A five-day public hearing on a proposed natural gas and diesel power plant in the Tantramar region is set to proceed on Monday despite last-minute evidence submitted by NB Power.

In documents now available on the New Brunswick Energy and Utilities Commission website, the company revealed changes to plans for the controversial gas plant.

The utility has reached a deal with Nova Scotia’s independent energy system operator to sell 100 megawatts of the proposed power plant’s capacity over the next 10 years, which would provide the utility with some cost-sharing opportunities.

That means the proposed power plant near Center Village could produce up to 500 megawatts of electricity should NB Power or the Nova Scotia system need it.

The documents also show the utility has amended its 25-year contract with ProEnergy, the company hired to build and operate the gas and diesel plant, which is estimated to cost more than $1 billion.

The original contract with ProEnergy required the utility to obtain regulatory approval by April 2 or the Missouri-based company would have the right to walk out of the contract. The new agreement has a June 2 deadline.

NB Power may require additional time depending on the input of the intervenors in the process.

major changes

An Energy and Public Utilities Commission hearing on the “prudence” of the proposed power plant is scheduled to begin Monday in Moncton.

On Friday, public intervenor Alan Chiasson asked the board to adjourn the hearing to allow intervenors time to examine the evidence.

Chiasson said the new evidence “will change the structure of the deal,” including the price that utilities may pay for power plants and output.

Chiasson said there have been substantial and significant changes, including increasing the plant’s capacity to 500 megawatts.

“So we want to be able to at least question NB Power regarding the new contract.”

Two experts hired by public interveners to review NB Power’s proposal were critical of the rationale for the gas-diesel plant, citing outdated analysis and errors by the utility.

Chiasson said the new agreement “may not change the core opinion of the experts,” but “there are certainly questions.”

I was surprised when I reported it.

Lisa Griffin said she was first informed by email Monday during an online meeting to consider the lawsuit’s claims and was surprised by the late filing. Mr Griffin is part of the Coalition to Defend the Isthmus of Chignecto, a registered intervener opposed to NB Power’s proposal.

Mr Griffin said he was concerned that due to the last-minute nature of NB Power’s new evidence, “none of the intervenors, not even the board, had an opportunity to read it, examine it in detail or even suggest an inquiry”.

“Back and forth” over evidence is part of the regulatory process, she said.

The board will admit late evidence.

Board chairman Christopher Stewart said on Friday that he accepted NB Power’s new evidence but would provide intervenors with options to deal with its impact.

Stewart said the intervenors will be given the opportunity to cross-examine and testify during a five-day hearing next week.

Or it may request additional hearing days at a later date to consider new transactions on a case-by-case basis.

“This situation is not ideal,” Stewart said. “But we have to deal with problems as they arise.”

The board’s decision on the gas plant project could be delayed if some interveners decide to seek additional hearing days to consider a new contract between NB and electricity.

“Expansion opportunities” may reduce costs

NB Power has previously mentioned the possibility of selling an additional 100 megawatts of generation capacity to a “third party” somewhere on the coast.

In its initial filing with the Energy and Utilities Commission, the utility described “expansion opportunities” that could reduce overall costs for New Brunswick ratepayers through premiums charged for additional capacity.

The utility’s new evidence confirms there are opportunities for expansion, noting that the contract with Nova Scotia means “a reduction in NB Power’s effective price by absorbing a portion of its fixed costs.”

Power company warns of risk of no new contract

A briefing memo dated December 17, 2025 to a committee of the NB Power Board of Directors warns of the risks if the Board does not approve the amended agreement with ProEnergy.

It echoes warnings heard many times from NB Power officials that project delays could cause NB Power to run out of power capacity.

The heavily redacted memo also mentions potential financial risks, including:unknown situation If ProEnergy is involved, NB Power will have no means of recovering costs and will “need to pursue legal action, which may or may not be successful.”

The NB Power board approved the amended ProEnergy contract and the new contract with Nova Scotia in mid-December, and the contract was completed by Jan. 16, according to documents.

Lisa Griffin said looking at the timeline made her question NB Power’s motives.

“Why did you decide to do this so late?” Griffin asks the utility. “Is that part of your strategy? If so, that’s a serious lack of transparency.”