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Wuskwatim Projects
 On December 7, 2001, Manitoba Hydro filed Environment Act Proposal Forms to initiate
a formal process under the Manitoba Environment Act for the 200-megawatt Wuskwatim
Generation Project and the Wuskwatim Transmission Project. The generation station is on Wuskwatim Lake and Burntwood River.
According to Manitoba Hydro, in order to arrive at a planned in-service date of 2009, construction for the proposed Wuskwatim projects had to begin before the winter road season (January-February) in 2004. See Manitoba Hydro web site for general scheduling details for these projects. This schedule required Manitoba Hydro to secure an environmental licence for the two proposed projects by December 2003. This has not occurred, and the in-service date for Wuskwatim has been pushed back to 2010 (at the earliest). As of April 2006, environmental licences have not been issued. In January 2002, the Government of Manitoba announced that there would be Clean Environment Commission (CEC) public hearings in accordance with subsection 6(5) of the Environment Act for the Wuskwatim projects (see page 3 of the final EIS guidelines). These hearings are triggered by a written reference from the Minister of Conservation. In April 2002, following Clean Environment Commission (CEC) public meetings, a joint federal/provincial regulatory committee issued final Environmental Impact Statement (EIS) guidelines were for each of the two projects. For details, see Schedule 2 of the Guidelines for the Preparation of an Environmental Impact Statement for the Wuskwatim Transmission Project (April 26, 2002) and/or Section 2 of the Guidelines for the Preparation of an Environmental Impact Statement for the Wuskwatim Generation Project (April 29, 2002). On April 3rd, 2003, the Government of Manitoba reneged on its January 29th, 2002 promise to hold a public review process through the Public Utilities Board (PUB) with respect to the 'justification, need for the project and alternatives to' developing the proposed projects. See January 29, 2002 Manitoba government news release for details. The Government of Manitoba then mandated the CEC to also review the 'justification, need for and alternatives to' of the Wuskwatim projects. |
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Wuskwatim Public Registry Map Larger Image |
On April 30th, 2003, Manitoba Hydro released its EIS for each of the proposed Wuskwatim projects. Manitoba Conservation then administered a 60-day public comment period. In response to comments received from the joint government Technical Advisory Committee (TAC), Department of Fisheries and Oceans (DFO), Manitoba Wildlands - CNF) and others, Manitoba Hydro released a supplementary EIS filing August 8, 2003. A further supplemental submission was filed in September 2003. On August 28th, 2003, the CEC released its draft schedule for the Wuskwatim hearings (scheduled for February-March 2004) as well as important pre-hearing activities. |
Wuskwatim HearingsThe CEC released its report on the Wuskwatim hearings October 4, 2004.  Download the CEC Wuskwatim report (Recommendations start on Page 122) (PDF)View the Manitoba Wildlands news item about the CEC report on the Wuskwatim hearings  Manitoba Wildlands assessed the CEC Wuskwatim report against our own technical work and analysis regarding the Wuskwatim review and hearings. View the recommendations assessment chart in the link below. Download the February 2005, Manitoba Wildlands Analysis of Recommendations - Report on Public Hearings - Wuskwatim Generation and Transmission Projects (PDF)Manitoba Wildlands (CNF) was a participant in the review process for the Wuskwatim projects from the time Manitoba Hydro filed its Environment Act Proposal for the Wuskwatim Generation and Transmission projects in December 2001. Manitoba Wildlands (CNF) became a funded public participant under the Participant Assistance Program ordered by the Minister of Conservation. Starting in 2002 environmental and community participants in the Wuskwatim reviews have asked the federal minister of Environment to appoint a federal review panel for the projects. Those requests continue to date, and were initiated based on the failure of Manitoba to undertake a joint assessment with a joint panel for the Wuskwatim hearings. The high level of public concern about impacts from the Wuskwatim projects has continued since 2001. Aspects of the Cooperative Environmental Agreement between Manitoba and Canada have been in question throughout the Wuskwatim review, assessment and hearings. 
