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McLeod Lake Indian Band, B.C. move forward on economic development, reconciliation, low-carbon future

Press Release

Oct. 25, 2023

VICTORIA – The McLeod Lake Indian Band (MLIB) and the Province of British Columbia have signed a memorandum of understanding (MOU) that strengthens their relationship and lays the foundation for a proposed Tse’khene energy transition hub, supporting economic reconciliation and development for the region through the production of low-carbon energy.

“This partnership between the Province and the McLeod Lake Indian Band creates the foundation for exciting economic projects that will provide direct benefits to the region and help lower emissions,” said Premier David Eby. “By working together, we can advance economic reconciliation, create strong economic growth, create good jobs and meet our climate goals.”

The MLIB has worked to develop a Tse’khene energy transition hub into a viable project and has secured several world-class industry partners that are pursuing definitive agreements in order to further advance multiple on-reserve projects. The first proposed project is a hydrogen production facility that would help to significantly reduce emissions in industries that are hard to decarbonize.

The second proposed project is a straddle plant that would also reduce carbon emissions by extracting high-value natural-gas liquids that would otherwise be burned as by-products in the gas distribution system. Collectively, the projects are worth approximately $7 billion and could create as many as 2,000 construction jobs and 500 permanent, full-time jobs.

“The MLIB values its partnership and collaboration with the Province and the BC Energy Regulator as it advances the development of billions of dollars of on-reserve clean energy infrastructure,” said MLIB Chief Harley Chingee. “My message to our band members is that we have been working hard to develop an environmentally and culturally responsible opportunity that, if successful, will make us a key contributor to a clean-energy future while also delivering much-deserved prosperity to our band and its members. My message to industry is that the MLIB is a commercially sophisticated and enthusiastic potential partner.”

The MOU will help to build a longstanding and successful partnership between MLIB and the Province as well as the British Columbia Energy Regulator. As well, it will promote even greater clarity of responsibilities and collaboration between the parties on critical issues related to economic reconciliation and energy production.

The parties are collaborating on a detailed action plan to follow the MOU to help guide the work required during the term of the agreement.

The Tse’khene energy transition hub will be further supported by the newly established Clean Energy and Major Projects Office to help the project navigate regulatory processes.

Quotes:

Josie Osborne, Minister of Energy, Mines and Low Carbon Innovation –

“Signing this MOU is a hallmark of the collaborative partnerships between the Province and First Nations in advancing new energy projects. I value the important relationship we have with the McLeod Lake Indian Band and I’m looking forward to seeing the Tse’khene energy transition hub progress in the years ahead.”

George Heyman, Minister of Environment and Climate Change Strategy –

“This new collaborative initiative advances our shared goals of reconciliation. Through partnering with First Nations, like the McLeod Lake Indian Band, we support reconciliation and economic growth, safeguard the environment, and help to reach our goal of reducing emissions by 40% by 2030 by increasing clean-energy production for British Columbia.”

Michelle Carr, commissioner and CEO, BC Energy Regulator –

“We’re excited to build on the long-standing collaboration between the BC Energy Regulator and McLeod Lake Indian Band with this proposed project. The MOU will help clarify roles and responsibilities in the regulatory process, while advancing a shared approach to the regulatory environment of Indigenous-led energy projects.”

Learn More:

For more Information on the Clean Energy Major Projects Office, visit:
https://www2.gov.bc.ca/gov/content?id=1C6A1026294F47B694D945845FD1AE85

A backgrounder follows.

Contacts:

Ministry of Energy, Mines and Low Carbon Innovation
Media Relations
250 208-6183

Jimmy Smith
Deputy Communications Director
Office of the Premier
jimmy.smith@gov.bc.ca

Bronte Prosser
McLeod Lake Indian Band
bronte@prairieskystrategy.ca
306 270-7405

BC Energy Regulator
Media Requests
Communications@bc-er.ca

BACKGROUNDER

Details of the proposed The’khene energy transition hub

The proposed Tse’khene energy transition hub will be located about 80-90 kilometres north of Prince George on the Kerry Lake East Indian Reserve.

Memorandum of understanding details:

The MOU bridges regulatory considerations and is the result of a collaborative effort between McLeod Lake Indian Band (MLIB), the Ministry of Energy, Mines and Low Carbon Innovation, and the BC Energy Regulator. By aligning regulatory roles, the MOU will advance MLIB’s governance rights over its reserve lands, while establishing a responsible and predictable regulatory pathway for energy developments.

The MOU provides clarity and direction on regulatory obligations and environmental assessment processes on which the three parties will collaborate – specifically, in three key areas:

  • Jurisdiction and environmental assessment:
    Pursuant to its Land Code jurisdiction, MLIB will carry out the environmental assessment of the on-reserve aspects of the project under the McLeod Lake Indian Band Environmental Assessment Law, 2023.
  • Regulation:
    MLIB will support the BC Energy Regulator regulating the on-reserve project facilities to facilitate, among other things, public safety, environmental protection and reconciliation with Indigenous Peoples.
  • Management committee:
    An implementation committee will be formed, consisting of representatives from the Province and MLIB, to address issues and promote continuous collaboration.

Contacts:

Ministry of Energy, Mines and Low Carbon Innovation
Media Relations
250 208-6183

Jimmy Smith
Deputy Communications Director
Office of the Premier
jimmy.smith@gov.bc.ca

Bronte Prosser
McLeod Lake Indian Band
bronte@prairieskystrategy.ca
306 270-7405

BC Energy Regulator
Media Requests
Communications@bc-er.ca

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