City council has approved a development permit for a major expansion of the power plant in Iqaluit.

The Qulliq Energy Corporation plans to add a 600-square-metre building to its main plant in the Plateau subdivision.

The new building will house new generators.

"We're just in the process of expanding the power plant by adding two additional bays," said Qulliq's director of engineering, Stephen Kerr. "We're going to install two new generator sets in the next six months, another 10 megawatts, and over probably the next 10 years we're going to remove some of the older generator sets and replace those as well."

Kerr said the first round of renovations will make the system more efficient and reliable.

The renovations are expected to take about three years and the project will cost between $30 million and $35 million.