The system will pump water from Georgian Bay into an elevated reservoir during off-peak hours, then release it through turbines during high-demand periods to generate low-cost, low-carbon electricity.
TC Energy unveiled the PHES proposal in 2019 with an estimated US$3.25 billion price tag. While the company announced in 2023 its intention to break ground the following year, construction remained contingent on final provincial approval.
The long-term revenue framework emerged after Ontario’s then-energy minister Todd Smith acknowledged pumped hydro’s potential value but requested more comprehensive analysis of its “broader societal and economic benefits” before moving forward.
According to the Canada Energy Regulator, the only active PHES project in the country is Ontario Power Generation’s 174MW Sir Adam Beck Pump Generating Station.
Mineral exploration company Montem is developing the 320MW Tent Mountain Renewable Energy Complex PHES plant in Alberta. In 2023, Canadian power generation and wholesale marketing company TransAlta acquired a 50% stake in the project.
