Energy minister announces new power transmission line in the Sault

The Ontario Government says a planned expansion of power transmission infrastructure in northern Ontario will pave the way to electrification of the steel industry.

Energy Minister Todd Smith paid a visit to Sault Ste. Marie on Monday, where the city's mayor and local industry have been calling for increased power generation to meet future demand.

"We've known for quite some time, especially with the electric arc furnace announcement, that we were going to need to put new transmission into the area," said Minister Smith, referring to an announcement by Algoma Steel that it was electrifying its steel-making process.

"With the growth that's happening across the province now for the first time in 18 years, we're seeing electricity demand grow."

The province has declared three new transmission lines as priority projects, two of which run between Sault Ste. Marie and Greater Sudbury. The provincial official said they expect the lines to be finished no later than 2029, with Hydro One tapped to develop them. The new transmission line into the Sault is expected to double capacity in the region.

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Meantime, officials with Algoma Steel said the two electric arc furnaces currently under construction will be finished before 2029 – adding they are confident both can be operated with current power capacity.

Mayor Matthew Shoemaker, who brought the case for increased power generation to Minister Smith during the last AMO conference, said he is cautiously optimistic.

"I do still have some concerns that between now and 2029 there's a bottleneck, but those conversations are ongoing with the minister," said Shoemaker.