Thursday, August 19, 2010

60 year Altagas agreement is rather unheard of

Myles Dougan is Vice-President in charge of communications at Altagas, speaking to the Forrest Kerr Run-of-River Hydro project that is proceeding in northern B.C. within the traditional territory of the Tahltan Nation. Dougan says, “This is a really good project that we are proceeding with, establishing long-term relationships with the Tahltan and BC Hydro.”
 
The project is signed with a 60-year agreement to sell power to BC Hydro, 195 MWh, enough to power 70,000 homes, “The 60-year agreement is rather unheard of,” says Dougan, “twenty, twenty-five are common, but 60 years is quite something.” The signings include transmission agreements. “That is the expectation.”
 
The project is under construction and initial clearing of the site is done, “and we are proceeding with the second half of initial construction. Everything is proceeding toward a completion date that will see power delivered to grid by 2014.

The Forrest Kerr Project will channel a portion of the Iskut River flow through a tunnel to an underground powerhouse, where it will pass through turbines to produce electricity before it is returned to the river. The Forrest Kerr Project was issued an environment assessment certificate in March 2010. Site development activities are currently underway and AltaGas anticipates initiating construction immediately.
 
"This project represents an exciting partnership for AltaGas with the Tahltan Nation and with the Government of British Columbia,” added Mr. Cornhill. “The Forrest Kerr Project will be a significant renewable energy asset, and is supported by 40 years of hydrology data and analysis.”

AltaGas and the Tahltan Nation have established a strong working relationship that will see the people of the Tahltan Nation having employment and business opportunities and economic participation in the Forrest Kerr Project.

 "The Tahltan Nation is proud of this Impact Benefit Agreement with Coast Mountain Hydro Corp. and the increased economic security that it will provide for generations to come,” said Annita McPhee, Chair, Tahltan Central Council. “This agreement establishes ownership, management of our resources and profit sharing while taking into consideration the protection of our environment as a renewable energy project. This IBA will set the bar for resource development projects and demonstrates the results of a successful relationship with a company in Tahltan Territory that respects our Aboriginal title and rights"

The Forrest Kerr construction site located in northwest British Columbia, about 100 km from Stewart, BC., AltaGas expects the Forrest Kerr Project to be the first of three run-of-river power generation projects in the area. The company continues development of its McLymont Creek and Volcano Creek projects.
 
“The Forrest Kerr Project represents an important evolution in AltaGas’ power business as we continue to build long-term contracted generation assets,” said David Cornhill, Chairman and Chief Executive Officer of AltaGas. “These projects will provide the people of British Columbia with clean and reliable power from a significant water resource. For our investors, this announcement comes at an important time in history as governments move to reduce emissions while building for the future.”

The Forrest Kerr Project is to be constructed wholly within Tahltan Nation traditional territory and is estimated to cost a total of approximately $700 million. Once completed, the project will offset more than 450,000 tonnes of greenhouse gas equivalents annually. The Forrest Kerr Project will deliver electricity to the terminus point of a 287-kV Northwest Transmission Line (NTL), near Bob Quinn, BC. (BC Hydro is developing the NTL.)

Meanwhile Altagas successfully completed of the Bear Mountain Wind Energy Project at Dawson Creek, B.C., after they began erecting wind turbines in May 2009. By July 2009, the first wind turbine was completed, and by October the construction of 34 wind turbines was completed, on budget and ahead of schedule. “So far the electrical generation is not quite as strong as we had hoped,” but time, and more wind, will tell the story.
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Location: British Columbia, Canada

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