Sask. investing additional $10M to help coal reliant communities transition through federal phase out

Funding for coal mining communities WATCH: Mick Favel has more on funding granted to Estevan and Coronach to aid the transition from

With the federal government’s plan to phase out coal power stations by 2030 the provincial government says another $10 million dollars will be given to the Coronach and Estevan regions to help those in the area with the transition.

All three of Saskatchewan’s coal-fired power stations operate near the two communities.

Boundary Dam and Shand Power stations are both located near Estevan while the Poplar River Power Station is based just outside of Coronach.

Both regions will receive $5 million each, similar to an announcement in 2020 by the provincial government.

In a news release, the province said that as Saskatchewan builds its own plan to expand grid capacity and support growth, retaining and developing skilled workforce and expertise through business opportunities will be critical to facilitate an "unprecedented energy transition."

Coronach mayor Calvin Martin said, a large portion of the town revolves around the power station and it's workers.

"Two out of three people in our community area rely on those industries as jobs. If it was to go away, 50 per cent, 60 per cent of our population could move on," said Martin.

"The funding will directly contribute to economic development and investment attraction, bringing new projects and ideas to grow local economies and keep these communities strong and vibrant," Crown Investments Corporation Minister Dustin Duncan explained.

"That's what these dollars are all about. Trying to find what's the next thing for this local economy so that people can stay here," he added.

In the Coronach region, the provincial dollars will go to a group of nine rural municipalities and communities known as South Saskatchewan Ready.

A similar group in the Estevan region known as the Municipal Coal Transition Committee will receive the other half of the funding.

The group is comprised of the City of Estevan, RMs of Estevan and Coalfields and the Town of Bienfait.

The province’s three coal-fired power stations accounts for around 30 per cent of Saskatchewan’s power generation, according to SaskPower.

Current federal regulations mandate that coal fired power generation be phased out by 2030. The Government of Saskatchewan has remained opposed to this deadline and has said it will continue operating its coal plants until the end of their service lives – some of which extend to 2050.

-With files from Mick Favel.