The Keeyask Hydropower Limited Partnership (KHLP) officially broke ground July 16 on the 695-MW Keeyask Generating Station, located on the Nelson River about 30 kilometres west of Gillam and downstream from Split Lake, within the Split Lake Resource Management Area, about 180 kilometres northeast of Thompson.
The project, which will provide renewable hydroelectricity to meet future demand in Manitoba and in export markets, is a collaborative effort between Manitoba Hydro and four Manitoba First Nations - Tataskweyak Cree Nation, War Lake First Nation, York Factory First Nation, and Fox Lake Cree Nation - working together as the KHLP.
"With today's announcement, we have reached a significant milestone in our nation's history," said Michael Garson, chief of the Tataskweyak Cree Nation. "Since we first proposed a partnership model for future hydroelectric development in Manitoba over 15 years ago, our Nation has overcome enormous obstacles, and we will now finally begin to realize the hard won benefits set out in our development agreements, including a brighter future for generations to come."
Betsy Kennedy, chief of War Lake First Nation, said, "On behalf of War Lake First Nation, I am pleased to see the Keeyask Project receive regulatory approval. "After over a decade of negotiation and consultation, in which our members actively and meaningfully participated in developing Keeyask, War Lake's vision is one step closer to becoming a reality. The Keeyask Project includes significant training and employment opportunities, enabling our businesses and members to not only earn valuable experience on Keeyask, but to join the mainstream economy of Manitoba and empower them to secure ongoing employment after Keeyask is constructed."
Manitoba Conservation and Water Stewardship Minister Gord Mackintosh said July 2 the province has approved a Class 3 Environment Act licence for Keeyask, but it will be the "strictest licence of its kind," while federal Environment Minister Leona Aglukkaq issued an environmental assessment decision June 27 that says the project "is not likely to cause significant adverse environmental effects."
Mackintosh added the licence contains an unprecedented 165 specific conditions including:
developing a world-class, leading-edge plan to protect the lake sturgeon and other fish, including new high-tech fish-passable turbines, with the plan adding to the work Manitoba Hydro is already undertaking to protect sturgeon and other fish;
instituting an extensive monitoring program so environmental impacts and the success of licensing requirements can be measured;
creating a plan to protect caribou and other wildlife;
making information easily accessible so the public can share monitoring results, reports and evaluations of mitigation measures;
creating no net loss of wetlands benefits;
adding more shoreline protection;
introducing measures to reduce the social and health impact of the project on local communities, such as mercury monitoring programs;
ensuring high standards for traffic and road safety; and
starting a plan to eliminate or reduce the use of pesticides.
Manitoba Hydro has also confirmed, Mackintosh said, that it does not have development plans for the Seal River, an important habitat for the beluga whale. Over the next three years, consultations will start on the protection of the Seal River ecosystem, the minister said.
Walter Spence, chief of Fox Lake Cree Nation, said "As a partner in the KHLP, Fox Lake Cree Nation is pleased that the start of construction of Keeyask is now upon us. We would like to congratulate our other partners in the KHLP on this important milestone. We look forward to our continuing work within the KHLP as an active partner in all levels of the project. Fox Lake Cree Nation will be vigilant, particularly within areas of governance and monitoring, to ensure our position within the partnership remains viable. Fox Lake will ensure that our many investments in Keeyask pays dividends for future generations of Fox Lake members."
Ted Bland, chief of York Factory First Nation, noted the "project is now becoming a reality for our community. We are committed to fulfilling our First Nation-led contracts, to reaching employment targets, and to meeting our commitments as environmental stewards in the years to come."
Bruce Barrett, president of the KHLP and vice-president of major capital projects for Manitoba Hydro, said, "We are pleased to be moving forward on Keeyask with our First Nation partners and to be continuing a responsible model of resource development that sees potentially impacted First Nations benefitting from an ownership position in the project."
A 2009 joint development agreement between Manitoba Hydro and the four First Nation partners governs how the project will be developed and sets out understandings related to potential income opportunities, training, employment and business opportunities. Manitoba Hydro provides administration and management services for KHLP and will own at least 75 per cent of the equity of the partnership. The four First Nations together have the right to own up to 25 per cent of the partnership.
The first generator unit in-service date is targeted for 2019 with all units being commissioned by 2020 at a total cost of $6.5 billion. Once completed, the Keeyask Generating Station will provide an average of 4.4 billion kilowatt hours of renewable energy each year.
Before Keeyask received provincial approval, the Clean Environment Commission conducted the most extensive environmental review in the province's history for any project of its kind including in its hearings by 219 people;
The Keeyask project marks a significant improvement in the technology and environmental impact of previous generating systems, Mackintosh said, adding it also will make a positive contribution to the efforts against climate change. A comparable-sized natural gas plant would produce as much greenhouse gas in 177 days as the Keeyask Generating Station will produce in 100 years, he noted.
In a report released May 7, the Manitoba Clean Environment Commission recommended the province issue a Class 3 Environment Act licence for the Keeyask Generation Project.
The Manitoba Clean Environment Commission is an arms-length agency of the government of Manitoba, established in 1988 under The Environment Act. The commission's principal purpose is to encourage and facilitate public involvement in the province's environmental management process, where the objective is to strike a balance between environmental stewardship and economic development.
The commission is made up of full-time chairperson, Terry Sargeant, along with at least 10 part-time commissioners, who are called upon only when there is a project. Sargeant has been chair of the Manitoba Clean Environment Commission since January 2004. Prior to that, he was the chief appeal commissioner of the Workers Compensation Appeal Commission. He was called to the Manitoba Bar in June 2000.
The commission was established to provide a public participation avenue in the decision making process regarding the environment in Manitoba. The commission also provides advice and recommendations to the conservation minister with respect to environmental issues and licensing. The minister of conservation requested that the Manitoba Clean Environment Commission hold a public hearing on Manitoba Hydro's proposed Keeyask Generation Project on Nov. 14, 2012.
The Clean Environment Commission held public hearings in Winnipeg and in Gillam, Bird, York Landing, Thompson, Split Lake and Cross Lake. The report noted the consultation process on the project was comprehensive and inclusive. Expert testimony and comments were received from a number of interested participants including Keeyask Hydropower Limited Partnership, expert witnesses retained by participants and members of the public.
The Keeyask Generation Project was also assessed by the Canadian Environmental Assessment Agency in Edmonton, using a science-based approach, in accordance with the former Canadian Environmental Assessment Act.
The Canadian Environmental Assessment Agency administers the federal environmental assessment process, which identifies the environmental effects of proposed projects and measures to address those effects, in support of sustainable development.
