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

BCSS grads come home to celebrate 50 years

*Hairstyles and outfits may have changed since graduation

Boundary District Arts Council folds amid financial questions

The last board took over in November and could not find receipts for $8,000 in spending

Residents push Grand Forks council to support with flood buyouts

Staff estimate a $6.6 million difference between pre and post-flood value for Grand Forks buyouts

MP warns of scam after catching Facebook Messenger imposter account

Wayne Stetski issues warning about an imposter messenger account that is using his profile photo

Grand Forks mulls in-kind options to support flood buyout residents

$6.6 million difference between pre and post-flood value for Grand Forks buyouts

3 dead, 2 missing in northern B.C: Here’s what we know so far

Lucas Fowler, 23, and his girlfriend, Chynna Deese, were shot and killed on July 14 or 15

Horgan hints at Daylight Saving Time changes after record survey response

More than 223,000 online surveys were submitted in the government’s public consultation

Coroner investigating after body recovered from Okanagan Lake

Penticton fire department assisted the RCMP with the recovery of a body Saturday

Overdoses overwhelming in B.C. Interior

Part two: Who’s affected by the current opioid crisis

Kelowna cab driver charged with sexual assault

RCMP received a report May 28 alleging a taxi passenger had been sexually assaulted by a cab driver

Jurors talk about trial of U.S. man convicted in 1987 murders of B.C. couple

Three jurors offer a window into deliberations during the trial

Tubing world record broken on Vancouver Island

But record for length of tubes linked together still has to be confirmed

The Beaverton’s sharp satire thrives in polarized political climate

Canadian TV series’ third season to air Tuesday on CTV after “The Amazing Race Canada”

VIDEO: Young couple found dead in northern B.C. had been shot, police say

Chynna Noelle Deese of the U.S. and Lucas Robertson Fowler of Australia were found along Highway 97

Most Read