Trudeau Unveils $4.1 Billion for Newfoundland Hydro Project

By

Kait Bolongaro

and

Esteban Duarte

July 27, 2021, 10:22 PM EDT Updated on July 28, 2021, 2:32 PM EDT

Aid for Atlantic province comes as Canadian PM eyes election
Cost of Muskrat Falls dam has nearly doubled since its launch

Construction at the hydroelectric facility at Muskrat Falls in 2015.

Prime Minister Justin Trudeau is stepping in to aid a long-delayed, over-budget hydroelectric project in the province of Newfoundland and Labrador as he lays the groundwork for a likely September election.

The Canadian government will take equity in the Muskrat Falls project and provide debt guarantees as part of a C$5.2 billion ($4.1 billion) restructuring agreement with the Atlantic province, which includes C$2 billion in government financing, according to a news release from Trudeau’s office Wednesday.