Hydro One, first nations to build Bowmanville-GTA line

Executive Summary

• The Ontario government has directed the Ontario Energy Board to amend Hydro One’s transmission license to develop and construct a new priority 500-kV transmission line between Bowmanville and the Greater Toronto Area (GTA), expected to be in service in the early 2030s.
• Hydro One will partner with proximate First Nations, offering them a 50% equity stake in the transmission line component through its industry-leading 50-50 equity partnership model.
• The directive includes priority designation for two additional projects: the reconductoring of an existing 230-kV line (in service by 2027) and a new 230-kV line from Lauzon TS to Lakeshore TS (in service by 2032), aimed at meeting growing energy demand and supporting economic growth.

Key Details

• Primary Project (Bowmanville-GTA Line):
  • Type: New double-circuit 500-kilovolt transmission line.
  • Route: From Bowmanville switching station to either Parkway transformer station, Claireville TS, or Cherrywood TS.
  • Scope: Includes associated station facility expansions or upgrades required at terminal stations.
  • Timeline: Expected to be in service in the early 2030s.
  • Purpose: To support the connection of the G7's first Small Modular Reactor (SMR) to the grid and deliver clean electricity capable of powering the equivalent of 300,000 homes.
• Secondary Priority Projects:
  • Project 1: Reconductoring of a portion of Hydro One's existing E8V/E9V 230-kilovolt transmission line from Orangeville TS to Essa TS.
    • Timeline: Expected to be in service in 2027.
  • Project 2: New double-circuit 230-kilovolt transmission line from Lauzon TS to Lakeshore TS, including associated station facility expansions or upgrades.
    • Timeline: Expected to be in service by 2032.
• Partnership Structure:
  • Hydro One will build the Bowmanville line in partnership with proximate First Nations.
  • First Nations have the opportunity to invest in a 50-per-cent equity stake in the transmission line component.
  • Utilizes Hydro One's "industry-leading first nations 50-50 equity partnership model."
• Government Context:
  • Directed by Stephen Lecce, Minister of Energy and Mines.
  • Part of the Ontario government's integrated energy plan to address projected significant growth in electricity demand over the next 25 years.
  • Aims to support jobs in key industrial sectors (greenhouses, manufacturing, energy) and secure Ontario's energy supply.
• Company Financials (Contextual):
  • Hydro One reported $36.7-billion in assets as at Dec. 31, 2024.
  • Annual revenues in 2024 were $8.5-billion.
  • 2024 investment in transmission and distribution networks was $3.1-billion.

Notable Quotes

• David Lebeter, President and CEO, Hydro One: "This designation marks another opportunity for Hydro One to invest in Ontario and partner with first nations and communities to build a strong and secure electricity grid... Hydro One's success is tied to Ontario's success, and we thank the government for their support."
• Kelly LaRocca, Chief, Mississaugas of Scugog Island First Nation: "The partnerships we build today are partnerships that will power future generations... Our communities need safe, reliable energy, and, together, we are making that possible."
• Stephen Lecce, Minister of Energy and Mines: "Ontario is growing at an unprecedented pace, and that is exactly why we are acting with urgency to meet that moment, create jobs and protect Canada's economy... This new transmission line will also move electricity generated from our small modular reactors, underscoring how Ontario is focused on job creation and planning ahead to connect the G7's first SMR to the grid."