District, union rap new Kitimat power proposal

Dec 31, 2007 | 09:04 AM | Matthew Lerner

Both the District of Kitimat and the Canadian Auto Workers union will fight the revised power deal proposed by Rio Tinto Alcan and the British Columbia Hydro and Power Authority (BC Hydro), which provides electricity for Alcan's aluminum smelter in Kitimat, British Columbia.

Passage of the plan by the British Columbia Utilities Commission is one of three conditions set by the aluminum company as necessary in order to proceed with a $1.8-billion modernization program for the Kitimat smelter that would raise capacity to 400,000 tonnes per year from 260,000 tonnes.

The sides have clashed repeatedly over the issue, with the first proposed deal, known as the Long Term Electricity Purchase Agreement-Plus (LTEPA-Plus), rejected by the commission at the end of 2006.....

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