The request from Newfoundland and Labrador Hydro to reconsider a proposed $110.9 million regional diesel generating station and interconnection in southern Labrador has been denied by the Public Utilities Board. The plant, planned for Port Hope Simpson, aimed to power and interconnect six communities in the area, replacing existing small diesel plants.
In March, the PUB rejected Hydro’s initial proposal. Despite Hydro’s subsequent plea for reconsideration, citing factual inaccuracies and evidence misinterpretation by the board, the PUB recently declared that it would not entertain the request. The board emphasized that it was Hydro’s responsibility to demonstrate the project’s worthiness for approval, a burden they failed to meet.
Moreover, the PUB has directed N.L. Hydro to cover the expenses related to its application, without specifying the amount. The decision highlighted concerns about the significant cost escalation from the initial $49.9 million estimate in the original application. Additionally, the board questioned the necessity of replacing diesel generating stations in Port Hope Simpson, Mary’s Harbour, and St. Lewis after 40 years, considering that N.L. Hydro operates similar plants older than 40 years.
The opposition to N.L. Hydro’s request for reconsideration came from both the NunatuKavut community council and Mary’s Harbour town council. The PUB’s stance remains firm, emphasizing the need for thorough evidence and justification for proposed projects in the region.