Thirty-year extension would create thousands of jobs and low-cost emissions-free power
The Ontario government has approved Ontario Power Generation’s (OPG) plan to proceed with the Project Definition Phase, the next step toward refurbishing Pickering Nuclear Generating Station’s “B” units to secure more power and create thousands of jobs across the province. As part of the preparation for refurbishment, the government has authorized OPG to sign a $2.1 billion contract with CanAtom for early engineering and procurement to prepare for the execution of the Retube Feeder and Boiler Replacement Program, creating more than 2,400 jobs across the province.
“The Pickering Nuclear Generating Station has powered cities and towns across Ontario with affordable, reliable and zero-emissions electricity for more than fifty years, supporting thousands of jobs in the process,” said Stephen Lecce, Minister of Energy and Electrification. “Under the leadership of Premier Ford, our government is focused on delivering affordable energy, while we stand firm against the federal carbon tax. This refurbishment would protect those good paying jobs and provide the affordable and reliable power our province will need for decades to come.”
Once refurbished, Pickering would produce more than 2,000 megawatts (MW) of electricity, equivalent to powering two million homes, to help meet increasing demand, driven by electrification and the province’s surging economic growth. Based on OPG’s preliminary schedule, the refurbishment is anticipated to be completed by the mid-2030s.
The Conference Board of Canada projects the full refurbishment project would create 11,000 jobs per year while contributing $19.4 billion to Ontario’s GDP over 11 years. This project would benefit communities across Ontario with approximately 90 per cent of spending happening inside the province. In addition to the work delivered by CanAtom, a joint venture of Aecon and AtkinsRéalis, the Retube Feeder and Boiler Replacement Program will be supported by BWXT Canada in Peterborough and Cambridge, Nutech in Arnprior, Cameco in Port Hope and NWI Precision in Toronto.
OPG will now proceed with the Project Definition Phase of the project, which will last through 2026. The government is supporting OPG’s $4.1 billion budget for this phase of work, bringing the total investment to date in the project to $6.2 billion. OPG will complete a high-quality cost estimate and schedule for the project, progress detailed engineering, further procurement and contracting work, as well as develop a robust project execution plan. This extensive planning and preparation will help ensure the final project, if approved, is completed on time and on budget, consistent with the Darlington Refurbishment Project which is on-budget and ahead of schedule.
“Refurbishing the Pickering Nuclear Generating Station’s ‘B’ units is a critical step toward securing affordable, reliable and clean energy for Ontario’s growing electricity needs while creating more good paying jobs,” said Peter Bethlenfalvy, MPP for Pickering-Uxbridge. “I’m pleased to be working with Premier Ford and Minister Lecce to safely extend the life of this station and protect more than 6,000 jobs in Pickering and across Durham Region that depend on the continued operation of the station.”
OPG has also committed to spending $100 million with Indigenous companies over the life of the refurbishment project. This will ensure that local First Nations that host nuclear projects see the economic benefits including employment throughout the planning and execution of the project.
“Drawing on the shared experience of OPG, Aecon, AtkinsRéalis, labour unions and skilled tradespeople on the Darlington Refurbishment Project, we have set the stage for success as we prepare to refurbish Units 5-8 at the Pickering Nuclear Generating Station,” said Nicolle Butcher, OPG President and CEO. “Pickering Nuclear Generating Station has a long history of helping power Ontario, and thanks to investments like this, will continue to do so for decades to come.”
Refurbishing the Pickering Nuclear Generating Station is just one part of Ontario’s Affordable Energy Future, the government’s vision as it plans for rising energy demand, which includes:
- Energy Planning – Developing the province’s first integrated energy plan, including all energy resources, such as electricity, natural gas, and other fuels to ensure the province’s energy needs are met in a coordinated and long-term manner.
- Nuclear Energy – Advancing clean, reliable, and affordable nuclear power through pre-development work at Bruce Power on the province’s first large-scale nuclear build in 30 years, four small modular reactors at Darlington, supporting OPG’s plan for refurbishing the Pickering Nuclear Generating Station and exploring new nuclear energy generation in Port Hope.
- New Transmission Infrastructure – Designating and prioritizing transmission lines in Southwestern, Northeastern and Eastern Ontario that will power job creation, including EV and EV battery manufacturing and clean steel production.
- Keeping Costs Down – Launching new energy efficiency programs worth $10.9 billion over the next 12 years, which will help families and businesses reduce their electricity usage and save money on their energy bills.
- Additional Competitive Procurements – Launching the largest competitive procurement of clean energy resources in the province’s history in addition to successfully re-contracting existing capacity resources at about a 30 per cent discount.
Quick Facts
- According to Ontario’s Independent Electricity System Operator (IESO), the province’s demand for electricity is forecast to increase by 75 per cent by 2050, the equivalent of adding four and a half cities the size of Toronto to the grid.
- In September 2022, Ontario announced that OPG would continue to safely operate the “B” units (Units 5 to 8) at the Pickering Nuclear Generating Station through September 2026, pending Canadian Nuclear Safety Commission (CNSC) approval.
- In October 2024, CNSC authorized Pickering “B” units to operate until the end of 2026. Further operation of Pickering “B” units would require a complete refurbishment.
