Federal and Provincial Governments near deal on Muskrat Rate Mitigation

The federal and provincial government has released details on a plan to keep power rates down. The deal is nearing completion.

Under the deal, $5.2 billion will be used to keep power rates down. The federal government will provide $2 billion, there will also be $3.2 billion provided to the province in annual transfers.

Newfoundland and Labrador will maintain 100 percent ownership of the Muskrat Falls project.

Once the Muskrat Falls Project comes online, it will displace three to four megatonnes of carbon dioxide annually from thermal generating facilities.

On July 28, 2021, Premier Furey and Prime Minister Trudeau announced an agreement in principle for the financial restructuring of the Lower Churchill Project.