A plain-language breakdown of what B.C. and Ottawa have actually committed to on the North Coast grid expansion — the phases, the timelines, the money and the unfinished First Nations agreements.
Construction has begun on the North Coast Transmission Line, the multi-phase BC Hydro build that the provincial government says will more than double electricity transmission capacity between Prince George and Terrace. Premier David Eby announced the groundbreaking in Prince George on Thursday, September 3, 2026, flanked by two federal ministers and a set of northern First Nations leaders whose co-ownership agreements in the project are still being negotiated.
The province is framing the line as an economic project first and a climate project second. Its headline numbers: roughly 9,700 direct full-time jobs supported once the industrial development it enables is built out, nearly $10 billion a year added to provincial GDP, and about $950 million a year in combined provincial and municipal revenue.
The Numbers B.C. Attached to the Announcement
The job and revenue figures released alongside the groundbreaking describe two different things, and the distinction matters for readers assessing the claim. The 1,400-worker figure is a direct construction number. The 9,700 figure is not — it counts jobs in the mining, energy and industrial projects the province expects the added transmission capacity to make possible.
- 9,700 direct full-time jobs: tied to the major industrial projects the line is expected to support once complete.
- 1,400 workers at peak construction: spread across Phase 1 and Phase 2 of the build.
- Nearly $10 billion annually: the province’s estimate of the contribution to B.C.’s GDP.
- Approximately $950 million a year: projected revenue for the Province and local governments combined.
- One of 35 major projects: the line’s status within B.C.’s Look West strategy.
The province did not publish a total capital cost for the project in the announcement, and no all-in price tag was specified.
Why the Existing Prince George–Terrace Line Ran Out of Room
The engineering case is straightforward. Electricity demand across northwestern B.C. — driven by mining, liquefied natural gas facilities, port operations and newer industrial users — has outgrown the single 500-kilovolt line that currently runs between Prince George and Terrace. Without new capacity, projects that want to plug into the grid have to wait or scale back.
That constraint is the reason the project is being described in terms of unlocking investment rather than simply delivering power. “Electricity demand in the region now exceeds the capacity of the existing line” is, in effect, the province’s shorthand for a queue of industrial customers that cannot be served. BC Hydro president and CEO Charlotte Mitha said the build ensures the utility is ready for growing clean electricity demand as industry and communities expand on the North Coast.
Phase 1 to Glenannan, Phase 2 Toward Terrace
BC Hydro is advancing the work in stages rather than as a single corridor build, with each phase carrying its own timeline.
| Phase | Route | Construction start | Target completion |
|---|---|---|---|
| Phase 1 | Prince George to Glenannan (west of Fraser Lake) | Underway (September 2026) | Mid-2030 |
| Phase 2 | Glenannan westward toward Terrace | Anticipated 2027 | Winter 2032 |
| Phase 3 | Not specified | Not specified | Not specified |
Together, Phases 1 and 2 are expected to more than double transmission capacity on the corridor. Phase 3 exists in the announcement only as a funding commitment — Ottawa has said it will work with the province on financing it — with no route, cost or schedule attached at this stage.
Ottawa’s Money and the Co-operative Prosperity Agreement
Federal funding for Phases 1 and 2 flows through the Canada–British Columbia Co-operative Prosperity Agreement, a bilateral arrangement built around B.C.’s role as Canada’s Pacific Gateway and its position in clean energy, critical minerals and trade infrastructure. The federal government has committed to working with the province on funding support for Phase 3.
Federal Energy and Natural Resources Minister Tim Hodgson tied the line directly to Canada’s critical minerals ambitions, arguing that a strong grid, mineral extraction and LNG all depend on affordable power. Housing and Infrastructure Minister Gregor Robertson, who is also responsible for Pacific Economic Development Canada, called the groundbreaking a milestone for B.C.’s clean energy future.
The project has also been referred to the federal Major Projects Office, the designation Ottawa uses for builds it treats as nation-building infrastructure. Separately, the Canada Infrastructure Bank has made an early works investment supporting planning and development activities, according to CIB chief executive Ehren Cory.
