New Evidence Reaffirms Maritime Link Lowest-cost Option

The province today, April 17, submitted new evidence that confirms the Maritime Link is the lowest-cost, long-term alternative to provide clean energy to the province.

The new data is in a report with additional findings by independent energy expert John Dalton, of Power Advisory LLC. It contains analysis of more scenarios, including one with more natural gas, as well as the cost of alternatives over a longer timeframe.

"We know things will change, and that's why we expanded our analysis of a range of plausible scenarios," said Energy Minister Charlie Parker. "We asked Mr. Dalton to look at a variety of conditions and options, and Maritime Link remains the best option for Nova Scotians by a consistently wide margin."

The report considered two additional alternatives:

• Accessing energy from Hydro Quebec, via New Brunswick, with 300 megawatts of transmission capacity, instead of 500 megawatts. The Maritime Link would cost $560 million to $973 million less than this option.

• Pursuing a mostly natural gas alternative, which would require eliminating the 40 per cent provincial renewable electricity requirement while maintaining federal requirements for greenhouse gas emission reductions. The cost for the Maritime Link would be $1.05 billion to $1.77 billion lower than this alternative.

"We looked at the alternatives and tested them extensively," said Mr. Dalton. "The Maritime Link continues to show broad-based economic benefits over the other options. It is also the best choice for strategic reasons, as Nova Scotia would become part of an integrated transmission path that provides direct access to an abundant hydroelectric supply.

"It is the best option to achieve Nova Scotia's strategic policy goals for electricity supply and to enhance the competitiveness of electricity pricing in the province."

The new report updated costs for the two base case scenarios released in January. It indicates accessing hydroelectricity through the Maritime Link would cost $342 million to $412 million less than a contract with Hydro Quebec, and $1.48 billion to $2.24 billion less than domestic energy generation, using gas and wind, during contract and post-contract periods while the Maritime Link is in use.

"When we do this kind of analysis, we expect the numbers to change," said Mr. Parker. "The important thing is that, with extensive testing, Maritime Link remains the lowest cost alternative to meet Nova Scotia's requirements."

The Maritime Link is the only option that provides Nova Scotians with:

• a reliable source of clean energy with predictable prices for 35 years
• a second connection to the North American grid, increasing the reliability of the electricity system
• the flexibility to access more options for purchasing competitively priced electricity in the future
• the ability to balance more local renewable sources such as wind

The Utility and Review Board will examine all options and determine whether the Maritime Link is the lowest-cost option and in the best interest of Nova Scotia ratepayers.

To read Mr. Dalton's report, visit http://novascotia.ca .