$10M pegged for towns hit by phase-out of coal
REGINA The Saskatchewan government is planning to commit up to $10 million to anxious coal communities like Estevan and Coronach, where hundreds of jobs are in peril due to a looming federal coal phase-out.
The money got a mention in the government’s throne speech, which opened the fall legislative sitting on Wednesday.
Premier Scott Moe said the $10 million will be used to support the economic transition of those communities, where the local economy depends on mines that supply coal-fired electricity plants in southern Saskatchewan.
The federal government has set a 2030 deadline to shut down all conventional coal power generation to achieve its emissions targets.
Estevan Mayor Roy Ludwig called the provincial money a “good start” as his community braces for the scheduled shutdown of Boundary Dam Units 4 and 5 in 2021 and 2024. But he’s still waiting for the details.
“We’ll have to flesh out the meat and bones of what this means, what the parameters are to get the money, all of those other associated issues,” Ludwig said.
Much of the money won’t flow right away, according to Moe. When pushed about a razor-thin surplus with little wiggle room for new funding commitments, he said the coal transition fund will be spread out over future fiscal years.
He told reporters the government settled on the $10-million figure after discussions with the affected communities.
Moe suggested Saskatchewan’s southeast could remain a focal point for electrical generation in the province, perhaps hosting
That’s great news. We have been pressuring the provincial government for quite a while to step up (with a transition plan for coal workers)
small nuclear reactors that also got a mention in the throne speech. The government will keep “exploring” that technology.
Ludwig agreed nuclear and solar power could be opportunities for Estevan. He also highlighted manufacturing and greenhouses for marijuana as solid prospects for the city.
“We’re open to anything that can create jobs,” he said.
Civic leaders in Estevan have long argued that the coal phase-out risks devastating the community, and that money from both Ottawa and Regina is urgently needed to support a transition plan. The federal government has committed money to affected communities as party of its Just Transition plan for coal workers.
Estevan has begun to receive that funding, according to Jackie Wall, executive director of the Estevan Chamber of Commerce. But she thinks the province also has a responsibility, and is pleased to see it pitch in. Wall had previously criticized the provincial government for dragging its heels on the city’s request for $5 million to support its transition plan.
“That’s great news,” she said. “We have been pressuring the provincial government for quite a while to step up.”
But she hopes it’s just the beginning. Like Ludwig, she’s hoping Saskpower will give coal a new lease on life by embracing carbon capture and sequestration for additional units at Boundary Dam and the nearby Shand Power Station.
“It would be fantastic if the provincial government would also take a look at making a decision a little bit more quickly about CCS technology,” she said.
The government has not committed to doing so.