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Public Affairs
Manitoba Hydro
P.O. Box 815
Winnipeg, Manitoba R3C 2P4
Telephone: (204) 360-3233
COVER PHOTO
Great Falls Generating Station on the
Winnipeg River was completed in 1923.
Workers’ families lived in the small
townsite built next to the generating
station, which at the time was isolated
and inaccessible by road.
 Introduction
he history of the electrical industry in 1) all distribution properties in the suburbs
Manitoba tells the story of expediency, owned by City Hydro were sold to MPC.
foresight and public responsibility. It 2) all distribution properties in the City of
began over a century ago during the pioneer Winnipeg owned by the former WECo. were
days of street lighting and street railway sold to City Hydro — which became Winnipeg
transportation in Winnipeg. Before long, as Hydro in 1964. (Winnipeg Hydro was the sole
the novelty of the new energy source gave way distributor of electrical energy in the central
to necessity, other large communities in the portion of the City of Winnipeg until it was
province wanted the benefits that electricity acquired by Manitoba Hydro in 2002.)
would bring. They received electrical service, In 1961, the Government of Manitoba
but often at very high costs. united the two provincial utilities through
A few farsighted the establishment of the Manitoba Hydro
individuals saw the Act. MHEB and MPC formed a single Crown
enormous advantages Agency to supply the electricity needs of the
of large-scale generating province.
facilities. Among them In 1973, 100 years after the first utility was
were a number of public incorporated in the province, the last of the
spirited citizens who felt small independent systems joined Manitoba
that electricity should Hydro. At this time, Manitoba Hydro assumed
be made available at the responsibility for the communities of Flin Flon
lowest possible cost to the and Snow Lake by acquiring the distribution
consumer. facilities of the Northern Manitoba Power
There followed over Company Limited from Hudson Bay Mining
the years a successive and Smelting.
series of amalgamations, The History of Electric Power in Manitoba
purchases, and govern- highlights some of the milestones in the elec-
ment appointed bodies trical industry in Manitoba, as well as the
until finally, by the 1940s, development of Manitoba Hydro and some of
the myriad of companies the significant events in the utility’s history.
and municipal utilities
evolved into essentially
three major electrical utili-
ties: the Winnipeg Electric
Company (WECo.), which was originally the
Winnipeg Electric Street Railway Company
and the Winnipeg Electric Railway Company;
the City of Winnipeg Hydro Electric System
(known as City Hydro); and the Manitoba
Power Commission (MPC).
By the end of World War II, it had become
evident that the future power requirements
of Manitoba would be best served by a single
utility for developing and supplying electrical
energy. The result was the formation of the
Manitoba Hydro-Electric Board (MHEB) in
1949 by the Government of Manitoba.
During the next decade, the generation and
distribution facilities in Manitoba were con-
solidated. In 1952, the provincial government
authorized MHEB to acquire WECo. In 1955,
an agreement was reached between MHEB,
MPC, and City Hydro, whereby:


 Early Beginnings
WINNIPEG GAS COMPANY MANITOBA ELECTRIC & GAS
1873 was incorporated on March 8
to provide the City of Winnipeg 1880 LIGHT COMPANY was incor-
porated February 14 by an Act
with gas lighting. The company, of the Manitoba legislature. The
which materialized as no more than a hold- company was granted wide powers to “supply
ing company, amalgamated with Manitoba light and heat in Manitoba by gas, electricity
Electric & Gas Light Company in 1881. One or other means”.
of the founders of Winnipeg Gas Company
was Mr. Donald A. Smith, who later became WINNIPEG GAS COMPANY
Lord Strathcona.
1881 and Manitoba Electric & Gas
Light Company merged.
The Honourable Robert THE FIRST ELECTRIC LIGHT WAS
Atkinson Davis moved to TURNED ON IN WINNIPEG on March 12.
the village of Winnipeg The Honourable Robert A. Davis, proprietor of WINNIPEG STREET RAILWAY
1882
in 1870 and built Davis
House. In 1874, he was Davis House, a hotel on Main Street, used an COMPANY was incorporated
elected to the Mani- electric arc light to illuminate the front of May 27 under the management
toba legislative his building. At the time, the Manitoba of Mr. Albert W. Austin who ob-
assembly and Free Press reported “The (electric) tained a charter from the City of Winnipeg to
in December lamp in front of the Davis Hotel is operate horse-drawn streetcars on Main Street.
of that year he
became prem- quite an institution. It looks well The City granted Austin’s company the rights
ier of Mani- and guides the weary traveller to to construct and operate street railways in the
toba. Best a haven of rest, billiards and hot City, as well as in the parishes of St. Boniface,
known for drinks, and lights up the streets St. John’s, St. James, and Kildonan. The first
negotiating probably more than the lamp of the horse-drawn streetcar went into operation
a good finan-
cial deal with newly incorporated gas company October 21.
Ottawa for the will for centuries to come.”
new province, This event took place six years ADEMONSTRATION OF THE ELECTRIC
he resigned his before Edison’s first incandescent LIGHT IN ARC FORM was given on June 14
post on October 16, lamp was invented, four years before and 15 for about two hours each evening at
1878 and moved to
Chicago, where he became hard-drawn copper was invented, and the Canadian Pacific Railway (CPR) crossing
a wealthy businessman. three years before the first complete sentence on Main Street in Winnipeg. For the demon-
He died in Phoenix, was spoken over the telephone by Alexander stration, three lamps outside and one inside
Arizona, in 1903. Graham Bell. the engine house of the Patterson & McComb

Mr. Donald A. Smith,

co-founder of the Winnipeg
Gas Company, is shown
in one of the most famous
Canadian photographs ever
published. As president of
the Bank of Montreal, he is
driving the last spike on the
Canadian Pacific Railroad
at Craigellachie, B.C. on
November 7, 1885.


 Lumber Company were used. The lumber THE NORTH WEST ELECTRIC
company’s steam engine was used to drive a
small dynamo that a Mr. P.V. Carroll of New 1883 LIGHT AND POWER COM-
PANY (LTD.) (NWEL & P. Co.)
York had brought to Winnipeg for the purpose was incorporated August 25
of “exhibiting the electric light with which he under the Manitoba Joint Stock Companies
hopes to obtain a contract for illuminating the Act “to provide electric supply and lighting
streets of the city”. to any city or town in Manitoba”. Principal
By October 16, four lamps had been placed shareholders were Mr. Charles J. Bridges, the
along Main Street, from Broadway Avenue to Honourable Corydon P. Brown, Mr. Horace
the CPR crossing. That evening, they were McDougall, Mr. James F. Munsie, and Mr. Frank
turned on for the first time. Another nine were G. Walsh. On the evening of June 23, the power
strung around the engine house of the Hud- from NWEL & P.Co. was used for the first time
son’s Bay Company’s grist mill. They were in to light the streets of Winnipeg.
the process of adjustment prior to going out on The NWEL & P.Co. power plant was
the street. The mill engine had been engaged located “on Wesley Street — near Water Avenue”
to drive the small dynamo each evening for by directory identification — where it remained
the time being, and this electrical enterprise until about 1889. By that time, street lighting
was known as the Manitoba Electric Light & had been taken over by the Manitoba Electric
Power Company. Although the organization & Gas Light Company, leaving only a few
applied for a charter in June 1882, one was services of uncertain amount and extent for
never granted. The Manitoba Electric Light & NWEL & P.Co. to provide.
Power Company was also referred to as the
Electric Light Company.

Winnipeg in 1880,
looking northwards
on Main Street from
Graham Avenue.


 NORTH WEST ELECTRIC it was the attempt of Albert Austin of Win-
1889 COMPANY LTD. was incor-
porated under the Manitoba
nipeg Street Railway Company to convince
Winnipeg City Council to grant the company
Joint Stock Companies Act to the franchise for operating electric streetcars
build and operate electric lighting systems, in Winnipeg.
and electric street railways, in various cities, During the next three years, Austin had at
towns and villages in Manitoba. Although least four streetcars operating from the south
the company apparently provided indoor end of the Main Street bridge, along River
incandescent lighting for some businesses in Avenue and down Osborne Street to Elm Park.
Winnipeg, there was only a record of four of They were powered from a small steam plant
them, one being the company’s own building — with a 22-kilowatt (kW) generator (one
at 33 Water Avenue. kilowatt is 1,000 watts) — that Austin built on
Assiniboine Avenue near Main Street.
BRANDON ELECTRIC LIGHT COM-
PANY LTD. built a steam generating station in
the City of Brandon to supply the residents of
the city with electricity for heat and light. The
1892 WINNIPEG ELECTRIC
STREET RAILWAY COMPANY
(WESR.Co.) was incorporated
year in which the company was founded is un- by an Act of the Manitoba leg-
known. It would be taken over by Canada Gas islature on April 20 to “construct and operate
& Electric Corporation of Brandon in 1921. an electric street railway on the streets of the
City of Winnipeg, St. Boniface, and in adjacent
FIRST EDISON ELECTRIC municipalities; to sell electric heat, light or
1891 STREETCAR TO BE MANU-
FACTURED IN CANADA made
power”. A by-law that had been passed on
December 31, 1891 provided WESR.Co. with
its maiden run on January 28 an exclusive franchise to operate the street
along River Avenue in what was then referred railway for a period of 35 years. On July 26,
to as south Winnipeg. A demonstration run, 1892 the company operated its first electric

An early WESR.
Co. aerial ladder crew
working on an electric
trolley line in 1905.
During the late 19th
and early 20th centuries,
electricity was primarily
used for transportation
and street lighting.
The device on the front
of the streetcar is a
“people catcher” not a
“cow catcher”, such as
those used on the front of
railway locomotives.
The catcher prevented
hapless pedestrians from
falling under the wheels
of streetcars should they
be struck by streetcars.
The device reportedly
saved many lives.


 streetcar on Main Street. Regular service began THE ASSINIBOINE STEAM
on September 5. Power for the company was
supplied by Manitoba Electric & Gas Light
1895 PLANT was built. WESR.Co.
built the new plant at, or near,
Company. the site of Austin’s plant on
Assiniboine Avenue. The plant was officially
WESR.Co. PURCHASED THE opened on November 12 with an initial gen-
1894 ASSETS AND PROPERTIES
of Austin’s Winnipeg Street
erating capacity of 559 kW. Built at a cost of
$65,000, it consisted of four boilers, each rated
Railway Company for $175,000. at 186 kW. The plant, located at the site of
Austin, having lost out on the electric streetcar what would become Bonnycastle Park, was
franchise when WESR.Co. took it over in 1892, dismantled in 1916.
continued to operate horse-drawn streetcars for
another two years before finally selling out to WESR.Co. GOT ALL FRAN-
his competitor. The last horse-drawn streetcar
made its final run on May 11. 1898 CHISES, rights and properties
of the Manitoba Electric & Gas
Light Company for $400,000.

The Assiniboine steam plant’s capacity was originally measured in horsepower, a unit of power in the Imperial system equal to 550 foot-
pounds per second, which is approximately 746 watts (W). A watt is a unit of power in the metric system. The Assiniboine steam plant’s
capacity in 1895 was rated at 750 horsepower. The term horsepower was initially used to describe the power of pumps, beginning in about
1806. As time passed, horsepower was used to describe the power of a variety of mechanical devices, such as steam engines.


 19th Century Winnipeg — the wildest place in Canada
From 1670 to 1870, fur trappers and traders managed to keep the area at the junction of the Red
and Assiniboine rivers to themselves. Original settlements in the area were solely for the benefit of
the fur trade. The first construction in the area took place when Sieur Pierre de la Vérendrye, fur
trader and explorer, built
Fort Rouge at the river
junction in 1738. In 1822,
near the location of Fort
Rouge, Fort Garry was
built as the headquarters
for the trading company,
Hudson’s Bay Company,
which had amalgamated
in 1821 with another trad-
ing company, the North
West Company.

Although the trap-

pers knew that the rich
soil of the area would be
an excellent agricultural
resource, they kept this
fact a secret from eastern
Canadians and Europe-
ans so as to protect their
valuable hunting grounds
from being turned into
Winnipeg in 1873, farm land. Even when Lord Selkirk’s settlers arrived in the Red River Valley in 1812, they were
looking northwards able to make little progress in expanding the size of their predominantly agricultural settlement
on Main Street from because the fur traders maintained control of the area. No doubt the settlers were also a little
the corner of Portage afraid of the fiercely independent traders and trappers.
Avenue. Highlighted
in the middle of the
photo is Davis House. As Manitoba’s inclusion in the Confederation of Canada drew nearer, the predominantly
Métis inhabitants of the area around the junction of the Red and Assiniboine rivers became in-
creasingly concerned about preserving their rights. As a result, the area gained a reputation as
a rebellious outpost and this reputation was reinforced by events such as the Riel Rebellion.

During all of this turmoil, Henry McKenney built a general store in 1862 at the point where
the fur runners’ trail along the Assiniboine River to Fort Garry crossed over the fur runners’
trail along the Red River. A small settlement started beside the store, and this area was named
Winnipeg, after Lake Winnipeg, located 65 km to the north. The name was derived from the
Cree word win-nipi, which means murky water.

After Confederation, word about the agricultural potential of the Red River Valley finally
reached the rest of the world, and Winnipeg became a real boom town during this period.
With a population of 215 in 1870, Winnipeg’s population had grown to 1,869 by 1873 when
it was incorporated as a City. By 1912, the population had soared to 136,035, according to
the Government of Manitoba’s Department of Industry and Commerce in its booklet
Winnipeg1874-1974: Progress and Prospects. The spectacular growth ended at the outset of
World War I in 1914. The war stopped the flow of European immigrants and also resulted in
many young men from Winnipeg being sent off to fight. In addition, in 1914, Winnipeg entered
a recession from which it would not recover until after the end of World War II.

In eastern Canada, the Winnipeg of the late 19th century was viewed as “one of the two most
violent places in Canada.” This perception was partly due to the way in which Winnipeggers


fully participated in the democratic process. When the citizens felt government was acting
unfairly, they reacted with mass protests, angry mobs, and sometimes violence. For example,
when the Manitoba legislature radically altered a bill to incorporate Winnipeg as a City in 1873,
the Speaker of the House, Mr. C. J. Bird, was abducted and tarred. With incidents like this tak-
ing place, it is easy to understand why the easterners prayed for the salvation of Winnipeg at
the YMCA convention in 1876.

Winnipeggers of the time demanded the best, biggest, and newest of everything. Thus it
was a typical Winnipeg business move in 1873 when Mr. R. A. Davis invited Mr. P. V. Carroll
to demonstrate the arc light — four years before the first advertised arc light demonstration
took place in Newark, New Jersey.

Davis’ light illuminated the way for the establishment of the electrical industry, which in
turn played a role in the development of a city and a province. He was typical of the farsighted
businessmen of Winnipeg, who realized what an important energy source electricity would
become, and who wanted the tremendous potential profits to be gained from producing and
distributing electricity.

By 1882, two different groups realized that the new City had developed enough so that a
contract for supplying its electricity and street lighting could be very profitable. They began
taking steps to try to secure the city contract.

One group was led by Mr. P.V. Carroll, who initially worked with the Manitoba Electric
Light & Power Company. Carroll and the company had installed demonstration streetlights
on Main Street between Broadway Avenue and the Canadian Pacific Railway crossing with
the specific hope of obtaining a city contract. However, the Manitoba Electric Light & Power
Company failed to obtain a charter, and subsequently Carroll allied himself with Mr. Albert
Austin’s Winnipeg Street Railway Company.

The second group, led by Mr. James Munsie, was the North West Electric Light and Power
Company (Ltd.) (NWEL & P.Co.). Munsie had been quietly working on a plan for winning the
city contract for his group of shareholders since November 1882. When Carroll made his inten-
tions known to Council, Munsie was prepared. He surprised many people when he stepped
forward to offer, as he put it, “to supply electric street lighting in a more satisfactory manner
than had been the case until then if his group were to be given the contract”. Munsie’s bid was
successful and a contract was granted. It was at this point that Munsie and his group registered
the NWEL & P.Co. Subsequently, NWEL & P.Co. lost the contract six years later to the Manitoba
Electric & Gas Light Company.

Most of the electricity produced in the late

19th century was used for street lighting, business
lighting, and public transportation. Very little of
the electricity produced in Winnipeg went for resi-
dential use. Those residences with electricity were
using it almost exclusively for lighting, while coal
and wood were used for heating. Homes without
electricity used kerosene lamps for lighting.

Main Street in Winnipeg in

1894 — looking northwards
from Portage Avenue —
two years after the Winni-
peg Electric Street Railway
Company (WESR.Co.) ran
its first electric streetcar
down the street.


