Legislation to regulate offshore wind development in N.S. and N.L. clears Senate

Canada's Energy and Natural Resources minister is bullish about the development potential for offshore wind now that a bill amending the offshore accords for Nova Scotia and Newfoundland and Labrador has cleared the Senate.

"This is going to be really, really important in the context of creating jobs and prosperity, greening the grid in Nova Scotia and also creating an export hydrogen industry that can help us to help Germany to decarbonize," said Jonathan Wilkinson in an interview Wednesday.

Bill C-49 passed third reading in the Senate on Tuesday. It passed third reading in the House of Commons last May and now awaits royal assent.

The legislation enables the development of the offshore wind industry in Nova Scotia and Newfoundland and Labrador. The two provinces are required to pass mirror legislation as part of the Atlantic Accord. Nova Scotia did that last month and Wilkinson said he expects Newfoundland and Labrador will do the same soon.

Once regional environmental assessments are complete, the minister said bids can open. Tory Rushton, Nova Scotia's Natural Resources minister, has said he hopes to be able to launch the first call for bids next year. Wilkinson said that's in line with his expectations.

"We still have some work to do on the regional assessment, but based on the timing I think that's a reasonable assessment."

A spokesperson for the Nova Scotia government welcomed news that the bill passed in the senate and said the plan remains to open a call for bids in 2025.

"We look forward to working hand in hand with our federal partners to bring this legislation into effect and do the first call next year," Patricia Jreige said in an email.

Wilkinson said he's worked closely with Rushton and Nova Scotia Premier Tim Houston on the process and they are all "very anxious to actually see this move forward to commercial fruition."

"I think it's going to create tens of thousands of jobs and prosperity for many communities," he said. 

Among other things, the legislation means the Canada-Nova Scotia Offshore Petroleum Board will become the Canada-Nova Scotia Offshore Energy Regulator. The change comes with a new mandate that includes offshore renewable energy projects and power lines.

Last month, Rushton said he wanted to be able to issue licences for five gigawatts of offshore wind energy by 2030. The Nova Scotia government is eyeing offshore wind development to help launch a green hydrogen industry here and companies are lining up in hopes of capitalizing.

• Nova Scotia approves another wind farm to power green hydrogen plant

• N.S. manufacturers look to green hydrogen in bid to cut GHG emissions

C-49 hit a snag in June when the Assembly of Nova Scotia Mi'kmaw Chiefs contacted the Senate to express concern about the level of consultation surrounding the bill. A spokesperson for the assembly did not immediately respond to a request for comment on Wednesday.

Wilkinson said he believes C-49 will help advance economic reconciliation. He said he is committed to ensuring appropriate consultation as the regional assessment process and project-specific assessments play out.

He said some Mi'kmaw communities were supportive of the legislation throughout the process and are participants in some of the potential projects that could take place.

"It's going to be important that we continue the dialogue, but I think we're moving in the right direction."