Hydro-Québec's new power delivery project to New York State has reached a key milestone, with construction of the line on the U.S. side set to begin this summer, the utility said.

Hydro-Québec reported the New York Public Utilities Commission's approval Thursday of the contract between the Quebec-based utility and the New York State Energy Research and Development Authority (NYSERDA).

The commissioners voted 5-2 to approve the contract, in what was "the final step before work begins in the United States," Hydro-Québec said.

The major project for Hydro-Québec calls for the delivery of 10.4 terawatt-hours of electricity per year to New York City via a 545-kilometre "end-to-end" transmission line, the Champlain Hudson Power Express (CHPE).

Hydro-Québec said in a news release that its partner Transmission Developers (TDI) will begin construction of the line on the U.S. side this summer, with a view to commissioning in 2025.

In Quebec, construction of the line could begin in the spring of 2023, according to Hydro-Québec, while it is still subject to reviews by the Bureau d'audiences publiques sur l'environnement (BAPE) and the Régie de l'énergie du Canada.

-- This report by The Canadian Press was first published in French on April 14, 2022.