 An Era of Growth
THE MINNEDOSA RIVER THE SUBURBAN RAPID
1900 1902
PLANT was the first hydro­
electric generating station in
TRANSIT COMPANY was
incorporated by a special
Manitoba. It went into opera- Act of the Manitoba legislature
tion on the Minnedosa River (now known as to run streetcars from the western boundary
the Little Saskatchewan River) approximately of the City of Winnipeg (on both sides of the
2.4 km to the north of its junction with the Assiniboine River) to Headingley. Service
Assiniboine River. Operated by the Brandon on the north side of the river extended to
Electric Light Company Ltd., the plant served Headingley in 1903, but on the south side the
the City of Brandon, located about 14 km to line only reached as far as Charleswood.
the east via an 11,000-volt (V) wood pole line.
The plant operated for only eight months of WINNIPEG GENERAL POWER COM-
the year. Its average operating head (waterfall) PANY was incorporated on March 1 by a
was 7.9 metres (m). special Act of the Manitoba legislature. The
Construction of the Minnedosa River company was given the fullest powers to
Plant was financed by Judge David Walker of develop, transmit, and distribute electricity in
Winnipeg, and Messrs. George Patterson and the province, and to develop a hydroelectric
E. L. Christie of Brandon. The plant would be generating station at Pinawa.
Judge David Marr Walker.
dismantled in 1924, following the purchase of
the company three years earlier by the Canada THE WINNIPEG GENERAL
Gas & Electric Corporation of Brandon.
1904 POWER COMPANY officially
amalgamated with WESR.Co.
WINNIPEG SELKIRK & LAKE WINNIPEG on July 26. The new company
RAILWAY COMPANY was formed by a special became known as the Winnipeg Electric Rail-
Act of the Manitoba legislature to provide rail way Company (WERCo.).
transportation northwards from Winnipeg to
West Selkirk, and to the western shore of Lake WERCo. PURCHASED THE
Winnipeg. The municipalities of Kildonan,
St. Paul, St. Andrews, and Gimli were
1905 SUBURBAN RAPID TRANSIT
COMPANY on October 26.
included. As a subsidiary of WERCo.,
the suburban line continued to operate under
WINNIPEG ELECTRIC STREET RAILWAY its original company name and was further
COMPANY (WESR.Co.) purchased the North empowered by a special Act of the Manitoba
West Electric Company Ltd. on June 9. legislature to build and operate lines through

The Minnedosa River Plant was the first

hydroelectric generating station in Manitoba.
Its powerhouse contained two vertical water
wheels connected by bevel gears to a line
shaft driving two 1,100-V alternators.
Six transformers increased the power to
11,800 V for transmission to the substation
at 10th Street and Lorne Avenue in Brandon
— now the site of Manitoba Hydro’s
customer service office in western Manitoba.
The spillway was built with a 6.7-m head,
or waterfall, and was 18.3 m wide. After the
flood discharge in the spring, timber stop logs
were placed in the spillway, raising the water
an additional 3 m to the top of the dam and
providing a working head of 9 m. The
79-m-long timber dam was built with
13 rows of tamarack piling (between 4.8 m
to 15 m in length) driven close together into
the river's clay bottom. The dam's upper side
was faced with tongue-and-groove lumber.


 the rural municipalities of St. Francois Xavier 14 m, and delivered its first power on June 9.
and Portage la Prairie. Starting in 1931, the Steady service began around June 11. It was
transit rail line was to be progressively cut officially opened on May 31 by Lieutenant-
back until 1955, when the last streetcar to Deer Governor Sir Daniel McMillan,
Lodge was replaced by a bus service. During the first year of Pinawa’s operation,
six units went into production with a total ca-
THE CITY OF WINNIPEG HY- pacity of eight megawatts (one megawatt is one
1906 DRO ELECTRIC SYSTEM (City
Hydro) was formed as a pub-
million watts). In 1907, units seven, eight and
nine were added, bringing the total capacity
licly owned utility to check the to 14 MW. In 1912, the generating station was
power monopoly held by the privately owned re-rated to a total of 22 MW.
WERCo. Alderman John Wesley Cockburn, Pinawa would be retired on September 21,
who held development rights to the Pointe du 1951, to provide a more efficient use of the
Bois Generating Station site on the Winnipeg water flows at Seven Sisters Generating Sta-
River, surrendered these rights to the City for tion, which was completed in 1952.
construction of a power plant there. The gen-
erating station was completed in 1911 and it POINTE DU BOIS GENER­
is still in operation today.
1911 ATING STATION on the
Winnipeg River was completed
WERCo., UPON TAKING OVER THE by City Hydro. This was the
Winnipeg Selkirk & Lake Winnipeg Railway first hydroelectric generating station built
Company as a subsidiary, gained the monopoly by the publicly owned utility and today is
on all transit service, and electric light, power the oldest power plant still in operation on
and gas distribution in and around the City the river. The initial development cost of the
of Winnipeg. Originally a steam railroad, the project was $3,250,000.
line was electrified when it was acquired by Power from Pointe du Bois was first
WERCo. Service continued to Selkirk until delivered to Winnipeg on October 16, and during
September 1, 1937, at which time the electric the fiscal year of 1911-1912, units one to four
streetcars were replaced by a gas bus service. and unit seven went on line. More units would
be added in 1914, 1917, 1921, 1924 and 1926,
PINAWA WAS THE FIRST hydroelectric bringing the number to 16. Their total capacity
generating station on the Winnipeg River was 70 MW. The plant was later re-rated to
and the first hydroelectric generating station 75.6 MW. It operates with a head of 14 m.
in Manitoba to operate year round. Located
on the Pinawa Channel of the river, it was WINNIPEG RIVER RAILWAY COMPANY
built by WERCo. for an initial investment of was incorporated on March 24 by a special
$3 million. Pinawa operated with a head of Act of the Manitoba legislature. The company

Pinawa Generating Station, built by the Winnipeg Electric Railway Pointe du Bois Generating Station was built by the City of Winnipeg
Company (WERCo.), first delivered power to Winnipeg in 1906. Hydro Electric System (City Hydro) to counterbalance the growing
monopoly of the privately owned WERCo. The first power produced
at Pointe du Bois was delivered to Winnipeg in 1911.


 was empowered to operate “by steam or other line network was constructed. The Minnedosa
power from a point at or near Lac du Bonnet Hydro Plant was to be phased out by 1933,
to a point at or near Lake Winnipeg at the though the diesel engines continued on a
mouth of the Winnipeg River”. Great Falls standby basis until 1944.
became the chosen site. The company, which
was financed by WERCo., became an affiliate DOMINION GOVERNMENT STUDIES
of the Winnipeg River Power Company. Due OF NELSON AND CHURCHILL RIVERS
to financing difficulties later on, the assets were completed. The Government of Canada‘s
of both companies were taken over by the Department of Mines concluded a comprehen-
Manitoba Power Company, a subsidiary of sive geological survey of the drainage basins of
WERCo. formed in 1920. the two rivers to determine the power potential
of Manitoba’s northern river systems. The 1913
MILL STREET STEAM PLANT in Winni- report formed the basis for further studies,
peg was built by WERCo. as an auxiliary plant undertaken half a century later, that ultimately
and terminal point for electricity produced at led to the development of Manitoba’s northern
Pinawa Generating Station. All four units went water power resources.
into operation during the first year for a total
The Honourable G.H. capacity of approximately 8,948 kW. The steam MPC CAME INTO EXIST-
Grierson, Minister of
Public Works, was the
first Cabinet Minister to
plant went out of service in 1944.
1919 ENCE with the passage of an
Electric Power Transmission
WINNIPEG RIVER POWER Act of the Manitoba legislature.
1913
be given responsibility
for MPC. He was COMPANY was formed under MPC’s legislated mandate was “to generate,
appointed in 1919. the Companies Act of the purchase, transmit, and distribute electrical
Dominion of Canada as an as- energy” throughout rural Manitoba. Under the
sociate company of WERCo. to develop the Act, any municipality could apply for service
generating station at Great Falls, formerly through the Minister of Public Works. Many
known as Grand du Bonnet Falls. The com- municipalities were operating small and costly
pany completed its preliminary engineering independent power systems at the time. MPC
research in 1914, and on September 1, 1915, it initially contracted to purchase the power from
was granted a charter to develop the site. the City of Winnipeg, and later from the Win-
The effects of World War I brought the nipeg Electric Company (WECo.).
project to a halt in July 1916. Work on the project
resumed in May 1919, but stopped shortly
afterwards due to material shortages and un-
certain financing. The project was ultimately
taken over in 1920 by the Manitoba Power
Company, which would complete building
Great Falls Generating Station in 1923.

Mr. J.M. Leamy, the first THE MINNEDOSA HYDRO PLANT was
MPC Commissioner, was constructed to serve the town of Minnedosa.
appointed in July 1919. Local citizens under the name of the Minnedosa
Power Company built it on the Minnedosa
River just north of the town. It originally had
a 336-kW horizontal turbine connected to a
250-kW generator. Unfortunately, a sufficient
water supply was never available for the plant
to provide dependable year-round service. In
1921, the Manitoba Power Commission (MPC)
assumed responsibility for the plant, enlarged
it, and added two diesel engines to supplement
the hydroelectric generators. In 1930, a 33-kV
The erection of the first tower on the Manitoba Power
transmission line from MPC’s transmission Commission’s system took place on October 3, 1919.
Witnessing the event were three of the engineers who
planned MPC’s transmission line network (Winnipeg
to Portage la Prairie): Mr. C. Gunn, Mr. T. Kirby
and Mr. J. Rochetti, MPC's first chief engineer.

10
 Pinawa Generating Station — a bold move into
uncharted waters
The construction of Pinawa Generating Station on the Winnipeg River between 1902 and 1906
was a bold move, requiring both imagination and courage on the part of the Winnipeg Electric
Railway Company (WERCo.). Pinawa was built at a time when nobody knew whether or not the
Winnipeg River was suitable for hydroelectric development. The Dominion Water Board, which
was responsible for the administration of water power resources in Manitoba, did not begin its
investigation into the potential power capacity of the Winnipeg River until July 1911.

In addition to not really know-

ing the hydroelectric potential
of the Winnipeg River, building
Pinawa was an engineering chal-
lenge in 1902 — at least equiva-
lent to the challenge of building
generating stations on the Nelson
River in the 1970s. The area where
Pinawa was built was rough and
unsettled, with no roads and no
rail lines into the site.

The modern methods and the

machinery available to engineers
today did not exist, making the
undertaking very laborious. To
quote the account of a Mr. W. H.
LeRoy, who worked as a rigger
during the construction of Pinawa,
“Rock drilling was done by tripod
steam drills. Steam was supplied
by boilers set on skids, and these
Pinawa Generating
Station was located close were moved from one location to another by the riggers. Hoist and cableway engineers were
to the Pinawa townsite, trained as required. When derricks or heavy equipment had to be moved some distance, they
seen at upper right. were set on skids and pulled by teams assisted by block and tackle or by using the steam hoist
when possible.”

Transportation of materials was one of the chief problems. During the winter, heavy
equipment had to be carried over the river ice, and in summer a scow ferried material from
Lac du Bonnet. The roads were mostly lumberjack trails. When these became impassable,
detours or corduroy roads, had to be built. In all, from 50 to 75 teams of horses were kept in
constant use.

LeRoy reported, “Moving heavy loads such as transformers, generators, and turbine parts
was slow and costly. It was customary to build a rail line from the storage shed to the power-
house. The piece to be moved was jacked up, rails slipped underneath, and the load hauled
into place by block and tackle and horses.”

The construction of Pinawa required a total investment of over $3,000,000, one third of
which was allotted for concrete dams alone. Many people had claimed that a plant production
of 18,643 kW was far too large for the potential consumer demand in Winnipeg and that the cost
was unwarranted. But Winnipeg’s population quadrupled over the 10 years after the generating
station officially opened in 1906. It was the greatest period of expansion in the City’s history.

In fact, during the ensuing years, the capacity of the plant was developed and increased to
a standard of 22,371 kW. Occasionally, peaks of 27,964 kW were reached.

11
 Another important fact about Pinawa was that halfway through its construction, the City
of Winnipeg realized the plant would provide the privately owned WERCo. with a virtual
stranglehold on this valuable energy source. Consumers at the time paid 20 cents per kilowatt-
hour (kW·h) for electricity. However, the city charter did not allow the City to generate power
itself. Alderman John Wesley Cockburn took matters into his own hands in the belief the city
charter could be changed, and secured the development rights to Pointe du Bois Falls in his
own name. He transferred the rights to Winnipeg when the city charter was amended in 1906,
at the time the City of Winnipeg Hydro Electric System (City Hydro) was born.

WERCo. reduced electricity rates from 20 cents to 10 cents per kilowatt-hour when Pinawa
came on line. This made its service more attractive to customers and challenged the City owned
utility. However, Cockburn then promised that Pointe du Bois
would supply the citizens of Winnipeg with electricity at the rate
of three cents per kilowatt-hour. But the rate turned out to be 7.5
cents per kilowatt-hour, and the citizens rose up against their
own utility, demanding the three cents per kilowatt-hour rate
they were promised. Finally, the rate was reduced to 3.3 cents per
kilowatt-hour. Low electricity rates had come to Manitoba — and
today they remain among the lowest in North America.

Pinawa was retired from service on October 25, 1951, after 45

years, four months, and 27 days of faithful service. By that time
it was inefficient — and small compared to the new generating
stations. In fact, one turbine generator’s output of electricity at
Seven Sisters Generating Station was equal to Pinawa’s total
output. With the construction of Seven Sisters, the fate of Pinawa
was sealed. The design of Seven Sisters called for the full flow of
the Winnipeg River, which meant the Pinawa Channel on which
the older plant was located had to be dammed up.
Inside Pinawa
Generating Station, Some of the workers and their families who had made their homes at Pinawa were trans-
on the mezzanine
floor, are the plant's
ferred to other generating stations, while some of the veterans who had spent a lifetime with
controls and one of WERCo. retired from service.
the operators (seated
at the desk). The The closing of Pinawa truly marked the end of the pioneer era for Manitoba. Today, the site
photo was taken of Pinawa Generating Station is a Provincial Heritage Park.
about 1910.

This float illustrating

the transmission of
electricity from the
generating station to
the substation, and
from there to homes and
businesses, celebrated the
first delivery of power
from Pinawa in 1906.

12
 The Twenties and
Depression Years
MANITOBA POWER COM-
1920 PANY (MPC) was formed as
a subsidiary of the Winnipeg
Electric Railway Company
(WERCo.) to take over the rights and proper-
ties of the Winnipeg River Railway Company
and the Winnipeg River Power Company for
the purpose of completing and operating Great
Falls Generating Station.

TOWN OF PORTAGE LA PRAIRIE, the

first applicant for power network service
under the 1919 Electrical Power Transmis-
sion Act, was connected to Manitoba Power
Commission’s (MPC’s) electrical system on
August 21 via a 66-kV, 96-km-long steel tower The Portage la Prairie substation in 1920 was known
transmission line ­ — from Scotland Avenue as MPC Substation No. 2. This structure terminated
Substation in Winnipeg. MPC’s first transmission line which linked Winnipeg
to Portage la Prairie. The substation was energized on
August 21, 1920. Power was supplied by Pointe du
Bois Generating Station.

RURAL ELECTRIFICATION

1921 began to materialize when the

towns of Carman, Minnedosa,
Morden, Roland, and Virden
received electrical service from MPC’s grow-
ing electrical system. Over the next seven years,
about 28 more towns and villages would also
be connected. However, with the 1929 financial
crash and subsequent depression, followed by
the outbreak of World War II, rural electrifica-
tion plans were put on hold.

CANADA GAS & ELECTRIC CORPORA-

TION OF BRANDON was formed with the
consolidation of the Brandon Electric Light
History was made on August 16, 1920 Company Ltd. and the Brandon Gas & Power
when the MPC Substation No. 1 at
Scotland Avenue in Winnipeg began Company Limited (the latter established by
transmitting power from Winnipeg Cyrus Eaton of the Abott-Eaton Company,
to Portage la Prairie. Staff involved year unknown). Ten years later, the company
in the planning and construction of was taken over by MPC.
the transmission line gathered at the
substation to witness this significant
moment in history.

13
 GREAT FALLS GENERATING
1923 STATION, built by WERCo.,
was officially opened on
January 4 by Sir James Aikens,
Lieutenant-Governor of Manitoba. Located
on the Winnipeg River about 128 km to the
northeast of Winnipeg, the generating station
pioneered a number of new design features
that have since become common practice in
power plant development. Great Falls went
into service initially with units one and two
in operation. By 1928, all six units had been
installed bringing the total capacity to 132
MW. Today, Great Falls is Manitoba Hydro’s
headquarters for all four of its Winnipeg River
generating stations.

THE AMY STREET STEAM

1924
Officials and dignitaries visited Great Falls Generating Station to observe the
early stages of its construction. PLANT, owned by the City
of Winnipeg Hydro Electric
System (City Hydro), went into
production with units one and two. Its total
capacity was 10 MW. Other units were added
in 1953 and 1954, which brought the total
capacity to 50 MW. The Amy Street Steam Plant
was closed on June 2, 1990, after providing
66 years of electricity and steam heat to build-
ings in downtown Winnipeg.

NAME OF WINNIPEG ELECTRIC

RAILWAY COMPANY (WERCo.), formerly
the Winnipeg Electric Street
Railway Company, was
changed to Winnipeg Electric
Company (WECo.) on
April 5 by an amendment to
the Act of the Corporation.

Development work at Great Falls on July 13, 1928. Work crews used barges to NORTHWESTERN POWER COMPANY
place material on the rockfill dam. was created for the purpose of constructing
Seven Sisters Generating Station. In 1927, the
company merged with WECo.

Workers at
Great Falls and
their families
lived next to
the generating
station in a
townsite built
by the
electrical utility.

