B.C. pulls plug on power projects

BC Hydro has cancelled or deferred four electricity purchase contracts with independent power producers, and the total may reach 20

Wind turbine components await construction at independent power project near Chetwynd in 2008. High construction costs stalled B.C.'s first commercial wind energy project

BC Hydro has cancelled or deferred four electricity purchase contracts with independent power producers, and the total may reach 20 by the time a review of projects is complete, Energy Minister Bill Bennett said Thursday.

Bennett said the review is part of a broader effort by BC Hydro to meet his instruction to “spend less money,” as he leads an effort to reduce costs across all government operations.

BC Hydro proposed the move, identifying the 20 project proponents that were not meeting their contract obligations due to financing, regulatory or other problems. That non-performance gives BC Hydro legal authority to delay or terminate contracts.

The utility has contracts with 81 operating projects, mostly run-of-river hydroelectric, and another 47 are under construction or seeking permits after receiving purchase contracts.

BC Hydro released its latest draft resource plan last week, which estimates the province has enough electricity supply to meet growing demand for the next 10 years. Bennett said he is skeptical about that forecast, with population growth and industrial demand from new mines and natural gas development in northern B.C., but it gives the utility some breathing room.

“I’m a real fan of the clean energy industry, but obviously we don’t want to be agreeing to buy more power than what we need,” Bennett said.

BC Hydro has been criticized in recent years for running up billions in deferred debt, as it completes major expansion and seismic upgrading of its network of dams. A new power line to northeast B.C. has run over budget, and the NDP opposition has accused the government of forcing BC Hydro to buy private power at inflated rates through contracts running as long as 40 years.

Bennett said he has asked for a detailed analysis of the cost of private power compared to new sources such as the proposed Site C dam on the Peace River or adding turbines to BC Hydro dams on the Columbia River.

B.C.’s Clean Energy Act requires BC Hydro to be self-sufficient in electricity by 2016, based on an average rainfall year to replenish its hydro dams. The requirement is to minimize the import of power generated by burning coal or natural gas.

Just Posted

Nanaimo-Ladysmith MP files ‘historic appeal’ to save proposed legislation

Nanaimo-Ladysmith MP Sheila Malcolmson filed a “historic appeal” on Thursday to have… Continue reading

Chemainus Secondary’s Janet Ruest receives excellence award from Governor General

Chemainus Secondary School teacher Janet Ruest was recognized in Ottawa on Wednesday.

VIU nursing students conduct survey on Ladysmith early years programming

Fourth year nursing students at Vancouver Island University have teamed up with… Continue reading

Nanaimo-Ladysmith MP seeks secret ballot to save abandoned vessels bill

Nanaimo-Ladysmith MP Sheila Malcolmson is seeking a secret ballot to save her private member’s bill.

Founder Smith’s vision will live on through the Chemainus Theatre Festival

Death of Ken Smith brings much reflection from a grateful community

UPDATE: More searchers out looking for missing senior near Nanaimo

Search and rescue personnel from all over the Island are looking for 73-year-old Faye Hanson

An adopted cat is the best 10 pounds you’ll gain this season

BC SPCA encouraging families to add a forever feline friend during adoption event Nov. 24 to Dec. 3

Uber official says public needs to push for ridesharing in B.C.

Mike van Hemmen tells Kelowna Chamber of commerce ridesharing would be ‘win-win-win’

15 arrested as Duncan police raid yields drugs, stolen property

Arrests made, drugs and stolen property seized

B.C. co-ops relieved with Ottawa’s housing strategy

Federal government to have a new co-operative housing funding model in place by 2020

Mounties dismantle counterfeiters ring with raid in Maple Bay Thursday

Counterfeiting paraphernalia found along with firearms, stolen property as police swept in Nov. 23

B.C. NDP referendum plan sparks legislature battle

David Eby says public will decide on proportional referendum

Hammy has been freed of his threads, a purple antler remains

The iconic Prince Rupert buck with a piece of hammock attached to his antlers was caught by COs

RCMP searching for missing Cowichan Bay boater, Daniel Borthwick

His Zodiac has been found but he has not, so far.

Most Read