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
Millions of Canadians have been exposed to potentially toxic chemicals, and they're not going anywhere
For decades, North Bay, Ontario's water supply has harboured chemicals associated with liver and developmental issues, cancer and complications with pregnancy. It's far from the only city with that problem.
opinion How to use your credit card as a powerful wealth-building tool
Irresponsibly using a credit card can land you in financial trouble, but personal finance columnist Christopher Liew says when used properly, it can be a powerful wealth-building tool that can help grow your credit profile and create new opportunities.
WATCH Dashcam video shows terrifying near-miss on two-lane northern Ontario highway
There were some scary moments for several people on a northern Ontario highway caught on video Thursday after a chain reaction following a truck fire.
Which Canadian cities have the highest and lowest grocery prices?
Where you live plays a big factor in what you pay at the grocery store. And while it's no secret the same item may have a different price depending on the store, city or province, we wanted to see just how big the differences are, and why.
Here's what 'the hinge' move is, how to do it correctly
When you're picking something up from the floor or bending over to tie your shoe laces, you're performing "the hinge move," according to movement trainers.
Tips to make a house or apartment safe and accessible for older adults living at home
Here's a summary of tips from the U.S. National Institute on Aging and AARP, which offers a free room-by-room guide with practical suggestions for older adults living independently.
Average hourly wage in Canada now $34.95: StatCan
Average hourly wages among Canadian employees rose to $34.95 on a year-over-year basis in April, a 4.7 per cent increase, according to a Statistics Canada report released Friday morning.
'I may have some nightmares:' Man survives being bitten by 2 sharks in Bahamas
A man who was bitten by two sharks in the Bahamas said Thursday he's 'thankful that I'm here' while sharing his story of survival.
Barron Trump declines to serve as an RNC delegate
Former U.S. President Donald Trump's youngest son, Barron Trump, has declined to serve as a delegate at this summer’s Republican National Convention, according to a senior Trump campaign adviser and a statement from Melania Trump's office.