14
 The Manitoba Power
Commission's Cook
by Wire float as it
appeared in a parade
in Carman on
May 24, 1926. The
electric stove on
the float was the
only one available
for sale in the town.

Electricity helped
with the threshing
process on the farm of
Mr. D. S. Brown on
August 18, 1926.

1931 SEVEN SISTERS GENERAT-

ING STATION, built by WECo.
SEVEN SISTERS AGREEMENT was
signed by the provincial government and
on the Winnipeg River about WECo. Under the terms of the agreement,
101 km to the northeast of Winnipeg, began WECo. agreed to supply electricity to MPC.
operating on May 9. The largest generating Since its inception in 1919, MPC had been
station on the Winnipeg River, it also operated purchasing power from City Hydro.
with the highest head (a waterfall of 18.6 m)
compared to the other Winnipeg River gen- SLAVE FALLS GENERATING STATION,
erating stations. In 1948, the capacity of the built by City Hydro on the Winnipeg River,
first three units was increased from 45 MW to went on line September 1 with units one and
75 MW. This was the result of channel excava- two in production. Its total capacity was
tion, which raised the forebay by 2.4 m and 17 MW. More units were added in 1937, 1938,
lowered the tailrace by 1.5 m. Three more units 1946, 1947 and 1948. When completed in 1948,
were installed by 1952, bringing Seven Sisters’ the generating station had a total of eight units,
total capacity to 150 MW. which increased its capacity to 67.4 MW.

15
 MPC PURCHASED THE CANADA GAS
& Electric Corporation of Brandon.

MANITOBA POWER COMMISSION

ACT (MPC Act) was passed by the provincial
government to replace the 1919 Electrical
Power Transmission Act. The policy of MPC
since its inception in 1919 was to sell power to
rural municipalities which, in turn, retailed the
power to the individual customer. As a result,
there was no overall coordination of the sys-
tem, and a considerable diversity of rates and
policies existed. When the Depression occurred,
local people began to feel its effects and had
trouble paying their electricity bills. Not able
to collect from their customers, municipalities
in turn had trouble making their payments
to MPC.
This situation called for a complete In 1936, the first pole was erected for distributing
electricity in the town of Belmont, located in south-
reassessment of the utility’s policies. Sub- western Manitoba. The transmission line network,
sequently, the MPC Act was passed by the established for bringing electricity to various towns
provincial government to replace the 1919 in Manitoba, later formed the infrastructure for the
Act. The new Act provided essentially for the massive Farm Electrification program.
reorganization of MPC and the appointment
of a Board consisting of three members. The
three were Mr. D. L. McLean, who served
as Chairman, Mr. Herbert Cottingham and
Mr. John W. Sanger. McLean resigned after THE WECo. PLAN OF CON-
serving only one year.
1936 SOLIDATION and Readjust-
ment was approved. In May
MUNICIPAL CONTRACTS 1935, a plan to reorganize the

1933 WERE CANCELLED as a result

of the MPC Act. Instead of sup-
properties and operations of WECo. and
its associated companies was proposed.
The associated companies included the
plying power to municipalities
which then supplied their respective communi- Northwestern Power Company, MPC,
ties, new contracts were drawn up providing Suburban Rapid Transit Company, and
municipalities with electricity for public service Winnipeg Selkirk & Lake Winnipeg Railway
only. From that point on, MPC began dealing Company. In general the plan provided
directly with individual customers without for the consolidation of WECo., MPC, and
the municipal middle man. Northwestern Power Company into one

District Supervisors
gathered for the Manitoba
Power Commission Annual
Conference in 1938. Behind
them is the entrance to the 10th
Street MPC office in Brandon,
which today
is Manitoba Hydro's
customer service office
in western Manitoba.

16
By 1939, MPC was supplying electricity to 139 communities outside of the City of Winnipeg. By the time
Manitoba Hydro was created 22 years later, in 1961, MPC was servicing a total of 523 communities.

company, and for the Winnipeg Selkirk & Lake

Winnipeg Railway Company and Suburban
Rapid Transit Company to operate as wholly
owned subsidiaries. A third subsidiary was
created to manage WECo.’s gas operations.
The plan was adopted in 1936.

FIRST EXPORT OF POWER TO THE U.S.

from Manitoba occurred when the Dominion
Government issued MPC a licence to export a
limited amount of power to Interstate Power
Company, which served North Dakota and
Minnesota. The MPC interconnecting trans-
mission line extended 0.8 km from Gretna to
the international boundary.

17
 MPC fights for survival

For a while during the early twenties, it seemed as if nothing could possibly stop the spread
of a publicly owned transmission and distribution system throughout Manitoba. The Mani-
toba Power Commission (MPC) was doing its best to carry out its mandated task of providing
electrical service to rural Manitoba from its transmission line network. Until this time, local
residents had been receiving power from small, locally owned utilities.

The City of Portage la Prairie was the first rural area in Manitoba to sign
a contract to receive electrical service from MPC. The signing officially
launched rural electrification, and construction began on a 66-kV trans-
mission line between Winnipeg and Portage la Prairie. The line was
completed on August 17, 1920.

In 1921, a 33-kV branch line running southwards to Morden

was completed, providing electrical service for the districts
of Carman, Morden, and Roland. The future looked bright
and MPC continued to expand to the main towns and vil-
lages in the province. The utility ultimately planned to serve
every hamlet with a population of 20 or more. However, the
forces of nature and finance would overpower MPC’s best
laid plans.

In July 1921, not even a full year after it was completed,

extremely high winds brought down four kilometres of the
Portage transmission line. Then in June 1922, less than one
year later, the Portage line was again ravaged by a cyclone
which left several kilometres of twisted towers and wrecked
buildings in its wake. At the time of the cyclone, many MPC
construction camps were scattered across the Manitoban prairie.
MPC employees camped in tents located in fields and farmyards
near the transmission lines they were building. These tent camps were,
of course, destroyed by the cyclones. One story told of a lineman who was
thrown out of his camp bed and in through the window of a nearby house.

In 1923, a general depression and crop failure reduced the number of areas asking
for electrical service. This, combined with the fact that revenues from towns already con-
nected to the electrical system were not as great as originally anticipated, threatened the
future of MPC.

Responding to this threat, MPC began an electricity load building program, which
included a strong promotional thrust aimed at demonstrating the advantages of electricity
to farmers. Progress was slow but sure. Then, in 1929, the massive financial disaster of the
stock market crash occurred as well as the beginning of the depression years. The utility
paused to reassess its policies. In 1931, the 1919 Electrical Power Transmission Act was
repealed and replaced by the Manitoba Power Commission Act (MPC Act). The MPC Act
established a board of three, including Mr. D.L. McLean, Chairman, who was joined by Mr.
H. Cottingham and Mr. J.W. Sanger. These gentlemen were businessmen from privately
owned industries unrelated to the electrical industry.

Cottingham and Sanger set about reorganizing MPC. Two of their most important new
policies were that it would provide electricity to municipalities for public services only,
such as for street lighting and public buildings, and that MPC would sell directly to indi-
vidual customers, instead of selling bulk to municipalities for distribution to customers.
As part of the reorganization, MPC centralized the billing system in its Winnipeg office

18
to reduce the cost of operations and to prevent inconsistencies in the interpretation of the
rate schedule. In another move to get closer to its customers, MPC established a Business
Department under Mr. G.A. Wrighton. The Business Department’s task was to sell electric
appliances and generally help to build the electricity load. This helped to stabilize MPC’s
financial position.

Another move that helped

improve MPC’s financial posi-
tion was a policy developed in
1934 that established guidelines
for transmission line extensions.
These guidelines required that
there be a sufficient number of
customers to ensure enough rev-
enue to meet all the costs before
the line extension was initiated.
Shattered poles strewn in ditches and fields, and the devastated
By 1937, MPC’s financial pic- MPC workers’ campsite, were just two examples of the damage
ture was improving. When war created by a cyclone on July 29, 1921.
broke out in 1939, the only new
line extensions were for military
bases. However, the combination
of town electrification and the
outbreak of World War II set the
stage for one of the most exciting
periods in Manitoba’s history
— Farm Electrification.

Mr. Herbert Cottingham, Mr. J.W. Sanger served

Chairman of the Manitoba as Vice-Chairman of the
Power Commission from Manitoba Power Commission
1932 until 1946, had the from 1932 to 1945. He worked
responsibility for steering closely with Cottingham to
MPC through some of its revive the fortunes of the
most troubled waters. struggling utility.

19
 Farm Electrification Emerges
MANITOBA FARM ELECTRI- NEEPAWA AND DAUPHIN
1942 FICATION ENQUIRY COM-
MISSION was formed. World 1944 JOIN THE MANITOBAPOWER
COMMISSION. MPC took over
War II brought about a shortage the distribution system of the
of hired farm help, and the farmers, finding town of Neepawa and power network service
it increasingly difficult to handle their work began on May 1.
single-handedly, finally presented a petition In Dauphin, MPC took over the town‘s
to MPC demanding electricity. The Manitoba existing steam generating station and distri-
Farm Electrification Enquiry Commission was bution system. Power network service began
subsequently formed in 1942 to investigate December 1 via the Minnedosa to Dauphin
the feasibility of a postwar program of Farm transmission line.
Electrification. It recommended that a program
— designed to ultimately service 90 per cent
of all farms in Manitoba within a practical FARM ELECTRIFICATION
service area — be undertaken on a group or
area basis. The plan was put into operation 1945 BEGAN following an MPC trial
survey to determine the interest
immediately after the war in 1945. of farmers in an electrification
program. Based on the 1942 Manitoba Farm
Electrification Enquiry Commission, a test
project was made involving the extension of
service to nearly 1,000 farms located in dif-
ferent areas. The success of the test project
prompted a full-scale effort during the next
decade to supply electricity to southern rural
Manitoba.

THE MANITOBA WATER

1948 POWER COMMISSION RE-
PORT, also known as the Hogg
Report, was published. By the
end of World War II — after some 15 years
of the Depression and the war — both the
Winnipeg Electric Company (WECo). and the
City of Winnipeg Hydro Electric System (City
Hydro), were experiencing the pressures of
an expanding economy. It was also becoming
evident that with an intensified program to
bring electrical service to rural Manitoba, the
generating capacity contracted to MPC would
soon become inadequate.
Thus, in 1947, the provincial government
appointed a royal commission, chaired by
Dr. T.H. Hogg, to study Manitoba’s electri-
cal industry and to submit a report on the
best way to ensure adequate generating
capacity. Hogg’s report, presented in 1948,
advocated that the future capital costs of
high-cost electrical power development
should be merged with the existing low-cost
electrical power.

20
 Electricity helped
to improve the
efficiency of
operations on farms
in Manitoba, as
well as to improve
the lifestyle of farm
families.

MANITOBA HYDROELEC-
1949 TRIC BOARD DEVELOP-
MENT ACT was passed.
Following the Hogg Report,
WECo., City Hydro, MPC, and the Govern-
ment of Manitoba finally agreed that the
future power requirements of the province
would be best served by a coordinated
policy on developing and supplying electri-
cal energy. In the absence of any immedi-
ate reorganization plan of the province’s
electrical industry, the end result of that
decision was the formation of the Mani-
toba Hydro-Electric Board (MHEB) as an
agency of the provincial government. The
first responsibility of MHEB was to proceed
immediately with the construction of a
An MPC business representative (with hand on the hydroelectric generating station at Pine
motor) explained the workings of an electric motor
at a Field Day in 1948. Farmers quickly created Falls on the Winnipeg River.
new ways of using electric motors to lessen their
workloads.

21
 Making farm work easier and life more comfortable
The Farm Electrification program, introduced by the Manitoba Power Commission (MPC),
greatly increased a farmer’s productivity and made his life and that of his family much more
comfortable.

Hen house lighting lengthened winter days allowing flocks to eat more and therefore lay
more eggs. Electric pumps helped keep water running for livestock. Electric motors could
power threshing and grain handling machinery. Electric yard and shed lights extended the
farmer’s days. For the farm wife, the convenience of electric appliances, running water,
and sewage systems lightened her workload.

No more would farm families have
to take the term “candle power” literally
for reading and bookkeeping. Electricity
replaced kerosene and oil for lighting and
heating, and wood for cooking. Instead
of relying on dugouts in the ground, or
root cellars, or ice boxes to preserve food,
refrigerators and freezers were used.
In fact, farmers and their families often
developed new, labour-saving machines
themselves once electricity was connected
to their farms. Homemade electric lawn
mowers, wood splitters and other pieces
of equipment were developed by innova-
tive minds.
Utility field day on a farm
near Hamiota during It was an exciting time for farm families and for MPC employees alike. Margaret
the summer of 1948.
The men learned about
Shaw, who worked as an MPC Home Economist from 1950 to 1952, remembered, “It was
the benefits of using an incredibly exciting time for us, and we really felt we were doing something that would
electricity to help them help people. We would set out on two-week-long field trips in two big trucks filled with
with their chores, while electric appliances, and each day we would set up on someone’s farm. The people would
the women went indoors come from all around to see us demonstrating the equipment. The men would go out to
to learn from an MPC
home economist about the
the barn, and the women would come into the kitchen to see how electric equipment and
benefits of modern electric appliances could be used on the farm.”
appliances.
From the time of its inception in 1919, MPC had been trying to distribute electricity
to rural towns and farms. Some farms had been connected to the electrical system in the
early twenties ­— at great expense to the farmers themselves. The electrical service was
uneconomical for MPC to provide because those farms connected did not use enough
electricity to justify the connection. Efforts to bring electricity to the farms ended in the late
twenties when farmers were unable to pay their electricity bills due to drought conditions
and the Depression.

As farmers in Manitoba struggled back to financial stability after about 10 years of

drought and depressed economic times, World War II began. Their recovery was jeopardized
when productivity dropped. Young farm workers went into the armed services, and those
who remained at home and needed help to maintain viable farms realized that electricity
could assist in making up for the shortage of farm workers. Farmers from all over Manitoba
petitioned the provincial government to provide them with electrical service.

Even with the war going on and with shortages of materials needed for constructing
transmission lines, the government listened. In 1942, the Manitoba Farm Electrification
Enquiry Commission was asked to look into the feasibility of starting Farm Electrifica-
tion after the war. The Commission recommended that a Farm Electrification program be

22
designed, through which about 90 per cent of all farms in Manitoba — that is, those within a
practical service area — be connected to the provincial power system. The Farm Electrification
program was born.

By the time the program ended in 1954, Manitoba had the distinction of being western
Canada’s most completely electrified province. This historic accomplishment is amazing,
considering the fact that only about 1,000 of 50,000 farms in Manitoba enjoyed the benefits of
electrical service in 1942.

Economics was one of the key reasons for the success of the program. The line extensions
would be free of cost to the farmer, who would pay only for wiring in his building and power
consumption costs. The minimum monthly bill would be about $3.60. This was not entirely
an additional expense, because over half of the $3.60 replaced other costs, such as coal-oil for
lamps and radio battery charging.

In addition to extension lines being built free of charge to the farmer, another economic
advantage was being able to use the provincial power system — built for delivering electric-
ity to the towns and villages during the 1920s and 1930s — as a foundation on which to build
electrical service for farms.

Technology also played a role in the success of MPC’s Farm Electrification program in two
ways. One was that new materials and construction methods reduced the cost of erecting lines
over vast areas. The other was the development and growing acceptance of home electric ap-
pliances, which meant the assurance of greater revenue from electrical service for farms than
was previously possible.

The actual execution of the program was a tremendous example of cooperation between
municipalities, their citizens, and MPC. It began with a trial survey being conducted in a typi-
cal municipality in 1943. The following year, 15,000 farmers were contacted through municipal
councils and local Farm Electrification committees. In each area to be served, the local groups
provided detailed information about each farm. Those who were most anxious to have the ben-
efits of electrical service persuaded their neighbours to sign up for electricity so the minimum
number of contracts required for electrical service to their area could be attained quickly.

The next step was to provide farmers with basic information about wiring homes and
buildings. “Wire once, not once a year” was the advice given, in order that each farmer would
have his buildings adequately wired to reap the full benefits of electrical service.

The success of Farm Electrification changed life on the farm forever — and for the better.

No matter what the

terrain was like, line
crews worked in all types
of conditions to construct
transmission and distri-
bution lines for the Farm
Electrification program.

23
 A New Dynasty Forms
THE MANITOBA HYDRO-
1951 ELECTRIC BOARD’S FIRST
MEMBERS were appointed
on May 18 — the date that has
gone on record as the beginning of MHEB as
a separate entity. From 1949 until 1951, the
provincial Department of Mines and Natural
Resources had conducted MHEB business on
an interim basis.

PINE FALLS GENERATING STATION,

built by MHEB on the Winnipeg River at
Pine Falls, went into service. The first power
project to be developed under the Manitoba
Hydro-Electric Board Development Act of
1949, the construction of Pine Falls was initi-
ated by the provincial Department of Mines
and Natural Resources, acting on behalf of
Pine Falls Generating Station on the Winnipeg River was the first project MHEB. Six units were installed during the
to be undertaken after the Manitoba Hydro-Electric Board Development
Act was passed.
fiscal year of 1951-52 for a total capacity of
82 MW.

