Canada has unveiled a $70 billion clean energy investment centred on hydropower expansion in Newfoundland and Labrador and Quebec, in a move that could strengthen the country’s position as a major supplier of clean electricity and critical minerals.

Mark Carney, Canada’s Prime Minister, alongside Christine Frechette, Quebec Premier, and Tony Wakeham, Newfoundland and Labrador Premier, announced an agreement to upgrade and expand the Churchill Falls Generating Station, develop the massive Gull Island hydroelectric project and build related transmission infrastructure.

The federal government will provide $10 billion in financing for the projects.

The combined developments are expected to generate 14,000 megawatts (MW) of clean power, nearly tripling Churchill Falls’ existing generating capacity. 

Canada said the projects will support about 23,000 jobs during construction and contribute an estimated $31 billion to the country’s GDP through the early 2040s.

The agreement also targets the Labrador Trough, a major mining region spanning Newfoundland and Labrador and Quebec that contains significant deposits of high-purity iron ore and other critical minerals.

Several infrastructure projects will also receive support, including transmission expansion to connect western Labrador’s critical-minerals operations to the electricity grid, infrastructure linked to the Kami iron ore project, a proposed transmission line and road serving the Lac Knife graphite project, and expanded minerals-handling and rail infrastructure at Pointe-Noire.

The projects will support mine electrification and strengthen supply chains for batteries, energy storage and low-carbon steel.