Campbell River Urges BC Hydro to Renew Island Generation Contract Amid Industry Concerns

Campbell River's mayor emphasizes the need for BC Hydro to extend its contract with Island Generation to support local economic growth. The current agreement with the 275-megawatt natural gas facility ends in October 2026, potentially impacting future developments at the vacant Elk Falls mill site. With new energy sources not expected until 2031, the city faces a gap in energy security that could hinder industrial projects.

Published Mar 28, 2026

Mayor Kermit Dahl of Campbell River is advocating for BC Hydro to renew its contract with Island Generation, a 275-megawatt natural gas power facility, which ends in October 2026. The facility has been crucial for local energy stability, especially during outages.

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Dahl warns that without a contract renewal, future industrial development at the long-vacant Elk Falls mill site could be jeopardized. New energy sources, such as planned wind farms, won’t be available until 2031, leaving a significant gap in energy support for local projects. BC Hydro has acknowledged the community's interest in the facility but has not confirmed future contract details.