PINAWA GENERATING STATION, the

first hydroelectric plant on the Winnipeg
River, was dismantled after 45 years of con-
tinuous service. It was retired to provide a
more efficient use of water flows at Seven
Sisters Generating Station, which was com-
pleted in 1952.

THE MANITOBA POWER

In the early 1950s,

MPC crews used
1952 COMMISSION (MPC) AC-
QUIRED the transmission and
distribution facilities of the
modern vehicles
and communi- National Utilities Corporation Limited, which
cating equipment supplied electricity to six towns and villages
to bring electricity located in the Swan River Valley.
to farms
as quickly as
THE PROVINCIAL GOVERNMENT
possible.
AUTHORIZED MHEB TO NEGOTIATE
WITH WINNIPEG ELECTRIC COMPANY
(WECo.) SHAREHOLDERS in order to
acquire control and operation of WECo.’s
generation and distribution assets. The ne-
gotiations culminated in a formal offer on
October 28, which WECo. accepted.
On November 30, WECo. transferred
its gas and transit assets to two newly
incorporated companies. Its gas assets to
Greater Winnipeg Gas, and its transit assets
to Greater Winnipeg Transit Company.

24
 MHEB AND WECo. amal-

1953 gamated. By April 4, all issued

and common shares of WECo.
came under the ownership of
MHEB. In other words, WECo. remained in
business as a power generation and distribution
utility only, with MHEB in control.

FARM ELECTRIFICATION
1954 MILESTONE was reached on
October 22 when MPC con-
nected its 100,000th customer.
By this date, the Farm Electrification program
was virtually completed, with about 75 per In 1954, MPC celebrated connecting the 100,000th
cent of all farms in Manitoba having electrical customer to the provincial power system through the
Farm Electrification program.
service.

McARTHUR GENERATING STATION

went into service as the second power project
undertaken by MHEB. Eight units were
installed during 1954 and 1955 for a total
capacity of 56 MW. Its construction marked
the end of hydroelectric development on the
Winnipeg River. Although McArthur is the
smallest generating station on the Winnipeg
River, it also has the distinction of being the
largest in the world operating with such a
low head (waterfall) — seven metres.

McArthur Generating Station was the second power

THE TRANSFER OF WINNI- project built by MHEB, and was the last plant to be

1955 PEG’S DISTRIBUTION PROP-

ERTIES occurred under the
constructed on the Winnipeg River.

terms of an agreement reached

between MHEB, MPC, and the City of Win-
nipeg Hydro Electric System (City Hydro)
whereby:
1) all distribution properties in the
suburbs owned by City Hydro were sold to
MPC, which became the sole distributor of
electrical energy in suburban Winnipeg and
the rest of the province;
2) all distribution properties in the City
of Winnipeg owned by the former WECo.
were sold to City Hydro which then became
the sole distributor within the boundaries Brandon Generating Station was MHEB's first
thermal (coal burning) generating station. With a
of the City of Winnipeg as they existed at
capacity of 237 MW, it was designed to supplement
that time. the hydroelectric generating stations during periods
Under the terms of the agreement, MHEB of extreme drought.
would supply the additional power require-
ments of City Hydro. The two systems were
interconnected at the Mill Street terminal
station in Winnipeg.

25
 FIRST INTERCONNECTING
1956 TRANSMISSION LINE went
into service October 25 be-
tween Manitoba and Ontario
for the exchange of power. The transmission
line from Seven Sisters to Kenora connected
the northwestern system of Ontario Hydro
and the southern system of MHEB. The two
utilities have subsequently signed many
power exchange agreements.

STUDIES OF LAKE WINNIPEG AND

LAKE MANITOBA were undertaken after
the governments of Manitoba and Canada The flood of 1950 was a major disaster for all those
entered into an agreement to carry out a flood who lived in the Red River valley. This photo features
control survey of the lakes and all waters the approach to the Norwood Bridge looking toward
flowing into them. The study was carried downtown Winnipeg. Every able bodied person
pitched in to help authorities battle the flood waters.
out by an appointed agency known as the Trolley buses, like the one pictured, were rapidly
“Lakes Winnipeg and Manitoba Board”. The taking over from streetcars as the main vehicle for
Board’s report in 1958 affirmed that regula- public transportation at that time.
tion of the lakes would be advantageous
to the development of potential generating more populated southern areas of the province.
sites on the Nelson River. The take-over at The Pas was the first step
north of the 53rd parallel and the start of a
new chapter in the history of electrical power
BRANDON GENERATING development in Manitoba.
1957 STATION, the first coal-burn-
ing generating station built by MPC DISCONTINUED ITS
MHEB, went into initial service
December 18 with one 33-MW unit. Three
1959 APPLIANCE SALES after being
in the retail business for almost
more units, each rated at 33 MW, were added 40 years. Electric appliance
in 1958. In October 1970, the installation of a sales had been an integral part of MPC’s load
105-MW unit was completed, bringing the total building program ever since the early 1920s,
capacity to 237 MW. The thermal generating when all-out efforts were made to promote
station is located on the eastern edge of the the use of electricity. However, by the 1950s,
City of Brandon. with many retailers now carrying electric
appliances, it was no longer practical for MPC
to continue in the business.
MPC’S FIRST MOVE NORTH-
1958 WARDS WAS PURCHASE of
the diesel generation facilities
MPC PURCHASED THE CRANBERRY
PORTAGE DISTRIBUTION SYSTEM, the
and distribution system of privately owned electrical distribution
The Pas Electrical Utility. Until then, activities system serving the northern community of
were for all practical purposes confined to the Cranberry Portage. Diesel generation power
was supplied under special arrangements
with the Department of National Defence.
Then, in 1964, MPC installed its own die-
sel generating station. In September 1976,
For many years, Cranberry Portage was connected to the
MPC sold electric provincial power system.
appliances in its
showroom in down-
town Winnipeg.
MPC PURCHASED THE TOWN OF
This was how it SELKIRK’S electrical distribution system.
appeared in the
1930s.

26
 Electrical industry at the crossroads
After World War II, the economy of Manitoba began to expand following the Depression years
and war-time shortages. This economic expansion, plus the fact that Farm Electrification was
extending electrical service throughout the province, meant that existing generating capacity
would quickly become inadequate.

Realizing this, the three major electrical utilities in the province, the City of Winnipeg
Hydro Electric System (City Hydro), the Winnipeg Electric Company (WECo.), and the
Manitoba Power Commission (MPC), met with the provincial government in 1949. All par-
ties agreed that the future power needs of Manitoba would be best served by a coordinated
policy for developing and distributing electricity. To carry out this policy, the Manitoba
Hydro-Electric Board (MHEB) was formed by the Government of Manitoba.

In the words of the Manitoba Hydro-Electric Board Development Act, MHEB was
“to provide for the continuance of a supply of power adequate for the needs of the province, and
to promote economy and efficiency in the generation, distribution, and supply of power”.

Initially, the affairs of MHEB were the responsibility of the provincial Department of
Mines and Natural Resources. The first task was to build Pine Falls Generating Station on
the Winnipeg River to meet the growing electricity needs of the province. On May 18, 1951,
the first MHEB members were appointed, and that date was considered as the beginning
of MHEB’S existence as a separate entity from government departments. The members
were: Messrs. D. M. Stephens (Chairman and General Manager), W.D. Fallis, J.W. Sanger,
D.A. Thompson, and A.H. Watson. Mr. George Reid was appointed as Acting Secretary.

Their first task was to consolidate the generation and distribution facilities in Mani-
toba — a task which would ultimately take about 10 years to complete. During 1952-1953,

Members of MHEB, MPC, and WECo. sign the agreement for the purchase of WECo.’s distribution
properties by MHEB. In front (left to right) are Messrs. W.D. Fallis, D.M. Stephens, and G.E. Sharpe
In the back row (left to right) are Messrs. George Reid, Ray Wildgoose, T.E. Storey, A.W. Wrighton,
J.R. McInnes, W. Fraser, J.W. Sanger, and A.H. Watson.

27
District crews gathered in 1959 to perform the task of tightening
hardware along the Glenboro to Treherne line.

MHEB acquired the generation and dis-

tribution facilities of WECo., reducing the
number of electrical utilities in Manitoba
to three — MHEB and MPC, which were
owned by the provincial government, and
City Hydro, which was owned by the City
of Winnipeg.

In 1955, the next step in the consolidation
process took place. Agreement was reached
between MHEB, MPC, and City Hydro,
whereby MPC became the sole distributor of
electricity in suburban Winnipeg and the rest
of Manitoba, while City Hydro became the sole
distributor within the boundaries of the City
of Winnipeg. Also through this agreement,
MHEB promised to supply the additional
power requirements of City Hydro.

Ten years later, the two provincially owned The 11-storey Electric Railway Chambers at the
utilities, MHEB and MPC, were amalgamated corner of Notre Dame Avenue and Albert Street
via the Manitoba Hydro Act, which was passed in Winnipeg in the early 1950s. From the turn of
by the Manitoba legislature on April 1, 1961. the century, through all of the Winnipeg Electric
Company’s name changes, this building stood as a
symbol of the company’s vast transportation and
energy empire (gas and electricity). The empire was
split apart in April 1953. MHEB then controlled
the generation and distribution of electricity, and
the Winnipeg and Central Gas Company and the
Greater Winnipeg Transit Company controlled the
gas and transportation facilities respectively.

28
The Birth of Manitoba Hydro,
and Northern Expansion
KELSEY GENERATING STA- FIRST MANITOBA TO SASKATCH-
1960 TION, THE FIRST HYDRO-
ELECTRIC PLANT TO BE
EWAN INTERCONNECTION went into
service on November 29 by means of a
DEVELOPED on the Nelson 138-kV transmission line between Brandon
River in northern Manitoba, went into serv- Generating Station and Saskatchewan Power
ice on June 23. The generating station was Corporation’s Boundary Dam Thermal Gen-
built by the Manitoba Hydro-Electric Board erating Station near Estevan. The line was to
(MHEB) to supply the power requirements of be increased to 230 kV in 1968. Subsequent
the International Nickel Company’s townsite agreements have since been made between
and mining, smelting and refining operation the two provinces.
in Thompson. The original installation of five,
32-MW generators was completed in 1961. SELKIRK GENERATING STATION,
Between 1969 and 1972, two more units were the second coal-fired plant built by MHEB,
added, bringing the total capacity to 224 MW. started delivering power on October 1 with
The operating head, or waterfall, at Kelsey the first of its two 66-MW steam turbine
was 16.2 m. generators. It is located in East Selkirk, which
is about 20 km notheastwards of Winnipeg.
THE MANITOBA POWER COMMIS- In 1967, the first of two gas turbines, each
SION (MPC) assumed responsibility for capable of producing 12.5 MW, were added
the distribution of electricity in the town of to provide additional capacity for emergen-
Churchill, which had been supplied previ- cies and peak load periods. However, these
ously by the National Harbour Board from jet-fueled turbines were decommissioned
its elevator operations. MPC used power in 1988.
secured from the federal government’s
military diesel generating station at Fort FORMATION OF MANITOBA
Churchill — that is until the responsibility
for producing power was taken over by
1961 HYDRO took place when the
Government of Manitoba united
Manitoba Hydro in 1968. the two provincial utilities,
MHEB and MPC, through the
enactment of the Manitoba Hydro
Act, which was passed by the
Manitoba legislature, effective
April 1. This brought the
organization of electrical utilities
in the province to its present
state — Manitoba Hydro being
responsible for providing electrical
service throughout Manitoba,
except for the central portion of the
City of Winnipeg, which is serviced
by Winnipeg Hydro.

Kelsey Generating Station

was the first Manitoba
Hydro power plant to be
built on the Nelson River.

29
 Calendar of communities served by the
Manitoba Power Commission, 1920 to 1961
During this 41-year period, MPC and MHEB were united and Manitoba Hydro was formed,
523 communities were connected to the provincial power system.

1920 Portage la Prairie 1949 Broad Valley, Chatfield, Dunnottar, Fisher Branch,
1921 Carman, Minnedosa, Morden, Roland, Virden Melbourne, Mentmore, Pleasant Point, Poplarfield
1922 Elm Creek, Oakville 1950 Amaranth, Argyle, Ashern, Ashville, Bannerman,
1923 Newton Siding Bede, Bield, Broomhill, Caliento, Camper, Dand,
1925 Homewood, Miami, Myrtle, Rosebank, Sperling Deepdale, Deleau, Eastdale, Endcliffe, Eriksdale,
1926 High Bluff Ethelbert, Faulkner, Firdale, Fork River, Gardenton,
1927 Altamont, Cardinal, Crystal City, Cypress River, Darlingford, Garland, Gnadenthal, Grahamdale, Grosse Isle,
Glenboro, Holland, La Rivière, Manitou, Notre Dame, Pilot Gypsumville, Helston, Hilbre, Lake Francis,
Mound, Rathwell, Somerset, Swan Lake, Treherne Langruth, Landseer, Lavinia, Lundar, Magnet,
1928 Winkler Makaroff, Marchand, Mayfeld, Menesino, Moline,
1929 Baldur, Boissevain, Cartwright, Elkhorn, Killarney, Melita, Moosehorn, Mulvihill, Pine Creek, Pine River,
Pipestone, Reston, Wawanesa Ridgeville, Rorketon, Roseisle, Rosser, Ste-Amelie,
1930 Arrow River, Binscarth, Birtle, Brandon, Crandall, St-Laurent, St-Martin, Sarto, Shevlin, Shortdale,
Foxwarren, Gilbert Plains, Gimli, Grandview, Holmfield, Spearhill, Steeprock, Stephenfield, Stuartburn,
Miniota, Starbuck, St. Lazare, Winnipeg Beach Tenby, Tolstoi, Two Creeks, Vita, Waldersee, Warren,
1931 Bradwardine, Harding, Kenton, Lenore, Napinka, Teulon, Winnipegosis, Woodlands
St-Claude 1951 Alonsa, Belleview, Blumenfeld, Chortitz South, Cook’s
1932 Gladstone Creek, Cromer, Deerhorn, Domain, Fredensruch,
1933 Elie Halbstadt, Haskett, Hochfeld, Katrime, Kirkella,
1934 Austin, MacGregor, Ninga Lac du Bonnet, Ledwyn, Libau, Meadows, Middlebro,
1935 Altona, Dominion City, Graham Siding, Gretna, Horndean, Muir, Neuenberg, Norgate, Osterwick, Poplar Park,
Letellier, Morris, Oak Lake, Plum Coulee, Rosenfeld, Regent, Reinland, Rosengart, Rossendale, Saltel,
St-Eustache Scarth, Schanzenfeld, South Junction, Sprague,
1936 Alexander, Belmont, Beulah, Decker, Dunrea, Elgin, Fairfax, Stockton, Terence, Uno, Vassar, Vidir, Wampum,
Griswold, Hamiota, Isabella, Margaret, Minto, Ninette, Woodnorth, Woodside
Shoal Lake, St-Francois-Xavier, St-Joseph 1952 Barnsley, Blumenort, Butler, Coulter, Dauphin Beach,
1937 Elma, Whitemouth Ebor, Ewart, Findlay, Grande Clairière, Hilton, Kelloe,
1938 Balmoral, Bruxelles, Cardale, Clearwater, East Selkirk, Ladywood, Lakeland, Methley, Mountain Road,
Garson, Gonor, Gunton, Lorette, Mariapolis, Mather, Mountainside, Neuhorst, Olha, Polonia, Rosenort,
McConnell, Newdale, Oakburn, Oak River, Rossburn, San Clara, Schoenwiese, Solsgirth
St-Alphonse, Ste-Anne, St-Jean-Baptiste, Steinbach, 1953 Beaconia, Benito, Birdtail, Bowsman, Dencross,
Strathclair, Tyndall, Vista Durban, East Braintree, Glencairn, Grand Beach,
1939 Angusville, Basswood, Carberry, Carroll, Culross, Douglas, Grand Marais, Green Oak, Greenwald, Gull Lake,
Fannystelle, Forrest, Hartney, Haywood, Manson, McAuley, Hadashville, Harrowby, Kenville, Lavenham, Lydiatt,
Nesbitt, Niverville, Otterburne, St-Adolphe, Ste-Agathe, Malonton, McMunn, Millwood, Minitonas, Mink
St-Malo, St-Pierre-Jolys, Silverton, Souris, Thornhill Creek, Ochre Beach, Overstoneville, Powerview,
1940 Russell Rackham, Rhodes, Rosa, Roseau River, Ross,
1941 Birnie, Eden, Franklin, Kelwood, Laurier, Makinak, McCreary, St-Georges, St-Ouens, Senkiw, Silver, Silverwood,
Ochre River, Riding Mountain, Ste-Rose-du- Lac Stead, Swan River, Thalberg, Valley View, Venlaw,
1943 Rivers Vivian
1944 Aubigny, Dauphin, Neepawa, Ste-Elizabeth, Underhill 1954 Birch River, Clarkleigh, Cowan, Dufresne, Fishing
1945 Fortier, Greenway, Hargrave, MacDonald, Upper Seven River, Greenridge, Hecla Island, Lido Plage, Marco,
Sisters Molson, Pratt, Rosewood, Sandy Lake Beach, Toutes
1946 Anola, Arborg, Arden, Arnaud, Bethany, Blumenort Aides, Ukraina, Victoria Beach, Woodmore, Worby
South, Brookdale, Brunkild, Camp Morton, Carey, Chater, 1955 Albert Beach, Bellsite, Hanover, Camperville,
Clandeboye, Clanwilliam, Dufrost, Dugald, Elphinstone, Erinview, Kronsgart, Mafeking, Metigoshe Beach,
Elva, Erickson, Giroux, Glenella, Glenora, Île-des-Chenes, Narcisse, Novra, Reeder, Rennie, St-Ambroise, Sandy
Justice, Kane, Keyes, La Broquerie, La Rochelle, La Salle, Hook, Woodridge
Lowe Farm, Menzie, Moorepark, Neelin, Netley, Oakland, 1956 Assiniboia, Brooklands, Carrick, Charleswood, East
Oberon, Ogilvie, Petersfield, Pierson, Plumas, Poplar Point, Kildonan, East St. Paul, Fort Garry, Loni Beach, North
Rapid City, Richer, Riverton, Sandy Lake, Sanford, Sydney, Kildonan, Old Kildonan, Reeve, St-Vital, Transcona,
St-Léon, Wellwood, Westbourne, Wheatlands, Willen Tuxedo, West Kildonan, West St. Paul
1947 Arnes, Cordova, Cracknell, Deloraine, Delta, Dropmore, 1957 Bird’s Hill, Emerson, Falcon Lake, Glenlea, Lockport,
Gregg, Grunthal, Hazelridge, Hnausa, Ingelow, Inglis, Kaleida, Sewell, West Hawk Lake
Komarno, Lyleton, Magnusson, New Bothwell, Oakbank, 1958 Beausejour, Jordan
Oak Bluff, Reinfeld, Roblin, Shellmouth, Sifton, Sinclair, 1959 The Pas
Springstein, Stonewall, Stony Mountain, Valley River 1960 Cranberry Portage, Glass Siding, Hazelglen, Melrose,
1948 Bagot, Beaver, Beresford, Carlowrie, Chortitz, Cloverleaf, Thompson
Dacotah, Edwin, Fraserwood, Goodlands, Graysville, 1961 Churchill
Harte, Inwood, Kemnay, Lauder, Lena, Marquette,
Medora, Meleb, McTavish, Oakner, Onanole, Osborne,
Pope, Purves, Reaburn, Rosenort, Rounthwaite, Silver
Plains, Snowflake, St-Lupicin, Tilston, Treesbank, Wakopa,
Waskada, Whitewater, Woodbay

