News Release

FREDERICTON (GNB) – Legislation was introduced today on behalf of NB Power that would allow the utility to enter partnerships ‎for major export opportunities.  

“These changes would provide us with more flexibility in negotiating contracts for large and complex construction projects that require special processes for planning, financing and implementation,” said NB Power CEO Gaëtan Thomas. “These projects will still be tendered and open to bid by New Brunswick companies. In addition, all other procurement processes for us remain unchanged as we are still governed by common law of tendering including the recently modernized Procurement Act. With these legislative changes, NB Power is simply seeking the ability to negotiate less expensive contracts that will flow from both parties agreeing to share the risk inherent in these large and unique projects.”

A long-awaited renewable energy request from the State of Massachusetts was approved there last July. NB Power has the potential to undertake major projects in hydro, wind and tidal power to bid on this opportunity, but, according to the utility, not without this legislation.

The legislation, which would amend the Crown Construction Contracts Act, was previously introduced in the 2015-16 session of the legislature and did not pass. The government is reintroducing the legislation with minor changes at the request of NB Power, but says it will not proceed unless it is supported by the Official Opposition. The legislation will be referred to the law amendments committee, before which the utility will appear to answer questions. 

‎"Although the bill is being presented at the request of NB Power, there are also minor amendments being proposed that were part of the original package. This would modernize the act, providing administrative efficiencies, and also bring the Crown Construction Contracts Act into line with the Procurement Act,"‎ said Transportation and Infrastructure Minister Bill Fraser. "For many years, the provincial government has asked NB Power to operate like a business. The utility says it needs these changes in order to do that. If NB Power can convince legislators of that need, the legislation will pass. Otherwise it will not."