transmission lines, and a 2,000 megawatt onshore wind energy project in Labrador are all key steps to help accelerate the build-out of clean power at low rates. Taken together, these projects will generate 14,000 MW of clean electricity, essentially tripling the existing capacity of Churchill Falls.
“The trilateral agreement between Quebec, Newfoundland and Labrador, and Ottawa will replace the contentious 1969 Churchill Falls agreement, a source of interprovincial tensions since it was first signed. Importantly, the agreement announced today ensures NL Hydro has more decision-making power over how electricity produced at the site will be used, while securing reliable and affordable power for Quebec at a highly competitive rate of 6 cents per kilowatt-hour. Critically, the agreement will also require Quebec and Newfoundland and Labrador to continue working together on implementation. This collaborative approach, focused on co-benefits, is essential to electricity planning between provinces.
“Labrador’s world-class mining industry will be one of the key beneficiaries of these investments, with projects in the Labrador Trough benefiting from federal support for new transmission lines, funding to support feasibility studies for the Kami iron ore, and transportation route development to connect graphite and critical minerals projects to the grid. With critical minerals poised to be the new oil in a world that is rapidly electrifying, these are investments into positioning Canada as the type of energy superpower that will last.
“In the context of continued global economic uncertainty, fraught international relationships, and a rapidly electrifying global economy, cooperation between provinces and the federal government can unlock generational opportunities to build new clean power that benefits both communities and industries.”
