N.B. Power and ProEnergy Choose Tantramar for New Natural Gas Plant

N.B. Power

Key Takeaways:

  • N.B. Power has selected the Tantramar area for a new 500 MW natural gas plant, slated to start operations by 2028.
  • The plant aims to support renewable energy integration by providing backup power for wind and solar when demand peaks or production drops.
  • The project includes a collaboration with Mi’kmaw partners and is expected to reduce provincial greenhouse gas emissions by 250,000 tons annually.
  • Despite expected emissions from the plant, it will replace higher-emission coal and oil backup systems, offering a net reduction in overall emissions.
  • New Location for Natural Gas Plant

    N.B. Power has shifted the location of its proposed natural gas plant, moving the project from Scoudouc to a more remote site in Tantramar, New Brunswick. This change follows consultations with local communities and environmental assessments that pointed to fewer environmental impacts at the new site. The plant is planned to begin operations by 2028 and will be capable of generating 500 megawatts of power, primarily to meet the growing demand in the region due to increasing population.

    A Strategic Move to Support Renewables

    The plant will play a crucial role in supporting the province’s renewable energy goals. N.B. Power aims to address the intermittent nature of wind and solar power by utilizing the plant as a flexible backup source. Brad Coady, vice president of business development at N.B. Power, explained that the plant will be designed with “nimble” machines capable of quickly ramping up or down, providing backup power when renewable energy sources aren’t available. This backup generation will help integrate growing wind and solar energy capacity into the grid.
    Reducing Greenhouse Gas Emissions

    The new facility is being developed by ProEnergy, a Missouri-based company, in partnership with Rigs Energy Atlantic, a subsidiary that includes minority investment from the North Shore Mi’kmaq Tribal Council. It is expected that the new natural gas plant will lead to a reduction in provincial greenhouse gas emissions by approximately 250,000 tons annually. This reduction will come from replacing backup power previously generated by higher-emission sources, including coal-fired and oil-based plants.

    However, concerns remain over the plant’s own emissions. ProEnergy’s initial assessments suggest the plant could emit over 910,000 tons of greenhouse gases annually, while N.B. Power anticipates a smaller figure of around 100,000 tons in the first year. The difference in emission projections remains a point of discussion between the two parties.

    Project Timeline and Future Considerations

    If approved, construction is expected to begin in early 2026, with the plant becoming operational by the third quarter of 2028. The project will undergo a federal environmental impact assessment, with the possibility of a provincial review waiver if the technical committee recommends it.

    The facility will use natural gas primarily sourced from the Maritimes and Northeast pipeline, and will also have ultra-low sulfur diesel as a backup fuel. In the future, the plant could transition to hydrogen, a cleaner energy alternative, though technical and economic challenges currently prevent its use.

    ProEnergy and N.B. Power are also exploring opportunities to extend the benefits of the new plant beyond New Brunswick, potentially supplying power to other provinces in the region.

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