30
 Norway House was the first native com-
Selkirk Generating munity to receive electrical service under
Station was a Northern Electrification program — a
completed in 1961. program that is still going on in coopera-
tion with the federal Department of Indian
Affairs and Northern Development. Since
the program began, several communities
served by diesel generating stations have
had their electrical services upgraded, while
others have been transferred from diesel
generation to the provincial power system
as a result of expanding transmission line
facilities in the north.

STUDY OF THE HYDRO- MANITOBA HYDRO AND

1963 ELECTRIC POTENTIAL OF
THE NELSON RIVER began.
1964 THE MID-CONTINENT AREA
POWER PLANNERS (MAPP)
On February 18, the province signed a memo of understand-
of Manitoba entered into an approximately ing for possible interconnecting transmission
$1.3-million cost-sharing agreement with the lines to carry large-scale exchanges of power
Government of Canada to investigate the fea- to U.S. utilities. At this time, MAPP consisted
sibility of hydroelectric development on the of 22 public and investor owned electrical utili-
Nelson River. A Nelson River Programming ties operating in the central and northcentral
Board was set up to carry out the investigations. states.
Its report, tabled in the Parliament of Canada
and in the Manitoba legislature in 1964, led to CITY HYDRO, the name commonly
a second agreement for a further $3-million used over the years to identify the City
study that was to be completed by 1966. of Winnipeg Hydro Electric System, was
Also in 1963, Manitoba Hydro, in changed to Winnipeg Hydro.
agreement with both levels of government,
commissioned G.E. Crippen & Associates GRAND RAPIDS GENERAT-
to investigate the economic feasibility of
developing hydroelectric generating sta- 1965 ING STATION, located on the
Saskatchewan River about four
tions on the lower Nelson River, which is the kilometres from Lake Winnipeg,
stretch of the Nelson River from Split Lake was officially opened on November 13. Its three
to Hudson Bay. units produced a total capacity of 330 MW. The
generating station was re-rated to 339 MW in
NORTHERN COMMUNITIES SERVED 1966, and to 354 MW in 1967. In 1968, the final
BY DIESEL GENERATION. Norway House unit was placed in service bringing the total
in northern Manitoba received power for capacity to 472 MW. Grand Rapids operated
the first time by means of an independent with a 36.6-m head, or waterfall — the largest
diesel generating station. The community in Manitoba. The giant Kaplan turbines and
was connected to the provincial power system generators at Grand Rapids were the largest
10 years later. installed in North America for this size of
operating head.
One of the most challenging problems in
developing the forebay at Grand Rapids was
the prevalence of limestone and dolomite in
the region. To prevent water from seeping out
of the storage area through numerous crevices
and separations found in limestone, it was
The 910-kW diesel
necessary to form an underground seal beneath
generating station at
Norway House was the dykes. Over 99,909 tonnes of cement were
one of Manitoba used in the sealing or “grouting” program,
Hydro's largest one of the largest of its kind ever attempted
diesel facilities. in the world.

31
 Saskatchewan River. The 328-km line was
built primarily to supply International
Nickel’s new Soab Lake mine 75 km southwest
of Thompson.

FIRST GENERAL RATE IN-

1968 CREASE in 57 years went into
effect for all meter readings
taken after July 15. The increase
was required to raise $3.3 million in additional
annual revenue, needed to maintain financial
reserves. In addition to increasing Manitoba
Hydro’s total revenue by six per cent, the new
rate schedule reduced variations in rates.

THE PAS DIESEL GENERATING

STATION was retired when the town was
connected to the provincial power system
Grand Rapids
Generating Station DEVELOPMENT OF THE by means of the new 230-kV and 115-kV
on the Saskatchewan
River was completed
in 1968. It is
1966 NELSON RIVER was started.
As a result of the Nelson River
transmission lines from Grand Rapids. The
generating station — which had served the
Programming Board’s inves- community since 1914 and was taken over by
Manitoba Hydro's
tigations that began in 1963, the federal and MPC in 1958 — was subsequently retired.
only generating
station on the provincial governments entered into an agree-
Saskatchewan ment February 15, 1966, to jointly undertake MANITOBA HYDRO ACQUIRED
River. the development of the hydroelectric potential THE CHURCHILL DIESEL GENERATING
of the Nelson River. STATION from the federal Department of
The federal government’s participation Public Works. Since 1960, the utility had
in the program was to finance direct current been responsible for only the distribution
transmission line facilities for bringing power of power in the town.
from northern Manitoba to the southern
areas. Atomic Energy of Canada Limited was
assigned to act as the federal government’s NORTHERN MICROWAVE
agency in the construction of the line.
Manitoba Hydro was to repay the federal
1969 SYSTEM was completed when
the final link in a 1,011-km-long
government over a period of 50 years. In 1992, microwave system from Winni-
Manitoba Hydro bought out the remaining peg to Gillam was finished. A joint venture of
years of the financing arrangement. the Manitoba Telephone System and Manitoba
Manitoba Hydro's
With the agreement in place, Manitoba Hydro, the system was designed primarily
High Voltage Direct
Current transmission Hydro began to develop the site on the for controlling the DC transmission of Nelson
lines, which follow a Nelson River where Kettle Generating River power to the south. In addition, the
route almost 900 km Station was to be built. microwave system improved north to south
long, are among the telecommunications, and brought live televi-
world's longest.
sion to northern residents.
NELSON POWER The microwave system follows a route

1967 CONNECTED TO
THE PROVINCIAL
POWER SYSTEM
northward through the Interlake area to
Grand Rapids, then heads northeast via
Thompson to Gillam, where it terminates
with the comple- at Manitoba Hydro’s Radisson Converter
tion of a 230-kV transmission line Station.
between Kelsey Generating Station A second microwave system, following
on the Nelson River and Grand a route on the east side of Lake Winnipeg,
Rapids Generating Station on the was completed in 1977.

32
 Manitoba Hydro created

Through the passage of the Manitoba Hydro Act in 1961, the utility was set up as a Crown
Corporation — an agency of Her Majesty the Queen through which the Government of Manitoba
provides power to meet the electricity needs of the province. As a Crown Corporation, Manitoba
Hydro is a commercial organization in its own right. It is a publicly owned utility that is
responsible to the provincial government, but operates as a separate entity. The people of the
province are the shareholders of the utility. They are also its customers.

Manitoba Hydro submits quarterly financial statements and an annual report to the
Manitoba legislature rather than to a meeting of shareholders. The Manitoba legislature refers
the documents to the standing Committee on Public Utilities and Natural Resources.

The provincial government has three main methods for controlling Manitoba Hydro’s
policy and its activities: through the appointment of the members of the Manitoba Hydro-
Electric Board (MHEB); the utility’s limit to capital borrowing is, from time to time, set
by legislation; the requirement that certain extraprovincial electricity sales require cabi-
net approval. Also, Manitoba Hydro is subject to several licensing requirements of the
provincial government.

Early symbols of
Manitoba Hydro
included two versions
of the character
Alec-tricity and the
first corporate logo.
Alec was out of a job
when the three-pronged
plug was introduced
and the original logo Mr. D.M. Stephens was the Mr. W.D. Fallis was the
was retired in 1974. first Chairman of MHEB after first General Manager
the passage of the Manitoba of Manitoba Hydro.
Hydro Act.

Manitoba Hydro took delivery of a new mobile substation

manufactured by Federal Pioneer Limited of Winnipeg.
Mobile substations were used in emergency situations and
as substitutes for regular substations undergoing repairs
or maintenance.

33
A Period of Growth and Change
KETTLE GENERATING TWO LAURIE RIVER GENERATING

1970 STATION was the second

hydroelectric generating sta-
STATIONS OFFICIALLY TAKEN OVER on
June 1 by Manitoba Hydro from Sherritt
tion to be developed on the Gordon Mines Limited. Located about 64 km
Nelson River and the largest in Manitoba at south of Lynn Lake in northwestern Manitoba,
that time. Located about 6.4 km downstream the two originally went into operation in
from the community of Gillam and 712 km 1952 and 1958 respectively to supply Sherritt
by air from the City of Winnipeg, Kettle’s first Gordon’s mining operations in the area. The
turbine generator (unit) went into service four generating stations, with a total of three units,
months ahead of schedule. Harnessing a 30-m produce a combined capacity of 10 MW.
head, or waterfall, the generating station was Laurie II Generating Station is operated by
designed for 12 units, each with a capacity of remote control from Laurie I Generating
106 MW. Kettle was completed in November Station. The operating head is 16.8 m.
1974 with a total capacity of 1,272 MW. In conjunction with the Laurie River take-
over, a 213-km-long, 138-kV transmission line
U.S. TO MANITOBA POWER EXCHANGE was constructed from Thompson to connect
was approved by the National Energy Board. the two generating stations and the community
The Board granted Manitoba Hydro a permit of Lynn Lake to the provincial power system.
to establish an interconnecting transmission
line with three midwestern utilities in the DEVELOPMENT OF LAKE WINNIPEG
U.S. The 232-km-long, 230-kV transmission REGULATION PROJECT BEGAN, under the
line stretches from Winnipeg to Grand Forks, terms of an agreement between the province
North Dakota. It was completed and placed of Manitoba and the Government of Canada,
in service in July for a power exchange with reached in February 1966. Manitoba Hydro
the Northern States Power Company of Min- was authorized to proceed with a plan for
neapolis, Otter Tail Power Company of Fergus Nelson River development which included
Falls, and Minnkota Power Co-operative Inc. using Lake Winnipeg as a reservoir. The
of Grand Forks. The line cost $7.7 million, Lake Winnipeg Regulation project entailed
with Manitoba Hydro’s share amounting to excavating channels to increase the natural
about $2 million. outflow capacity of the lake, and building a

Kettle Generating Station,

with a total capacity of
1,272 MW, was completed
in 1974. It was named for
the Kettle Rapids on which
it was built. Kettle is about
3 km upstream of the town
of Gillam, which is located
near the Nelson River.

34
 control structure to regulate
this outflow. Jenpeg Generat-
ing Station and the Control
Dam were built at the point
where the west channel of the
Nelson River flows into Cross
Lake. Regulation guaranteed
adequate minimum flows
for hydroelectric generating
stations on the Nelson River,
according to the plan.

THE NELSON

1971 RIVER HIGH

V O LTA G E Dorsey Converter Station is located
DIRECT CURRENT LINE was 26 km northwest of the City of Winnipeg
first energized. The HVDC transmission line in southern Manitoba.
carrying power from the generating stations
built on the Nelson River was constructed by When the DC power reaches Dorsey, it is con-
Atomic Energy of Canada Limited under the verted once again to AC for distribution to the
federal-provincial agreement of 1966. provincial power system.
Known as Bipole 1, the transmission line
began carrying power in June 1972. Bipole 1
now operates at 900 kV (±450 kV nominal). The THE SECOND MANITOBA
Bipole 2 line was built later, in 1978.
1972 TO ONTARIO INTERCON-
NECTING TRANSMISSION
DORSEY AND RADISSON CONVERTER LINE was placed in service.
STATIONS began operating. The construction The 230-kV transmission line, which connected
of Dorsey Converter Station actually started Manitoba Hydro’s Whiteshell facility near
in 1968, but the facility didn’t become opera- Seven Sisters with Ontario Hydro’s terminal
tional until 1971 with the completion of Bipole station near Kenora, began transmitting power
1. Located near the town of Rosser, which is in October. The line was constructed to meet
26 km northwest of Winnipeg, Dorsey acts as the terms of an agreement reached in 1971. This
the southern terminus of the HVDC transmis- replaced the original 1956 agreement between
sion lines. The power produced as alternating the two utilities. Under the new agreement,
current (AC) at the generating stations on the Manitoba Hydro would sell Ontario Hydro
Nelson River is converted to direct current over $26 million worth of electricity by April
(DC) at Radisson for transmission to Dorsey. 1978. In 1974, a new power exchange agree-
ment would be made for the sale of $47 million
worth of surplus electricity.

SECOND MANITOBA TO SASKATCH-

EWAN INTERCONNECTING TRANSMIS-
SION LINE was completed via a 176-km,
230-kV transmission line between Dauphin,
Manitoba, and Yorkton, Saskatchewan. An
intermediate station was located at Roblin,
Manitoba. The interconnection, permitting a
power exchange of up to 150 MW, was built in
accordance with an agreement made between
the two utilities in 1970.

Radisson Converter Station is located near the

Nelson River in northern Manitoba.

35
 REGIONALIZATION — A NEW ORGAN- LAST INDEPENDENT ELECTRICAL
IZATION PLAN adopted by Manitoba Hydro SYSTEMS IN THE PROVINCE joined Manitoba
— was designed essentially to decentralize Hydro when the utility assumed responsibility
certain Head Office functions, bringing about for the northern communities of Flin Flon and
a more effective customer service. The plan Snow Lake by agreement with Hudson Bay
became fully operational by April 1973. Mining & Smelting Company Limited (HBM
Prior to regionalization, the province was & S). Manitoba Hydro acquired the distribu-
divided into 12 service areas (reduced in 1972 tion facilities of the Northern Manitoba Power
to 11) with offices that provided administration Company Limited, a subsidiary of HBM & S.
for the local District Offices. The Area Manag- The Churchill River Power Company Limited,
ers reported directly to the Field Operations another subsidiary of HBM & S, continued to
Division at Head Office in Winnipeg. supply the company’s mines, mill, and smelter
Under regionalization, the province was from its Island Falls Generating Station in
initially divided into three geographic regions: Saskatchewan.
Eastern, Western and Central. The Area Man- With the takeover of Flin Flon and Snow
agers in each region reported directly to their Lake, Manitoba Hydro assumed full respon-
respective Regional Directors. Each region was sibility for the transmission and distribution of
responsible for planning, designing, construct- power for all of the province, with the exception
ing, operating and maintaining the electrical of Winnipeg Hydro’s service area.
distribution system within its respective
area, and for ensuring reliable and efficient PLANNING STUDIES FOR LONG
customer service. SPRUCE GENERATING STATION were
Overall system planning and design, completed, and the Long Spruce site, 22.4 km
power generation, and major construction by road downstream from Kettle Generating
projects remained the responsibility of staff Station, became accessible by an all-weather
at Head Office. road connected to Gillam.

A NEW CORPORATE LOGO for Mani-

THE RATE EQUALIZATION toba Hydro was designed and adopted by
1973 PLAN — DEVELOPED by
Manitoba Hydro and Winni-
the utility.

peg Hydro to equalize rates for MORE NORTHERN COMMUNITIES

customers residing in Unicity Winnipeg — was CONNECTED TO PROVINCIAL POWER
approved by the Winnipeg City Council on SYSTEM. The communities of South Indian
June 21 and became effective on August 1. The Lake, Norway House, and Cross Lake, served
equalization of rates was required by an Act initially by diesel generation, were transferred
of Legislature (City of Winnipeg Act) of July to the provincial power system. The communi-
30, 1971, which among other things required ties of Gods River and Shamattawa were added
that the rates for electricity of both utilities to the 21 isolated communities that received
be the same for customers living within the electrical service from local diesel generating
boundaries of the area known as Unicity. stations.

