February 18, 2005

Cost of Wuskwatim dam swells to $886M

WINNIPEG

The cost of the northern dam Manitoba Hydro hopes to start building this year has shot up by $130 million.

A sharp increase in the price of construction materials, increased environmental monitoring and delays have pushed up the cost to $886 million, says an aboriginal band negotiating part ownership of the Wuskwatim project.

Manitoba Hydro wanted to build an access road to the dam site on the Burntwood River this winter.

However, it is still waiting for a federal report on the impact of the dam on fish before it can get approval.

Manitoba Hydro spokesman Glenn Schneider confirmed that the utility is still confident the project will make a profit.

Elvis Thomas of the Nisichawayasihk Cree First Nation said most band members support the dam because it would create jobs in the area.

The Canadian Press

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