7 minute read
Business / economic initiatives
The TRC Report recommends that the corporate sector ensure Indigenous Peoples have equitable access to long-term, sustainable benefits from economic development projects . It notes that these partnerships should result from a process of meaningful consultation and obtaining the free, prior and informed consent of Indigenous Peoples before proceeding with projects . Electricity Canada member companies have showcased their dedicated engagement and involvement within Indigenous communities and commitment to seek early and ongoing meaningful engagement whenever possible Below are a few examples of business/economic initiatives
BC Hydro provides direct procurement opportunities to Indigenous communities
Guided by its Indigenous Procurement Policy, BC Hydro continues to provide direct procurement opportunities to Indigenous communities in support of their community agreements As of October 2022, the value of direct contracts issued to Indigenous designated businesses in the 2023 fiscal year is over $160 million; and a cumulative value of over $1 billion since 2015 Several Indigenous designated businesses have successfully pre-qualified for contracts related to BC Hydro activities, such as civil underground, line services, and vegetation management The company also offers introductory training to Indigenous businesses to gain an understanding of BC Hydro’s procurement, construction and contract management practices In addition, BC Hydro is also looking at other economic opportunities, including potential for Indigenous ownership of electrical infrastructure such as new radial transmission lines and customer connections .
Capital Power partners with Indigenous communities on power projects
Capital Power has a strategic agreement with Siksika Resource Development Limited (SRDL) to jointly develop power projects on the Siksika Nation Reserve in Alberta The land provides an excellent opportunity to develop solar, wind and natural gas projects, while providing business and employment opportunities for Siksika Nation-owned companies and members Capital Power has also partnered with First Nations businesses for the 142 MW Quality Wind Project, where Capital Power undertook extensive discussion with several Indigenous groups regarding its construction located near Tumbler Ridge in northeastern British Columbia Capital Power used an inclusive procurement process to award six contracts to Indigenous companies, which provided almost 50 per cent of the labour during the first year of construction . Among the Indigenous-owned companies engaged were Duz Cho Construction and Dunneza Ventures, both of which have extensive knowledge of local geotechnical and surface conditions, leading to a significant improvement in road design and erosion, and sediment control methodologies
Elexicon Energy engages Indigenous partners in transformer construction
Elexicon Energy recently constructed its first ever Municipal Transformer Station and Indigenous partners were vital partners throughout the process The major project is over six years in the making and over ten Indigenous communities were involved in its completion The Municipal Transformer Station will provide an energy supply and connection capacity for renewable energy resources to a community of over 20,000 residences . In the early phases of the project, Indigenous communities participated in the Environmental Assessment specifically around archaeological field work and were instrumental in the report reviewing and commenting process In later stages of the project, Indigenous communities continued to be vital partners in the project by supplying construction monitors
Evolugen partners with the ’Namgis First Nation on the Kokish facility
The Kokish facility is located on the traditional lands of the ’Namgis First Nation . Evolugen worked with the ’Namgis to form Kwagis Power LP, a joint partnership that allowed both parties to be equally involved in all aspects of the project, from planning and permitting to construction and operations Now that the facility is fully commissioned, a portion of the revenue generated by its operations will be directed into a ’Namgis Community Benefit Fund Approximately 250 people were employed during the two-year construction period (including 12 ’Namgis members), with local subcontractors hired to work on-site Of the total capital cost of approximately $200 million, about $30 million was spent locally on heavy industry, food and accommodations
Hydro One introduces new equity partnership model
In September 2022, Hydro One announced its new industry-leading equity partnership model with First Nations on new capital transmission line projects with a value exceeding $100 million Hydro One's new equity model will offer First Nations a 50 per cent equity stake in all future large scale capital transmission line projects and will transform the benefits of infrastructure development for First Nation communities for generations to come This announcement followed the signing of an agreement in the spring with eight First Nations represented by Gwayakocchigewin Limited Partnership (GLP) for the Waasigan Transmission Line project As an example of the new partnership model, this agreement provides the First Nations represented by the GLP with the opportunity to invest in an equity stake in the project . In total, nine First Nations will have the opportunity to invest in 50 per cent of the Waasigan Transmission Line project, which will bolster capacity and support economic growth in northwest Ontario . This model will also apply to the five transmission lines Hydro One is developing in southwest Ontario
Hydro Quebec signs agreement with Tarquti Energies Inc.
Hydro Quebec operates close to 20 thermal power plants in order to supply electricity to communities that are too remote to be connected to the main grid While these plants account for a very small portion (less than 1%) of Hydro Quebec’s total production, they are nevertheless responsible for approximately 43% of its greenhouse gas emissions . Hydro Quebec plans to convert 80% of its off-grid systems to renewable energy supplies by 2030 With this in mind, the company has reached an agreement with Tarquti Energy Inc to become the preferred and exclusive partner for renewable energy projects in Nunavik . As a result, clean energy is destined to replace a significant portion of the 33,569 kW produced from fossil fuels to power the region’s off-grid systems . This unique partnership is an important step for the Nunavik Inuit, who are already developing the tools and skills needed to develop their own renewable energy projects that respect the environment and reflect Nunavimmiut values More renewable energy sources will power Nunavik communities into the future, and many jobs will be created both locally and across the region This partnership is expected to reduce the amount of fuel used to produce energy in Nunavik by over 200 million litres .