Laurie River I Generating Station, with a capacity of 5 Laurie River II Generating Station, with a total capacity
MW, was completed in two stages — the first in 1952, of 5 MW, was completed in 1958. In 1970, Laurie River
the second in 1970. I and Laurie River II were purchased by Manitoba
Hydro from Sherritt Gordon Mines Limited.

36
 MANITOBA HYDRO BEGAN CHURCHILL RIVER DIVERSION
1974 NUCLEAR STUDIES. A small
nuclear development depart-
PROJECT BEGAN OPERATING in September
when an initial water flow of approximately
ment was established to begin 283.16 cubic metres per second was released
the task of potential site identification. through the Notigi Control Dam. The Control
Dam at Missi Falls on the Churchill River chan-
GRANVILLE LAKE AND nel from Southern Indian Lake was completed.
1975 PAUINGASSI SERVED BY
DIESEL GENERATION while
Also work at Nelson House and Thompson
during the year.
Pine Dock and Matheson
Island were switched from diesel generation LAKE WINNIPEG REGULATION works
to the provincial power system. The capacity began operating when the Jenpeg Control Dam
of diesel generation was increased at the com- was completed.
munities of Little Grand Rapids, Red Sucker
Lake, St. Theresa, and Wasagamack. AGREEMENT REACHED ON 230-kV
INTERCONNECTION LINE with Minnesota
TWO OF THE THREE LAKE WINNIPEG Power and Light Company of Duluth, U.S.,
DIVERSION CHANNELS were used for the to interconnect at the international border
first time. The Jenpeg Control Dam was com- in southeastern Manitoba. Manitoba Hydro
pleted late in 1975, and the completion of the received approval to build a transmission
remaining two-mile channel between Lake line from Ridgeway Station to the U.S. border
Winnipeg and Playgreen Lake was sched- south of Sprague, Manitoba. Licences were also
uled for the fall of 1976. Installation of the granted for the export of interruptible power
first bulb-type turbine generators to be used and firm power during the period from Nov-
in North America was underway at Jenpeg ember 1976 to October 1982.
Generating Station, with the first going into South of the border, 320 km of line from
service in 1977. Hibbing to Duluth were built by two U.S. utili-
ties — Minnesota Power and Light Company
MAJOR CONCRETE WORK of Duluth, and Minnkota Power Cooperative
1976 AT LONG SPRUCE Generat-
ing Station was completed,
Inc. of Grand Forks.

and construction of the

powerhouse was well advanced. The earthfill
section of the main dam was also underway.

Jenpeg Generating Station and Control Dam on the Nelson River. Although Jenpeg does produce electricity,
its primary purpose is to control water levels in accordance with the terms of Manitoba Hydro's licence for
regulating Lake Winnipeg.

37
 WORK ON SECOND NORTHERN
MICROWAVE SYSTEM BEGAN in conjunc-
tion with the Manitoba Telephone System. The
microwave system ensured a high degree of
reliability for the expanded DC system, and
also provided an improved telephone service
and live television service to a number of
northern communities.
This link was constructed on the east side
of Lake Winnipeg and supplied an alternative
route for HVDC control and communications.
The first buildings and towers were shipped
The Missi Falls Control Dam at the natural outlet of to remote sites during February 1976, and the
Southern Indian Lake controls the water outflow from system was put into service in October 1977.
the lake. The lake's level was raised three metres as
part of the Churchill River Diversion Project.
CRANBERRY PORTAGE EXTENSION
ENERGIZED in September, bringing electric-
ity via the provincial power system to the
community of 924 residents. The extension
was a 230-kV transmission line from Flin
Flon to Cranberry Portage. The community
of Baker’s Narrows, midway along the 48-km
extension from Flin Flon to Cranberry Portage,
also obtained service. The retirement of the
diesel generating station meant an estimated
annual saving of over two million litres of
diesel fuel.

SOUTH CENTRAL MANI-

The Notigi Control Dam, also part of the Churchill
River Diversion Project, is located on the Rat River
and controls the flow of water from the Churchill
1977 TOBA EXPERIENCED
SEVERE ICING CONDI-
TIONS, causing the worst
River into the Burntwood-Nelson river system. impact on Manitoba Hydro’s electrical
service in the utility’s history. Most sub-
transmission lines in the area were out of
service at various times, and all required
some form of ice removal. A total of 7,400
km of power lines were rolled to remove
ice during and following the storm, and
1,600 km of power lines were de-iced. Due
to these conditions, about 1,500 poles and
600 crossarms were broken and the associ-
ated hardware damaged.
The most severely affected small towns
and villages were without electricity for pe-
riods of up to 49 hours. Hundreds of farm
customers were also without ­— some for as
Mitigation work related to the Churchill River long as six days. The cost to restore service
Diversion Project was advanced with the negotiation was $1.4 million.
of a 668-hectare land clearing contract. Mr. Len
Bateman, Chairman of Manitoba Hydro, and Chief FIRST UNIT AT LONG SPRUCE Gen-
Nelson Linklater of the Nelson House Band signed the
erating Station went into service in October.
contract on February 2, 1977.
All 10 of the 98-MW units were in service
by August 1979. The generating station was
officially opened by the premier of Manitoba
on June 16, 1979.

38
 THE NORTHERN FLOOD AGREEMENT HENDAY CONVERTER STATION,
(NFA) WAS SIGNED in December by the Gov- located near Limestone, was completed, thus
ernments of Manitoba and Canada, Manitoba allowing Manitoba Hydro’s second HVDC
Hydro, and five Indian Bands — Nelson House, bipolar transmission line, Bipole 2, to be placed
Norway House, Cross Lake, Split Lake, and in service. Henday began performing the
York Factory. The purpose of the agreement same function as Radisson Converter Station,
was to establish a mechanism for compensating converting AC power to DC for transmission
those individuals or communities adversely south to Dorsey Converter Station. Bipole 2
affected by the Lake Winnipeg Regulation and transmitted power from Henday to Dorsey for
Churchill River Diversion Project. the first time on October 1. With the addition
The NFA ensured discussions about the of Henday, more conversion equipment was
cause or extent of adverse effects, and fa- installed at Dorsey.
cilitated the implementation of appropriate
response measures. The NFA allows parties
Neither rain, nor snow, to seek resolution through an arbitrator when REHABILITATION WORK
nor ice... Manitoba
Hydro’s linemen always
do their best to maintain
required.
1979 AT GREAT FALLS GENER-
ATING STATION began. The
the supply of electricity to HIGH PRESSURE SODIUM work at the 56-year old plant
customers.
1978 LIGHTING (HPS) was in-
stalled for the first time by
on the Winnipeg River included replacement of
the spillway and the west non-overflow dam.
Manitoba Hydro. The lighting Cracks in the water passages underneath the
was installed at the Perimeter Highway and powerhouse were sealed and the head gates
Roblin Boulevard interchanges on the west reinforced. Repairs to the generating station’s
side of Winnipeg. HPS lighting is more ef- electrical and mechanical equipment were also
ficient than mercury vapour lighting, which undertaken.
had been used in Manitoba for street lighting
almost exclusively for many years. NORTH DAM RECONSTRUCTION AT
SEVEN SISTERS GENERATING STATION
LIMESTONE DEFERRED due to lower included the construction of an access road
than expected demands for electricity in the to the work site, foundation preparation,
province. The scheduled in-service date of installation of anchors, and placement of ap-
Limestone Generating Station was postponed proximately 60 per cent of the concrete for the
from 1984 until 1987. This resulted in the sus- new north dam.
pension of further work on the project follow-
ing the completion of the Stage 1 cofferdam.
The Limestone camp, town, and associated
works were shut down.

Long Spruce Generating

Station on the Nelson
River, with a total capacity
of 980 MW, first produced
power in 1977.

39
 JENPEG GENERATING STA-
TION COMPLETED on the Nelson
River. The last of its six turbine gen-
erators (units) was placed in service
in November. Jenpeg’s total winter
capacity became 126 MW.

THIRD INTERCONNECTING
TRANSMISSION LINE FROM
MANITOBA TO SASKATCHEWAN
was placed in service in November.
The 230-kV transmission line — which
extended from The Pas to Saskatchewan
Power Corporation’s Squaw Rapids
Generating Station, later renamed
the E.B. Campbell Generating Station Rehabilitation work at Seven Sisters Generating
— improved the stability of the provincial Station was underway from 1979 until 1985. Major
power system and increased power exchange repairs were made to the spillway and sluiceway, the
capabilities for both provinces. north dam, and the powerhouse.

ENERGY RATE STABILIZATION ACT

came into force on April 1. It enabled the Gov-
ernment of Manitoba to implement a five-year
fixed electricity rate for all customers in Mani-
toba — other than bulk purchasers and those
with separate contracts. The Act provided for
the Province of Manitoba to relieve the utility
of the costs associated with the foreign debt of
Manitoba Hydro. It did so by replacing them
with Canadian-equivalent costs based on Ca-
nadian rates for similar terms at the date the
debt was incurred.

Because of concrete
deterioration after more than
half a century of continuous
use, major rehabilitation work
at Great Falls Generating
Station began in 1978. The
work included replacement
of the spillway and west
non-overflow dam, as well
as concrete repairs to the
powerhouse.

40
 The seventies: a time of development of
the Nelson River’s hydroelectric resources
From the early 1900s, Manitoba’s power planners were aware of the hydroelectric potential of
the province’s northern rivers. The major stumbling block to such development was how to
transmit the power from the north to the more populated areas of the south. By the early six-
ties, technological advances in the field of power transmission were such that northern power
projects could be considered in earnest.

In 1963, the Government of Canada and the Government of Manitoba had entered into
an agreement to investigate hydroelectric development on the Nelson River, and to equally
share the cost of the research. After exhaustive investigations, a new agreement was signed
between the two governments in 1966. Under its terms, the two governments would cooperate
and proceed with Phase One Development of the Nelson River. The costs of phase one were
estimated to be approximately $300 million.
The federal government agreed to provide a
long-term loan of $112 million to cover the
costs of erecting transmission lines, and install-
ing intermediary and terminal controls and
structures. In the agreement, Atomic Energy
of Canada Limited (AECL) was designated as
the federal government agency and Manitoba
Hydro as the province’s representative.

The primary objectives of phase one was

to convert the rich natural resource of the Nel-
son River into a power base for industrial and
economic development in Manitoba, and to
create a potential for the sale of power outside
of Manitoba.

Phase One Development of the Nelson

River included four main components: con-
Dredging work was
struction of Kettle Generating Station; a high
done on the eight- voltage direct current (HVDC) transmission system from Kettle to Winnipeg; the Churchill
mile Channel between River Diversion Project; and Lake Winnipeg Regulation.
Playgreen Lake and
Kiskittogisu Lake. 1. Construction of Kettle began in 1966 and was completed in November 1974. The 1,272-MW
The three channels
were constructed
generating station consolidated a series of rapids into a 30-m operating head (the waterfall created
as part of the Lake by Kettle’s structure). At that time, Kettle was the largest generating station in Manitoba.
Winnipeg Regulation
— two-mile Channel, 2. One of the keystones to northern hydroelectric development was the transmission system.
eight-mile Channel, and Manitoba Hydro undertook extensive studies into possible transmission systems as part of
Ominawin Channel
— and helped to
the investigations conducted under the 1963 agreement. Alternating current (AC) and direct
increase water flows current (DC) transmission systems were evaluated, and two routes for the transmission lines
for hydroelectric were assessed — one on the east side and one on the west side of Lake Winnipeg.
development on the In 1966, AECL and private consultants initiated detailed studies with a view to determining
Nelson River. which mode of transmission facilities to build and which route to build along. These studies
were known as the “Stage One Studies” and included the detailed examination of the eastern
and western routes using aerial photographic surveys, soils interpretation, soils sampling,
ground reconnaissance, and terrain typing. Also, Manitoba Hydro’s load growth forecasts
were examined. AECL and Manitoba Hydro conducted extensive system stability studies
for both AC and DC transmission systems for three alternative load situations — Manitoba’s
needs alone, Manitoba’s needs plus some export to Saskatchewan, and Manitoba’s needs plus

41
exports to Saskatchewan, Ontario, and the U.S. A fourth study made economic comparisons
of all the systems.
After careful consideration, direct current (DC) transmission was selected over alternat-
ing current (AC) because power losses over long distances would be less and the cost of a DC
transmission system amounted to about two-thirds the cost of an AC transmission system. As
for route selection, the route on the west side of Lake Winnipeg was chosen because it had better
access by road and rail in both southern and northern Manitoba. Also, in spite of being 160 km
longer, the route on the west side would be less costly to construct since swamp, muskeg, and
permafrost conditions were fewer.
This project entailed the construction of two HVDC transmission lines — one line starting
at Radisson Converter Station, three kilometres south of Kettle Generating Station; the other
starting at Henday Converter Station, 42 km northeast of Kettle. Dorsey Converter Station is
the southern terminus for both lines. The transmission systems are referred to as Bipole 1 and
Bipole 2. The converter stations are needed to convert the AC power produced at the northern
generating stations into DC power for transmitting nearly 900 km to the south. It is then con-
verted back to AC power for distribution to customers. Bipole 1 was in full operation by June
1972 and Bipole 2 was completed by October 1978.

3. The portion of the Churchill River in Manitoba, which is downstream of Southern Indian
Lake, has a hydroelectric potential of more than 3,000 MW. However, instead of developing
generating stations on the Churchill River itself, it was believed that diverting the Churchill
River into the Nelson River would be more economical. It was felt that while the Lake Winni-
peg Regulation would assure a more dependable water flow in the Nelson River, the Churchill
River Diversion Project would increase the power producing potential of the Nelson by as
much as 40 per cent.
Three major components accomplished the diversion. One, a Control Structure at Missi Falls,
the natural outlet of Southern Indian Lake which controls the outflow and raises the lake level
by three metres. Two, an excavated channel from Southern Indian Lake to Isset Lake to allow
Churchill River water to flow into the Rat-Burntwood-Nelson river system. Three, a Control
Dam at Notigi on the Rat River to regulate the amount of water being diverted.
Under terms of the licence granted in 1972, Manitoba Hydro is permitted to divert up to
850 cubic metres per second (m3/s) of water from the Churchill into the Nelson. The outflow
from the Missi Falls Control Dam must be at least 14 m3/s during open water season and
43 m3/s during the ice cover period. The project went into operation in 1977.

4. The regulation of Lake Winnipeg was deemed necessary because in its natural state, the water
outflow into the Nelson River is more during the spring and early summer months and less in
the fall and winter months. The problem for hydroelectric generation in Manitoba is that the
greater volume of outflow is needed in the fall and winter than it is in the spring and summer.
With regulation, the outflow from the lake would be reduced in the spring and early summer,
and increased during the fall and winter to meet the province’s demand for electricity.
Work on the Lake Winnipeg Regulation project began in 1970 and consisted of three main
elements. One, the two-mile Channel, the eight-mile Channel, and the Ominawin Channel,
which were built to increase water outflow from the lake in winter. Two, Jenpeg Generating
Station and its Control Dam, which was built at the point where the west channel of the Nelson
River discharges into Cross Lake. And three, a dam was built at the outlet of Kiskitto Lake to
prevent water from backing up into the lake (Kiskitto Lake was later regulated as a wildlife
sanctuary area).
Manitoba Hydro was licensed to regulate Lake Winnipeg between the upper storage limit
of 715 feet above sea level and the lower storage limit of 711 feet above sea level for power
production purposes. The parameters of regulation are expressed in “wind eliminated” terms
because the lake’s natural characteristics alter water levels at varying points around the lake.

Without HVDC technology and the Lake Winnipeg Regulation, development of the
hydroelectric potential of the Nelson River could not have proceeded.

42
 The Eighties: A Decade of
Improvements in
Service and Reliability
MOOSE LAKE CONNECT-

1980 ED TO THE PROVINCIAL

POWER SYSTEM. The diesel
MANDAN LETTER OF INTENT WAS
SIGNED by Manitoba Hydro and the Ne-
generating station which for 15 braska Public Power District of Columbus for
years served the northern community located a proposed 500-kV transmission line between
southeast of The Pas was retired. A 66-kV line Manitoba and Nebraska. The proposed inter-
from the provincial power system brought resi- connection was referred to as the MANDAN
dents unrestricted use of electricity for the first line. By the fall of 1980, a set of alternative
time. The changeover to the main provincial transmission line corridors was defined, and
power system would save about 450,000 litres meetings were held with interested parties to
of diesel fuel annually. discuss corridor preferences. The project would
be terminated in 1985.
THE 500-kV WINNIPEG TO MINNEA-
POLIS INTERCONNECTING TRANSMIS- THE 525-kW LAC BROCHET
SION LINE WAS COMPLETED, providing a
third interconnection with the U.S. Operating 1981 DIESEL GENERATING STA-
TION was commissioned in
at 500-kV, it was the highest AC voltage ever November at the remote site
used in Manitoba. The new line more than 40 km south of the 59th parallel, close to
doubled Manitoba’s power exchange capabil- the Saskatchewan border. A 350-kW diesel
ity with the U.S. The northern terminus of the generating station was designed for Tadoule
500-kV line was at Manitoba Hydro’s Dorsey Lake, located at about the same latitude as
Converter Station. Lac Brochet, with an in-service date of mid-
summer 1982.

