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ARTICLE · 25 JULY 2013

Eventful Day For Eastern Canada Electric Power Industry

McCarthy Tétrault
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July 22, 2013 was an eventful day for Canada’s eastern provinces, with two noteworthy developments concerning the future of their electricity industries, including the Nalcor Energy Lower Churchill mega hydroelectric project and its 824 MW first phase Muskrat Falls hydroelectric project.

CanadaEnergy and Natural Resources
Louis-Nicolas Boulanger
Louis-Nicolas Boulanger
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July 22, 2013 was an eventful day for Canada's eastern provinces, with two noteworthy developments concerning the future of their electricity industries, including the Nalcor Energy Lower Churchill mega hydroelectric project and its 824 MW first phase Muskrat Falls hydroelectric project.

First, Hydro-Québec, Québec's electricity utility, filed a motion with the Québec Superior Court for a declaratory judgment challenging two recent positions taken by Churchill Falls (Labrador) Corporation Limited (CFLCo) with respect to the May 12, 1969 Churchill Falls Power Contract (the Power Contract).

CFLCo is a subsidiary of Newfoundland and Labrador Hydro, itself a subsidiary of Nalcor Energy, Newfoundland and Labrador's energy corporation (with a 65.8% equity interest), and of Hydro-Québec (with a 34.2% equity interest). CFLCo owns the 5,428 MW Churchill Falls generating station and, pursuant to the Power Contract, must make available almost all of the facility's output to

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