New Brunswick will retain complete ownership and control of its transmission and distribution systems following the conclusion of negotiations of an energy agreement with Québec. The announcement was made in Fredericton by Premier Shawn Graham, Energy Minster Jack Keir and Business New Brunswick Minister Victor Boudreau.
A New Brunswick-Government owned NB Power will retain NB Power Transco and NB Power Disco, as well as NB Power Holdco, while the New Brunswick System Operator will continue to operate as an arm's length agency.
As a result of these changes to the proposed energy agreement, NB Power will continue to operate as a New Brunswick-owned and operated Crown corporation, employing approximately two-thirds of the current workforce of the utility.
As the owner of the transmission and distribution companies, NB Power will continue in its roles of customer service excellence, planning, maintenance and development of our transmission system.
The New Brunswick Energy and Utilities Board and the New Brunswick System Operator will continue to have oversight as it applies to all aspects of the transmission and distribution networks in New Brunswick.
New Brunswick will receive $3.2 billion for the assets being sold to Hydro-Québec, projected to be a sum sufficient to retire the debt related to the generation assets of NB Power.
Hydro-Québec will still provide New Brunswick with a 14 terawatt-hour heritage pool of electricity, more than large enough to meet the province' current electricity needs. New Brunswick ratepayers in the residential, commercial and wholesale rate (RCW) category will continue to benefit from a guarantee of no rate increases for the next five years. This will mean those customers will avoid a planned minimum rate increase of 16 per cent over that period.
