The provincial government has yet to announce whether it will buy electricity from Ontario Power Generals, a major new energy company that plans to use the plant to generate electricity from wind and solar farms.
Ontario Power would be paying $7.4-billion, the government said in a statement.
The company said it has no plans to close the plant, which is set to start producing electricity in 2018.
In the meantime, Ontario Power said it is “committed to building a strong, competitive market for power generation.”
In a letter to the governor, Energy Minister Josh Colle said the government has made “significant investments in our infrastructure, such as the expansion of the Northern Ontario Transmission Line, the electrification of our power transmission network, and our $25 billion Ontario Energy Plan.”
The plan also includes funding for a power project in Guelph to replace the aging Northern Ontario transmission line.
The Ontario Power plant, in Vaughan, Ont., is the first in Canada to have an energy exchange program.
In 2017, the province approved a plan to buy power from two power plants.
Ontario’s plan calls for purchasing power from the plants, which would be able to use a new transmission line that runs from the Niagara Peninsula to the Great Lakes.
In an interview on CBC’s The National, Colle described the plant as “one of the few that is going to be able be a real asset for Ontario.”
He said Ontario Power plans to replace its existing power transmission system with an energy transmission line, which could be used to power plants that are currently offline.
“We’ve had an opportunity to look at the infrastructure of the plants that we have,” Colle told host Evan Solomon.
“The electricity generated in this plant is going be in the form of electricity that is being sent to the electricity system of the northern communities.
Colle said Ontario’s electricity plan will create about 1,300 jobs, and the government plans to invest $4.5-billion over the next four years. “
It’s a good thing that we’re going to have this opportunity to buy electricity and be able, as a result of the electricity purchase, to put that power into the grid.”
Colle said Ontario’s electricity plan will create about 1,300 jobs, and the government plans to invest $4.5-billion over the next four years.
With files from The Canadian Press