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Overhead transmission lines will link Nova Scotia and New Brunswick through a second energy connection. (CNW Group/Canada Infrastructure Bank)
A new power transmission line linking Nova Scotia and New Brunswick is a step closer to getting built thanks to $217 million in equity financing from the Canada Infrastructure Bank (CIB). The project, which aims to improve the reliability of interprovincial power grids and support the expansion of renewable energy production, is expected to create 587 jobs at peak of construction and $105 million in GDP.
The CIB investment will help Nova Scotia construct the 160-kilometre, 345-kilovolt transmission line parallel to the existing connection from Onslow, N.S., to Salisbury, N.B. Additionally, the CIB is working with Wskijinu’k Mtmo’taqnuow Agency Ltd. (WMA), the economic development partnership owned by the 13 Mi’kmaw First Nations in Nova Scotia, to complete a complementary equity loan. WMA was established to enhance participation in activities that will create economic benefits for the communities. The loan will enable WMA to acquire an ownership stake in the project, utilizing the CIB’s Indigenous Equity Initiative.
“The Wasoqonatl project is an important investment towards critical electricity infrastructure in Atlantic Canada,” stated Ehren Cory, CEO, Canada Infrastructure Bank. “The high-power transmission line will help Nova Scotia and New Brunswick develop enhanced grid connectivity while minimizing costs for ratepayers. By deploying our first equity transaction, the CIB is advancing an impactful project which had faced affordability challenges while creating new jobs and economic opportunities.”
The CIB’s low-cost equity is expected to save Nova Scotia electricity ratepayers approximately $200 million. A filing to the Nova Scotia Utility Review Board is expected in early April. Construction is expected to be completed in Fall 2028.
The project, to be named Wasoqonatl, will be owned by a limited partnership between Nova Scotia Power Inc. (NSPI) and the CIB, through a regulated utility corporation.
The new regulated utility corporation will be responsible for building, owning and operating the Nova Scotia section of the transmission line, and will be funding the section located in New Brunswick. New Brunswick Power will build, own and operate the New Brunswick section of the project.
“We are committed to working with partners to advance priority projects to the benefit of all parties,” said René Legacy, deputy premier and minister responsible for energy in the New Brunswick government. “This project is an example of our commitment to working with our neighbouring provinces to build critical infrastructure that will provide greater reliability and energy security, ultimately benefitting customers in both provinces.”