Far from being an “energy aberration”, as energy specialists believe, TES Canada’s project to produce green hydrogen and synthetic gas in Mauricie is a “magical project”, according to Minister Pierre Fitzgibbon.
“It’s a magical project,” said the Minister of the Economy, Innovation and Energy on Wednesday in a parliamentary committee. Projects like that, I would take on one a week. »
TES Canada first wants to build a solar park and a wind farm which, with the 150 megawatts that Hydro-Québec has committed to providing, will supply its production of green hydrogen and synthetic gas for which the gas distributor Énergir has shown interest.
According to Pierre Fitzgibbon, this is a private investment of 4 billion which will allow Énergir to achieve two thirds of its climate commitments, in addition to powering 20,000 heavy trucks.
This is an extremely interesting investment for Quebec.
Pierre Fitzgibbon, Minister of Economy, Innovation and Energy
The cost of synthetic gas, estimated at four times that of renewable gas, could chill the targeted industrial customers, who are already not rushing to buy the latter.
The minister does not seem worried. He does not believe the figures which have been published by energy specialists on the cost of synthetic gas, figures which match those already published by Énergir.1
“No one knows the economic dynamics of the project because it is a private project,” says the minister.
If it turns out that the project does not find customers and that it “is not financeable, it will not be done, that’s all,” he said.
The minister reiterated that there was no question of the green energy production planned by TES Canada being exported outside Quebec, such as in Germany where the parent company of TES Canada has plans.
On the other hand, TES will be able to sell the energy it produces to Hydro-Québec, the minister said. Hydro-Québec is already in negotiations with TES to purchase any surplus, he said. At what price ? “It will be up to Hydro-Québec to decide whether it is advantageous or not. »
12 to 13 cents per kilowatt hour
The CEO of Hydro-Québec, who testified in a parliamentary committee after Minister Fitzgibbon, began by updating the meter. New electricity production in Quebec will cost 12 to 13 cents per kilowatt hour, said Michael Sabia.
This is even more expensive than the figures put forward in the plan of her predecessor Sophie Brochu, not so long ago.
Hydro-Québec intends to invest 185 billion to increase its production by 9,000 megawatts by 2035. “Given the scale of our development plan, there will be an increase in costs,” said Mr. Sabia .
Is it reasonable then that the increase in Quebecers’ electricity rates be capped at 3% per year? he was asked.
It was Minister Fitzgibbon who answered for him. “It’s a political decision that we will respect at least until the end of the mandate,” he said.
The question came back later to Mr. Sabia, who ended up saying that discussions on this subject will be necessary between Hydro-Québec and the government, to find out whether it is necessary to increase electricity rates or reduce the dividend paid Hydro-Québec to the Public Treasury.
Hydro-Québec’s profits and the dividends paid to the government are communicating vessels, he said. “There will come a time when we will discuss this. The question remains open. »
Read the open letter “TES Canada: a call for transparency”
reference: www.lapresse.ca