HALIFAX – IESO Nova Scotia is continuing to move quickly to secure critical and cost-effective generation capacity to meet the province’s future electricity demand.
The independent energy system operator has signed a term sheet with NB Power that secures Nova Scotia the option to contract 100 megawatts of fast-acting generation capacity from a new facility planned for Centre Village, New Brunswick. The term sheet outlines the opportunity for IESO Nova Scotia to join the project when a final agreement is reached, which would allow Nova Scotia to access this capacity for a 10-year term, starting as early as 2028.
Nova Scotia’s last Integrated Resource Plan and the provincial government’s Clean Power Plan have both identified a critical need for fast-acting generation capacity to keep our grid reliable amidst growing electricity demand and continued progress toward the target to eliminate coal by 2030.
“There is no time to waste in securing the capacity needed to keep our electricity system reliable, and we are moving quickly to do that,” said Johnny Johnston, President and CEO of IESO Nova Scotia. “Our job as the independent system operator is to identify the right investments to maintain reliability and ensure Nova Scotians are getting the best value for money. Participating in this project would be the fastest and most cost-effective way to add much-needed capacity to the system so we can keep the lights ― and the heat ― on for electricity customers, even in periods of exceptional demand, like the recent cold snap.”
This kind of fast-acting generation is an important part of the energy mix the province needs to meet increasing demand, both now and into the future. Its flexibility allows more renewables to be added to the grid by providing reliable, responsive, and cost-effective capacity when wind and solar conditions and battery storage aren’t sufficient and a backup source is needed ― and powering down when it is not. Additionally, the Centre Village facility is designed to be able to transition to non-emitting fuels when they become available.
“The Province of Nova Scotia is prepared to support this project with a loan guarantee to IESO Nova Scotia,” said Tim Houston, Premier and Minister of Energy for the Province of Nova Scotia. “This project is a good example of regional cooperation on energy, and it will secure more of the capacity our system needs at a price Nova Scotia ratepayers can afford.”
The NB Power–IESO Nova Scotia term sheet lays out agreed terms to be reflected in any f inal agreement, including the cost-sharing of certain project costs and the ability for either party to make available unused capacity to the other if there is a need.
“Our entire region is facing similar energy challenges, and this agreement with IESO Nova Scotia is a powerful example of regional collaboration that strengthens energy security while directly benefiting customers in New Brunswick and Nova Scotia,” said Lori Clark, President and CEO of NB Power. “This is a true win-win for both provinces as we continue on our pathway to a lower carbon future.”
The proposed Centre Village facility will bring 10 fast-acting dual-fuel turbines online, with eight being dedicated to generating 400 megawatts of capacity for the province of New Brunswick, and the remaining two units being allocated to generating 100 megawatts of capacity for Nova Scotia, providing IESO Nova Scotia reaches a final agreement with NB Power.
About IESO Nova Scotia
IESO Nova Scotia is a not-for-profit created by provincial law to take on electricity system planning and real-time grid operations on behalf of Nova Scotians. IESO Nova Scotia will be responsible for planning for the province’s future energy needs, procuring new electricity generation capacity, and purchasing and dispatching power from producers, including Nova Scotia Power. IESO Nova Scotia is independent of governments, utilities, and power producers, meaning decisions will be driven only by Nova Scotians’ needs. With a mandate to bring transparency and competition to the province’s electricity market, IESO Nova Scotia’s singular focus is to improve reliability, accelerate the transition to renewable energy, and secure the most cost-effective electricity possible for Nova Scotians. IESO Nova Scotia began operations in 2025.
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Media Contact
Olivia McMackin
902-830-4982
communications@ieso-ns.ca