OPG to announce $12.8 billion refurbishment of Darlington nuclear reactors

TORONTO - Ontario Power Generation will unveil plans Monday for a $12.8-billion refurbishment of four nuclear reactors at the Darlington generating station east of Toronto.

See Full Article

The Canadian Press has learned the Liberal cabinet has given approval to start the rebuild of the first reactor this fall, and OPG will have to come back to the government for approval of each subsequent reactor refurbishment project.

Sources familiar with the announcement say the final budget includes a $1.7 billion contingency fund in case of cost-overruns on the $4.5 billion portion of the project done inside the reactor itself - the nuclear science work deemed as "subject to execution risk" versus the fixed contracts for the majority of the supporting infrastructure.

OPG estimates it would need between 7.8 cents-to-8.1- cents-per-kilowatt-hour to recover the total cost of the refurbishment, below current averages of 9.2 cents-per-kwh, but more than privately-owned Bruce Power will be paid under a new contract.

Bruce announced plans last month to spend $13 billion to refurbish six nuclear reactors at the generating station it operates under contract in Kincardine, on Lake Huron. It will be paid between 6.57-to-7.7-cents-a-kwh for the power generated by the refurbished reactors.

The Liberal government wants to extend the scheduled lifespan of the reactors at both generating stations, which would normally end around 2020, by about another 30 years.

OPG was "limiting risk by including contractual provisions that keep contractors and subcontractors accountable for any delays or overruns," on the Darlington refurbishment, said one source.

Bruce Power assumed all risks of cost overruns for its nuclear rebuild project, which will start in 2020, four years later than originally planned.

Ontario's only other nuclear generating station, in Pickering, is also scheduled to be decommissioned in 2020, and there are no plans to rebuild its reactors.

OPG president and CEO Jeff Lyash touted the benefits of the Darlington refurbishment in a recent speech, citing a Conference Board of Canada report showing it would generate $14.9 billion in economic benefits to Ontario and create 11,800 jobs a year during the peak of construction.

The government estimates there are 180 Ontario companies in the supply chain to refurbish the Candu reactors.

Premier Kathleen Wynne wants to keep generating about 50 per cent of Ontario's electricity from nuclear power, and points out that her government cancelled plans to build a new nuclear generating station, which would have cost at least $15 billion.

Ontario's opposition parties say the Liberals have made a mess of the electricity sector and have driven rates so high they are forcing companies to leave the province for cheaper-power in neighbouring provinces and states.

Anti-nuclear activists like the Ontario Clean Air Alliance say nuclear projects always run over budget, and they want OPG to abandon the refurbishment plans and instead import more electricity from Quebec.

Greenpeace Canada is concerned about possible accidents at nuclear generating stations, and says refurbishing the aging reactors at Darlington is not worth the risk.



Advertisements

Latest Canada & World News

  • Assault charge stayed for northern B.C. politician Pat Pimm

    Canada News CTV News
    VICTORIA -- An assault charge against a member of the B.C. legislature has been stayed. A spokesman for the Criminal Justice Branch says Pat Pimm agreed to a peace bond Monday for a period of eight months that prohibits him from contacting the complainant. Source
  • Iranian baby with heart defect delayed by travel ban doing well, say doctors

    World News CTV News
    PORTLAND, Ore. -- Physicians say a four-month-old Iranian girl with a rare heart condition who was affected by President Donald Trump's travel ban is "out of the woods" and making good progress after her life-saving surgery last Friday. Source
  • Hundreds of thousands remain without water after floods in Chile

    World News CTV News
    SANTIAGO, Chile - Hundreds of thousands of homes in communities around Chile's capital remained without water Monday as authorities struggled to restore service following floods caused by Andean rainfall. There were three confirmed deaths and 19 people were listed as missing in the flooding. Source
  • Accused Kim Jong-nam killer partied until dawn

    World News Toronto Sun
    One of the party girls accused of killing the estranged brother of North Korean despot Kim Jong-un was at a birthday bash ’til dawn on the day of the murder. Cops say the Feb. 13 mission was to kill Kim Jong-nam with a deadly poison. Source
  • Reena Virk's mother speaks out on Kelly Ellard decision

    Canada News CTV News
    The mother of murdered B.C. teen Reena Virk doesn’t believe the parole board that granted her daughter’s killer temporary escorted absences from prison would have been swayed by the Virk family’s opposition. “The powers that be will do what they want to do regardless,” Suman Virk told CTV News Channel Monday. Source
  • UN condemns North Korea's attempts to evade sanctions

    World News CTV News
    The Security Council on Monday condemned North Korea's "irresponsible and provocative" attempts to evade UN sanctions. Council members emphasized "the importance of full compliance" with the six rounds of increasingly tougher sanctions in a statement after closed-door discussions. Source
  • TTC ad for app showing pot shop listings lights up controversy

    Canada News CBC News
    A set of ads displayed across the TTC for an app called WeedMaps is lighting up controversy over whether the transit agency should be helping marijuana dispensaries generate profits, as police attempt to crack down on illegal pot shops in the city. Source
  • Cyberspy service eyes political blackmail as part of democratic risk assessment

    Canada News CTV News
    OTTAWA -- The threat of political blackmail could figure in a wide-ranging review of risks to Canada's electoral system, says a senior official from the national cyberspy agency. Safeguarding personal information on voters lists, ensuring election ballot tallies aren't manipulated and preventing fake news from swaying the public might also be part of the study, said Scott Jones of the Communications Security Establishment. Source
  • Halifax friends post Kijiji ad for dates to hockey game, get 200 responses

    Canada News CTV News
    A pair of friends in Halifax found unlikely success in their bid to find dates to a hockey game after taking inspiration from a Hollywood movie. Nick Hartling and Connor Beck consider each other best friends and share a love for hockey and humour. Source
  • Calgary homicide victim Susie Elko 'never stood a chance' Listen to 911 call

    Canada News Toronto Sun
    playpausestopmuteunmute 911 Call Accused killer was 'like a zombie' Susie Elko was fatally stabbed with the knife she gave to her boyfriend as a birthday present, a prosecutor said Monday. Source