New York State signs 25-year contract with Hydro-Quebec as the state moves away from fossil fuel energy
New York State has awarded a 25-year contract to Hydro-Québec, the provincially-owned company's largest export contract.
Starting in 2025, Hydro-Québec will supply nearly 1,250 megawatts of hydroelectricity, which represents the electrical consumption of about one million homes.
Fossil fuels account for nearly 85 per cent of the region's electricity supply. The state wants renewable energy to account for 70 percent of its energy consumption by 2030.
The announcement was made by Governor Kathy Hochul during New York's Climate Week.
"New York State is taking a bold step toward decarbonization," said Hydro-Québec President and CEO Sophie Brochu in a statement.
Hydro-Quebec did not disclose the potential revenue it would receive from the contract, but it could be worth tens of billions.
On Twitter, Premier François Legault called it a "deal in principle worth over $20 billion over 25 years."
"This is huge news for the environment. Fossil fuel energy will be replaced by renewable energy," said the premier.
This is the largest export contract in Hydro-Québec's history. Massachusetts has already signed a 20-year agreement for 9.45 terawatts.
The Champlain Hudson Power Express (CHPE) project involves the construction of approximately 545 kilometres of underground and sub-river transmission line between the Canada-U.S. border and New York City.
A 60-kilometre portion will also be built in Quebec. The Quebec-owned corporation will co-own this portion with the Mohawk Council of Kahnawake (MCK), the elected body of the Kanien'kehá:ka (Mohawk) community on Montreal's South Shore.
The MCK said in a news release that New York wanted to "ensure its selection would not impede Indigenous rights."
“This is an historic accomplishment for Kahnawà:ke and a huge step forward regarding the relationship with Hydro-Québec," said MCK grand chief Kahsennenhawe Sky-Deer. "It is proof that when Kahnawà:ke’s rights and interests are considered in a meaningful way, it provides an opportunity for a valuable and innovative alliance."
The hydro line will be built on disputed territory that is the subject of an ongoing Kahnawake land grievance.
Hydro-Québec spokesperson Lynn St-Laurent said the contract is a "win-win for Quebec and New York."
"Not only does it provide a new source of revenue for the utility, but it also allows New York State to reduce its greenhouse gas emissions. It's a huge climate gain," she added. "Greenhouse gases know no borders, so what's good for our neighbours is good for Quebecers."
Hydro-Québec's project avoids the emission of 3.9 million metric tons of greenhouse gases.
"It's like taking 44 per cent of the vehicles in New York City off the road," says St-Laurent.
"This is great news for the environment," said Quebec Environment Minister Benoit Charrette. "Quebec is fully assuming its leadership in the fight against climate change. We are gradually realizing our desire to become the battery of the northeastern United States."
-- This report by The Canadian Press was first published in French on Sept. 20, 2021.
-- with reporting from CTV Montreal's Daniel J. Rowe.
CTVNews.ca Top Stories
'They needed people inside Air Canada:' Police announce arrests in Pearson gold heist
Police say one former and one current employee of Air Canada are among the nine suspects that are facing charges in connection with the gold heist at Pearson International Airport last year.
Disappointment widespread over budget's proposed $200-month disability benefit funding
Advocacy groups across Canada are expressing widespread disappointment about the amount of funding earmarked in the 2024 federal budget for the long-awaited Canada Disability Benefit.
BREAKING Toronto Raptors player Jontay Porter banned from NBA
Toronto Raptors player Jontay Porter has been handed a lifetime ban from The National Basketball Association (NBA) following an investigation which found he disclosed confidential information to sports bettors, the league says.
Earthquake jolts southern Japan
An earthquake with a preliminary magnitude of 6.4 hit southern Japan late on Wednesday, said the Japan Meteorological Agency, without issuing a tsunami warning.
ArriveCan contractor to be admonished by MPs in extraordinarily rare parliamentary display
Enacting an extraordinarily rarely used parliamentary power, MPs have summoned an ArriveCan contractor to appear before the House of Commons on Wednesday afternoon to be admonished publicly for failing to answer their questions.
opinion Don Martin: Gusher of Liberal spending won't put out the fire in this dumpster
A Hail Mary rehash of the greatest hits from the Trudeau government’s three-week travelling pony-show, the 2024 federal budget takes aim at reversing the party’s popularity plunge in the under-40 set, writes political columnist Don Martin. But will it work before the next election?
Gas prices across Ontario expected to climb to levels not seen since 2022, analyst says
Ontario is going to see a big jump at the pumps later this week as gas prices in the province hit levels not seen in nearly two years, according to one industry analyst.
Ancient skeletons unearthed in France reveal Mafia-style killings
More than 5,500 years ago, two women were tied up and probably buried alive in a ritual sacrifice, using a form of torture associated today with the Italian Mafia, according to an analysis of skeletons discovered at an archeological site in southwest France.
Paul McCartney and John Lennon’s sons have released a single together
A new Lennon and McCartney collaboration is the last thing anybody expected.