Maritime Electric told P.E.I. politicians Thursday that by the end of the decade there will be a “112-megawatt problem” looming if the province doesn’t create more on-Island power generation.

The current capacity for electric power in the province is 334 mw — 219 imported from New Brunswick by undersea cables, and 115 generated on the Island. But the need, Maritime Electric says, will grow to 446mw by 2030.

Without more ways to bring power into P.E.I. or generate it locally, the Island is facing a power deficit.

“We have a 112 megawatt problem very quickly approaching,” said Jordan Sampson, an analyst with Maritime Electric.

“Today, in 2026, that capacity deficit is 70 megawatts. Even today, as we speak, that is a problem we are facing.”

Maritime Electric data from Jan. 24 to 26 showed 69 consecutive hours where the demand was above 300 mw, with P.E.I. reaching a new all-time peak record of 404mw. The utility’s combustion turbines were used 60 of those 69 hours.

Just last week, demand was at 364mw with zero megawatts of wind generated, Maritime Electric said. The turbines operated for 16 hours.

Maritime Electric used that data to further justify the need for the two additional 50mw combustion turbines it has applied to the Island Regulatory and Appeals Commission to purchase. IRAC has not yet made a decision on those, but it would add an additional 100mw of diesel-generated power on P.E.I.

Maritime Electric defends turbine application

Politicians fired back at Maritime Electric, questioning the application to purchase the turbines. Progressive Conservative MLA Brendan Curran said it was the result of poor planning from the utility, while Green MLA Peter Bevan-Baker said battery storage is a more environmentally friendly and cost-efficient choice.

In an interview after the meeting, Angus Orford, vice-president of corporate planning and energy supply with Maritime Electric, said every province in Atlantic Canada is in a “capacity crunch” and that each needs its own extra power generation to meet skyrocketing demand.

The problem aside from additional greenhouse gas emissions, MLAs said, is the price tag that comes with the two combustion turbines: $334 million.

“It’s not something we’re happy about. You want to have your product that is competitively priced, affordable.… It’s of grave concern,” Orford said.

“You see these types of costs that are coming, and the others that haven’t materialized yet. It is a concern.”

Maritime Electric officials were asked by Bevan-Baker whether the turbines — ProEnergy 6000s — would even work in P.E.I.’s cold-weather climate.

Orford said he’s “100 per cent confident” they would.

Tie profits to performance, MLAs say

Curran said he agrees with Maritime Electric about the need to generate more power on P.E.I., but added that the cost is more than it needs to be.

“It’s downright difficult to try and explain that to Islanders; it’s an astronomical number,” Curran told CBC News.

“Maritime Electric does have a duty to their shareholders, they also have a duty to Islanders to provide reasonable and affordable electricity, and this isn’t the way to do it.”

Curran said if there is no other option, he supports Maritime Electric’s application to purchase the generators.

He also added that Maritime Electric’s profits should be tied to a performance-based system, instead of guaranteed.

That’s also something on the list of priorities of Premier Rob Lantz, who said last month that developing the performance-based model will take time.

At present, Maritime Electric has a guaranteed return on equity of more than nine per cent.

Bevan-Baker, meanwhile, disagreed with the purchase of the turbines.

“Maritime Electric and IRAC are potentially going to make a very bad decision, which will have economic impacts for Islanders for literally generations to come,” Bevan-Baker said in an interview.

He added that he would support the premier and PC caucus if they presented a performance-based profit system for Maritime Electric that he finds reasonable.

“You can actually incentivize utilities like Maritime Electric to make the right choices, and by that I mean a reliable supply. A clean supply. An energy supply that’s going to be robust,” he said.

“Changes can and should be made in order for us to have the system that Islanders need and deserve.”