A new power plant fueled by liquefied natural gas is set to replace the diesel-powered facility in Fort Simpson. The federal government, along with the Northwest Territories Power Corporation (NTPC), is investing over $41.7 million for the construction of the upgraded plant. Expected to be operational by 2029-2030, the new facility will predominantly run on natural gas, aiming to reduce emissions significantly.
NTPC’s communications manager, Doug Prendergast, highlighted that the shift to liquefied natural gas is primarily driven by environmental concerns, with the new plant projected to cut greenhouse gas emissions compared to the existing diesel plant. Moreover, the transition is expected to yield cost savings of approximately 10 to 15%, as demonstrated by the successful operation of a similar plant in Inuvik since 2013.
The move towards liquefied natural gas aligns with Canada’s position as a major global producer of this cleaner fossil fuel. The government’s substantial investment in infrastructure projects like the Fort Simpson power plant underscores its commitment to bolstering development in the North. The upcoming plant is part of the Arctic Energy Fund initiative, receiving a total federal funding of more than $81.7 million.
Apart from the economic and environmental benefits, the new plant’s relocation off the main island is crucial for the community’s safety. Former Fort Simpson council member and mayor, Sean Whelly, emphasized the significance of the plant’s new site to prevent potential hazards posed by flooding and erosion, which have previously jeopardized the current facility.
Whelly expressed satisfaction with the community’s proactive approach towards sustainability and resilience, citing the new power plant as a pivotal step towards long-term viability. The inclusion of backup diesel generators in the new facility further ensures reliable power supply, mitigating the risks associated with natural disasters. Construction is scheduled to commence in 2027, with the existing diesel plant continuing to provide electricity until the transition is complete.