In addition to licensing requirements under the Manitoba Environment Act and Water Power Act, Manitoba Hydro must also fulfill requirements of the Canadian Environmental Assessment Act (CEAA). Federal officials with the Department of Fisheries and Oceans (DFO), which is the federal Responsible Authority (RA) under CEAA for the Wuskwatim Generation Project released the Comprehensive Study report for the Wuskwatim Generation Project, as required under CEAA in November 2005 (view Federal Comprehensive Study Report section). To April 2006 there has been no further activity from the federal government regarding the CSR review comments, for a determination from the federal Environment Minister.Equity PartnerNegotiations for a final Partnership Development Agreement (PDA) regarding the Wuskwatim Generation Project between Manitoba Hydro and NCN have been completed with an announcement March 30, 2006. The Wuskwatim Project Development Agreement formalizes the Manitoba Hydro-NCN partnership, contracts and other components required for construction and operation of the proposed $1.3 billion Wuskwatim Projects. The PDA has been approved by NCN Council and the Manitoba Hydro Board of Directors. The Manitoba Government was not in attendance at the event to announce the finalization of the PDA. Transmission corridors and infrastructure are not part of the PDA. View the March 30, 2006 NCN press release regarding the PDA finalization Download the PDA Overview brochure (PDF)The PDA will be subject to ratification by NCN members in a secret-ballot vote scheduled for June 7 (advance polling) and June 14, 2006. Polling stations will be in Nelson House, South Indian Lake, Thompson, Winnipeg, Brandon and Leaf Rapids. 
NCN will conduct a public consultation process on the Wuskwatim Project Development Agreement (PDA) with its Members in the weeks leading up to the referendum on June 7th & 14th. The PDA is a 1,500-plus page legal document. To date it has not been made public. Explanatory information and presentation materials have been prepared for the consultation process and will be made available on the NCN web site. Print materials include:
View March 30, 2006 NCN press release regarding the PDA consultations Visit Manitoba Hydro website for more information on Wuskwatim Projects The June 7th & June 14th referendum vote requires a double majority to pass. A majority of eligible NCN Members (both on and off reserve) must vote and a majority (more than 50%) of those voting must vote to approve the PDA. A 'No' vote would mean Manitoba Hydro would not proceed with the project. If the referendum results in support for the PDA, the project still requires provincial and federal approvals. Wuskwatim PDA Lacks Financial InformationThe Project Development Agreement (PDA) for the Wuskwatim Generation Project between Manitoba Hydro and the Nisichawayasihk Cree Nation (NCN) does not include information required to complete an independent financial review of the agreement and an assessment of the potential implications for the Nisichawayasihk Cree Nation.In a letter dated June 9, 2006, the firm of Gardner Coombs Windsor Coombs Chartered Accountants indicates that they are "unable to complete a detailed financial review of this nature since the detailed financial assumptions are not included in the information contained on the [March 2006 Wuskwatim PDA] CD." The accountants also list the information that is needed yet not provided in the Wuskwatim PDA. Download June 9, 2006 letter from Gardner Coombs Windsor Coombs Chartered Accountants to Olthuis Kleer Townshend (PDF)Gardner Coombs Windsor Coombs Chartered Accountants also states that in order to complete a detailed financial review of the business and potential income and return to NCN as a result of its proposed investment in the Limited Partnership with Manitoba Hydro, detailed assumptions and projected cash flows regarding the Wuskwatim project are required, including:
View NCN information about the Wuskwatim Project Development Agreement Visit Manitoba Hydro's web site for the Wuskwatim Projects Source: Olthuis Kleer Townshend Application for Alteration to Water Power Act LicenceView September 10, 2005 Manitoba Hydro-Electric Board notice of application in the Winnipeg Free Press Download Manitoba Wildlands letter regarding the September 10, 2005 notice of application by the Manitoba Hydro-Electric Board (DOC)In September 2005, Nisichawayasikh Cree Nation began reviewing the Environmental Protection Plans for the Wuskwatim projects. These plans are not publicly available as of April 2006. Download Manitoba Wildlands' October 21, 2005 letter to Premier Doer, the Minister Of Energy, Science and Technology, and the Minister of Conservation regarding the Wuskwatim Environmental Protection Plans (DOC)Federal Comprehensive Study Report (CSR)
