NSP customers will pay to go green
Federal plan to wean provinces off coal-fired electricity
A federal plan to reduce pollution from coal-fired electrical generation plants will cost Nova Scotia Power customers more than $200-million, according to a federal assessment.
The federal government published a cost benefit analysis of its plan on Saturday. It estimates the cost of weaning the province off older coal-fired plants will add an extra $1.20 per month to Nova Scotia Power bills starting in 2015 and continuing through 2030.
The estimated cost increase would represent approximately 0.63 per cent of the average total electricity bill over 16 years.
As part of the proposed regulations announced Aug. 19 by Federal Environment Minister Peter Kent, older coal-fired plants would be phased out or refurbrished by 2015 in order to reduce greenhouse gas emissions.
"It is expected that the cost increase from the proposed regulations would be passed onto consumers in proportion to their consumption," reads the cost benefit analysis.
The analysis says from 2015 to 2030, the cumulative, undiscounted electricity generation costs would increase by $3.5-billion for key provinces:
- Alberta: $2.8-billion
- Manitoba: $306-million
- Nova Scotia: $216-million
- Saskatchewan: $179-million
Nova Scotia's oldest coal-fired plants are at Nova Scotia Power generating stations in Trenton, Pictou County (commissioned in 1969) and Point Tupper, Cape Breton (commissioned as an oil-fired plant in 1973).
Nova Scotia Power declined to comment on the proposed regulations and said it is reviewing them and their cost implications.
Ottawa says a final version of its regulations will be released in 2012.