- In December 2024, OPG completed the Project Initiation Phase of the Pickering refurbishment which included early engineering and design work, as well as securing components that require the longest-lead times. By placing orders in advance with key suppliers, OPG is able to ensure materials are available when Ontario needs them and help keep costs down.
- According to IESO, the Pickering refurbishment would provide better overall ratepayer value in terms of costs and risks, when compared against non-emitting generation alternatives.
- The refurbishment of Pickering Nuclear Generating Station’s “B” units is also subject to regulatory approval by the CNSC, following a rigorous and transparent process. The CNSC is the federal nuclear regulator responsible for licensing nuclear power plants and overseeing their safe operation in Canada.
Quotes
“Ontario’s small businesses and entrepreneurs play an essential role in supporting our province’s international position as a nuclear energy powerhouse. I’m thrilled that the refurbishment of the Pickering Nuclear Generating Station will keep energy costs down for the more than 450,000 small businesses that call Ontario home while supporting hundreds of well-paying jobs for workers in Pickering, and here in Mississauga.”
– Nina Tangri
Associate Minister of Small Business
“Together with Aecon and AtkinsRéalis, our government is working to ensure that the Pickering Nuclear Generating Station will continue to provide clean, reliable, and affordable energy for Ontarians. I’m proud that nuclear engineers here in Mississauga will support this important initiative.”
– Rudy Cuzzetto
Parliamentary Assistant to Minister Lecce and MPP, Mississauga-Lakeshore
“CANDU technology, as Canada’s only domestically developed, large scale nuclear technology, is a source of national pride. With today’s announcement with the Ontario government, we are honoured to continue to play a leading role in every CANDU reactor life extension globally, and to again work with our trusted JV partner in Ontario, Aecon. The CANDU reactors at OPG—an operating fleet of eight in total—are indispensable to providing Ontario with energy security and reliable, clean power to millions of people. All while increasing reactor power output to help OPG meet the challenges of increased demand from a rising population, as well as a growing industrial manufacturing base.”
– Joe St. Julian
President, Nuclear, AtkinsRéalis
“This contract award builds on the success of our joint venture on the Darlington refurbishment project and signifies OPG’s continued confidence in our team to refurbish their reactor fleet on-time, within budget and with an unwavering commitment to safety and quality. Aecon is proud to be playing an important role as the constructor on North America’s three largest nuclear refurbishment projects – providing future generations with clean, safe, reliable, and affordable electricity with the Government of Ontario.”
– Jean-Louis Servranckx
President and Chief Executive Officer, Aecon Group Inc.
“BWXT is excited to continue our deep collaboration with OPG as the go-to supplier for large, complex nuclear components. The Government of Ontario’s support of the Pickering refurbishment will help create more Canadian jobs and cleaner energy for decades to come.”
– John MacQuarrie
President, BWXT Commercial Operations
“Nu-Tech Precision Metal Inc., based in Arnprior, Ontario, has been the supplier of zirconium pressure tubes for CANDU reactors for close to 60 years. We commend the Ontario government on their foresight in proceeding with the procurement of long lead items like pressure tubes that are used in the refurbishment of the Pickering B reactors. This decision will enable us to plan, and secure our supply chain in order to ensure the timely delivery of components to support the refurbishment. Nu-Tech and our supply base are significant contributors to the economy of eastern Ontario and particularly in the Ottawa Valley/ Renfrew County. This announcement will also allow us and our suppliers to adequately plan for future growth.”
– George Legate
President, Nu-Tech Precision Metal Inc.
“With the Government of Ontario’s announcement today, NWI Precision is proud to be a partner for the OPG Pickering project and excited to build on our 50+ year relationship supporting CANDU and AtkinsRéalis. Our talented team is ready and eager to add to our more than 35,000 End Fittings and other key Fuel Channel components built right here at our Toronto location.”
– Rick Rosenjack
Interim CEO, NWI Precision
“We are thrilled by the Ontario Government’s announcement to continue investing in reactor refurbishments. As a proud and long-standing partner in these projects, we have witnessed firsthand the positive impact this work has on securing a clean energy future. These investments not only strengthen Ontario’s energy infrastructure, but also create and sustain thousands of jobs across the province, including those at Cameco’s operations in Port Hope and Cobourg.”
– Tim Gitzel
President & CEO, Cameco Corporation
“In the years ahead, Ontario’s business and economic growth will increasingly depend on a reliable supply of electricity. The Mississauga Board of Trade is delighted to witness this significant milestone towards ensuring a robust and affordable energy supply.”
– Trevor McPherson
President & CEO, Mississauga Board of Trade
“In addition to providing clean, reliable energy, Pickering B has been an essential source of Cobalt-60 isotopes which are used for medical sterilization, keeping our hospitals clean and our frontline workers safe. Today’s announcement from the Ontario Government and Ontario Power Generation to continue with the Pickering B refurbishment marks a major milestone in solidifying the province’s position at the forefront of isotope production and strengthening our domestic supply of life-saving medical isotopes.”
– Melody Greaves
Executive Director & VP, Government Relations, Canadian Nuclear Isotope Council (CNIC)Source: The Government of Ontario