The federal comprehensive study report for the Wuskwatim Generation project, authored by the Department of Fisheries and Oceans, was released to the public in November 2005. Several organizations and groups took advantage of the 30-day public comment period, which expired December 21, 2005, to submit comments regarding the CSR. Manitoba Wildlands, along with several others, reiterated a call for a federal review panel for the Wuskwatim projects, citing deficiencies in the CSR, the significant amount of unresolved public concerns, and various other challenges related to environmental effects, and the review process itself.Download Manitoba Wildlands' December 21, 2005 letter to the CEAA, federal Ministers of Environment, and Fisheries and Oceans (PDF)Download Manitoba Wildlands' general comments on the Wuskwatim federal CSR (PDF)Download Manitoba Wildlands' page by page comments on the Wuskwatim federal CSR (PDF)Visit EnergyManitoba.org for history, evidence, presentations, etc, from the hearings. Several other organizations and communities provided comments on the CSR, see below. Download CIER comments on behalf of the Community Association of South Indian Lake (CASIL) on federal CSR (PDF)Download Trapline 18 legal comments on federal CSR (DOC)Download Narration of the September 2005 Trapline 18 Aerial Hydrology DVD (TXT)Download Natural Resources Defense Council, Washington DC comments on federal CSR (PDF)Download Pimicikamak legal comments on federal CSR (DOC)Download Manitoba Metis Federation comments on federal CSR (DOC)NCN Ratifies PDA
The people of the Nisichawayasihk Cree Nation (NCN) of Nelson House gave the green light to the Wuskwatim Generation project in a June 14, 2006 vote. According to media reports, more than 70% of the community's eligible voters turned out to vote, with 62% voting in favour of the deal in the referendum. The official signing of the PDA will take place June 26 in Nelson House. View June 15, 2006 Nisichawayasihk Cree Nation press release The deal that NCN voted to approve will give the band the opportunity to buy as much as one-third of the generating station and share in one-third of the profits. It will also receive about $100 million in contracts for the construction process (which it will share with joint venture partners) and more than $10 million in training related to the dam. It requires NCN to invest $1 million immediately. At the end of the six- year construction period - likely about 2012 - NCN will then have to come up with the rest of the money it wants to invest. In a letter to the editor in the Winnipeg Free Press, Carol Kobliski, Spokesperson for the Justice Seekers of Nelson House criticized Manitoba Hydro and the Manitoba government for only printing 300 copies of the Wuskwatim project development agreement for over 4,000 Nisichawayasihk Cree Nation members to review. (These were not available until almost a month after the announcement of the referendum date.) Ms. Kobliski points out that with inflation, cost to build Wuskwatim will rise. As a partner, NCN will have to cover its debt and no one else will guarantee NCN debt payments, while the Manitoba government and taxpayers will cover Manitoba Hydro's debt. View the June 15, 2006 Winnipeg Free Press Letter to the Editor (DOC) As of June 21, no official referendum results have been publicly released or posted on the Internet. It was expected that, similar to other elections and referenda, results by day of vote (June 7 & 14), and by polling station (several around Manitoba) would be made available. Concerns regarding past problems with election procedures at NCN prompted the NCN Justice Seekers to request both provincial and federal government supervision of the vote. These requests were also tabled in the Manitoba Legislature on petitions with several hundred signatures. Sources: Nisichawayasihk Cree Nation, Winnipeg Free Press
Governments Issue Wuskwatim Licences
On June 21, 2006, both the federal and provincial governments announced that licences were being issued for the Wuskwatim projects. Both governments acted before the appeal period regarding the referendum balloting was over. View June 21, 2006 Government of Manitoba press release The generating station licence, to the Wuskwatim Power Limited Partnership, allows for construction, operation and maintenance of the generating station, and related dams, dikes, channels, control structures and infrastructure, including roads. The transmission project licence for Manitoba Hydro is for the construction, operation and maintenance of the Wuskwatim transmission projects (three transmission line segments, new transmission station developments at Wuskwatim, Birchtree near Thompson, modifications to existing Herblet Lake and Rall's Island transmission stations at Snow Lake and The Pas). A water power licence from Manitoba Water Stewardship is expected to