Energy firm to pay $236 million to up its ownership as life extension agreement secures station's long-term viability
TORONTO—As Bruce Power enters into an agreement with the Ontario Independent Electricity System Operator that will see the operating life of the Bruce Power facility extended to 2064, TransCanada Corp. has exercised an option to acquire an additional interest in the nuclear station.
The Calgary-based energy company will pay the Ontario Municipal Employees Retirement System $236 million to boost its stake in Bruce Power to 48.5. Following the transaction, TransCanada and OMERS will each own 48.5 per cent of Bruce, while the Power Workers’ Union, the Society of Energy Professionals and a Bruce Power Employee Trust own the remaining share.
“Anchored by our investment in Bruce Power, TransCanada is the largest independent power producer in Ontario, and we will continue to be an important part of the energy sector there for decades to come,” the company’s president and CEO, Russ Girling, said.
“More than 30 per cent of our 11,000 megawatt power portfolio, which includes hydro, wind, solar and nuclear facilities, generates no direct greenhouse gas emissions,” Girling added. “Our ongoing commitment to Bruce Power will allow us to strengthen this base of emission-less generation sources for Ontario.”
TransCanada said its long-term investment in Bruce is consistent with its objective of building a balanced portfolio of low-cost generation assets.
The company said the amended agreement that will govern Bruce Power’s refurbishment will take effect Jan. 1, with retrofits slated to begin in 2020, as opposed to the initially-scheduled 2016.