Frequently Asked Questions

Who owns the Powell and Lois dams and related infrastructure?
The Powell and Lois dams are owned by Powell River Energy Inc. (PREI), a subsidiary of Brookfield Renewable Partners, which is based in Bermuda—a tax haven. Brookfield Renewable is itself owned by Brookfield Corporation, a global company managing over $1 trillion in assets.

Where does the electricity go?
From 1911 to 2001, the Powell River mill owned the dams and used the power they generated. From 2001 to 2021, after the mill owners sold the dams to PREI, the mill had a power purchase agreement with PREI. That agreement ended in 2021, and since then, PREI has been selling all electricity it generates to the U.S. market.

When did the mill stop owning the dams?
The mill sold 50% of its hydro assets to PREI in 2001 and the remainder in 2013.

Why did the mill sell off its hydro assets?
The mill’s owners sold their hydro assets to raise money that they said would be used to upgrade the mill.

What do PREI’s water licences cover?
PREI holds water licences across two major watersheds in the qathet region. These include rights over four rivers (Powell, Theodosia, Horseshoe, and Lois) and six lakes (Powell, Goat, Lois, Khartoum, Horseshoe, and Nanton). The licences also grant rights to flood Crown land and build infrastructure on it.

Do the water licences expire?
No. PREI’s water licences do not have an expiry date.

What regulations apply to the dams?

Provincial Regulation:

• The Dam Safety Program (Ministry of Water, Land, and Resource Stewardship) oversees dam safety under the Water Sustainability Act. Both the Powell and Lois dams are rated “Very High” for potential failure consequences.

• The Water Comptroller can require a Water Use Plan, ensuring dam operations consider both power generation and environmental impacts.

• The BC Utilities Commission (BCUC) regulates reliability, service quality, and oversees the Mandatory Reliability Standards Program. It can review energy contracts and intervene on safety if there are gaps in safety enforcement.

Federal Regulation:

• The Fisheries Act prohibits harmful alterations to fish habitat.

• The Minister of Fisheries can mandate minimum flow levels to protect fish and habitat.

• The Canada Energy Regulator reviews electricity export permits and can refuse them if they are not in the public interest.

• The Department of Transport enforces the Canadian Navigable Waters Act, which prohibits lowering water levels on a navigable waterway that prevents navigation for vessels of any class.

How do dams affect Aboriginal fishing rights?

In Thomas and Saik’uz First Nation v. Rio Tinto Alcan Inc. (2024), the BC Court of Appeal ruled that while Rio Tinto was not liable for damage to a traditional First Nation fishery because it operated its dam under valid licences, both the federal and provincial governments have a fiduciary duty to protect Aboriginal fishing rights.