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  • Writer's pictureStaff Writers

Temporary Energy Exchange for Corner Brook Pulp and Paper Limited

The provincial government has announced that in response to low water levels in the Grand Lake reservoir, which is affecting the energy supply from Corner Brook Pulp and Paper Deer Lake power plant for its mill operations, Nalcor Energy will enter into a temporary energy exchange agreement for Muskrat Falls commissioning period energy that is surplus to NL Hydro’s requirements during Labrador-Island Link and Muskrat Falls commissioning.

This energy will be provided back to Nalcor from Deer Lake Power when its water supply from the Grand Lake reservoir returns to normal levels. This energy exchange agreement will not affect ratepayers, and the Provincial Government is not providing financial assistance to Corner Brook Pulp and Paper.

The mill requires approximately 107 megawatts of power to run its two paper machines. Without assistance, a deficit of power, resulting from the low water levels in the reservoir would have forced the shutdown of #2 paper machine, which accounts for approximately 40 percent of the mill’s production.

A shutdown would result in the loss of more than 200 direct and indirect jobs. It would also have a potential impact on integrated sawmill operations in Hampden, Bloomfield and Cottles Island, which rely on Corner Brook Pulp and Paper as a market for small-diameter timber, wood chips, sawmill residue and supply of sawlogs.


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