N.B. Power, U.S. company pick Tantramar site for natural gas plant
N.B. Power has changed the location of a proposed natural gas plant it wants to see built in southeast New Brunswick, opting for a remote location in the Tantramar area instead of a site in Scoudouc.
The plant would begin operating in 2028 and would be able to generate 500 megawatts of electricity, most of it to meet growing demand caused by population growth.
It would also emit greenhouse gases, though N.B. Power said last year there would be a net reduction in emissions provincially because the new plant would provide backup generation for an increasing share of wind and solar energy on the grid.
"Today, for example, there's 400 megawatts of installed wind energy in New Brunswick and only about 40 megawatts is producing electricity," Brad Coady, N.B. Power's vice-president of business development, said in an interview.
"What we're looking for is nimble machines that can come on, come on quickly and only stay on as long as is needed to integrate that wind energy. It'll fill in the voids when the wind isn't there and the sun isn't there."
The plant would be built by Missouri-based ProEnergy and operated by its subsidiary, Rigs Energy Atlantic, which includes a minority equity investment from the North Shore Mi'kmaq Tribal Council made up of seven First Nations.
N.B. Power, U.S. builder pick Tantramar site for gas plant
5 minutes ago
John MacIsaac, who is heading the project for private developer ProEnergy Canada, said the plant will allow N.B. Power to reduce its overall greenhouse gas emissions by 250,000 tonnes a year.
The 20-hectare site is in Centre Village, along Route 940, within the municipality of Tantramar.
It's where the Maritimes and Northeast natural gas pipeline crosses paths with an N.B. Power transmission line.
The plant would draw gas from that pipeline to run 10 turbines that would generate power to sell on the grid under a 25-year purchase agreement.
The assessment submission says the Tantramar site was chosen after consultations with the Mi'kmaw council, which said there would be fewer environmental impacts than at the Scoudouc site.
If the plant is approved, preliminary work would start in early 2026, and it would be operating by the third quarter of 2028.
MacIsaac said his figure of a 250,000-tonne net reduction in N.B. Power's greenhouse gas emissions came from ProEnergy's discussions with the utility.
A utility spokesperson gave that figure last year and said the reduction would come from avoiding the use of coal at the Belledune generation station and fuel oil at Coleson Cove — both of which emit more carbon dioxide — to back up renewables.
But that calculation was based on what the spokesperson said would be 100,000 tonnes of greenhouse gas emissions from the gas plant itself in its first year of operation.
ProEnergy's assessment document says it would emit more than 910,000 tonnes.
Neither MacIsaac nor Coady were able to explain the difference in the two figures.
N.B. Power officials said in 2023 that they had come close to not being able to meet the demand for electricity in the province during a February cold snap.
Since then, the utility has faced lengthy shutdowns at two power plants and is now planning for the phaseout of coal from its Belledune generating station by 2030.
The application says the utility had calculated it would need more generation in the early 2030s but now believes it may require it by the winter of 2028.
Asking people to cut back on consumption wouldn't reduce demand enough, it says.
Coady said N.B. Power would use 400 megawatts from the plant, about 80 per cent of its capacity, and the additional 100 megawatts could be part of a future agreement to supply other provinces.
"There's potential there, there's opportunity there, and I'll say we're working on it."
The project will go through a federal environmental impact assessment. Provincially, the environment minister can waive the need for a separate process based on the recommendation of a technical review committee.
The plant will also use ultra-low sulphur diesel as a backup fuel.
It could eventually use hydrogen — a gas often touted as an even cleaner alternative — but the submission says it is "currently not technically or economically feasible."
