Prime Minister Stephen Harper today toured Yukon's Mayo B hydro generation facility. This important source of renewable hydro-electric power for Canada's North is undergoing a major enhancement and upgrade as part of Canada's Economic Action Plan.
“The Mayo B facility is a perfect example of how Canada is well positioned to be a clean energy superpower for decades to come,” said the Prime Minister, who was joined by Yukon Premier Dennis Fentie. “By investing in upgrades to this hydro plant today, we are creating jobs, protecting the environment and ensuring a more reliable supply of electricity for families and businesses in Canada's North.”
Upgrades to the Mayo facility will include building a new powerhouse downstream from the existing one. The project also includes construction of Phase 2 of the Carmacks-Stewart transmission line which will complete the connection of Yukon's two grid systems.
Thanks to these upgrades, the Mayo B facility is expected to double its production of renewable power. This will reduce Yukon's dependency on diesel fuel for electricity and cut green house gas emissions by 50 per cent from current levels.
Federal funding will be provided through the $1 billion Green Infrastructure Fund contained in Canada's Economic Action Plan. The Fund supports sustainable energy generation and transmission, along with municipal wastewater and solid waste management infrastructure. The Government is working with provinces, territories and other stakeholders to identify and approve more projects under this Fund.
MAYO B HYDRO FACILITY AND CARMACKS-STEWART TRANSMISSION LINEABOUT THE PROJECT
The governments of Canada and Yukon are working together to support a green infrastructure project in the Yukon, including upgrades to the Mayo B hydro generation facility and further development of the Carmacks-Stewart transmission line. This project has been selected for funding under the new federal Green Infrastructure Fund.
The upgrades to the Mayo hydro facility will involve building a new powerhouse (Mayo B) downstream from the existing one. The Mayo B component will increase clean energy generation capacity at the site by an additional 5 to 6 MW. The increase in capacity at Mayo is made possible by building the new powerhouse in a location that doubles the elevation drop from Wareham Lake. This doubles the energy that can be obtained from the water flowing through its turbines, without any new dams, reservoirs or new flooding.
Phase 2 work on the Carmacks-Stewart transmission line will extend the line from Pelly Crossing to Stewart Crossing, completing the connection of the Whitehorse-Ajax-Farrow and Mayo-Dawson grids. The total cost for this project is estimated at $160 million, as identified by the Territory. This project is estimated to be ready for construction in 2009 and to be completed by 2013.
$20 million of diesel will be needed annually by 2012 to meet projected demand, releasing 50,000 tonnes of greenhouse gases. It is expected that the project will reduce forecast diesel generation in 2012 by over 40%. This will reduce greenhouse gases from energy production by 50% from current levels.
The Government of Canada has approved funding of up to 50% of the eligible costs for upgrades to the Mayo Dam and Stage 2 of the Carmacks-Stewart transmission line, to a maximum federal contribution of $71 million.
ABOUT THE GREEN INFRASTRUCTURE FUND
Through Canada's Economic Action Plan, the federal government is providing $1 billion over five years for a Green Infrastructure Fund (GIF). The Fund supports sustainable energy generation and transmission, along with municipal wastewater and solid waste management infrastructure. Targeted investments in green infrastructure can improve the quality of the environment and will lead to a more sustainable economy over the longer term.
About the Program
The fund focuses on green priorities including clean energy generation and transmission infrastructure, building and upgrading wastewater treatment systems, and improving solid waste management. Sustainable energy infrastructure, such as modern energy transmission lines, contributes to improved air quality and lower carbon emissions.
Eligible projects are those that promote cleaner air, reduced greenhouse gas emissions, and cleaner water and fall within any of the following categories: wastewater infrastructure; green energy generation infrastructure; green energy transmission infrastructure and solid waste infrastructure, and carbon transmission and storage infrastructure.
How it Works
The new $1 billion Green Infrastructure Fund will be allocated based on merit to support green infrastructure projects on a cost-shared basis. The fund will focus on a few, large scale, strategic infrastructure projects. The merit of the projects will be based on assessment criteria such as eligibility, leveraging financial investments and project benefits.
Proponents can summarize their project in a letter. If there is interest, proponents will be invited to submit a more detailed proposal that describes the project and its components, cost estimates, expected results and benefits. For all projects selected for funding, eligible recipients will enter into contribution agreements with Canada. These agreements will outline eligible and ineligible costs as well as federal cost sharing and limits.
Who is Eligible?
Eligible recipients include provinces, territories, local or regional governments; public sector bodies, non-profit organizations and private companies, either alone or in partnership with a province, territory or a government.
