24 October 2012

Muskrat Falls – The Importance of Transparency #nlpoli

Nalcor will install new generating capacity at Portland Creek in the mid-2030s despite having about 1200 gigawatt hours of  electricity available from Muskrat Falls.

In his latest assessment - Muskrat Falls – The Importance of Transparency [scribd pdf] -  JM concludes that Nalcor apparently plans to build Portland Creek  at additional cost to consumers in Newfoundland and Labrador in order to keep capacity available at Muskrat Falls to meet the commitment to Emera.

JM argues that Nalcor hasn’t adequately explained the anticipated shortfall of energy in the period leading up to 2041.  “The information presented to the PUB excluded both the Emera commitment and the integrated demand of Labrador mining. Both of these will potentially lead to energy shortfalls.”

He adds:

Nalcor need to be more forthcoming in answering this question [about the shortfall and how Nalcor plans to meet it]. There has to be a higher level of transparency on meeting this integrated demand to ensure that the Newfoundland rate payer will not be expected to subsidize Labrador Mining, or Nova Scotia ratepayers.