be approved shortly. The water power licence would allow the Wuskwatim Power Limited Partnership to use water to operate the Wuskwatim generating station within regulated flows and levels. Visit Wuskwatim Power Limited Partnership website View Wuskwatim Power Limited Partnership Photo Gallery The Honourable Rona Ambrose, Minister of the Environment also announced in a June 21, 2006 press release that the proposed Wuskwatim Hydro Generation Project in northern Manitoba does not require further assessment by a review panel or mediator under the Canadian Environmental Assessment Act. The Minister referred the project back to the responsible authorities, Fisheries and Oceans Canada (DFO) and Transport Canada (TC), for appropriate action. View June 21, 2006 Canadian Environmental Assessment Agency press release Source: Manitoba Government, Government of Canada
Wuskwatim Environment Licence AppealsDownload June 21, 2006 Environmental Licence for the Wuskwatim Transmission Line Project (PDF)Download June 21, 2006 Environmental Licence for the Wuskwatim Generating Station Project (PDF)Download June 21, 2006 letter from the Minister of Conservation regarding the appeals process under Manitoba's Environment Act (PDF)The 30-day appeal period for the Wuskwatim Transmission Line Project (Class 2 project, 3 transmission line segments) closed July 21, 2006. Download Manitoba Wildlands' July 21, 2006 appeal of the Wuskwatim Transmission Line Project environmental licence (No. 2700) (PDF) Any person may appeal an environmental licence by submitting a written explanation for the appeal within the designated appeal period. The letter must be addressed to the Director of Environmental Assessment and Licensing Branch: Ms. Tracey Braun, Director of Environmental Assessment & Licensing Branch Manitoba Conservation, Suite 160 - 123 Main Street Winnipeg, Manitoba R3C 1A5 fax: 204.945.5229 Licence Appeals to be heard by CabinetA September 29, 2006 letter from Manitoba Justice informed Manitoba Wildlands and Trapline 18 that the licence appeals under Manitoba's Environment Act for the Wuskwatim Generating Station will be heard by Cabinet. The process includes submissions by appellants and responses from the proponents, after which Cabinet will consider information contained in the 'Appeal Book'.Subsequently, an October 6, 2006 letter from Manitoba Justice indicated that appeal of the Wuskwatim Transmission project licence would be subject to a similar process to generate submissions and responses, but the appeal will be heard by the Minister of Conservation (as the decision to issue the licence was made by the Director of Environmental Assessment and Licencing) and the Lieutenant Governor in Council will be asked to approve the Minister's decision in accordance with The Environment Act. 
Legal counsel from Manitoba Justice has indicated that the appeal to Cabinet is a lengthy process. Appellants have not been provided with funding or other support to participate in the appeal process, despite the commitment of time and resources required.Two appeals of the Generating Station licence were filed August 2, 2006, from Manitoba Wildlands, represented by director Gaile Whelan Enns, and from Trapline 18, represented by Greg McIvor. The appeals are based on issues consistently raised during The Environment Act review of the Wuskwatim projects and during the 2004 Clean Environment Commission (CEC) public hearings for the projects. David Newman, a former minister in Manitoba's cabinet responsible for Manitoba Hydro, is legal counsel for Trapline 18. Several issues formed the basis for appeal of the environmental licenses for the Wuskwatim projects. Among other issues, the appellants argue that:
Download Manitoba Wildlands November 27, 2006 appeal submission re the Wuskwatim Generating Station licence (PDF)Download Trapline 18 November 24, 2006 appeal submission for the Wuskwatim Generating Station (PDF)Download Manitoba Wildlands August 2, 2006 appeal letter re the Wuskwatim Generation Station licence (PDF)Download Trapline 18 August 2, 2006 appeal letter re the Wuskwatim Generating Station Licence (DOC)Cabinet Appeal Documents PostedTo view documents involved in the Justice Manitoba directed Appeal to Cabinet regarding environmental licensing for the Wuskwatim Generation Station please see EnergyManitoba.org.Visit Energy Manitoba's Licence & Appeals page Wuskwatim Cabinet Appeals DismissedThe Manitoba Cabinet dismissed two appeals initiated by Manitoba Justice following licence appeals under Manitoba's Environment Act for the Wuskwatim Generating Station (Manitoba Wildlands and Trapline 18). The decision followed Manitoba's 2007 provincial election.Wuskwatim Construction Costs SoarWuskwatim dam and transmission infrastructure costs have skyrocketed, and are now estimated at nearly 1.6 billion dollars. (April 2008).
