Labrador power should stay in maritimes: activist

CAPE BRETON, NOVA SCOTIA - The Lower Churchill deal could pave the way to a greener Nova Scotia if Emera Inc. used the power in the province, rather than shipping it to other utilities, says a renewable energy producer.

Neal Livingston, owner of Black River Hydro Limited in Cape Breton, says five of the province's seven coal-fired plants could be shut down if the power from the Newfoundland and Labrador project stayed in Nova Scotia.

"It appears from the information that I've read that that isn't going to be the case, that probably what Emera's going to do is turn off one of the coal-fired power plants and that most of this power's going to be shipped to New England," he said.

Nova Scotia Power president Rob Bennett says the deal will allow the utility to move away from its dependence on coal and meet the province's targets for renewable energy, although he hasn't said whether any coal-fired plants will close.

Livingston, who operates hydro and wind energy projects, will be disappointed if the energy continues onward.

"Government could take the step and say, 'All of this power has to be used in Nova Scotia to turn off coal,' but government is not doing that."

The undersea transmission line that will carry the power to Nova Scotia will make land in Cape Breton, likely at Lingan, close to existing land transmission lines.

The exact location has not been determined, and will be subject to an environmental assessment review.

Nova Scotia Power says there will also be a substantial investment in a station that will convert the current from DC to AC power. The station will cost about $100-million to build.

Newfoundland and Labrador's Crown-owned energy corporation, Nalcor, and Emera have agreed on a term sheet to develop an 834-megawatt power plant at Muskrat Falls in central Labrador.

The deal will see Nalcor develop the hydro project and the companies will build subsea power lines from Labrador to Newfoundland. Emera would then pay the cost of building additional subsea power lines to Nova Scotia.