Thursday, August 6, 2026
The Government of Canada announced $5.9 million for PEI Energy Corporation to advance the Prince Edward Island–New Brunswick Interconnection Expansion Project.
The investment supports engineering studies, marine surveys, environmental assessments, stakeholder and Indigenous engagement, regulatory work and preliminary transmission route and substation design — laying the groundwork for construction by 2028.
Prince Edward Island relies on transmission connections with New Brunswick to meet much of its electricity demand. The project would strengthen this connection by building two new 200-megawatt, 138-kilovolt submarine cables and undertaking transmission upgrades and the modernization of substations in both provinces. Once complete, this project will improve regional reliability, help the Maritimes meet future electricity demand and contribute to a stronger, more connected electricity system for Atlantic Canada.
“Building a stronger, more affordable, better connected electricity system is essential to Canada’s energy security, economic growth and long-term climate competitiveness. This investment is our government doing what we said we would do by advancing a priority transmission project. Strengthening the connection between Prince Edward Island and New Brunswick will help us meet electricity demand with the reliable, affordable electricity Canadians need to thrive.” said Tim Hodgson, Minister of Energy and Natural Resources.
This investment follows the Government of Canada identifying the Prince Edward Island–New Brunswick Interconnection Expansion as one of five priority transmission projects at this year’s Energy and Mines Minister’s Meeting in June 2026. The project is aligned with the Transmission InterConnect Investment Strategy, which was referred to the Major Projects Office in May 2026, and supports the objectives ofthe federal government’s forthcoming National Electricity Strategy.
Transmission projects like this one are critical to our mission to build one economy out of thirteen, be our own best customer and catalyze billions of dollars in investment. The federal government is committed to partnering with provinces, territories, Indigenous communities and utilities to build a connected, secure, affordable energy system for Canadians in Atlantic Canada and across the country.
“Reliable energy is the foundation of a strong economy and thriving communities. By investing in critical infrastructure today, Prince Edward Island is preparing for future growth and increasing energy demand. This project will help create a stronger, more resilient energy system that Islanders, businesses and communities can count on for generations,” said Rob Lantz, Premier of Prince Edward Island.
“New Brunswick is the Maritimes’ energy hub. Securing and strengthening our electricity interties with PEI will help us build a cleaner, more affordable, reliable and resilient electricity system for our entire region and country. Working together with our neighbours, New Brunswick will power Canada’s energy future,” said Susan Holt Premier of New Brunswick.
Featured image: (Government of PEI)
