Hydro power revenues, controversy in northeast: Timmins mayor sees potential for local benefit.

• Author: Stewart, Nick
• Position: TIMMINS

With a number of hydroelectric projects slated in and around Timmins, the municipality may one day begin to view such resources the same way as mining, according to mayor Tom Laughren.

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"We need a bigger share of [the natural resources] pot for Northern Ontario," he says.

"You can take the mining revenues, and you can't really talk about forestry revenues, but I think even water generation revenues can be a part of that."

With an eye on phasing out the province's coal-fired facilities by 2014, the Ontario Power Authority has pointed to northeastern Ontario as a potential hotspot for renewable energy. It has identified 135 megawatts (MW) of hydroelectric potential on the Moose River, 745 MW on the Abitibi River, and 652 MW on the Mattagami River. Many of these represent existing government facilities, including eight already on the Mattagami, but room for new projects are also included.

In fact, several such initiatives are already in motion, including one 20 MW project on the Kapuskasing River by Quebec-based Hydromega Inc.; a 16 MW project on the Mattagami River by Calgary-based Canadian Hydro Developers; and a 4 MW project on the Grassy River by Englehart-based Woods Power Generation.

While still in the early stages, many such projects nevertheless should benefit Northern Ontario communities in some way, be it through cheaper power or direct revenues, Laughren says. He compares the situation to that of the mining revenues report issued in February by the City of Greater Sudbury, which made the argument for municipalities to draw greater benefits from local mining activities. The comparison to hydroelectric power is apt, says Laughren, who sees a future for such projects. The Grassy River project is a good example, as it sits within Timmins' city limits.

Despite the potential benefits, each has drawn its share of detractors, which have often been local groups concerned that the development will sully the natural beauty and eco-tourism potential of the proposed site.

In the case of the Grassy River project, which is still in the pre-feasibility stage, some city councilors have also joined the fray. The city has since committed an engineer to determine how such a project will affect the flow of the river.

One party that resists some of the local criticism of the Grassy River project is the Wabun Tribal Council, which represents seven First Nations communities and is a partner in the project.

Shawn Batise, executive...