N.L. hydro project help questioned

subscribe

Members of a Senate committee are questioning a request from Atlantic Canada for a federal loan guarantee for the central Labrador Muskrat Falls hydroelectric project.

Newfoundland and Labrador and Nova Scotia have asked the federal government for a loan guarantee to help with the $6.2 billion project at Muskrat Falls.

At a federal Senate energy committee hearing in Halifax, B.C. Conservative MP Richard Neufeld said it would be "great" if the federal government would underwrite loans for electrical generation in all provinces.

"Why Nova Scotia doesn't underwrite the $6.2 billion project itself?" he asked.

Nova Scotia Premier Darrell Dexter responded that the borrowing rate for Ottawa is much lower than it would be for his province.

In November, N.L.'s Crown-owned Nalcor Energy and Nova Scotia's Emera Inc. agreed on a $6.2 billion plan to generate 824 megawatts of power at Muskrat Falls on Labrador's Churchill River.

According to the deal, electricity will be moved first to Newfoundland with much of it later relayed through Nova Scotia by underwater cables.

In February, Newfoundland and Labrador Premier Kathy Dunderdale said she expects an answer from Ottawa in March regarding the request for a loan guarantee.

The project to harness power from Muskrat Falls in Labrador was billed by former Newfoundland and Labrador premier Danny Williams as one of the last large green energy projects in North America.

Prime Minister Stephen Harper did not make any promises when he visited St. John's in February.

Related News

emobility adds to demand

Altmaier's new electricity forecast: the main driver is e-mobility

LONDON - Gross electricity consumption in Germany will increase from 595 terawatt hours (TWh) in 2018 to 658 TWh in 2030. That is an increase of eleven percent. This emerges from the detailed analysis of the development of electricity demand that the Federal Ministry of Economics (BMWi) published on Tuesday. The main driver of the increase is therefore the transport sector. According to the paper, increased electric mobility in particular contributes 68 TWh to the increase. Around 44 TWh of this should be for cars, 7 TWh for light commercial vehicles and 17 TWh for heavy trucks. If the electricity…

READ MORE

Told "no" 37 times, this Indigenous-owned company brought electricity to James Bay anyway

READ MORE

california exports

Blackout-Prone California Is Exporting Its Energy Policies To Western States, Electricity Will Become More Costly And Unreliable

READ MORE

jordan electricity

Jordan approves MOU to implement Jordan-Saudi Arabia electricity linkage

READ MORE

hydro one

Hydro One and Alectra announce major investments to strengthen electricity infrastructure and improve local reliability in the Hamilton area

READ MORE