The $710 million in investments includes the construction of the Aspen Power Station Project and the Ermine and Yellowhead expansions.

The Aspen Power Project will be a 370 MW natural gas combined-cycle (NGCC) plant. The project is expected to come online by Spring 2028. Burns & McDonnell was recently announced as the EPC contractor.

SaskPower is adding a simple cycle natural gas turbine to the Ermine Power Station. This will be the facility’s third turbine and will produce an additional 46 MW of power. It is expected to be in-service in May 2025.

The utility is also adding 46 MW at the Yellowhead Power Station through the facility’s fourth turbine. The unit is expected to be in service in December 2025.

SaskPower this year will also commission the Great Plains Power Station near Moose Jaw, begin operating the province’s first battery energy storage system near Regina, and add 200 MW of renewable energy capacity from the Bekevar Wind Energy Project near Kipling.

At each of the Great Plains and Aspen locations, Siemens Energy is providing a SGT6-5000F6.3 gas turbine, a SGEN6-1000A generator, a SST700-900 steam turbine and a SGEN6-100A steam turbine generator.

The $1.6 billion modernization plan also covers grid maintenance and upgrades, growth projects, smart meter deployments and more. The capital investment represents an increase of $433 million over 2023-24.

“This record investment is a sign of our government’s commitment to a growing economy and strong communities powered by reliable, sustainable electricity,” Minister Responsible for SaskPower Dustin Duncan said. “Major projects such as the Aspen Power Station will also directly fuel economic growth in our province though the participation of local companies.”

All planned capital expenditures for 2024-25 include:

• $508 million to maintain and upgrade transmission, distribution and generation assets
• $710 million on new generation, including the Aspen Power Station Project and the Ermine and Yellowhead expansions
• $311 million in growth projects, including connecting new customers to the grid; and
• $67 million in strategic investments that will allow SaskPower to continue with smart meter deployment and continue work on projects such as the Regina Operations and Maintenance Complex.

“The clean energy transition is the most significant change SaskPower has ever experienced, and investments are required to navigate it successfully,” said Rupen Pandya, SaskPower President and CEO. “As we look to the future, our investments will continue to be focused on strengthening our electricity system and moving to lower-carbon generation options.”

Last year, the Government of Canada returned some C$174 million ($128.8 million) of carbon pollution pricing proceeds through the Future Electricity Fund to advance a handful of clean electricity projects being undertaken by SaskPower.

The province of Saskatchewan used the money to implement new smart-meter technologies and support upgrades to electricity infrastructure through the Distribution Rural Rebuild and Improvement Program. Funding will also contribute to refurbishing the E.B. Campbell Hydroelectric Station.

The Smart Meter Deployment Project is intended to support electrical grid modernization and improve grid reliability and resilience by deploying smart meter technologies to residential homes across the province. Smart meters would provide ratepayers with greater access to energy consumption data to help modify behaviors and reduce overall energy consumption. Meters would provide SaskPower with real-time electricity consumption and power outage updates, thereby eliminating much of the need for physical travel and the associated greenhouse gases.

SaskPower and GEH will collaborate on project planning and facilitate the sharing of expertise related to the design, fuel sourcing and fabrication of GE Hitachi’s BWRX-300 small modular reactor. The companies will also support workforce and supply chain planning needed for a Saskatchewan-based SMR deployment. 

“Gaining detailed technical specifications, requirements and designs to the BWRX-300 is necessary for our planning work and license applications,” said Rupen Pandya, SaskPower President and CEO. “Leveraging experience and expertise from our colleagues in the nuclear industry is an important part of our planning work.” 

In June 2022, SaskPower selected the GE Hitachi BWRX-300 as the technology to be used in its SMR development work. The BWRX-300 was also selected by Ontario Power Generation for its Darlington New Nuclear Project and is a boiling water reactor that produces about 300 MW from one single unit. This innovative SMR is based on similar large-scale nuclear power plants that have been in operation globally for decades.

OPG aims to build North America’s first SMR at its Darlington New Nuclear site. OPG expects the first of four SMRs would be completed there by the end of 2028 and online by 2030. Subject to Canadian Nuclear Safety Commission (CNSC) regulatory approvals, the additional SMRs could come online between 2034 and 2036. The four units once deployed would produce a total 1,200 MW of electricity.

In 2023, the Canadian government approved up to $74 million in federal funding for small modular reactor (SMR) development in Saskatchewan, to be led by SaskPower. The funding will support pre-engineering work and technical and regulatory studies, environmental assessments and community and Indigenous engagement.

Earlier in 2023, SaskPower and OPG renewed an agreement to continue working together on new nuclear development, including SMRs. The utilities would provide mutual support by sharing lessons learned, technical resources and expertise, best practices and operating experience. SaskPower and OPG would consider future collaboration in other areas, including project development and plant operations.

The provincial utilities announced a master services agreement at a press conference Nov. 20.

The five-year agreement, which builds on existing collaboration between the utilities, would help streamline SMR development in Saskatchewan. Under the agreement, LEP would focus on program management, licensing and operational readiness activities.

OPG aims to build North America’s first SMR at its Darlington New Nuclear site. OPG expects the first of four SMRs would be completed there by the end of 2028 and online by 2030.

“We’re a couple of years into our process with our technology, as well as ultimately building out an operational capability,” said OPG President and CEO Ken Hartwick. “And the goal of OPG and Laurentis is to build out all this capability [in Saskatchewan].”

OPG, SaskPower and Laurentis would also leverage the research and expertise of post-secondary institutions in both provinces. As part of the agreement, the companies would coordinate and enable industry suppliers in Ontario and Saskatchewan to support a Canadian fleet of SMRs.

