Innergex acquires Miller Creek facility

Thursday, June 21, 2012

Whistler Question

Upper Lillooet project back in public comment period


Innergex Renewable Energy Inc. has acquired another hydroelectric facility near Pemberton that will increase the company’s footprint in an area where it hopes to construct more run-of-river facilities in the near future.


Innergex has purchased the Miller Creek facility, which is located on Crown land northwest of the village boundary, as well as another one near Prince Rupert from Capital Power Inc., the company announced in a press release last Thursday (June 14).


The cost of purchasing the two facilities totaled $69.2 million, said the release. However, the acquisition of the Miller Creek asset is conditional upon a 30-day first right of refusal option available to B.C. Hydro.


Innergex already operates three hydroelectric facilities in the Sea to Sky corridor — located on Rutherford Creek between Pemberton and Whistler, on Fitzsimmons Creek near Whistler and on Ashlu Creek near Squamish — and is attempting to construct three more via the Upper Lillooet Hydro Project.


“We are pleased to consolidate our presence in the Pemberton region and we look forward to strengthening our relations with local stakeholders in what has become a strategic area of development for the corporation,” said Innergex president Michel Letellier in the release.


In a separate press release, Capital Power said that operating the smaller-scale hydro facilities was no longer consistent with its strategy as it looks to focus on technology in natural gas, coal, wind and solar projects.


The Miller Creek location was commissioned in 2003 and has a 33-megawatt capacity, but Innergex will be looking to make major improvements to it should the sale go through, said the release, with plans to increase average annual production by five per cent.


“The corporation plans to undertake an $8.5-million capital expenditure program to upgrade the penstock and water intake, which should increase the plant’s expected average annual production to 102,795 MWh (megawatt hours) and reduce operating costs,” said the release.


Meanwhile, another set of open houses for the Upper Lillooet Hydro Project will be taking place in the Pemberton area in July as the proposal from Creek Power Inc., in which Innergex owns a majority stake, continues along through B.C.’s approval process via the Environmental Assessment Office (EAO).


The proposal calls for hydroelectric stations to be constructed on the Lillooet River, Boulder Creek and North Creek with a combined capacity of 121 MW. It would also require installation of 72 kilometres of transmission lines that would be situated near Pemberton but mostly out of view from the valley.


An application was submitted to the EAO in March that appears to have passed a required 30-day screening period and is now in the stage of a six-month review of technical details, which includes the re-opening of the project to public comment.


Creek Power officials told Pemberton council in March that they were hoping to see the project result in “local community benefit” via the use of Pemberton-area subcontractors and through employment opportunities.


However, the project has drawn criticism both locally and nationally. When the project went through a public comment period late in 2010, many individuals from the Pemberton area posted negative comments on the EAO website with environmental concerns, while the Western Canada Wilderness Committee has also publicly stated its opposition to the project.


Innergex projects that construction will commence in the spring of 2013 if all necessary approvals are granted. Company officials told The Question on Tuesday (June 19) that they’ve been satisfied with the pace at which the process is moving along.


The open houses will take place on July 9 at Mount Currie’s Ullus Community Complex and on July 10 at the Pemberton Community Centre, both running from 4 to 8 p.m. The public comment period is now open and runs until July 30. Written submissions can be made to the EAO until that time at www.eao.gov.bc.ca.

Photo: The Miller Creek hydroelectric facility near Pemberton. Image courtesy of Capital Power Corp.

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