CIB’s first Indigenous Equity Initiative investment in largest energy storage project in Atlantic Canada
Feb 15, 2024
- CIB commits $138.2 million to three energy storage facilities in Nova Scotia.
- A portion of the investment will finance 90% of the Indigenous participation through the CIB’s Indigenous Equity Initiative.
- CIB funding will help support Nova Scotia’s clean energy transition and provide more reliable service for customers.
HALIFAX – The Canada Infrastructure Bank (CIB) is committing $138.2 million to support the development of Atlantic Canada’s largest planned energy storage project by Nova Scotia Power Inc. (NS Power) in collaboration with Wskijinu'k Mtmo'taqnuow Agency Ltd. (WMA), an economic limited partnership owned by 13 Mi’kmaw communities.
Under terms of these arrangements, NS Power, Nova Scotia’s main electricity provider, will receive a loan of up to $120.2 million while WMA will receive an equity loan of up to $18 million. The project, which is subject to regulatory approval, involves the construction and deployment of energy storage facilities in the communities of White Rock, Bridgewater and Waverley.
Energy storage technologies are essential in Nova Scotia’s move towards more renewable electricity. The CIB’s investment will support the province’s plan to retire coal-based power generation and reach 80 per cent renewables by 2030. As the province continues to bring more renewable energy onto the grid, storage facilities will help ensure reliable electricity service is available when Nova Scotians and Mi’kmaw communities need it, by drawing and storing electricity during off-peak periods and releasing it to the grid when needed.
Phased construction activities on the proposed project sites are planned to begin in 2024 and continue through 2026, with the first site operational in 2025. These facilities are key components to helping reduce Nova Scotia Power’s greenhouse gas emissions by 98,000 tonnes annually.
The project is also WMA’s first equity participation with Nova Scotia Power. CIB’s equity loan to WMA is its first under the Indigenous Equity Initiative (IEI). The IEI fills a market gap by providing Indigenous communities access to capital and opportunities to invest in infrastructure projects across Canada.
The CIB’s equity loan supports a CIB target of investing at least $1 billion in projects which benefit Indigenous communities in Canada. The CIB’s $10 billion Clean Power priority sector addresses financing gaps in new projects such as renewables, district energy systems and energy storage.
The CIB’s goal of supporting innovative energy projects across the country has been reinforced with a landmark investment in Nova Scotia. It’s exciting to couple the largest battery storage investment in Atlantic Canada with our first Indigenous Equity Initiative loan. Through today’s investment, these 13 Mi’kmaw communities will be able to make an equity investment in infrastructure which will make a real difference for the province’s energy sector.
- Ehren Cory, Chief Executive Officer, Canada Infrastructure Bank
The CIB’s investment of $138.2 million towards Atlantic Canada’s largest energy storage project is helping to create economic opportunities across Nova Scotia while supporting a clean energy transition. As the CIB’s first Indigenous Equity Investment, this project will help build a green economy that works for Indigenous Peoples.
- Hon. Sean Fraser, Minister of Housing, Infrastructure and Communities
Today’s announcement is an important part of our joint work with Nova Scotia to develop and transmit clean, reliable and affordable power to Nova Scotians. Energy storage facilities such as these will help us make progress in phasing out coal by 2030, achieving a clean grid across Canada by 2035 and advancing Indigenous economic reconciliation. I am excited about the job and economic opportunities that this project will enable and the federal government is pleased to be supporting these efforts with the significant investments announced today.
- Hon. Jonathan Wilkinson, Minister of Energy and Natural Resources
Nova Scotians deserve clean, reliable and affordable electricity. That’s why we released the Clean Power Plan, which charts our course to meet our 2030 climate change goals and continue on to reach net zero by 2050. Batteries are an important part of that plan – they will store renewable electricity for times when it’s needed.
- Hon. Tory Rushton, Nova Scotia Minister of Natural Resources and Renewables
Our government welcomes this significant announcement of the CIB’s first Indigenous Equity Investment in partnership with Nova Scotia Power and the Wskijinu'k Mtmo'taqnuow Agency (WMA). This marks an important step forward in advancing economic reconciliation for the Mi’kmaq Nation and Indigenous Peoples across Canada.
- Jaime Battiste, Parliamentary Secretary to the Minister of Crown-Indigenous Relations and Member of Parliament for Sydney—Victoria
Creating a greener future is a priority for the Mi’kmaw Nation and WMA is proud to be doing our part to bring about positive transformations to the energy industry. This investment in battery storage is a significant step towards true economic reconciliation and developing a more sustainable future for all Mi’kma’ki.
- Crystal Nicholas, President, Wskijinu'k Mtmo'taqnuow Agency Ltd.
The path to 2030 will take all of us working together. This investment outlines the collaborations and partnerships we have been working on to help mitigate project costs and work meaningfully with our Mi’kmaw communities. We look forward to continuing to work closely with our federal, provincial, Mi’kmaw and community partners on Nova Scotia’s clean energy transition.
- Peter Gregg, President and Chief Executive Officer, Nova Scotia Power Inc.
CIB Media
Media Team
WMA
Nova Scotia Power Inc.
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Read the full news release here
