Federal government provides $270 million for N.B. Power projects

The federal government is providing almost $270 million dollars for two Envi Power projects, including the restoration of the Mactuac Dam. Federal Energy and Natural Resources Minister Tim Hodgson announced a $219 million dollar loan from the Canada Infrastructure Bank to pay for the planning stages of the Mactuac Life Achievement Project. The project will make upgrades to the dam, including deteriorating concrete, and right now is estimated to cost around $9 billion. It is to help support and partly offset some of the costs related to the engineering work that's required, the planning work that's required to getting to the final investment decisions. Hodgson said $50 million of the funding is a grant from Natural Resources Canada. It will help fund the static synchronous compensator project at NB Power's Salisbury terminal. That project will help improve voltage support and cost around $130 million. The Salisbury Terminal is key to managing the flow of electricity across New Brunswick's grid, and these upgrades will keep electricity flowing safely and reliably, even when demand is high. They will help connect new renewable energy projects to the province's grid, and they will allow the grid to handle more people and business as New Brunswick grows. The Mactuac Dam Life Achievement Project was pitched to investors at the Canadian Investment Summit in September, and there was some interest. We continue to look for investors for the Mactuac project. We do believe that there is an opportunity for a private sector to be involved in this project. I think one of the things that's really important is we need to be sure that it is resulting in either some risk reduction or some overall cost reduction for New Brunswickers. The Mactuac project already has its environmental impact assessment approved by the province. According to NB Power, financial and regulatory approvals should be done in 2027.