Ensuring Access to Affordable, Reliable and Clean Electricity in New Brunswick

December 8, 2024

Today, the Government of Canada and the Province of New Brunswick met to advance our collaboration on building out affordable, reliable and clean power for New Brunswick.

Growing Canada’s clean electricity system is a historic economic opportunity, and an imperative in order to fight climate change. We must come together to tackle this goal in a manner that ensures affordability and reliability for households, businesses, and institutions.

In the private sector, clean electricity is increasingly underpinning economic competitiveness, including in biomass, onshore wind, nuclear and the emerging and growing industries of hydrogen, and critical minerals. The economy is also rapidly electrifying as consumers adopt heat pumps and purchase electric vehicles.

The Governments of Canada and New Brunswick have been working to identify necessary key investments in priority projects to support the phase-out of coal-fired electricity by 2030 and the transition to a non-emitting grid for the future.  Together, we agreed to continue to collaborate and take action to grow and decarbonize the electricity grid, building on electricity advantages established by previous generations of New Brunswickers.  This collaboration is informed by a partnership approach focused on outcomes, and guided by respect for provincial and territorial jurisdiction over electricity planning and operations, with the federal government acting to represent national interests, including enacting regulations to reduce electricity sector emissions.  Joint work has led to concrete results already, including the establishment of transformational enabling conditions and investments in critical areas outlined in this statement.

Today, the Government of New Brunswick and the Government of Canada are announcing that they have reached a common understanding on the Clean Electricity Regulations and that the forthcoming Clean Electricity Regulations provide the flexibilities needed to enable New Brunswick’s electricity system to grow and decarbonize all while ensuring it will be affordable, reliable and non-emitting. These flexibilities would be available to all provinces and territories.

Advancing Indigenous economic reconciliation and increasing clean electricity supply

The Government of Canada and the Canada Infrastructure Bank (CIB) announce up to $1 billion in federal support for up to 670 megawatts of Indigenous-led wind projects through the CIB’s Clean Power priority sector and Indigenous Equity Initiative and Natural Resources Canada’s Smart Renewables and Electrification Pathways Program.  These could also benefit from significant additional federal support through the Clean Technology and Clean Electricity Investment Tax Credits.  These projects were identified as part of NB Power’s Request for Expression of Interest launched in 2023.  These Indigenous-led projects will provide emissions-free and affordable power for New Brunswick households and businesses.  

In addition to the projects identified above, the Government of Canada, through Natural Resources Canada’s Smart Renewables and Electrification Pathways Program, is contributing $25 million to the 25-megawatt Neweg Energy wind project, a partnership with the New Brunswick Mi’kmaq First Nations. The Program is also contributing $500 thousand to the North Shore Mi'kmaq Tribal Council to provide seven Mi’kmaq Nations in New Brunswick resources and technical support and enable direct participation in clean energy opportunities.

Transitioning off coal towards a non-emitting grid

Natural Resources Canada is committed to working with the Government of New Brunswick and NB Power to support the conversion of the Belledune Generating Station from coal fired to biomass through the Smart Renewables and Electrification Pathways Program. This is in addition to the $1.6 million from Atlantic Canada Opportunities Agency (ACOA) to investigate the conversion through engineering and planning studies. 

Building a world-class nuclear industry

The Government of Canada, through the Electricity Predevelopment Program, is providing $25 million to NB Power for up to 600 megawatts of new small modular reactor (SMR) capacity at the Point Lepreau Nuclear Generation Station. This funding, is in addition to the $2.1 million recently announced for the North Shore Mi’kmaq Tribal Council in Eel Ground, to study and develop robust supply chains for SMRs and $1.1 million to Opportunities New Brunswick to develop a research and development life-cycle framework and roadmap for modularized SMR technology.

Supporting regional transmission and increasing system flexibility

Natural Resources Canada’s Electricity Predevelopment program is providing $1.3 million to NB Power for predevelopment work on the reliability inter-tie between New Brunswick and Nova Scotia, as the first phase of a modified Atlantic Loop.  This funding is in addition to $10.6 million provided to NB Power from the Strategic Interties Predevelopment Program.

In today’s announcement, Canada is providing up to $1.05 billion in new federal support to support New Brunswick’s priorities.  Canada works best when Canadians work together. Today’s steps are great examples of how different levels of government can come together and achieve big things. Canada and New Brunswick recognize the reality of climate change and the two governments agree that an economic plan that is focused on clean energy represents an enormous opportunity for New Brunswick and for Canada. By continuing to expand and decarbonize electricity systems, we will not only drive unprecedented growth and create good jobs, but we will also help to lower energy costs, reduce energy poverty and ensure a more equitable energy future.

The Honourable Dominic LeBlanc, Minister of Public Safety, Democratic Institutions and Intergovernmental Affairs

The Honourable Steven Guilbeault, Minister of Environment and Climate Change

The Honourable Jonathan Wilkinson Minister of Energy and Natural Resources

The Honourable Sean Fraser, Minister of Housing, Infrastructure and Communities

The Honourable Susan Holt, Premier of New Brunswick

The Honourable René Legacy Deputy Premier of New Brunswick, Minister of Finance and Treasury Board, Minister responsible for Energy, Minister Responsible for the Right to Information and Protection of Privacy Act