VERTICAL AXIS WIND TURBINE was

installed near Churchill, Manitoba, a town
located on the shores of Hudson Bay. Mani-
toba Hydro entered into a parallel generation
During construction of agreement with the Churchill Research Centre,
the 500-kV, Winnipeg to
whereby the utility paid for power and energy
Minneapolis transmission
line, 191 of these self- received from the customer. The experimental
supporting towers were installation was rated at 75 kW.
used on the part of the
line that ran between SIX SUPER ENERGY-EFFICIENT HOUS-
Vivian, Manitoba, and
ES were built by Manitoba Hydro in Gillam
Dorsey Converter Station
at Rosser. With a base to test a variety of energy-efficient techniques
of only 6.5 m by 7 m in housing. The heat loss of each house was
from leg to leg, this type designed to be only four kilowatts, rather
of tower was used on than the 24 kW of a conventional house of
agricultural land because
comparable size.
it occupied less space than
other types.

43
 HIGH VOLTAGE DIRECT As a result of the storm, the Rural Un‑
1982 CURRENT RESEARCH CEN‑
TRE WAS WORLD’S FIRST.
derground Distribution program was imple‑
mented in some areas in an attempt to minimize
A complete research centre power outages caused by ice storms. Under‑
for HVDC technology opened in Winnipeg ground power lines were installed between
on January 15. The research centre was a Manitou and Darlingford, replacing 13 km of
consortium of five sponsoring organizations: overhead power lines.
Manitoba Hydro, the University of Manitoba,
Teshmont Consultants, Federal Pioneer Electric BLOODVEIN CONNECTED TO PRO‑
Ltd., and the province of Manitoba. VINCIAL POWER SYSTEM in March. The
Bloodvein Indian Reserve on the east side of
THE PAS TO FLIN FLON Lake Winnipeg was the first of a number of
1983 230‑kV LINE was placed in
service. The line and new
native communities that switched from diesel
generation to the provincial power system
terminal station at Flin Flon — part of Manitoba Hydro’s east of Lake
provided a reliable supply of electricity to the Winnipeg project.
Flin Flon area as well as a fourth intercon‑
necting transmission line with Saskatchewan REHABILITATION WORK AT SEVEN
Power Corporation (SPC), with its Island Falls SISTERS GENERATING STATION COM‑
Generating Station on the Churchill River. PLETED below budget, at a total cost of $22
SPC contributed two-thirds of the annual million. The rehabilitation program, spanning
costs for these facilities. The sharing of costs five consecutive years, was expected to extend
was based on the relative benefits to each of the life of Seven Sisters by another 50 years.
the two utilities.
HIGH VOLTAGE DIRECT
SEVERE ICING CONDITIONS occurred
in the southwestern and central parts of the 1984 CURRENT REACHED A
MILESTONE when the first
province between February 27 and March 10, successful addition of solid
causing widespread service interruptions last‑ state equipment at Henday and Dorsey
ing up to five days for some farm customers. converter stations was achieved. It enabled
A workforce of up to 944 employees and vol‑ Manitoba Hydro’s HVDC system to bring an
unteers toiled throughout the storm to remove additional 450 MW of power from generat‑
ice and restore service. The storm covered a ing stations located on the Nelson River to
significant area of the province — from the southern Manitoba.
Saskatchewan boundary to an area just east
of Winnipeg, and from the U.S. border to a
line running from Riding Mountain National
Park to Gimli.

Manitoba Hydro’s crews

installed underground
power lines between
the towns of Manitou
and Darlingford.
This was a part of the
Rural Underground
Distribution program,
which was established
to help minimize power
outages in areas of the
province susceptible to
ice storms.

44
Twenty-four hours per day, seven days a week, Manitoba Hydro's System Control Centre in Winnipeg is staffed.
The control centre ensures the ever-changing electricity demands of customers in Manitoba are met. Computer
controls help improve system reliability and operating efficiency. The generating stations, transmission lines, and
electricity exports to other utilities are monitored constantly.

AUTOMATIC CONTROL WAS IN- approximately 3,500 wood poles and 12 steel
STALLED AT SYSTEM CONTROL CENTRE towers on the 230-kV transmission line be-
in Winnipeg. The AGC/SCADA computer- tween Brandon and Winnipeg.
based control system was installed in the centre As a direct result of two of the worst ice
to provide automatic generation control (AGC), storms in the province’s history occurring in
and supervisory control and data acquisition consecutive years, both of which resulted in
(SCADA) functions. The operators monitor costly damage, Manitoba Hydro established
Manitoba Hydro’s generating stations, trans- a special ice storm task force to deal with the
mission lines, and exports to neighbouring problem. The five-year, $25-million plan was
utilities using the AGC and SCADA systems, implemented on February 15, 1985.
which can automatically adjust the generation
of electricity to meet customers’ needs. TORNADOES STRUCK SOUTHERN
MANITOBA in July causing an estimated
BERENS RIVER, PRINCESS HARBOUR, $250,000 worth of damage to distribution and
AND LOON STRAITS CONNECTED to the transmission lines.
provincial power system in March. This was
part of Manitoba Hydro’s east of Lake Win- SOUTHERN INDIAN LAKE COMMER-
nipeg project. CIAL FISHERMAN’S ASSOCIATION and
Manitoba Hydro signed a $2.5-million com-
MANITOBA SUFFERED A SERIOUS ICE pensation agreement for damage caused by
STORM as heavy rains and freezing north the Churchill River Diversion Project and the
winds struck in the southwestern and interlake raising of the level of Southern Indian Lake.
parts of the province. The storm destroyed

45
 MANITOBA HYDRO CRE- In March, the National Energy Board issued
1985 ATED AN EXPORT SERVICES
DEPARTMENT with the inten-
a 12-year licence to MHEB for the export of firm
power and energy to the Northern States Power
tion of exporting Manitoba Company of Minneapolis. The licence allows
Hydro’s expertise to other utilities and organi- Manitoba Hydro to export a maximum of 500
zations, specifically in developing countries. MW of firm power in each 12-month period
Through the skills of its own employees, from May 1, 1993 to April 30, 2005.
Manitoba Hydro can offer knowledge at every Later that same month, Canadian General
level of power system development. Electric was awarded the contract to supply
the 10 turbines and generators required for
THE CONSTRUCTION OF LIMESTONE Limestone Generating Station.
GENERATING STATION RESUMED. In In June, the general civil contract for Lime-
January, Manitoba Hydro called for tenders stone was awarded to a consortium involving
on the general civil contract for Limestone Bechtel Canada Ltd. and Kumagai-Gumi Co.
Generating Station. The contract was con- Ltd. The general civil contract was the largest
tingent upon Manitoba Hydro’s obtaining single contract associated with the construction
approval from the National Energy Board to of Limestone.
export power to the Northern States Power
Company of Minneapolis.

At the Limestone Generating Station site in 1986, diamond drills bore holes into which explosives were placed
and detonated to loosen some of the rock and soil that had to be excavated. This allowed construction of the
powerhouse and spillway to begin. After excavation, forms were built for the concrete structures.

46
 Workers removed
material from a section
of the cofferdam that
surrounded Limestone
Generating Station’s
powerhouse and
spillway structures.

PUKATAWAGAN AND GRANVILLE BIPOLE 2 REACHED FULL POWER

LAKE CONNECTED to the provincial power with the completion of the third stage of Bipole
system. The 69-kV transmission line to the Pu- 2 on June 17. This enabled the high voltage
katawagan Indian Reserve and the community direct current transmission line to operate at
of Granville Lake in northwestern Manitoba 1,000 kV (±500 kV nominal). Bipole 2 added an
was constructed in accordance with the terms extra 2,000 MW of capacity to the provincial
of a cost-sharing agreement between Manitoba power system.
Hydro and the Department of Indian and
Northern Affairs. CUSTOMER SERVICE SYSTEM (CSS)
INTRODUCED to Manitoba Hydro’s custom-
MANDAN LINE TERMINATED in ers serviced by the Transcona District Office.
March when the Board of the Nebraska Public They were the first to benefit from the new
Power District of Columbus, Nebraska, passed computerized CSS, which was established
a resolution calling for the termination of the to streamline Manitoba Hydro’s customer
proposed transmission line. The main reason service by providing localized access to bill-
cited for the termination was the failure to ing accounts.
secure a commitment for cost-sharing ar-
rangements from the other participating U.S.
utilities.

47
 PAUINGASSI AND LITTLE

1987 GRAND RAPIDS WERE

CONNECTED to the provin-
cial power system, marking the
successful conclusion of a five-year program to
extend service to remote communities on the
east side of Lake Winnipeg.

138-kV GILLAM TO CHURCHILL LINE

ENERGIZED in April. Constructed over
three winters, the 270 km transmission line
was jointly funded by Manitoba Hydro and
the federal and provincial governments for
$35.6 million.

INTERCONNECTING LINE

1988 COMPLETED BETWEEN

MANITOBA HYDRO AND
WINNIPEG HYDRO. The
new interconnection between Manitoba
Hydro’s St. James substation and Winnipeg
Hydro’s Sherbrook substation involved the
Manitoba Hydro's mobile PCBX decontamination unit, purchased construction of a 3.5-km, 115-kV underground
in 1985, was the first of its kind in Canada. In addition to the mobile transmission line — the longest of its type in
facility, Manitoba has PCB storage and laboratory facilities. Manitoba. It increased the capacity and reli-
ability of interconnections between the two
MANITOBA HYDRO FIRST UTILITY utilities.
IN CANADA to purchase a mobile decon-
tamination unit for the chemical processing MANITOBA HYDRO’S LINE AND POLE
and removal of low-level polychlorinated CREWS HEADED TO JAMAICA AFTER
biphenyls (PCBs) from insulating oil used in HURRICANE HIT THE ISLAND. In October
electrical apparatus. and November, Manitoba Hydro and other
Canadian, British, and U.S. electrical utilities
POPLAR RIVER CONNECT- sent manpower and equipment to Jamaica in
1986 ED TO PROVINCIAL POWER
SYSTEM. Poplar River, 360
order to assist in restoring the island’s electrical
distribution system — much of it destroyed by
km north of Winnipeg on the Hurricane Gilbert in September. The mission
eastern shore of Lake Winnipeg, was switched was an unqualified success for the line and pole
from diesel generation to the provincial power crews from Manitoba Hydro, which returned
system. from Jamaica in February. Financed by the
Canadian International Development Agency,
25TH ANNIVERSARY OF MANITOBA the relief effort was without precedence in
HYDRO was celebrated on April 1. It was in Manitoba Hydro’s history.
1961 when MHEB and MPC amalgamated to
become one company under the new name of
Manitoba Hydro.

PINAWA GENERATING STATION SITE

BECAME A PROVINCIAL HERITAGE PARK
in late June through the combined efforts of the
provincial Department of Natural Resources,
Historical Resources, and Parks Branch, as well
as the Rural Municipality and town of Lac Du
Bonnet, and Manitoba Hydro. Abandoned
since 1951, Pinawa had served Winnipeg for
over 45 years.

48
 FIRST SALE OF MANITOBA beginning in 1995. The agreement included the
1989 HYDRO SAVINGS BONDS
took place in April. HydroBonds
construction of a new transmission line from
Winnipeg to Winger, Minnesota, a distance of
enabled Manitobans to make 322 km, though this line never was constructed.
an investment in their own province. The Instead, existing lines were upgraded to meet
HydroBonds were designed to raise funds the requirements.
to meet the financial requirements of Mani-
toba Hydro, and to develop a sizeable new PLANS ANNOUNCED FOR UPGRAD-
capital market in Manitoba that contributed ING SIX DIESEL GENERATION COM-
Canadian-dollar financing to ongoing debt MUNITIES from 15 amps to 60 amps. When
requirements. completed, residents of the communities —
Tadoule Lake, Lac Brochet, Brochet,
SEASONAL DIVERSITY POWER EX- Shamattawa, Pikwitonei, and Thicket Portage
CHANGE AGREEMENTS were signed with — would be able to use modern household
the Northern States Power Company of Min- electric appliances. The first community re-
neapolis and the United Power Association ceived the improved service during Manitoba
of Elk River. The power exchange can be up Hydro’s fiscal year of 1993-94 .
to 300 MW on a seasonal basis for 20 years,

When Hurricane
Gilbert destroyed much
of Jamaica's electrical
distribution system in
1988, Manitoba Hydro,
and other Canadian,
British, and U.S.
electrical utilities helped
repair the damage.

49
 Protecting the environment

Throughout its history, Manitoba Hydro has been conscious of the fact that developing hydro-
electric generating stations and constructing major transmission lines to provide electricity for
Manitobans may affect the way in which people use and enjoy the water and land resources.

During the 1980s, public environmental awareness and media attention increased dramati-
cally. Through increased scientific research, it quickly became clear that as a result of industrial
development, the environment was being affected in many more ways than anyone had ever
conceived. Globally, increased pressure was put on individuals, governments and corporations
to protect the environment. The result was that by the late 1980s, the Government of Manitoba
began the environmental licensing of some of the aspects of all major construction projects in
the province.

Conscious of demonstrating good stewardship of the land

and water, Manitoba Hydro re-committed itself to protecting
the environment. This commitment was reflected by the actions
the utility took to prevent and reduce adverse environmental
impacts where possible, and to assist people in adapting to any
unavoidable impacts. Manitoba Hydro incorporated environ-
mental assessments and monitoring measures into the planning,
designing, and building stages of its new facilities.

The Limestone Generating Station construction project
served as an example of Manitoba Hydro’s commitment to re-
specting the environment. During the construction period, the
utility’s environmental inspection program and the provincial
Department of Natural Resource’s on-site inspection-enforce-
ment function ensured compliance with environmental require-
As part of the
environmental studies ments and corporate commitments. Rehabilitation of the sites disturbed by project activities
at Limestone, radio tags was ongoing, and site clean-ups and the proper disposal of debris were undertaken.
were placed on one of
Manitoba's heritage To enhance the socio-economic benefits to the people in the area, special hiring policies and
fish species, the brook
training were implemented. Where qualified, northern aboriginal and other northern residents
trout. The tags enabled
researchers to track the were given the first opportunity at employment. The Limestone Training and Employment Agency
fish and their response to was established as a Crown Agency in January 1985 to provide pre-employment training to
the project's activities. local people and to coordinate on-the-job training programs established by the contractors.

In addition, Manitoba Hydro purchased as many goods and services as practicable from
northern and northern aboriginal businesses. Corporate purchasing guidelines were applied
in order to provide the best possible opportunities for northern aboriginal businesses, northern
businesses, and businesses in Manitoba respectively. Wherever it was reasonable and practical
to do so, smaller tender packages were created to give opportunities to northern aboriginal
and other northern companies.

During the 1980s, the utility, reflecting society as a whole, faced many challenges in adapt-
ing to a more responsible and respectful relationship with the environment. By incorporating
environmental concerns, by conducting environmental monitoring and assessment, and by
including public participation as a critical element in the assessment process, Manitoba Hydro
undertook effective management programs to reduce the probability and seriousness of any
adverse environmental and socio-economic impacts of its projects.

50
Limestone Generating Station
— Leading the Way
to the 21st Century
FIRST LIMESTONE UNIT
1990 ON-LINE on September 8
— 10 weeks ahead of schedule
— setting the pace for units
two, three and four to follow during the fis-
cal year of 1990-91. Each unit had a capacity
of 133 MW.

AGREEMENT REACHED BETWEEN

MANITOBA HYDRO AND THE CHEMA-
WAWIN-EASTERVILLE AND MOOSE LAKE
RESIDENTS in November. The residents of
the two communities received $21 million in
compensation for the socio-economic changes
which occurred when Grand Rapids Generat-
ing Station was built in the 1960s.

CORPORATE DEVELOPMENT PLAN

WAS ENDORSED BY THE PUBLIC UTILI-
TIES BOARD. The PUB approved Manitoba
Hydro’s four-point Corporate Development
Plan in December. This was the first time the
utility presented its major capital plans before One of the turbine assemblies stood
the PUB for public scrutiny and approval. The ready for installation in the Limestone
Generating Station powerhouse. Each
plans included: the sale of 1,000 MW to Ontario
one of the 10 turbine generators at
Hydro over a 22-year period, beginning in the Limestone can produce 133 MW of
year 2000; the seasonal diversity exchange electricity.
agreements totalling 300 MW with two U.S.
utilities; the refurbishment of Manitoba Hy- POWER SMART CONCEPT INTRO-
dro’s two thermal generating stations; and a DUCED TO MANITOBA HYDRO’S CUS-
100-MW reduction in the forecasted increase in TOMERS. Along with other Canadian utilities,
electrical load, later changed to 285 MW due to Manitoba Hydro adopted POWER SMART
the launch of POWER SMART programs. as the theme name for a variety of programs
designed to reduce the growth in demand for
WORK ON 28-km ROAD TO electricity. The POWER SMART programs

1991 CONAWAPA UNDERWAY in

February, when contractors
identify energy-efficient products that can be
used, and provide energy-efficient guidelines
began building sections of the that residential, agricultural, commercial, and
all-weather gravel road between the town of industrial customers can adopt to reduce en-
Sundance and the site of the proposed Cona- ergy use and therefore costs.
wapa Generating Station.

