The Nova Scotia government plans to offer power purchase agreements for up to 7.7 megawatts (MW) of tidal energy generating capacity in the Bay of Fundy to be delivered through a newly launched call for demonstration projects. Prospective proponents can submit applications until Sept. 30 for proposed projects of less than 2 MW deploying tidal stream generating technologies that have advanced to a credible state of viability.
The initiative is enabled through Nova Scotia’s Marine Renewable-energy Act, which establishes zones within the Bay of Fundy where tidal energy technologies can be tested and evaluated in real-world conditions. Two demonstration project permits, totaling 2.3 MW of generating capacity, have already been awarded. Chosen proponents in the next phase must fulfill environmental compliance, risk management and community engagement requirements in return for a five-year permit to operate with potential for renewal to a maximum of 18 years.
“We are opening up a unique chance to explore new energy technologies in the Bay of Fundy,” says Marco MacLeod, Nova Scotia’s Minister of Energy. “This program will help us learn more about the potential for marine renewable energy.”
The Bay of Fundy serves up a dynamic laboratory with the world’s highest tidal range and tidal currents that can reach speeds of 5 metres per second. More than 160 billion tonnes of water flows through the bay during each tidal cycle.
Applicants are instructed to state an anticipated electricity rate no greater than $500 per megawatt-hour ($0.50 per kilowatt-hour), which is to be backed up with financial details in their project submissions. As well, successful proponents will be expected to pay annual rent equivalent to $2,500 per MW of installed generating capacity and $20 per hectare within their permit area.
Permit holders will be entitled to construct, install and operate one or more generators to reach their capacity ceiling, along with associated infrastructure, equipment and cabling. However, they must obtain government sign-off on various required plans before any work can commence, including for:
- environmental monitoring;
- risk assessment;
- Mi′maq engagement and stakeholder communications; and
- decommissioning and rehabilitation following the shutdown of operations.
Government reviewers will assess project readiness, technical feasibility, environmental considerations, innovation factors and applicants’ experience in evaluating the submissions. Decisions on permit issuance are expected to be announced by year-end 2026.
