$3.8bn bid to bring Canadian hydropower to New York

February 24, 2010

The proposed route of the Champlain-Hudson Power Express

A Canadian firm announced plans yesterday to build a $3.8 billion transmission line to bring up to 2,000 megawatts of “safe, secure, affordable” renewable power to New York and New England.

Backed by financial partner The Blackstone Group, Toronto-based Transmission Developers, Inc. (TDI), wants to build a 355-mile power cable from the Labrador area down to the New York metro area.

The Champlain-Hudson Power Express, as it is called, would see a High Voltage Direct Current (HVDC) link built in major waterways like the Hudson River and Lake Camplain, in order to minimise its impacts on local communities and the environment.

Where not underwater, or in areas where the Hudson is regularly dredged, the cable would be installed along railroad routes, the company said.

There could also be an additional 65-mile underwater connection to Bridgeport, Connecticut.

Donald Jessome, President and CEO of TDI said: “New York and New England have growing energy demands that must be addressed and this project will help meet these needs with clean, renewable power. This project brings clean energy into the grid, while lowering prices for consumers.”

Permitting

The transmission project will be subject to “extensive” federal and state permitting requirements, but TDI said it will be “committed to openness and dialogue” during this process.

The final route will be reviewed by the New York State Public Service Commission and Connecticut regulators.

This project brings clean energy into the grid, while lowering prices for consumers” - Donald Jessome, TDI

TDI, which has its US headquarters in Albany, NY, already has an application pending for federal grant support, under the Department of Energy’s Loan Guarantee Program for transmission projects.

The company is currently working with Nalcor Energy, which is developing a 3,000MW hydropower project on the Churchill River, Labrador, about the feasibility of connecting the project with the New York area power market.

Ed Martin, President and CEO of Nalcor Energy said, “As we continue to assess our market access options, we will continue to work with TDI to explore the possibility of bringing a portion of the power from our 3,000 MW Lower Churchill hydroelectric project in Labrador, as well as our future wind power potential, to the New York and New England markets.”

TDI said it has met with local officials and interest groups over the past year to brief them on the project. The company is also planning a series of public meetings in upcoming months along the cable’s planned route.