Office of the Premier
With support from B.C.’s First Nations Clean Energy Business Fund, Kitselas First Nation is pursuing private power purchase agreement partnerships with major project proponents in northwest British Columbia. These partnerships will support the exploratory drilling stage for the proposed Kitselas Geothermal Power Generation Project.
The Kitselas First Nation will receive $10,000 in capacity funding to support negotiations with major project proponents to establish private power purchase agreements for the sale of electricity from the proposed plant. Kitselas will also seek a private power purchase agreement with a local buyer for thermal energy produced by the plant.
The plant would harness geothermal energy, producing 15 megawatts of electricity with the potential to provide another 135 megawatts of thermal energy as a main heat source for local businesses. Other benefits include enhanced energy security, the offset of greenhouse gas emissions and the creation of up to 75 jobs over the construction and operation phases, including 15 long-term jobs.
The Kitselas Geothermal Power Generation Project is a project of LL Geothermal Inc., a company formed by Kitselas Development Corporation and Borealis Geopower. It is set to be one of Canada’s first geothermal power plants.
Capacity funding from the B.C. First Nations Clean Energy Business Fund is to help with clean energy project feasibility studies, community energy planning or engaging with project proponents.
Funding for this project and other agreements is part of the Province’s commitment to reconciliation with First Nations. This includes ensuring more nations are involved in economic opportunities that make their communities and the rest of the province stronger.
Quotes:
John Rustad, Minister of Aboriginal Relations and Reconciliation —
“This capacity funding will help the Kitselas First Nation work towards their vision of geothermal energy while potentially providing power to major project proponents. Most importantly, this will bring environmental and economic benefits to both their community and the entire northwest region.”
Bill Bennett, Minister of Energy and Mines —
“Business partnerships between industry and First Nations are vital to the Province’s natural-resource sectors. As projects come online, the Kitselas First Nation geothermal plant will be able to provide critical power to major industry in northwest B.C.”
Chief Joseph Bevan, Kitselas First Nation —
“Clean geothermal energy is a key priority for Kitselas First Nation. The funding provided by the Province will help us garner the necessary financial assistance to support the completion of this project, which will bring many benefits to our community. This includes long-term energy security and powerful economic benefits through power purchasing agreements.”
Quick Facts:
- Proposed construction for the geothermal plant is in the Lakelse area, about 10 kilometres south of Terrace.
- In 2013, Kitselas First Nation received $40,000 in capacity funding from the Province to support the geothermal permit proposal and the formation of LL Geothermal Inc.
- Borealis Geopower is a private Canadian corporation that specializes in advising on the geothermal energy industry.
- The Kitselas Development Corporation is the economic arm of the Kitselas First Nation.
- In 2015, Kitselas First Nation signed a clean energy revenue-sharing agreement with the Province for the Middle Creek Hydro Project.
- The B.C. First Nations Clean Energy Business Fund provides equity funding of up to $500,000 and capacity development funding of up to $50,000 to support First Nations with feasibility studies or engagement with private-sector proponents of clean-energy projects.
- Since the fund was introduced in 2010, more than 110 First Nations communities have benefited from nearly $8.2 million in capacity and equity funding for participation in ocean and wind energy, biomass, run-of-river hydroelectric power, clean energy planning and related projects.
- The fund also allows First Nations with revenue-sharing agreements to receive a portion of water and land rents charged by the Province for new clean energy projects.
- B.C. has 42 clean-energy revenue-sharing agreements with 33 First Nations.
Learn More:
Kitselas First Nation: www.kitselas.com/
B.C. First Nations Clean Energy Business Fund, visit: ow.ly/1GsU301Mb8P
