Tuesday, January 28, 2025

Province Announces ‘Pre-Development Work’ For Pumped Storage Proposal

The Ontario government announced last week that it is advancing pre-development work for the proposed hydro-electric pumped storage plant to be located on the grounds of the 4th Canadian Division Training Centre in the Municipality of Meaford.

With electricity demand set to increase by 75 per cent by 2050, our government is advancing an all-of-the-above approach to energy affordability and energy security,” said Stephen Lecce, Minister of Energy and Electrification, in a media release issued by the province on Friday. “The Ontario Pumped Storage Project has the potential to store and deliver clean, affordable energy for decades, representing Canada’s largest clean energy storage project. This project can only proceed following this work and the successful approval of Bruce’s expansion plans, as this storage is a critical part our larger energy build out. I look forward to working with the Saugeen Ojibway Nation, local municipal leaders and TC Energy to explore the next step to meet soaring electricity demand.”

The province says that it is investing up to $285 million to advance this work which includes the completion of a detailed cost estimate and environmental assessments to determine the feasibility of the proposed project. The province noted that it will make a final decision on the project only once “a detailed cost estimate is complete, ensuring the project is built only when it is in the best interest of Ontario ratepayers.”

Since the proposed facility first became public knowledge in 2019, local advocacy group Save Georgian Bay has been raising awareness locally, and expressing opposition to the proposal. The group has held a number of protest rallies and has collected thousands of signatures on petitions opposing the proposed facility.

The concerns of Save Georgian Bay and other opponents are many, ranging from fears that the facility would have negative impacts on the environment, including negatively impacting fish in the bay, to concerns that homeowners in close proximity to the site could be in danger of flooding should the reservoir fail. Many have also expressed concern about the cost of the more than $4 billion proposal, and whether pumped storage should be favoured over battery storage. Save Georgian Bay has said that their work over the past four years has highlighted roughly 30 federally protected species at risk on the project’s proposed site.

TC Energy, on the other hand, says the proposal is a green initiative that would consume inexpensive off-peak power at night to pump water from Georgian Bay into a 374-acre storage reservoir located 150 metres above the Georgian Bay shoreline on the military base. The reservoir, which would hold 20 million cubic metres of water, would be emptied back into Georgian Bay during peak usage periods, driving hydraulic turbines to generate electricity.

The province said in its media release that the Ontario Pumped Storage Project would compliment other actions that the government is taking to meet the rising demand for electricity, including working toward a new large scale nuclear station at Bruce Power.

The proposed project would also complement the government’s recent competitive procurement of battery storage, the largest in the country’s history. While batteries excel in providing quick-response solutions to manage short-term increases in electricity demand, pumped storage offers made-in-Ontario large-scale, long-duration storage capacity to balance the grid during extended periods of increased use,” the province said in its media release. “According to the Canadian Centre for Economic Analysis, a potential pumped storage project in Meaford would contribute $6.2 billion to Ontario’s GDP over an estimated 50-year project life, which includes design, construction and operation. The project’s economic impact would primarily benefit rural communities in Ontario, which would see about 60 per cent of the supported economic activity. The project would support more than 1,700 construction jobs during the four-year construction period.”

In February of 2023, in a 5-2 vote, Meaford’s council approved a motion offering conditional support for the project, subject to a number of conditions, including confirmation with TC Energy that the municipality will be compensated for all costs incurred related to the proposal, development of an agreement with TC Energy for short- and long-term community benefits, and subject to the approval of the proposed facility by all relevant jurisdictions, including environmental impact assessments and all other required regulatory approvals.

Environmental impact studies have yet to be undertaken, though TC Energy has noted that they are an important step in the process. A Federal Impact Assessment will be conducted by the Impact Assessment Agency of Canada, along with two provincial Class Environmental Assessments. All of the coming impact studies will include public input, and consultation with local Indigenous groups. The studies are expected to take roughly three years to complete.

Bruce-Grey-Owen Sound MPP Rick Byers expressed thanks to his government for continuing to explore and consider the proposal.

“As demand for energy increases, I want to thank Minister Lecce for his support and for advancing this project forward for further consideration. I also want to thank TC Energy and the Saugeen Ojibway Nation for their ongoing hard work and dedication, as we explore how this project could bring real benefits for local communities,” said Byers.

Ontario’s Minister of the Environment, Conservation, and Parks, Andrea Khanjin, suggested that supporting the development of clean energy systems is important to the government.

“Ontario has one of the cleanest electricity systems in the world,” said Andrea Khanjin, Minister of the Environment, Conservation, and Parks. “Supporting the development of clean energy solutions is one of the many ways our government is building strong, resilient communities for generations to come.”

The province also says that it is important to have diverse options available as demand for electricity continues to grow.

Initiating this type of early planning, similar to work underway at Ontario Power Generation sites in Port Hope, Haldimand County and St. Clair Township, ensures the province has a diverse set of options available to power the next major international investment, new homes being built in the province, and industries across the province as they grow and electrify,” said the province.

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