Private sector will pick reactor: minister

Published Tuesday July 1st, 2008
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SAINT JOHN - New Brunswick Energy Minister Jack Keir says it's "highly unlikely" that the Ontario government would not select Atomic Energy of Canada Limited's Advanced Candu reactor for its nuclear expansion project.

Keir pointed out that AECL, a federal Crown corporation, employs more than 4,800 people in Ontario.

"Let's just be frank here for a minute. With the car industry the way it is in Ontario - I don't want to get into their politics - it'd be tough for them I'd suggest, it'd be pretty tough for them not to pick AECL," said the plain-spoken energy minister during an editorial board meeting with the Telegraph-Journal.

Keir's comment comes after NB Power chairman Francis McGuire said that a decision by Ontario to endorse either the French nuclear giant Areva or U.S.-based Westinghouse Electric Company to provide new nuclear reactors it could spell trouble for the AECL's ACR-1000.

The Ontario government is in the middle of a procurement process to build a two-reactor expansion at its Darlington facility east of Toronto.

The ACR-1000 is at the heart of the Team Candu New Brunswick consortium's proposal to build a second nuclear reactor at the Point Lepreau Nuclear Generating Station southwest of Saint John. Team CANDU New Brunswick draws on the experience and expertise of Atomic Energy of Canada Limited, Babcock & Wilcox Canada, GE-Hitachi Nuclear Energy Canada Inc., Hitachi Canada Ltd and SNC-Lavalin Nuclear Limited.

Keir said even if Ontario decides to go with the Areva or Westinghouse reactors, it wouldn't necessarily be a blow to Lepreau 2.

"Let's say Ontario doesn't (choose the ACR-100), they pick Areva. The private sector here is going to say 'hold on, we'd better slow down here, because I don't want an orphan technology', but it's the private sector that's going to make that decision, not NB Power, not Francis McGuire, not Jack Keir, not our government" he said, "It's the private sector that's paying the money, it's the private sector that will pick the technology. I can clearly tell you that every indication I've been given from the private sector investors that I've talked to is that AECL is their (preferred) technology."

Keir said the Lepreau 2 backers believe the AECL ACR-1000 reactor technology is less expensive to build than competing units.

"(AECL) has a track record around the world of developing these Candu-6's on budget and on time and I think the private sector investors like that idea."

Dale Coffin, a spokesman for AECL, said the Crown corporation is pitching its ACR technology to Saskatchewan and Alberta in addition to Ontario and New Brunswick.

Coffin said the Team Candu NB group is confident the New Brunswick government will support their proposal.

"We're very confident that we're close to getting a positive decision to move forward with our proposal," he said.

If the project receives the blessing of the Graham government, Team Candu NB will apply for a site license from the Canadian Nuclear Safety Commission and commence the environmental impact assessment process.

"We're optimistic we'll be moving forward to the next phase."

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Minister Keir is not truthfull with the people of NB. He and his government has picked the Candu team to choose the new reactor for NB and Atomic Energy of Canada is the builder of the Candu system. So how can the minister pretend that the private sector will pick the system. He has already picked it. Minister Keir also states that the private sector will pay for the new plant. That is a half truth. The people of NB will eventually pay for the new plant when they buy their electricity at double todays prices because the new plant will be managed by NB Power and its very incompetent management.
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Anonymous Reader on 01/07/08 03:00:13 PM ADT
Excuse me? AECL has a track record of being on time and on budget? Obviously the Energy Minister has forgotten the fiasco that was perpetrated on the ratepayers of NB when the Candu Reactor at Pt. Lepreau was built, because it was neither on time nor on budget. In fact the costs more than doubled the projected budget for building the plant. I believe it was budgeted to be built for approximately $500 Million and ended up costing more than $1.2 Billion to complete. We are still paying for the mistakes made by NB Power when that generating station was built.
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Anonymous Reader on 02/07/08 07:31:22 PM ADT
Regardless of the Minister's parsing of words, tax payers will be left holding the bag when the bills come due for this boondogle. I am so tired of this private-public sector crap. Just what is so f*&^king efficient about the private sector? Have you gone to Tim Horton's recently for a coffee, or tried to get a payment out of your car or house insurance policy? Are these the folks you want running the health care sector? These ministers are all adutioning for a job in the private sector when they leave office. Our last two premiers live in Toronto and Montreal - after spending years telling us what a great place NB is (and it is), at the first opportunity Lord and McKenna went down the road to Ontario and Quebec. There is something fundamentally wrong with that.
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Anonymous Reader on 03/07/08 10:29:47 AM ADT
We New Brunswickers need a energy rate decrease! We pay to build this thing in our backyards, employ a few people and well..... right now there is a powerline cut to the state of Maine. What is the benefit to all New Brunswickers power rates? They keep going up and up. I say sell the energy to Maine but put a feed into the NB Power grid and give the people of this province a break! Maybe take the HST off our rates.
thanks,
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Anonymous Reader on 05/07/08 06:39:44 PM ADT
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