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
CTV News
24 minutes ago
- CTV News
Two of Canada's most senior ministers head to Mexico to talk discuss trade
The flags of Mexico and Canada fly near the Ambassador Bridge, Monday, Feb. 3, 2025, in Detroit. (AP Photo/Paul Sancya) Two of Canada's most senior cabinet ministers will be in Mexico City this week holding bilateral meetings with government officials and the Mexican president, as Canada looks to improve its trading partnerships outside the United States. Senior government officials confirmed to CTV News that the meeting, which will involve Finance Minister Francois-Philippe Champagne and Foreign Affairs Minister Anita Anand, will take place Tuesday and Wednesday. The talks are expected to cover trade and the larger relationship between the two countries. That relationship suffered in the past year, when Ontario Premier Doug Ford called on Canada to seek a unilateral trade deal with the United States – without Mexico – and accused the country of undercutting North American manufacturers. Canadian business leaders say the upcoming talks show an effort to strengthen ties at a time when both countries are facing volatility from the United States. 'When we talk to Mexico, when we talk to their embassies in Canada, they are very eager to reset the relationship,' Catherine Fortin-LeFaivre, senior vice-president of International Policy and Global Partnerships at the Canadian Chamber of Commerce, said Sunday. While Canada faces new blanket 35 per cent tariffs on Canadian goods that aren't covered under the Canada-United States-Mexico Agreement, Mexico received a 90-day extension to continue trade talks with the U.S. before it sees blanket tariffs increase from 25 per cent to 35 per cent. Last month, Prime Minister Mark Carney and Mexican President Claudia Sheinbaum spoke over the phone, with the two leaders agreeing to improve trade collaboration between the two nations. Carlo Dade, director of international policy at the University of Calgary's School of Public Police, said Canada having open dialogue and strong ties with Mexico is 'a good sign.' 'If we weren't talking to Mexico, there would be reason to be concerned and worried,' Dade told CTV News. He added that Canada hasn't taken advantage of being in close proximity to a country like Mexico that has a higher per-capita GDP than China. 'The infrastructure is there, we have CPKC - Canada-Pacific Kansas City Railroad - so there's (an) integrated North American railroad,' Dade said. 'We have a trade agreement, we have decades of strong, strong, political and economic relations – the only missing factor has been a willingness of Canadian business to seize the opportunities. Mexico has been marked as a priority market to expand trade with by Export Development Canada. While it is already Canada's third-largest trading partner, with nearly $56 billion dollars in two-way merchandise crossing the border in 2024, it represented just over one per cent of Canadian exports that year. Fortin-LeFaivre says those relations will be crucial, particularly if the United States looks to move from a trilateral free trade agreement to two bilateral deals. 'It will be imperative that if that is happening that we have a very strong connection with Mexico directly, without the U.S. being there,' she said. Friday, Carney reiterated Canada's commitment to the CUSMA agreement while condemning Trump's recent tariff increase.
CBC
25 minutes ago
- CBC
Ontario's craft brewers, distillers rejoice at new alcohol tax cuts. But consumers may not see much in savings
Social Sharing Ontario craft brewers and distillers say they're sighing in relief after new provincial alcohol tax cuts came into effect on Aug. 1, reducing taxes and markups for spirits, ready-to-drink (RTD) beverages and local beer. The changes come as Premier Doug Ford's government works "to support a modernized and competitive alcohol marketplace," according to a notice from the province detailing the cuts. The tax relief is much-needed for local businesses surviving on tight margins, said Steve Himel, co-founder of Henderson Brewing Company in Toronto. "It makes such a huge difference," he said. "There's a lot more cost that goes into making craft beer and the last few years have been a challenge. So this tax cut is so well-timed. It really helps us to be competitive again." While Himel and other Ontario alcohol producers say the changes will help their businesses invest in future growth, he says the cuts might not result in price drops for consumers. "We have the opportunity to either choose to be more competitive or to reinvest in our business," Himel said, adding his business will likely do a combination of both. "It's a bit of wait-and-see." The province's tax cuts include the following changes: Spirits: basic tax reduced by half to 30.75 per cent Beer: basic tax rates reduced by half for Ontario microbreweries to 17.98 cents per litre for draft beer and to 19.88 cents per litre for non-draft beer LCBO basic markup rate for cider reduced to 32 per cent LCBO markup rates for wine and spirit-based RTDs with an alcohol content lower than 7.1 per cent will be reduced to 48 per cent WATCH | Ontario craft brewers urged the government last year to reduce alcohol taxes: Ontario craft brewers say they're struggling to keep up due to high taxes 10 months ago Ontario craft brewers say the provincial government needs to speed up its review of alcohol taxes as the retail market expands. The review started last year after the association representing craft brewers launched a campaign highlighting that Ontario has the highest craft beer taxes in Canada. Now, a new campaign called Save Local Craft Beer aims to keep the issue top of mind. Cuts will help offset tariff costs, says distillery owner The tax relief will likely help offset the tariff costs on aluminum cans that Reid's Distillery uses for spirit-based RTDs, says owner Graham Reid. He says while their RTDs have become 15 cents cheaper in-store and at LCBO locations, the business will not yet be reducing the price of its spirits. From a $50 bottle of gin, almost $38 went to taxes before the cuts, says Reid. He says the company would earn about $4 in profit after taking out costs for materials and labour. But now, Reid says the company plans to keep prices the same to increase their profit margins for further growth. "Previous to the tax cuts, it was more affordable to import your product than to produce it here in Ontario," said Reid. "That shouldn't be the way it is." The new cuts not only serve as a gentle reminder for Ontarians to buy local, he says, but have also started a conversation about how much local alcohol producers are being taxed. "There's a reason there's only a handful of distilleries still thriving here in Toronto and Ontario, and it is really tough," Reid said. The move to buy local and support Canadian businesses has been a tremendous shift for the industry and the tax cuts on top of that are "hugely beneficial" for Ontario producers, says Shehan De Silva, founder of Craft 360 Beverages. He says the cuts will help keep breweries across the province in business after a tough few years and allow them to review prices for consumers. "It was definitely a sigh of relief and after a lot of tough news over [the COVID-19 pandemic], this is definitely welcome," he said. "Certainly we're going in and reviewing all pricing now with full understanding of the impact of these changes." The cuts are "a game changer" and one of the biggest decisions to impact Ontario's craft beer industry in a generation, said Scott Simmons, president of the Ontario Craft Brewers, in a written statement. "[The] tax changes have put it on a path that will see breweries grow, create even more jobs, invest in their communities, and get more local beer on store shelves — I think that's something we can all cheers," he said.