Trade Diversification and the ‘Look West’ Rationale
The political framing is explicitly about reducing exposure to the United States. Eby described the province as focusing on “what we can control here at home: diversifying our trading partners and building critical infrastructure,” language that lands in the middle of an ongoing cross-border trade dispute in which Canadian counter-tariffs now cover $27.6 billion in U.S. imports.
Look West — formally titled “Jobs and Prosperity for a Stronger B.C. and Canada” — is the province’s strategy for redirecting export capacity toward Pacific markets. The North Coast Transmission Line is one of 35 major projects prioritized under it, and Energy and Climate Solutions Minister Adrian Dix argued that expanding the transmission system reduces grid constraints and opens new room for trade and investment.
Cost pressure is a live variable for a build of this length. Large Canadian infrastructure projects have been navigating input-cost volatility since Canadian tariffs on construction materials came into force, and neither the province nor BC Hydro published a contingency figure for that exposure in this announcement.
First Nations Co-Ownership Deals Still Being Finalized
The most consequential open item in the announcement is that the co-ownership agreements with First Nations are not signed. The province says work is ongoing to finalize them by the end of 2026, and that they are intended to give participating Nations a direct equity stake, economic returns, jobs, capacity building and long-term revenue.
The statements from leaders released with the announcement were supportive but not uniformly settled. Chief Dolleen Logan of Lheidli T’enneh First Nation called the day “the commencement of powering our future.” Chief Leah Stump of Nazko First Nation pointed to co-ownership as a source of generational benefits. Chief Robert Michell of Stellat’en First Nation was more pointed, saying that not all of the Nation’s conditions to build have been addressed by the Crown and that they are expected to appear in the agreements finalized in the fall.
Chief Beverly Ketlo of Nadleh Whut’en First Nation said her Nation has completed a Yinka Dene-led review of the project and will keep working with BC Hydro, the province and the BC Energy Regulator to ensure concerns are accommodated in both phases. Chief Priscilla Mueller of Saik’uz First Nation framed the collaboration as evidence that Section 35 rights and the UN Declaration on the Rights of Indigenous Peoples can coexist with major project development.
How the North Coast Transmission Line Fits the Powering Growth Plan
The line sits inside BC Hydro’s broader Powering Growth plan, the utility’s roadmap for expanding and modernizing the electricity system to meet rising demand. The stated purpose combines three goals that do not always sit comfortably together: enabling industrial electrification, reducing emissions, and improving reliability across the province.
That tension is worth noting for readers tracking emissions policy. The same infrastructure that lets a mine or processing facility run on hydroelectricity instead of diesel also enables LNG export capacity, which carries its own downstream emissions profile. The province’s own framing — clean power for growth — puts both on the same wire. For readers following the underlying science, Canada’s Changing Climate Report 2026 sets out the national warming trajectory against which such projects are increasingly assessed.
Dates and Decisions Still Ahead
Three concrete milestones are on the record. Co-ownership agreements with First Nations partners are targeted for completion by the end of 2026. Phase 2 construction is anticipated to begin in 2027. And Phase 1 is scheduled for completion by mid-2030, with Phase 2 following in winter 2032.
Phase 3 funding remains a commitment to negotiate rather than a confirmed program, and no figures have been attached to it. Readers evaluating the economic projections should treat the 9,700-job and $10-billion GDP estimates as provincial forecasts contingent on industrial projects that have not all been built or, in some cases, sanctioned.
Frequently Asked Questions
Is the 9,700-job figure for construction workers?
No. That number refers to direct full-time jobs in the major industrial projects the transmission line is expected to enable once complete. Peak construction employment across Phases 1 and 2 is estimated at approximately 1,400 workers.
Where exactly does the line run?
Phase 1 runs from Prince George to Glenannan, west of Fraser Lake. Phase 2 extends further west toward Terrace. The route for any Phase 3 has not been specified.
Have the First Nations co-ownership agreements been signed?
Not yet. The province says work is ongoing to finalize them by the end of 2026, and at least one Chief has publicly stated that outstanding conditions still need to be addressed in those agreements.
What is the total cost of the project?
Not mentioned. The announcement set out economic benefit estimates and federal funding participation but did not publish a total capital cost for the build.
Why is this being called a nation-building project?
The federal government referred the project to its Major Projects Office, the designation used for infrastructure treated as being in the national interest — in this case linked to critical minerals, LNG and grid capacity on the Pacific coast.