Ottawa still believes in the Atlantic loop despite Emera's position
< p class="styled__StyledLegend-sc-v64krj-0 cfqhYM">The Atlantic Loop would produce more green energy in Nova Scotia, while transportation upgrades would be carried out in New Brunswick to facilitate the distribution of green energy from Quebec and Labrador.
The federal Minister of Natural Resources calls Nova Scotia Power's decision to “suspend” its participation in a potential megaproject to end reliance on coal in power plants a temporary glitch.
< p class="e-p">Jonathan Wilkinson believes the move by private utility Nova Scotia Power, a subsidiary of Emera, presents a challenge to the Atlantic Loop project.
Federal Minister of Natural Resources Jonathan Wilkinson
This five billion dollar project would allow the region to have better access to hydroelectricity from Labrador and Quebec by creating a gigantic loop of high-voltage lines in the provinces of Labrador. Atlantic.
Minister Wilkinson indicated in an interview Monday evening that Ottawa is still actively supporting this energy corridor project. He sees Nova Scotia Power's position as a glitch he hopes can be overcome.
Emera announced last week that it was suspending its participation in the project after Nova Scotia's Progressive Conservative government introduced legislation that would cap electricity rate increases at 1,000,000. 8% over the next two years for non-fuel production costs.
Minister Wilkinson believes there is no many other options for the Nova Scotia government if it is to comply with federal and provincial laws that set greenhouse gas emissions targets.
In his mandate letter to Minister Wilkinson, Prime Minister Justin Trudeau asked him, among other things, to support efforts to make the electricity grid completely carbon neutral by 2035 and to consult with provinces and Indigenous peoples to to decarbonize electricity networks.
In a statement sent to The Canadian Press last week, Emera said she had paused work on the Atlantic Loop project while she assessed the full impact of the bill. Nova Scotia.
The head office of the Nova Scotia Power company in Halifax, Nova Scotia
The company also said this is just one example of the investments that Nova Scotia Power will be forced to reassess, saying the bill could mean investments in other clean energy projects worth around $500 million could also be put on hold .
L'e The company did not disclose details of the specific projects it would stop working on if proposed changes to the provincial utility law were implemented in Nova Scotia.