NOVA SCOTIA — The Canada Infrastructure Bank (CIB) has closed $217 million in equity financing to enable a new transmission line linking Nova Scotia (NS) and New Brunswick (NB) which will improve the reliability of interprovincial power grids and support the expansion of renewable energy production.
The CIB investment will help Nova Scotia construct the 160-kilometre, 345-kilovolt transmission line parallel to the existing connection from Onslow, NS, to Salisbury, NB.
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 complimentary 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.
Nova Scotia is one of eastern Canada’s Maritime provinces on the Atlantic. Consisting of a peninsula and offshore islands, it’s home to puffins and seals, and popular for water sports like kayaking.
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.
Construction of the transmission line is expected to support approximately 587 direct and indirect jobs, generate $105 million in GDP and will serve as an example of interprovincial collaboration.
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. Wasoqonatl, pronounced wa•so•hgo•na•dêl, means “illuminate” or “keep light on” in Miꞌkmawiꞌsimk (the Mi’kmaw language).
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.
Interprovincial energy infrastructure improves trade of electricity, helps Canada’s grid be more resilient and strengthens energy security and affordability for Canadians.
To date, the CIB has committed $743 million towards five energy projects in Atlantic Canada, including three wind farms, energy storage infrastructure and this essential transmission intertie. This is the CIB’s first project equity investment.
The CIB’s Clean Power sector, which has a target of at least $10 billion in investments, is dedicated to addressing financing gaps in new projects such as renewables, transmission, district energy systems and energy storage.
Natural Resources Canada is also announcing funding through its Electricity Predevelopment Program.
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