Hydro One Expands Transmission Ownership in Northern Ontario

Hydro One, Ontario's largest electricity transmission and distribution provider, has officially joined a northern Ontario partnership and expanded its transmission ownership by acquiring a 48% interest in the East-West Tie Limited Partnership. This strategic move aligns with Hydro One's long-term goals for transmission infrastructure expansion in the region and offers numerous economic and environmental benefits.

The East-West Tie Line, a 450-kilometre, 230-kilovolt double-circuit transmission line regulated by the Ontario Energy Board (OEB), connects northwest Ontario communities and industries to the province's electricity grid. The line has an OEB-approved rate base of approximately $880 million (100% basis) and was built in partnership with the Bamkushwada Limited Partnership, a consortium of six First Nations.



Hydro One's acquisition of the East-West Tie Line is valued at approximately $261 million, inclusive of closing adjustments. The transaction results in a partnership with the remaining owners of the East-West Tie Line – the Bamkushwada Limited Partnership and affiliates of NextEra Energy Canada, LP, who own approximately 3.5% and 48% respectively.

David Lebeter, President and Chief Executive Officer of Hydro One, stated, "This investment will continue to support the reliable delivery of electricity that powers daily life and contributes to shared long-term prosperity in the region." This acquisition not only enhances Hydro One's transmission ownership but also strengthens its commitment to supporting the region's economic growth and development.



Hydro One's involvement in the East-West Tie Line project offers several potential economic and environmental benefits, including reliable electricity supply, job creation, Indigenous inclusion, environmental improvements, and long-term economic growth. By connecting remote communities to the main electricity grid, the project enables the integration of renewable energy sources, such as wind and hydro, into the power system. This integration can help reduce greenhouse gas emissions and promote a cleaner energy future.

Moreover, Hydro One's commitment to Indigenous collaboration and inclusion in the project significantly contributes to its corporate social responsibility initiatives and community engagement. The partnership with the Bamkushwada Limited Partnership demonstrates Hydro One's dedication to working with Indigenous communities, fostering economic opportunities, and promoting shared prosperity in the region.

In conclusion, Hydro One's expansion of transmission ownership in northern Ontario through the acquisition of the East-West Tie Line aligns with its long-term strategic goals and offers numerous economic and environmental benefits. The project supports the region's economic growth and development, promotes Indigenous inclusion, and contributes to Hydro One's corporate social responsibility initiatives. As Hydro One continues to invest in and expand its transmission infrastructure, it solidifies its position as a key player in Ontario's energy landscape.