With Muskrat Falls, Newfoundland and Labrador will be powered by 98% clean, renewable energy. The development eliminates our reliance on costly and non-renewable oil to meet our growing electricity demands.

Newfoundland and Labrador has some of the best hydro and wind resources in the world. Connecting to the North American grid will allow for increased reliability and facilitate future development of other renewable energy projects.

Remaining isolated means continued operation of the 40-year old Holyrood plant, which is nearing the end of its operating life. Continued use of this facility means significant capital investments, upgrades, new pollution-control equipment and dependence on oil for our electricity. In addition, there will be a requirement to build significant new thermal generation including the replacement of the existing oil-burning Holyrood plant.

As our electricity demand on the island continues to grow, use of the Holyrood plant and other oil-burning generation sources will increase. Currently, at peak production the Holyrood plant burns approximately 18,000 barrels of oil each day to meet the electricity needs of the island. In 2011, the plant burned $135 million in fuel. Retiring the Holyrood plant will result in the reduction of one million tonnes of greenhouse gas every year.

QUESTION
Will the Holyrood plant shut down?

ANSWER
When power is available from Muskrat Falls it will displace production at the Holyrood oil-burning plant. At this time the plant will no longer burn oil or produce electricity.

QUESTION
Does Nalcor have environmental permission to build a dam at Muskrat Falls?

ANSWER
Nalcor has undergone a federally and provincially regulated Environmental Assessment for Muskrat Falls. Nalcor was granted release to construct from the assessment for the generation project from both levels of government in March 2012. That approval requires Nalcor to follow through on its commitments made as part of the process, including mitigation measures, as well as monitoring and follow up.

QUESTION
What about the environmental impact of developing Muskrat Falls?

ANSWER
Nalcor will help sustain a diverse and healthy environment for present and future Newfoundlanders and Labradorians by maintaining a high standard of environmental responsibility. Nalcor has consulted with public, stakeholder and Aboriginal groups on project benefits, as well as impacts. Every precaution will be taken to develop Muskrat Falls in an environmentally responsible and respectful manner.