Construction Starts on Mayo B Project

Yukon Energy received some good news this week. We have received all the permits necessary to start groundwork on the Mayo B project, and construction will begin later today or tomorrow. Initial work will include clearing and grubbing (removal of stumps, roots and shrubs) of the area where the penstock will be located. The penstock is the large underground pipe that will carry water to the hydro plant.

Last month Yukon Energy received a favourable response to the project from both the Yukon Utilities Board and the Yukon Environmental and Socio-economic Assessment Board (YESAB). However we needed some permits and final approvals before moving ahead with construction. Those came yesterday and today in the form of an energy project certificate, a land use permit, and decision documents from the Yukon and federal governments accepting YESAB's recommendations.

Mayo B will increase the ability to generate clean power from five megawatts to approximately 15 megawatts without the need for a new dam. The project will offset greenhouse gas emissions by approximately 25,000 tonnes a year. It is also expected to create job opportunities for approximately 150 people over the next two years, most of whom will be Yukoners. Peter Kiewit Sons Co., the construction contractor, has set up a hiring office in Mayo and is working with the First Nation of Na-cho Nyak Dun and the community of Mayo to ensure local employment and business opportunities during construction.

Mayo B is being made affordable due to a $ 53.35 million contribution from the Federal government’s Green Infrastructure Fund as well as $30.15 million from the Yukon Development Corporation and the Yukon government. The other $36.5 million will be paid for by electrical customers. However because the cost will be spread over the lifetime of the project (50+ years) there will not be a rate increase as a result of the Mayo B project.