Earlier in 2023, SaskPower and OPG renewed an agreement to continue working together on new nuclear development, including SMRs. The utilities would provide mutual support by sharing lessons learned, technical resources and expertise, best practices and operating experience. SaskPower and OPG would consider future collaboration in other areas, including project development and plant operations.

OPG and SaskPower have both selected the GE Hitachi BWRX-300 SMR for potential deployment.

The first of four SMRs will be completed by the end of 2028, and online by the end of 2029.

SaskPower has started looking at potential sites for the province’s first SMR. Deployment would be expected in the mid-2030’s. Saskatchewan plans to decide whether to proceed with the project in 2029.

This funding will support pre-engineering work and technical and regulatory studies, environmental assessments and community and Indigenous engagement.

SaskPower has selected the GE Hitachi BWRX-300 for potential deployment in Saskatchewan in the mid-2030s. The provincial power utility anticipates construction of its first SMR to begin as early as 2030, with a targeted in-service date of 2034. Additional facilities could begin construction as early as 2034.

Canada has been financially supportive of deploying new nuclear as it works to significantly increase carbon-free power.

The government of Ontario and Ontario Power Generation (OPG) are planning to build a total of four SMRs at the Darlington nuclear site in the province, with the GE Hitachi BWRX-300 as the chosen technology. OPG is partnering with GEH, SNC-Lavalin and Aecon on the first reactor, with construction expected complete by 2028.

The four units once deployed would produce a total 1,200 MW of electricity.

Canada is targeting a net-zero electric grid by 2035.

In 2020, SaskPower and Ontario Power Generation commissioned the Conference Board of Canada to study the potential economic opportunity and job creation related to the development of small modular reactors in both provinces.

Up to $50 million of the $74 million allocated to SaskPower comes from NRCan’s Electricity Predevelopment Program — a $250-million program to support pre-development activities of clean electricity projects of national significance.

The remaining more than $24 million has been committed to the Government of Saskatchewan from Environment and Climate Change Canada’s (ECCC) Future Electricity Fund. This program returns pollution pricing proceeds to support clean energy projects, energy-efficient technologies and other initiatives aimed at helping Canada achieve a net-zero-emissions economy by 2050.

As part of the utility’s planning and regulatory work, SaskPower previously identified two areas to potentially site SMRs The Estevan study area includes the areas around Boundary/Rafferty Dam and around the Grant Devine Dam. The Elbow study area includes an area around Lake Diefenbaker, from Gardiner Dam to the Diefenbaker Dam.

The Estevan site is close to the Boundary Dam power station, which is Saskatchewan’s largest coal-fired power plant. The Gardiner Dam site plays host to around 186 MW of hydropower generating capacity.

The work includes design, procurement, construction and commissioning of the facilities and related equipment and improvements.

As Saskatchewan continues to transition away from coal-fired power generation and introduce more wind and solar power to the grid, SaskPower said these additions would bring reliable, cost-effective baseload power to the province.

Planned expenditures include C$517 million ($383.3 million) to maintain and upgrade existing transmission, distribution and generation assets, and C$505 million ($374.4 million) in growth projects, including investments in new natural gas-fired plants such as the Great Plains Power Station and the Aspen Power Station.

The Great Plains Power Station is a 360 MW plant to be located in Moose Jaw’s Agri-Food Industrial Park. According to SaskPower, the plant is expected to be online sometime in 2024.

The Aspen Power Station is a 370 MW plant to be located near Lanigan.

SaskPower said the funding will also cover major generation projects such as the ongoing E.B. Campbell and Coteau Creek refurbishments and Ermine/Yellowhead Power Station expansions.

The utility said the 2023-2024 capital investment represents an increase of C$98 million ($72.6 million) over the previous year.

As part of the utility’s planning and regulatory work, it identified two areas for further study. The Estevan study area includes the areas around Boundary/Rafferty Dam and around the Grant Devine Dam. The Elbow study area includes an area around Lake Diefenbaker, from Gardiner Dam to the Diefenbaker Dam.

The Estevan site is close to the Boundary Dam power station, which is Saskatchewan’s largest coal-fired power plant. The Gardiner Dam site plays host to around 186 MW of hydropower generating capacity.

SaskPower chose the two sites based on requirements of the various SMR technologies that the utility evaluated earlier this year. Some of the criteria include proximity to a suitable water supply, existing power infrastructure, workforce, nuclear regulations and standards, and learnings from earlier generation siting projects.

Although a final decision won’t happen until 2029, planning and regulatory work must be done now, the utility said.

SaskPower said it plans to set up engagement activities with indigenous rightsholders, rural and urban municipalities, businesses, residents, and other stakeholders both within the study areas, and across the province.

The utility will also meet with non-government organizations, government ministries and agencies, and other organizations.

One simple cycle gas turbine is planned for its Ermine Power Station, located near Kerrobert, which is around 180 kilometers west of Saskatoon. Another is planned for the Yellowhead Power Station, near North Battleford, which is around 135 km northwest of Saskatoon. Each turbine is expected to be rated at 46 MW. 

The utility said that adding turbines to existing power stations is the fastest and most cost-effective option to increase the amount of baseload power available in the province. The new capacity is expected to support intermittent renewable generation options such as wind and solar.

SaskPower said it shortlisted Burns & McDonnell and Graham – Black & Veatch as potential build partners. The competitive selection process is expected to be complete in late September. The new turbines at Ermine and Yellowhead are slated to enter service by late 2024 and late 2025, respectively.

Ermine entered service in 2009 and is rated at 90 MW. Yellowhead entered service in 2010 and uses three simple cycle gas turbines that may be operated remotely. The 135 MW plant is designed to provide reactive power flow as needed.

The utility called natural gas generation “an important part of a staged approach” while moving  toward non-emitting options and replacing capacity from coal facilities that must be retired by 2030.