House of Assembly Passes Motion in Support of Muskrat Falls

A private member’s resolution presented today in the House of Assembly in favour of the Muskrat Falls development received support from the majority of members of the legislature.

“Muskrat Falls is the least-cost solution to respond to our province’s increasing demand for electricity on the Island and the project will position our province for long-term economic and environmental prosperity. It is truly a game-changer for Newfoundland and Labrador’s energy future, as well as for the Atlantic region and the rest of the country,” said the Honourable Kathy Dunderdale, Premier of Newfoundland and Labrador. “The provincial Energy Plan is clear that we will seek long-term stability for the ratepayers of our province and acquire a secure, environmentally-sustainable source of power. Our government must take action to ensure the people of the province have access to reliable and affordable electricity. Through our support of today’s resolution on Muskrat Falls, we are doing just that and ensuring significant benefits accrue to Newfoundlanders and Labradorians.”

The Muskrat Falls development will secure long-term stable electricity rates for residents and business at the lowest cost possible. Electricity will be available for large-scale mining in Labrador and further industrial development in the province while securing a link to North America’s electricity grid for export opportunities.

The project will generate approximately 98 per cent of its electricity from clean renewable sources. The Holyrood facility is 40 years old and continued use means escalating maintenance and upgrades, installation of emissions control equipment, and continued dependency on fossil fuel generation. Muskrat Falls will eliminate the province’s reliance on fossil fuels and volatile oil prices which contributes to an increase in electricity prices for ratepayers.

In addition, Muskrat Falls will generate significant employment and economic benefits for the people of Newfoundland and Labrador. The project will provide 9,100 person-years of direct employment including 5,800 in Labrador. The province will see $1.9 billion in income to labour and business, as well as $320 million in average income benefits per year and $290 million in taxes to the Government of Newfoundland and Labrador.

“One of the most significant platform commitments by our government in the Energy Plan was to invest the value of the province’s non-renewable revenue into renewable sources of energy so that future generations of Newfoundlanders and Labradorians could benefit from these resources,” said the Honourable Jerome Kennedy, Minister of Natural Resources. “Muskrat Falls will contribute to a strong sustainable future for our province and promises energy stability and security for Newfoundlanders and Labradorians for many years to come.”

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2012 12 05                           5:10 p.m.