Amendments to the Local Governance Act could give municipalities new sources of revenue if they generate renewable energy.
Local Government Minister Aaron Kennedy said the proposed changes would mean jobs, more affordable energy and money for communities to reinvest in local priorities.
The minister said if the amendments are passed, communities would get the tools to build clean energy projects together.
Current legislation allows a local government to construct, own and operate a power-generation facility within its boundaries and for its own purpose or sell the electricity to a consumer or distribution utility.
That includes renewable energy projects like solar, wind and hydro.
The amendments would facilitate those projects, allowing councils to delegate different authorities, including borrowing authority, to regional service commissions.
It would also let local governments generate energy for profit, provided it comes from clean-energy projects.
The president of the Northern Energy Alliance said the amendments represent an historic moment for New Brunswick communities.
“We are very encouraged by the legislative changes that have been tabled,” said Mario Pelletier, who is also the mayor of Bois-Joli in northern New Brunswick.
“Over the past several months, the Restigouche Regional Service Commission has been working collaboratively with its partners – the Chaleur Regional Service Commission, Acadian Peninsula Regional Service Commission and the First Nations of Eel River and Pabineau – to establish the Northern Energy Alliance,” Pelletier said.
“These changes will enable us to proceed with the alliance’s legal registration and formalize partnerships with prospective renewable energy developers, paving the way for sustainable economic growth and long-term benefits for our communities.”
