Dwight Ball, Premier of Newfoundland and Labrador, has released the terms of reference for the Board of Commissioners of Public Utilities (PUB) to examine options to mitigate Muskrat Falls. This is the latest of a series of actions undertaken by the Liberal government to mitigate the impact of Muskrat Falls on Newfoundlanders and Labradorians.
“We are delivering on our commitment to bring the PUB back into the Muskrat Falls Project and using their proven track record to keep electricity rates affordable. With today’s announcement, the PUB is now empowered to provide critical guidance that will inform future elements of mitigating Muskrat Falls, which are currently under development,” Ball said.
Joined by the Honourable Siobhan Coady, Minister of Natural Resources, the reference questions announced by Premier Ball focus on:
- Options to reduce impacts of Muskrat Falls, including both cost savings and revenue opportunities involving the electricity-related activities of Nalcor Energy and its subsidiaries;
- The domestic need for Muskrat Falls power versus export availability; and,
- Quantifying the impact of the identified options.
The PUB will be asked to deliver an interim report by February 15, 2019 and a final report by January 31, 2020. The minister will release the reports publicly and commits to using this information to inform the final approach to mitigating Muskrat Falls.
To support this independent analysis, the Provincial Government is recommending that the PUB engage the Consumer Advocate for Newfoundland and Labrador.
The cost of the Muskrat Falls project has risen consistently over the duration of its construction. It is now estimated to cost $12.7 billion according to Nalcor Energy CEO Stan Marshall. The original approved cost for the project was $7.4 billion.
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