FortisBC seeks to meet additional power needs to support continued growth in Southern Interior

Sep 10, 2024

Power providers and Indigenous communities from across British Columbia are encouraged to participate

KELOWNA, B.C.—September 10, 2024: FortisBC Inc. (FortisBC) is issuing a Request for Expressions of Interest (RFEOI) for additional power to meet its customers’ growing energy needs and support economic growth in B.C.’s Southern Interior region. As the company identifies promising projects, FortisBC will work with power providers to bring these new projects online and increase the amount of electricity available for its customers.

“As a provider of critical energy services in British Columbia, FortisBC is committed to providing safe, reliable and affordable energy to the homes and businesses we serve,” said Joe Mazza, vice president of energy supply and resource development. “As our customers’ energy needs grow, we are working with Indigenous and local communities, local governments, businesses and organizations to meet this rising demand. This initiative will also be an opportunity for electricity generation providers to expand and create new jobs here in B.C., while ensuring that our customers continue to have the energy they need when they need it.”

FortisBC is looking for power providers with experience building projects in B.C. and with a focus on developing innovative, lower-carbon and renewable energy sources, including biomass, biogas, hydroelectricity, solar, wind and geothermal projects. The company is interested in innovative new or existing projects located in British Columbia, ideally having a minimum size of five megawatts. FortisBC is looking to add up to 1,100 gigawatt hours of energy supply as soon as 2030.

In addition to information about potential projects, FortisBC is interested in new or existing projects that have a strong Indigenous equity component or are Indigenous led. It is seeking an understanding of each project’s engagement activities with Indigenous and local communities, with the goal of providing opportunities for Indigenous contractors and supporting local and Indigenous-affiliated businesses. The company will be asking applicants if they have been working with Indigenous and local groups on the development of their projects and whether they have agreed to share in potential benefits arising from the projects.

The RFEOI is part of FortisBC’s plan to grow its energy systems in the Southern Interior, ensuring our customers have the energy they need. The company has seen greater than anticipated demand for electricity with population and economic growth in the region and increasing electrification of parts of the economy. FortisBC’s 2021 Long-Term Electric Resource Plan (LTERP) proposed new infrastructure projects for the region, including upgrades to the F. A. Lee Terminal Station and the addition of transformers to other substations in Kelowna. In the 2025-2027 Rate Setting Framework, FortisBC is seeking approval from the British Columbia Utilities Commission (BCUC) to invest $157 million over the next three years in additional electricity infrastructure, such as new transformers and upgrades to substations and transmission lines in the Southern Interior. In 2026, the company anticipates filing a new LTERP that will include further investments in electricity infrastructure projects throughout the Southern Interior region.

More information on the RFEOI is available at fortisbc.com/newpower.

Joe Mazza, vice president of energy supply and resource development, announced that FortisBC is seeking new power generation projects to meet customers’ growing needs.

Quotes

On behalf of our members, I commend FortisBC for its efforts to expand electricity capacity in the Southern Interior. By pursuing innovative, clean energy projects—including solar, wind, hydro and geothermal—FortisBC is fostering a diverse range of energy solutions. By prioritizing projects that involve Indigenous Nations and creating opportunities for Indigenous contractors and local businesses, FortisBC is setting high standards for integrating community benefits into energy projects and advancing economic reconciliation. Clean Energy Association of British Columbia is thrilled to back this initiative to ensure affordable and equitable economic growth for all British Columbians while also addressing future electrification needs.

Kwatuuma Cole Sayers, executive director, Clean Energy Association of British Columbia

FortisBC’s request for expressions of interest will add new sources of clean renewable electricity to B.C.’s grid so that people, businesses, and communities throughout British Columbia can continue to have safe, reliable, affordable electricity for years to come. Increasing and diversifying our supply of clean electricity will also create thousands of good jobs all over the province, and provide new opportunities for First Nations in our clean energy sector.

Josie Osborne, B.C. Minister of Energy, Mines and Low Carbon Innovation

The Okanagan Valley is the fastest growing region in Canada, and we need to look at more innovative ways to support our evolving business community and continuous population growth. We recognize that many people come to Kelowna for its weather and natural beauty, however stable employment and a diverse economy is critical to our long-term sustainability,” said Mayor Tom Dyas, “This announcement by FortisBC is encouraging as it recognizes a much greater investment in electrical infrastructure within our region and aligns with Council’s priorities on Climate and the Environment, and fostering economic development.

Tom Dyas, mayor, City of Kelowna

Generating more clean electricity is key to building a strong, low-carbon economy while keeping energy affordable and reliable. Today’s announcement by FortisBC is a positive step towards the province’s electrified future.

Mark Zacharias, executive director, Clean Energy Canada

Building new clean electricity generation projects is essential to help meet B.C.'s growing energy demands and will create jobs for electricians, power line technicians and other skilled tradespeople. ECABC's contractors look forward to contributing to building this important infrastructure.

Matt MacInnis, president, Electrical Contractors Association of British Columbia

Given population and industrial growth in B.C., combined with the need to increase the electrification of our buildings and transportation sectors, increasing the supply of clean, renewable energy is critical to a resilient future. We are pleased to see FortisBC taking this step to expand the availability of clean electricity in the Southern Interior, with a focus on innovation and Indigenous participation, along with continued investments in efficiency and energy infrastructure.

Betsy Agar, buildings program director, Pembina Institute

Backgrounder

FortisBC's efforts to add new power sources builds on actions to meet Southern Interior's energy needs

In addition to the RFEOI for new electricity generating projects, FortisBC is taking action to increase the ability of its electricity system to meet the short-term and long-term energy requirements of the Southern Interior region, keeping the needs of its customers top of mind, especially in relation to the potential impacts on rates and affordability.

FortisBC’s plans to meet forecasted electricity demand were outlined in 2021 when it filed its LTERP with the BCUC. Under this plan, FortisBC proposed to invest in new electricity infrastructure projects for its customers in the Southern Interior region, including upgrades at the F.A. Lee Terminal Station, the addition of transformers at substations in Kelowna and other projects. The company also projected adding new substations and feeders, a new transmission line and new transformer and supporting infrastructure¹ by 2040. Since filing the 2021 LTERP, FortisBC has seen a sooner than expected rise in customer demand for electricity with population and economic growth in the region and increasing electrification of parts of the economy.

In February 2024, FortisBC announced a nearly $700 million investment over four years for energy conservation initiatives to help reduce emissions, lower energy costs for customers and reduce energy use in homes and businesses. These initiatives are intended to make rates more affordable by lessening or deferring the need to build new infrastructure to keep up with energy demand.

In April 2024, FortisBC filed with the BCUC its 2025–2027 Rate Setting Framework, which proposed its plan to invest about $157 million² over three years in new electricity infrastructure projects to expand its capacity. This plan includes projects such as adding additional transformers to substations, upgrading substations and upgrading transmission lines in the Southern Interior.

In 2026, the company anticipates filing a new LTERP with the BCUC that will outline its plan for additional investments in electricity infrastructure to help meet its customers’ needs, while supporting affordability and helping to reduce energy consumption in homes and businesses and overall greenhouse gas emissions.

As FortisBC works to expand its energy capacity, it is asking developers, homebuilders, Indigenous communities and local governments involved in large, new projects to reach out to them early in the development stage of those projects so it can work with them and determine how to best meet their energy needs.

¹2021 Long-Term Electric Resource Plan and Long-Term Demand-Side Management Plan, Table 6-6, p. 137-138.

²Application for Approval of a Rate Setting Framework for 2025 through 2027, p. C-104, Table C3-27.

 

Media contact