Several First Nations sign deal with Ottawa, Ontario to own part of a nuclear reactor

Ontario Power Generation signage is seen facility at the Darlington Power Complex, in Bowmanville, Ont., on May 31, 2019. Ontario's public generating company has pulled the plug on its plan to bury hazardous radioactive waste near the Lake Huron shoreline.THE CANADIAN PRESS/Cole Burston

Several Ontario First Nations are set to become owners of a new nuclear reactor after striking a commercial partnership with the federal and provincial governments.

Ottawa and Ontario are providing loan guarantees of $700 million to the seven Williams Treaties First Nations east of Toronto that will turn into equity for one of the four small modular reactors that are being built at the Darlington New Nuclear Project in Bowmanville, Ont., by Ontario Power Generation.

Energy and Mines Minister Stephen Lecce says this is the first equity partnership with First Nations in a nuclear reactor in Canada.

He says the investment will result in a minority stake for the First Nations in the facility and will help with economic reconciliation.

The Williams Treaties First Nations consist of Indigenous communities near Lake Ontario and Lake Simcoe: Alderville First Nation, Curve Lake First Nation, Hiawatha First Nation, Scugog Island First Nation, Chippewas of Beausoleil First Nation, Chippewas of Georgina Island First Nation and the Chippewas of Rama First Nation.

The official announcement is set to come Tuesday morning.

The Chiefs of the Williams Treaties First Nations are calling the deal a “historic step forward.”

“Through this investment, we are not only creating opportunities for our own communities – we are helping advance a project that will play an important role in meeting Ontario and Canada’s growing energy needs,” The chiefs said in a statement.

“This investment demonstrates what is possible when First Nations are able to participate meaningfully in projects taking place within their territories, not only as rights holders, but as investors, partners, and participants in the long-term success of the project.”

The first of four small modular reactors is under construction at the Darlington power plant.

“After breaking ground on the first SMR in the G7, our government is taking another historic step, helping to bring First Nations in as full partners in this once-in-a-generation project,” Lecce said in a statement.

The four small modular reactors are expected to cost $21 billion. The first reactor is scheduled to be completed by 2030.

Once in operation, the small modular reactors will produce 1,200 megawatts of power, which is enough to keep the lights on at 1.2 million homes.

Liam Casey, The Canadian Press