CBC
an hour ago
- CBC
Champagne, Anand travelling to Mexico to strengthen Canada's trade ties
Social Sharing Finance Minister François-Philippe Champagne says he and Foreign Affairs Minister Anita Anand will travel to Mexico City to look at strengthening Canada's economic partnership with Mexico. "The meetings will be constructive in that respect — looking at markets, looking at diversification, looking at strengthening our partnership with our Mexican colleagues," Champagne told Radio-Canada in Trois-Rivières, Que., on Monday afternoon. The news was first reported Sunday evening by the Globe and Mail. Two senior Canadian government sources told CBC News the meetings will be Tuesday and Wednesday. The ministers are expected to return to Canada on Thursday. The sources say the goal of the visit is to advance Canada's bilateral relationship with Mexico and strengthen trade ties. Champagne and Anand are expected to meet with Mexican President Claudia Sheinbaum on Tuesday morning. Champagne said the visit "is all complementary to what we've been saying — that we need to engage with strategic partners around the world. And if you look at the [Canada-United States-Mexico Agreement] as a trading bloc, that's the second largest trading bloc in the world." "So it is important for us to engage with our Mexican friends," the finance minister added. One source told CBC that the trip "is all about relationship building," and the two ministers' expected meeting with Sheinbaum will lay the groundwork for a future bilateral meeting between the Mexican president and Prime Minister Mark Carney. Carney and Sheinbaum have spoken at least four times since the prime minister came into office. In June, the two met at the G7 Leaders' Summit in Alberta. A news release posted on Carney's website said he and Sheinbaum agreed to "deepen bilateral collaboration at the ministerial level" and they "looked forward to meeting again in Mexico in the coming months." Arturo Sarukhan, former ambassador of Mexico to the United States, told CBC News he thinks "it's high time that that co-ordination between the Mexican and Canadian governments kicks off in earnest." "There's really been very little engagement in terms of how we can both engage together vis-a-vis a common trade partner that is eviscerating all the rules of trade that have built this incredible success story of North American trade over the past three decades," Sarukhan said. Trump extends tariff deal with Mexico The Canadians' visit comes days after U.S. President Donald Trump announced he had agreed with Sheinbaum to extend an existing trade deal with Mexico for 90 days and continue talks over the period with a goal of signing a new deal. "Mexico will continue to pay a 25% Fentanyl Tariff, 25% Tariff on Cars, and 50% Tariff on Steel, Aluminum and Copper," Trump said in a Truth Social post. "Additionally, Mexico has agreed to immediately terminate its Non Tariff Trade Barriers, of which there were many." Canada did not get an extension. Trump signed an executive order raising tariffs on Canadian goods that are not compliant with CUSMA to 35 per cent. The carve-out for CUSMA-compliant goods means very few Canadian products will actually be subjected to the elevated tariff. The U.S. president criticized Canada's "lack of co-operation" in curbing the flow of fentanyl southward and for retaliating against his existing tariffs. Sarukhan said Sheinbuam has "avoided grandstanding from the presidential bully pulpit, engaging in the back and forth that Trump loves," but Mexico has also bent its knee to Trump. American officials have called out Canada and China as the only countries to retaliate against Trump's tariffs. On Sunday, Canada-U.S. Trade Minister Dominic LeBlanc said he expects Carney and Trump will have a conversation with each other "over the next couple of days." LeBlanc left Washington earlier this week without a trade deal, but told host Margaret Brennan, host of CBS's Face The Nation, that he came out of discussions "with a better understanding of the American concerns in the trading relationship.
