B.C. powering southern Interior growth with clean, affordable electricity
BC Hydro will invest nearly $6 billion in capital projects across B.C.’s southern Interior over the next decade to expand the electricity grid, and upgrade its infrastructure to ensure a continued, reliable supply of clean power across the region.
“We must build out B.C.’s electrical system like never before to power our homes and businesses, to power a growing economy and to power our future,” said Josie Osborne, Minister of Energy, Mines and Low Carbon Innovation. “Throughout the southern Interior and in communities across B.C., these construction projects will create thousands of good jobs over the next decade and ensure that people have access to clean, affordable and reliable electricity, when they need it and where they need it.”
In January, the Province announced BC Hydro’s updated 10-Year Capital Plan, which contains $36 billion in regional and community infrastructure investments throughout B.C. – a 50% increase in investments over its previous capital plan. These new construction projects are forecasted to support 10,500 to 12,500 jobs on average annually, and will increase and maintain BC Hydro’s capital investments as major projects like Site C are completed.
The plan reflects growing demand for electricity across sectors due to population growth and housing construction, increased industrial development, and people and businesses switching from fossil fuels to clean electricity, among other factors.
“In regions like the southern Interior, we are investing billions of dollars to significantly upgrade our generating facilities and transmission lines to improve dam safety, replace aging or end-of-life equipment and reduce the risk of extended outages due to wildfires,” said Chris O’Riley, president and CEO, BC Hydro. “These investments, along with upgrades to our substations, and underground and overhead distribution infrastructure, will ensure BC Hydro can continue to provide clean, reliable and affordable electricity British Columbians rely on.”
The southern Interior is experiencing growth in communities like Kamloops, West Kelowna, Lillooet, 100 Mile House, Vernon, and Lake Country, among others. To meet these growing energy needs, $5 billion is being invested in BC Hydro’s generating facilities:
- About $1.2 billion will go toward improvements to the La Joie dam facility on the Bridge River to address aging infrastructure and seismic vulnerabilities at the site.
- Approximately $3.8 billion in investments is for dam safety, equipment refurbishments, replacements and improvements to maintain continued reliable operation at facilities on the Bridge River system (Bridge River 1 and 2, Seton, Terzaghi, Lajoie), and on the Columbia system (Revelstoke, Mica, Kootenay Canal, Duncan, Seven Mile, Hugh Keenleyside).
Additionally, about $450 million has been earmarked for crucial transmission capacity upgrades, including:
- the West Kelowna Transmission and Westbank Upgrade project, which includes adding capacity at Westbank station to serve up to 26,000 more homes, as well as a new transmission connection to provide redundancy to the area, which is currently served by a single transmission line;
- upgrades to support electrification at the Highland Valley Copper mine near Kamloops; and
- Bridge River project, which proposes to raise the height of structures on transmission lines between Bridge River Terminal station and Kelly Lake substation.
BC Hydro is also investing in new distribution infrastructure to serve more than 15,000 new homes in Kamloops and West Kelowna.
Approximately $275 million will be invested in substations to:
- replace end-of-life equipment at Natal substation to maintain reliable supply of energy in the area;
- replace aging infrastructure, such as reactors and switchyard equipment; and
- upgrade station fire protection and telecommunication systems.
BC Hydro’s 10-Year Capital Plan is a key part of Powering Our Future: BC’s Clean Energy Strategy. The strategy focuses on building an economy powered by clean energy, creating new jobs and opportunities, and keeping electricity affordable.
BC Hydro also recently launched a call for power to acquire approximately 3,000 gigawatt hours per year (GWh/y) of clean electricity. This is BC Hydro’s first competitive call for power in more than 15 years. It will add 5% to its current supply, and will be the first in a series of calls for power as BC Hydro requires more power to electrify B.C.’s growing economy and reduce harmful pollution.
Quotes:
Harwinder Sandhu, MLA for Vernon-Monashee –
“This significant investment by BC Hydro is crucial for the southern Interior. As our region continues to grow rapidly, these upgrades and expansions will ensure that our residents and businesses have access to reliable and clean electricity. This not only supports our economic development, but also aligns with our commitment to a sustainable and clean economy. I’m proud to see these upgrades coming to Vernon.”
Victor Cumming, mayor of Vernon –
“This investment announcement from BC Hydro is welcome news and demonstrates what can be achieved when all levels of government work together. Investing in critical infrastructure now, helps communities plan and build for the future.”
Kirndeep Nahal, president, Greater Vernon Chamber of Commerce –
“BC Hydro’s investment into capital projects across B.C.’s southern Interior over the next decade demonstrates their recognition of the unique needs and potential of communities like ours. It acknowledges the growth we are experiencing and positions us to meet the demands of tomorrow with resilience and innovation. The development of modern, efficient infrastructure is a critical driver of economic activity. The Greater Vernon Chamber of Commerce welcomes the investment in our region, and we look forward to the opportunities this will bring to our community and members.”
Quick Facts:
- Currently, 98% of the power generated for B.C.’s integrated grid comes from clean or renewable resources, making B.C. a leader in North America when it comes to clean energy.
- Electricity demand in B.C. is expected to increase by 15% or more between now and 2030.
- BC Hydro has kept rate increases below the rate of inflation for six years in a row.
- B.C. currently has the second-lowest residential electricity rates in North America, and the third lowest commercial and industrial rates.
- BC Hydro was a net exporter of electricity for the past five years (2019-23), with the majority of imports coming from dedicated clean sources of electricity.
Learn More:
To view BC Hydro’s 10-year capital plan, Power Pathway: Building B.C.’s energy future, visit: https://news.gov.bc.ca/files/CS-4307-CapitalPlan_LTR.pdf
To view a graph of BC Hydro’s planned capital spending, visit: https://news.gov.bc.ca/files/CS-4307-CapitalExpenditures_Chart.pdf
For details on BC Hydro’s call for power, visit: https://news.gov.bc.ca/releases/2023EMLI0036-000941
To read Powering Our Future: BC’s Clean Energy Strategy, visit: https://www2.gov.bc.ca/gov/content?id=E28B86DD48CC469684A9401B54087682