B.C. Energy Minister Bill Bennett hasn't made up his mind on whether to recommend construction of the proposed Site C dam to his cabinet colleagues.
In a media conference call Thursday afternoon, following the public release of the Canadian Environmental Assessment Agency's report on the proposed project, Bennett said the decision on the proposed $7.9 billion project will have consequences for B.C. for generations.
"I'm actually right square in the middle. I quite purposefully have not formed a decision," Bennett said. "It certainly has some real advantages, but I want to see what the two environmental agencies have to say."
Bennett said the B.C. Environmental Assessment Office and federal Ministry of Environment will likely take the next six months to examine the project before deciding on whether to give environmental approval to the dam. If the project gets the environmental go-ahead, Bennett said he will take a recommendation to his cabinet colleagues on whether to fund the project.
Bennett said he would like to have a recommendation before the Legislature this fall.
While the Canadian Environmental Assessment Agency's joint review panel report was, "in our view, mostly positive," Bennett said, it did raise concerns about the environmental impact and impact on traditional First Nations use of the area.
Bennett disagreed with the the panel's finding that the power form the dam wouldn't be fully used by B.C. until 2028 - saying B.C. Hydro's estimate of 2024 is more accurate once development of liquefied natural gas (LNG) export terminals in the province is taken into consideration.
There are currently 13 LNG plants proposed in B.C. and six proposed LNG pipelines.
"I think this is an important point: when WAC Bennett was building the dams on the Columbia and Peace [rivers] in the 1960s, there was a lot of naysayers who said we don't need the electricity," Bennett said. "That low-price electricity has built our economy and given us a competitive edge globally."
Bennett said he's very confident in B.C. Hydro's proposed budget for the dam. The budget was independently audited by accounting firm KPMG and significant margins have been allowed for inflation and cost overruns, he said.
"This project has been poked and prodded and reviewed for 35 years," he said.
LOCAL OPPORTUNITY
Initiatives Prince George CEO Heather Oland said while it's still too early to assume the project will go ahead, if it does it will have a significant local economic impact.
"Like any major project... from a procurement and supply chain perspective it's an incredible opportunity for Prince George in terms of business growth and development," Oland said. "At the same time we're fully respectful and supportive of the work that has to be done [to conduct the environmental assessment of the dam]."
During the joint panel review process, Initiatives Prince George wrote a letter to the panel in support of the project.
ALTERNATIVES
Clean Energy B.C. executive director Paul Kariya said large store-style hydro dams do have a role to play in developing clean energy, but alternatives like wind power and smaller, run-of-river hydro dams should also be considered.
Clean Energy B.C. represents independent power producers in the province.
"This may be a necessary and good project for us, but there are alternatives," Kariya said. "The fact we have so much [hydro power] means we can have more intermittent sources like wind. We have the best of both worlds."
If the LNG industry takes off as much as the provincial government is predicating B.C. might end up needing all the power Site C can offer, plus additional smaller intermittent projects, he said.
"We have some of the best wind resources in North America in the Peace River area..." Kariya said.
