Environment Minister George Heyman, Premier John Horgan and Energy Minister Michelle Mungall announce decision to proceed with construction of the Site C dam, B.C. legislature library, Dec. 11, 2017. (Ragnar Haagen/Black Press)

Environment Minister George Heyman, Premier John Horgan and Energy Minister Michelle Mungall announce decision to proceed with construction of the Site C dam, B.C. legislature library, Dec. 11, 2017. (Ragnar Haagen/Black Press)

Site C dam goes ahead, cost estimate now up to $10.7 billion

Premier John Horgan says Christy Clark left him no other choice

B.C. Premier John Horgan has given the green light to completion of the Site C hydroelectric dam, after B.C. Hydro revised its cost estimate upward by more than $1 billion.

The B.C. NDP cabinet has struggled with the decision, with the project two years in and facing a cost of $4 billion to shut down construction of the third dam on the Peace River and put the site back the way it was.

After hearing from experts for weeks, the government faced an estimate that B.C. Hydro rates are already expected to rise 30 per cent over the next 10 years without the costs of Site C.

If the dam is halted, rates would go up another 12 per cent by 2020 to pay the cost. That translates to an extra $198 per year for an average single-family house.

RELATED: How Christy Clark made Site C unstoppable

When it proceeds, government officials expect the additional rate increase would be 6.5 per cent when the dam goes into service in 2024. B.C. Hydro would likely apply to the B.C. Utilities Commission to “smooth” that rate increase, raising it in smaller steps to pay for the dam.

Horgan blasted the previous B.C. Liberal government for “megaproject mismanagement” that left the NDP government with little choice.

“It’s clear that Site C should never have been started,” Horgan said. “But to cancel it now would add billions to the province’s debt – putting at risk our ability to deliver housing, child care, schools and hospitals across B.C. And that’s a price we’re not willing to pay.”

The risk reserve for Site C has been increased by $700 million to prepare for further costs increases.

B.C. Liberal critic Mike Bernier, MLA for Peace River South, said the project had been studied for a decade and 2,000 families and Peace region businesses have been left with uncertainty while the new government’s review carried on.

B.C. Liberal finance critic Tracy Redies, a former B.C. Hydro board member, said the NDP’s review confirmed that with projected growth in electricity demand, B.C. will need the equivalent of nine Site C dams by 2050.

B.C. Green Party leader Andrew Weaver said proceeding with Site C was a result of the NDP “pandering for votes” by taking $4.7 billion of Port Mann bridge debt onto the government books to cancel bridge tolls.

Now the province can’t afford the $4 billion cost of stopping the dam, and it has two bad policies based on political expediency, Weaver said.


@tomfletcherbc
tfletcher@blackpress.ca

Like us on Facebook and follow us on Twitter.

BC HydroBC legislatureSite C

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Toronto-based director Michelle Latimer was recently scrutinized after years of claiming she was of Algonquin and Metis descent. (CANADIAN PRESS/Chris Young)
Haida activist calls for hefty fines, jail time against those who claim to be Indigenous

Filmmaker Tamara Bell proposing the Indigenous Identity Act – to dissuade ‘Indigenous identity theft’

Brett Alexander Jones is wanted on several warrants province-wide, in connection with multiple charges. Jan. 21, 2021. Kitimat RCMP photo
Kitimat RCMP searching for man wanted on several warrants province-wide

Jones is described as a five-foot 10-inches Caucasian man, with blond hair and blue eyes.

Administering naloxone to a person experiencing a benzo-related overdose event won’t help. Naloxone is used to neutralize opioids. (Jenna Hauck/The Progress file photo)
Northern Health warning drug users of potential benzo contamination

The drug does not respond to naloxone, and is being included in street drugs

Businesses continue to struggle under COVID-19 restrictions as the pandemic reaches the one-year mark. (B.C. government)
Another 564 COVID-19 cases, mass vaccine plan coming Friday

15 more deaths, community cluster declared in Williams Lake

Premier John Horgan leaves the podium following his first press conference of the year as he comments on various questions from the media in the Press Gallery at B.C. Legislature in Victoria, B.C., on Monday, January 13, 2020. THE CANADIAN PRESS/Chad Hipolito
Interprovincial travel restrictions a no-go, Horgan says after reviewing legal options

The B.C. NDP government sought legal advice as concerns of travel continue

Gem Lake Top, at Big White Ski Resort, seen at Jan. 8. (Big White Ski Resort)
Big White cancels $7.3M in lift tickets, accommodations due to COVID-19 orders

Since November, the ski resort has been forced to make several changes

Jan. 21 marks the 21st day of the 21st year of the 21st century, according to some. (Black Press Media file photo)
The 21st day of the 21st year of the 21st century is upon us

Milestone won’t be back for another 100 years

Darlene Curylo scratched a $3M ticket, BCLC’s largest ever scratch and win prize. (BCLC)
Kelowna woman in shock after winning BCLC’s largest-ever instant-ticket prize

Darlene Curylo couldn’t believe her eyes when she saw the amount of money she’d won from a scratch ticket

While each person has different reasons for becoming homeless, a UBCO study shows they learn through their interactions with different services to perform ‘as homeless’ based on the expectations of service providers. (Contributed)
Kelowna homeless forced to ‘perform’ for resources, says UBCO study

One participant in the study said ‘It is about looking homeless, but not too homeless’

Join Black Press Media and Do Some Good
Join Black Press Media and Do Some Good

Pay it Forward program supports local businesses in their community giving

Mowi Canada West’s Sheep Pass salmon farm, the company’s final B.C. operation to receive certification from the Aquaculture Steward Council. The Canadian Federation of Agriculture (CFA) is questioning a government decision to phase out salmon farms in the Discovery Islands. (Photo supplied by Mowi Canada West)
Canadian Federation of Agriculture backs B.C. salmon farmers

Letter to prime minister calls for federal “champion” for aquaculture growth

Gov. Gen. Julie Payette takes the royal salute from the Guard of Honour as she makes her way deliver the the throne speech, Wednesday, September 23, 2020 in Ottawa. THE CANADIAN PRESS/Fred Chartrand
Gov. Gen. Julie Payette resigns, apologizes for ‘tensions’ at Rideau Hall

Payette, who is the Queen’s representative in Canada, has been the governor general since 2017

Most Read