Hydro-Québec creates a new procurement strategy for Indigenous businesses
Hydro Quebec has had lasting business relationships with Indigenous entrepreneurs since the 1970s . As a result of these collaborations, a number of Indigenous businesses have been created and developed as part of the company’s hydroelectric projects and to operate its facilities, particularly at James Bay and in the Côte Nord region Conducting business with Hydro Quebec remains a major challenge for many Indigenous businesses, which are still unfamiliar with the company’s practices and regulatory framework
Hydro Quebec has therefore launched its first Indigenous procurement strategy in order to strengthen its presence in Indigenous entrepreneurship; keep the company on the lookout for contracts that can be awarded to Indigenous businesses in promising, value-added niches; be proactive and creative in designing and implementing its business models; and provide guidance, support and training to Indigenous businesses and its teams working with them at every stage of the procurement process
Manitoba Hydro partners with Indigenous communities to hire Indigenous workers
Manitoba Hydro’s efforts to increase Indigenous opportunities on transmission projects have gained traction, with Indigenous hiring on recent transmission projects ranging between 40 to 65 per cent of total hires . These numbers are the direct result of the steps Manitoba Hydro and its contractors are taking to encourage Indigenous employment, training, and economic development opportunities, including significant efforts and time put into fostering strong relationships with Indigenous communities and contractors . Manitoba Hydro’s procurement process encourages the participation of Indigenous businesses, and it is pleased to see Indigenous contractors successfully bid on transmission construction contracts . For example, the contract for the Birtle Transmission Project, a 46 km, 230-kilovolt line from Birtle, Manitoba to the Manitoba-Saskatchewan boundary, was tendered and awarded to a joint venture partnership between the Indigenous community of Birdtail Sioux First Nation and Forbes Bros . Inc . The project achieved an average of 50 per cent Indigenous employment throughout construction
Ontario Power Generation’s Reconciliation Action Plan to grow Indigenous partnerships
In October 2021, Ontario Power Generation (OPG) released its first Reconciliation Action Plan The plan will serve as a roadmap for how the company will work with Indigenous and non-Indigenous partners to meaningfully advance reconciliation with Indigenous Peoples Key to the plan is a commitment to grow OPG’s economic impact for Indigenous communities and businesses to $1 billion by 2031 and to increase the representation of Indigenous employees at all levels of the company OPG is focused on raising awareness and advancing progress on the commitments under the Reconciliation Action Plan’s Economic Empowerment pillar In 2022, OPG participated in numerous Indigenous events to network with new businesses and to introduce them to existing suppliers and to our procurement processes and opportunities The first Indigenous Vendor of Record Request for Proposal (RFP) is in progress and will introduce Tier 1 Indigenous businesses into its existing Renewable Generation (RG) General Contractor pool
SaskPower enters into power purchase agreements with First Nations Power Authority for solar projects
SaskPower entered into two power purchase agreements (PPA) for two 10-megawatt (MW) solar projects that were brought forward by First Nations Power Authority (FNPA) These two solar projects will be located near Weyburn and Regina, generate revenue for First Nations and provide enough clean, renewable energy to the grid to power more than 5,000 Saskatchewan homes Pesâkâstêw Solar, a partnership between George Gordon First Nation, Star Blanket Cree Nation and Natural Forces, will develop, own and operate the 10 MW solar project near Weyburn . This 20-year project will provide revenue to the two Nations as well as create employment and training opportunities . Awasis Solar, a partnership between Cowessess First Nation and Elemental Energy, will develop, own and operate the second project, which will be located near Regina In addition, SaskPower recently awarded a 200 MW wind project opportunity to be constructed in southern Saskatchewan The successful proponent includes Renewable Energy Systems (RES) Canada and their partner, Cowessess First Nation in the new venture called the Bekevar Wind Project
Yukon Energy Corporation signs collaboration agreements with partners
In fall of 2021, Yukon Government (YG), Yukon Energy Corporation (YEC), and Champagne and Aishihik First Nations (CAFN) established a working group to guide the development of a suite of agreements related to energy projects within the Traditional Territory of the Champagne and Aishihik First Nations The agreements are based on a shared recognition of the need for established processes to guide the three parties in working together on existing projects such as the Aishihik Generating Station, as well as broader interests related to energy The parties acknowledge that the agreements set the stage for a new relationship moving forward that is more inclusive and solutions-focused A key agreement is the Collaboration Agreement that was signed between CAFN, YG and YEC on July 21, 2022 . The Collaboration Agreement provides structure to the ongoing processes for raising interests, addressing issues, and working together on solutions . The agreements have already influenced improvements to the water use license application, responses to interventions, and other information in supplementary filings . The processes outlined in the agreements will also help guide future regulatory submissions and hearing responses