July 11, 2014
A new agreement with the B.C. government will enable the Kanaka Bar Indian Band to share revenue from the Kwoiek Creek Hydroelectric Project.
The revenue-sharing agreement is enabled by B.C.'s First Nations Clean Energy Business Fund, which aims to promote increased First Nations participation in the clean-energy sector.
The Kwoiek Creek Hydroelectric Project is a 49.9 mega-watt run-of-river project located 14 kilometres south of Lytton and west of Kanaka Bar on the lower reaches of Kwoiek Creek, a tributary to the Fraser River. The project includes a 71-kilometres long, 138-kilovolt transmission line to transmit electricity generated to the BC Hydro Highland Valley Substation near Mamit Lake. Once the project is operating at full capacity, it will provide enough hydro-electricity to power approximately 20,000 B.C. households.
The developer of the project is Kwoiek Creek Resources Limited Partnership, a partnership between the Kanaka Bar Indian Band and Innergex Renewable Energy Inc. The Kanaka Bar Indian Band will share 50% of the proceeds of the hydro project for the upcoming 40 years. The project created 250 construction jobs with 40% of those jobs going to First Nations.
The signing of this agreement means that the provincial government has now reached 32 non-treaty agreements with First Nations since the BC Jobs Plan was launched in 2011, supporting economic opportunities for both First Nations and neighbouring communities.
John Rustad, Minister of Aboriginal Relations and Reconciliation –
“Revenue-sharing agreements like these enable First Nations to participate in economic development and bring benefits more quickly to Aboriginal communities. Our government is committed to building positive and lasting relationships with First Nations, as well as partnering with First Nations to help address socio-economic gaps for the benefit of all British Columbians.”
Chief James Frank, Kanaka Bar Indian Band –
“This clean energy project is the result of many years of hard work and dedication by our community, our partner First Nations and Innergex. It is a run-of-river hydro-electric project developed in a spirit of mutual respect and collaboration. As a source of clean, sustainable energy it will provide long-term benefits for our community and others in British Columbia as well.”
Bill Bennett, Minister of Energy and Mines –
“The First Nations Clean Energy Business Fund has helped create positive partnerships between First Nations, the clean energy sector and the Province. These partnerships have led to projects that are key to economic development and employ people in communities throughout B.C., including many First Nations.”
Jackie Tegart, MLA for Fraser-Nicola –
“This project not only benefits the Kanaka Bar Indian Band, it also contributes to the development of clean, renewable energy in British Columbia.”
Michel Letellier, president and CEO of Innergex Renewable Energy Inc. –
“These revenue sharing agreements demonstrate the success of ongoing co-operation between First Nations and renewable power producers in BC. The Kwoiek Creek Hydro project has been realized by Innergex and the Kanaka Bar Indian Band, in a 50/50 partnership. It will provide tangible benefits to the band, to the region, and to our investors.”
- The First Nations Clean Energy Business Fund provides money to build capacity in First Nations communities and invest in clean-energy infrastructure.
- Through the revenue-sharing agreements, participating First Nations will receive a share of water rentals and land rents charged by the Province for licences issued to the power developer for the life of a project.
- Since 2011, the provincial government has invested approximately $5.1 million in capacity and equity funding to support clean energy opportunities in over 80 Aboriginal communities across B.C., including wind energy, biomass, run-of-river hydroelectric power and clean energy planning.
- The clean-energy technology industry is one of the fastest growing industries in B.C., with more than 200 organizations, 68 per cent of which were formed in the past decade.
Photos from the announcement will be available at: www.flickr.com/photos/bcgovphotos/sets/72157626169219923/
For more information about the First Nations Clean Energy Business Fund, visit: www.gov.bc.ca/arr/economic/fncebf.html
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