The original estimated costs were projected in the utility's environmental impact statement to be "very 'tight' or well-developed, with a 90 percent confidence" that they would fall within Hydro's cost range estimate. This cost range estimate was less than $1 billion for all generation station and transmission line costs.When the Manitoba Clean Environment Commission's environmental review of the Wuskwatim projects concluded in 2004 estimated costs had increased to $1 billion. In 2008, Hydro says cost of constructing the projects is nearly $1.6 billion - a 60% increase from 2004. Manitoba Hydro says changes to the Wuskwatim construction budget are a result of significant increases in cost of construction in Canada and a high Canadian dollar. The economics of the projects have been affected by soaring costs; Wuskwatim was originally thought to have a 10 percent rate of return (rate of profit earned from a capital investment). According to Manitoba Hydro, the rate of return is now "quite low," but implications of increased power sales have yet to be accounted for. Wuskwatim Construction DelaysManitoba Hydro is encountering difficulties with construction of the Wuskwatim Dam and associated transmission infrastructure.The contract for site preparation work was awarded to Nebraska-based company Kiewet Corp. However, in October 2007, Manitoba Hydro confirmed the tendering process closed on the contract to build Wuskwatim without a single qualifying bid. Manitoba Hydro continued to discuss potential for Kiewet Corp. to undertake construction work for Wuskwatim, but talks broke down in January 2008, leaving Hydro without a company able or willing to build the 200-megawatt dam. As a result, in March 2008 the utility decided to break down construction elements into manageable pieces to encourage bidding. Two contracts have or will be put out for tender. The first is a smaller contract for the additional preliminary work expected to be awarded in May 2008. The second is a larger contract for the main construction work. Manitoba Hydro President and CEO, Bob Brennan said that Hydro is still targeting 2012 for completion of the Wuskwatim project, which is a joint project with Nisichawayasihk Cree Nation. There are unconfirmed reports that construction of transmission infrastructure is underway, it is not clear whether transmission infrastructure is included in the tendering process for the construction of the Wuskwatim dam. No public information about transmission line construction is available as of early May 2008. Hydro Signs with Wisconsin for 500 MW of Power
The Manitoba government announced April 17, 2008 Manitoba Hydro reached a tentative deal to provide up to 500 megawatts of power to the Wisconsin Public Service over 15 years, starting in 2018.The $2 billion deal would require construction of Conawapa, Keeyask and Wuskwatim dams as well as the BiPole III transmission line and a 60 km transmission line between Canada and the United States. Manitoba and Wisconsin will require regulatory approvals regarding the power sale and construction of dams and transmission lines, including environmental licenses that involve public review. Canada's National Energy Board reviews such power sales. In Canada federal environmental assessment and permits are also required for hydro projects. There has been no public information about the new 500 MW sale of power between Manitoba Hydro and Ontario Hydro. Also no environmental proposals have been filed for the transmission system upgrade announced at the time. View April 17, 2008 Reuters article Sources: CBC, Winnipeg Free Press
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Wuskwatim Generation - Transmission Projects ChronologyCurrent as of May 2008 |
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2008
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2002-2009