Yukon Energy’s board of directors has approved construction of a transmission line between Carmacks and Pelly Crossing, and a spur line to the Minto mine. The approval is subject to the signing of a project agreement with the Northern Tutchone First Nation, the receipt of all necessary permits and approval from the Yukon government.
The board made the decision after reviewing updated project costs, permitting status and project schedules.
“This transmission line gives us a firm customer for our surplus hydro,” Yukon Energy president David Morrison said. “It will allow Pelly Crossing residents to switch from diesel to hydro for their electricity needs, reducing greenhouse gas emissions. It’s also the first phase of a plan to connect our northern and southern grids, which will result in more flexibility to meet customer needs.”
“While the total price tag is higher than originally estimated, the economics are still there to make this a viable project for Yukon Energy and for ratepayers,” Morrison added. The cost of the main line from Carmacks to Pelly Crossing is expected to be about $27.8 million, with the Minto spur line costing approximately $8.8 million.
Yukon Energy is now in a position to issue contracts for centerline surveying, clearing, and line construction. However they will be conditional on obtaining final permits and permission to proceed with the project. Yukon Energy is pleased to announce that the transmission line construction, valued at $17.3 million, will be awarded to a joint venture partnership between the Northern Tutchone First Nations, Valard Construction and Arctic Power.
“By partnering on this project with two highly reputable and experienced line construction companies, we are confident that the Northern Tutchone Council will deliver a high quality product,” Morrison said.
The right of way clearing contract will also go to the Northern Tutchone First Nations, jointly with J.V. Partners. That work is valued at approximately $3.4 million.
The centreline survey contract, worth just under $693,000, will be awarded to Challenger Geomatics.
The next major step in the transmission line project requires the completion of the Yukon Environmental and Socio-Economic Assessment Board’s final screening report. Last month a draft report circulated for the public to review. The deadline for public comment was Oct. 1.
The final report will provide recommendations to the Yukon, Selkirk and Little Salmon/Carmacks First Nations governments. Once the decision bodies have accepted the report, the necessary permits can be granted and centerline survey and line clearing work can begin.
Yukon Energy anticipates the clearing to start by late this fall, with construction to begin in the spring. The transmission line should be operating by late 2008.
Yukon government's release on this subject to be found here.
Contact:
Janet Patterson
Supervisor, Communications
Yukon Energy Corporation
(867) 393-5333
janet.patterson@yec.yk.ca
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