Port Hawkesbury Paper Challenges Inclusion in Nova Scotia Power's $500M Bailout Costs

The paper mill argues it paid all its power costs upfront and seeks regulatory clarity on its exemption from repayment obligations.

Port Hawkesbury Paper, Nova Scotia Power's largest industrial customer, has filed a regulatory application to avoid paying part of the utility's $500-million federal bailout.
The company contends it did not contribute to the financial issues leading to the bailout, as it paid its fuel and power costs upfront while other customers deferred payments.
The bailout was necessary due to unrecovered fuel costs stemming from delays in the Muskrat Falls hydroelectric project, which forced Nova Scotia Power to rely on more expensive alternative fuels.
Port Hawkesbury Paper claims its unique service agreement required it to bear significantly higher costs during the delays, making additional charges unfair and discriminatory.
The Nova Scotia Utility and Review Board is expected to make a decision by early 2025, ahead of a March 31 deadline to establish a new tariff framework.