51
 LIMESTONE GENERATING STATION The Pas Indian Band received $4.56 mil-
OFFICIALLY OPENED on September 5. With lion; the Cormorant Community Association
five of 10 units in operation, the station was $1.198 million; and the Grand Rapids First
ahead of schedule and below budget. Over Nation $5.05 million.
200 guests — including construction workers,
representatives of the provincial government, NORTHERN REGION ESTABLISHED
local aboriginal leaders, and major contractors to manage the customer service operations
and suppliers attended the opening celebra- northwards of the 53rd parallel. Headquarters
tions. Limestone, which is 23 km downstream for the Northern Region was in Thompson.
from Long Spruce Generating Station, dams Previously, the operations for the northern part
the Nelson River, located 750 km north of of the province were the responsibility of the
Winnipeg. Eastern Region headquarters in Selkirk.

CROSS LAKE WEIR CONSTRUCTION

COMPLETED in the fall of 1991. The $9.5- HEADCOVER BOLTS OF
million project was built by Cross Lake Con-
structors, a joint venture between Midnorth 1992 UNIT ONE AT GRAND RAP-
IDS FAILED in March, tempo-
Development Corporation (the construction rarily putting the 472-MW gen-
arm of the Cross Lake Indian Band) and Vector erating station out of service. The headcover,
Construction Limited of Winnipeg. The weir a large steel plate installed above the turbine
created a water regime on Cross Lake that blades, prevents water from rising into the
reduced or eliminated most of the adverse generator assembly at the top of the turbine
effects caused by the Lake Winnipeg Regula- shaft. When the headcover bolts failed, within
tion project. Of the 108 jobs created by the minutes water flooded the lower portions of
project, 100 were filled by northern residents the powerhouse to the level of the tailrace. This
of aboriginal ancestry. was the first incident of its kind in Manitoba
Hydro’s history.
THE PAS INDIAN BAND, CORMORANT
COMMUNITY ASSOCIATION, AND GRAND NORTH CENTRAL PROJECT (NCP)
RAPIDS FIRST NATION reached settlement AGREEMENT was signed by four parties —
agreements with Manitoba Hydro to compen- the federal government, provincial govern-
sate the people for the impacts of the flooding ment, local communities, and Manitoba Hydro.
that occurred when Grand Rapids Generating The electrification project will result in nine
Station was completed. communities, each served by diesel generation,
being linked to the provincial power system.

Limestone Generating Station was

Manitoba Hydro's fifth and largest
station to be built on the Nelson River.
Completed in the fall of 1992, it was
the first such project to incorporate
environmental concerns into every
aspect of its planning, designing, and
building stages. Limestone can produce
a total capacity of 1,330 MW.

52
 The North Central Project
agreement was signed
by representatives of the
communities involved —
the federal and provincial
governments, and Manitoba
Hydro. Signing for Manitoba
Hydro was Mr. Bob Brennan,
President and Chief Executive
Officer (seated, far right).

The communities are Wasagamack, God’s Lake, in compensation for adverse impacts of the
God’s River, Red Sucker Lake, Garden Hill, Churchill River Diversion Project.
Oxford House, St. Theresa Point, Island Lake, An $8-million settlement was achieved
and God’s Lake Narrows. The costs are to be with the Cross Lake First Nation regarding their
shared by the federal and provincial govern- claim for loss of recreational opportunities.
ments and Manitoba Hydro. Agreements were also reached with the
Nelson House First Nation regarding domestic
50TH ANNIVERSARY OF FARM ELEC- fishing, and the operation and maintenance of
TRIFICATION was celebrated from April the Nelson House Arena.
to September with special events, including The compensation payments assist the
the making of a new parade float to honour people in adjusting to the economic, social and
the occasion. The float was seen in many cultural adverse effects of the projects, and in
festivals held in the province throughout the changing from a traditional way of life to a
summer. The special events culminated with modern way of life.
a day-long program staged by retired utility
employees, many of whom had worked on THE NORTHERN BUSINESS INSTITUTE,
Farm Electrification. Attending the event was a new educational facility, was established in
97-year old Douglas Campbell, who served The Pas. The intent of the facility — which
as the premier of Manitoba during the Farm received funding from Manitoba Hydro,
Electrification era. other corporations, and the First Nations of
the Swampy Cree Tribal Council — was to
C O M P E N S AT I O N A G R E E M E N T S take an innovative and cooperative approach
SIGNED. The Split Lake Cree First Nation, to business development training and educa-
along with the federal and provincial govern- tion in the north.
ments and Manitoba Hydro, signed an historic
agreement to meet outstanding obligations to LIMESTONE GENERATING STATION
the Split Lake Cree under the terms of the 1977 FULLY OPERATING when the 10th and final
Northern Flood Agreement. The agreement unit was placed in service. The construction
provided for total financial compensation of project was completed ahead of schedule and
$47.37 million for the adverse effects of Lake about $1 billion under budget, which put the
Winnipeg Regulation and the Churchill River project in rare company — only two per cent
Diversion Project. Manitoba Hydro’s portion of such projects worldwide are completed
of the compensation was $29.92 million. ahead of schedule and under budget. Credit
The South Indian Lake Housing Author- was given to the workers for having no work
ity and the Community Association of South stoppages, and for achieving the best safety
Indian Lake (on behalf of the residents of South record of its type on any previous Manitoba
Indian Lake) received $18 million from the Hydro project.
province of Manitoba and Manitoba Hydro

53
 1,000-MW SALE OF ELECTRICITY at Rosser, through Neepawa, to Cornwallis
TO ONTARIO HYDRO CANCELLED. Terminal Station near Brandon.
In December, Ontario Hydro terminated
a 1,000-MW power sale agreement with MAJOR POWER SALE TO NORTHERN
Manitoba Hydro, resulting in the indefinite STATES POWER BEGAN in May, pushing the
postponement of Conawapa Generating total export sales to over $200 million in the
Station and its associated transmission line fiscal year of 1993-94. A 12-year sale allows
facilities. Ontario Hydro was liable to pay Manitoba Hydro to export a maximum of 500
certain costs for cancelling, as outlined in the MW of firm power to the Minneapolis utility
terms of the original agreement. until 2005. The sale necessitated the begin-
ning of the Limestone Generation Station’s
CONSTRUCTION OF KEL- construction in 1985.

1993 SEY TO SPLIT LAKE 138-kV

TRANSMISSION LINE COM- NO RATE INCREASE SOUGHT IN 1993
PLETED. The construction for General Consumer customers. This was
project, carried out by workers of Split Lake- made possible because of Manitoba Hydro’s
Comstock Joint Venture, provided employment implementation of spending restraints,
and training opportunities for members of the together with lower interest and inflation rates,
Split Lake Cree First Nations. For the first time which resulted in the costs being lower in 1993
ever on a Manitoba Hydro transmission line than were previously estimated. Manitoba
construction project, a Community Assessment Hydro also took into consideration the difficult
Officer was hired to monitor the environmen- economic times that many customers were
tally sensitive aspects of the project — aspects experiencing.
documented during the planning and licensing
stages of the project. HERB LAKE LANDING RECEIVED
ELECTRICAL SERVICE in December, be-
ENVIRONMENTAL STUDIES AND SITE coming another northern community to be
SELECTION PROCESS BEGAN for the new connected with the provincial power system.
Neepawa to Brandon 230-kV transmission It was made possible as a result of a coopera-
line. The line was required to meet the fore- tive effort between Manitoba’s Department of
casted growth in demand for southwestern Northern Affairs, Manitoba Telephone System,
Manitoba and to improve system reliability and Manitoba Hydro.
for the area. The 245-km, $40-million line
is routed from Dorsey Converter Station

Workers of Split Lake-Comstock Joint Venture (photo above)

assemble foundations for one of the tubular steel towers used on the
new 138-kV transmission line from Kelsey Generating Station to
Split Lake (photo right). It was cold for the workers, but work could
be carried out and equipment could be moved in and out of the area
more easily in winter because the ground was frozen.

54
 LOUIE’S PLAY IT MANITOBA HYDRO’S CUR-
SAFE CLUB was intro-
duced for children, its 1995 TAILABLE SERVICE RATE
PROGRAM, first established
purpose being to educate as an experimental program in
children about electricity 1993, was offered to large industrial customers
and the importance of be- in Manitoba. Through it, when the utility’s
ing careful at home and at capacity of electricity becomes constrained,
play. The club was named Manitoba Hydro can notify customers when
after Louie the Lightning it needs to interrupt — or curtail — delivery of
Bug, a mascot adopted power for a period of time previously specified
by Manitoba Hydro to and agreed to by customers. In return, cus-
promote safety. Initially, tomers receive a discount in rates, and they
3,000 children aged three are guaranteed replacement energy during an
to 10 signed up. By 1996, off-peak period when demands for electricity
membership had grown become fewer.
to over 10,000.
FUNDING APPROVAL FOR NORTH
CENTRAL PROJECT (NCP) was received
MANITOBA HYDRO UN- from the federal and provincial governments.
1994 DERGOES MAJOR STAFF
REDUCTIONS due to several
The project — the construction of a 138-kV
transmission line about 360 km in length
circumstances: the termination — provided electrical service to nine isolated
of a major power sale with Ontario Hydro; the communities located on the northeastern side
suspension of generation and transmission of Lake Winnipeg. Previously, the communities
projects related to the sale; a forecast of a low received limited electrical service provided by
load growth in the domestic market; and the diesel generation. Major activity on the project
objective to keep future rate increases to cus- began in the summer.
tomers below inflation. A reduction of about
11 per cent of total staff took place, including ROADWAY, SENTINEL LIGHTING
a 40 per cent reduction at the senior executive CONVERSION PROGRAM, one of Manitoba’s
level. first POWER SMART initiatives, was completed.
In four years, about 57,000 street lights and
FIRST EVER SUSTAINABLE DEVELOP- 17,000 sentinel lights in the province were
MENT REPORT PUBLISHED, which guides converted from mercury vapour lighting and
the utility’s commitment to addressing en- incandescent lighting to the energy-efficient
vironmental issues. The report provided a High Pressure Sodium (HPS) lighting. The
comprehensive and detailed examination of the new HPS lighting contributed to a reduced
activities and events that shaped the utility’s energy use of 10 MW.
sustainable development practices in 1993. The
report will be updated every two years.

C O R P O R AT E H U M A N I S T
AWARD PRESENTED FOR BEST
PROJECT to Manitoba Hydro by the With the Corporate
Canadian Federation for the Humani- Humanist Award:
(left to right) Messrs.
ties in Ottawa. The award was in rec-
Roy Bukowsky, Dave
ognition of the utility’s work during Gittins and Barry
the construction of the 138-kV trans- Rindall, three of the
mission line from Kelsey Generating large team that worked
Station to Split Lake. Environmental on the Kelsey to Split
Lake transmission
and local community concerns were
line project.
an integral part of the project.

55
 NET RECORD EXPORT SALES, achieved MANITOBA HYDRO EN-
for the third year in a row, boosted Manitoba
Hydro’s revenues. For the fiscal year of 1995- 1996 TERED INTO POWER EX-
CHANGE AGREEMENTS
96, sales reached $253.1 million, which was FOR THE FIRST TIME with
26.8 per cent of the total revenues. two U.S. power marketers. As a result of
changes occurring in the electrical industry
YORK FACTORY FIRST NATION SET- — one of which is increased access to trans-
TLED with Manitoba Hydro for the outstand- mission systems in neighbouring jurisdictions
ing issues and claims related to the Northern — Manitoba Hydro has the opportunity to
Flood Agreement. Key elements of the set- trade with many new utilities. This includes
tlement were the allocation of $24 million indirectly interconnected utilities and power
in cash and HydroBonds, and new reserve marketers, such as Heartland Energy Service,
lands. Other issues involved land and resource and Cenerprise.
management.
MANITOBA HYDRO BECAME FULL
10-YEAR FOREST ENHANCEMENT MEMBER OF MID-CONTINENT AREA POWER
PROGRAM WAS LAUNCHED to improve POOL (MAPP) in November. Previously, the
and sustain the province’s forest environment utility was a liaison member of MAPP. In
by supporting tree planting, public forest response to the U.S. Federal Energy Regula-
education, and innovative forest projects. tory Commission’s order pertaining to open
Aimed at offsetting the loss of forest cover that transmission line access, MAPP was reorgan-
occurs when Manitoba Hydro develops new ized. The new MAPP opened membership to
facilities and transmission lines, the program anyone involved in the electrical industry,
attracted the participation of 55 non-profit, including power marketers.
non-government groups in the first full year As part of Manitoba Hydro’s membership,
of the program. it was obligated — under certain conditions
— to provide transmission line access within
Manitoba to other MAPP members. MAPP’s
new membership consisted of 57 utilities,
potentially giving access to 16 million people.

RECORDS WERE SET FOR PRODUC-

TION AND CONSUMPTION of electricity
during Manitoba Hydro’s fiscal year of 1995-
96. With good water conditions existing in the
province, generation reached 29.3 billion kW·h
and consumption reached 19.1 billion kW·h
— the highest amounts ever.
During a deep freeze period, Manitobans
demanded a new record system peak of
3,588 MW on February 1, when temperatures
dipped to -41C°. The total energy used that
day was 81 million kW.h, nearly three per
cent higher than the previous record set on
December 20, 1989.

NET INCOME REACHED HIGHEST

LEVEL IN HISTORY. For the fiscal year
of 1995-96, Manitoba Hydro’s earnings
Soon after the introduction of Manitoba Hydro's forest enhancement reached $70.1 million. The improved financial
program — designed to promote a healthy and aesthetically pleasing performance was due mainly to exceptional
forest environment in Manitoba's communities — participants planted weather conditions during the year, but also
trees in areas like school playgrounds, sports parks, and community
to employees operating the system more
clubs. In Brandon, Ms. Edith Poole, a long time member of the city's
Horticultural Society, planted the first of several trees to beautify a efficiently.
residential park. An inscription on a nearby plaque captured the essence
of the program —“community spirit and trees growing together”.

56
 MANITOBA HYDRO AND CENTRA GAS CUSTOMER CALL CENTRE OPENED
MANITOBA INC. FORMED A PARTNERSHIP IN WINNIPEG to provide in the city and sur-
when they agreed to create a jointly owned rounding areas one phone number for serv-
energy service that will offer opportunities ice, plus extended
to seek out new revenue opportunities. They hours for custom-
also agreed to identify cost savings related to ers. Customers
combining certain operations of both the gas could call this one
and electricity companies. One venture already number Monday
underway was joint-use trenching, whereby to Saturday about
the utilities placed their underground cables everything from
in the same trench during the construction of electricity bills to
new buildings. POWER SMART
information. The
MANITOBA HYDRO ANNOUNCED centre also pro-
A NEW CORPORATE FRAMEWORK. To vides a 24-hour
prepare and position itself for a more com- emergency serv-
petitive future in the electrical utility industry, ice during out-
Manitoba Hydro established three distinct ages in the City
business units — Power Supply, Transmission of Winnipeg area.
and Distribution, and Customer Service and
Marketing. Each unit was to be accountable NEW INDUSTRIAL LOAD RATE OP-
for its own respective business plans and TIONS APPROVED by the Public Utilities
operations. Board (PUB) after Manitoba Hydro sought
approval for changes to its industrial rate pro-
MANITOBA HYDRO’S WORLDWIDE grams. The programs offer the sale of surplus
WEBSITE OFFICIALLY LAUNCHED in Au- interruptible energy to qualifying customers
gust. Web surfers around the world can visit in Manitoba. The Industrial Surplus Energy
at www.hydro.mb.ca to find customer service rate allows the utility to supply up to 25 per
information, and also general information cent of a customer’s total new industrial load
about the utility’s generation and transmis- at surplus energy rates.
sion of electricity, and advice on the safe and The PUB also approved a new rate pro-
efficient use of electricity. gram — known as the Surplus Energy Service
to Self-Generators program — which extends
NELSON HOUSE FIRST NATION SET- most of the terms and conditions found in
TLED with Manitoba Hydro for the outstand- Manitoba Hydro’s existing Dual Fuel Heat-
ing issues and claims related to the Northern
Flood Agreement. Key elements of the set-
tlement were the allocation
of $62.375 million in cash
and HydroBonds, and new
reserve lands. Other matters
settled included land use and
resource management.

Members of Nelson House First Nation on the day

the compensation agreement was signed.

57
Some of the 19 steel towers that collapsed when tornado-like winds hit the Grosse Isle area were replaced temporarily by wood poles in
order to get the electricity flowing again. In about seven weeks, all steel towers were replaced and the Bipoles 1 and 2 transmission line
systems were back to normal.

ing program, offered to customers who are were asked to voluntarily reduce their non-es-
backed-up by self-generators, such as those sential use of electricity while restoration was
running on diesel fuel. in progress. They responded with an eight per
cent drop in demand.
LOSS OF BIPOLE 1 AND 2 DURING LATE The estimates for storm damage costs
SUMMER STORM on September 5. Tornado- were pegged at just under $10 million. Both
like winds crumpled 19 steel towers located in lines were running at normal capacity by mid-
the Grosse Isle area — a few kilometres north September, and by October’s end, permanent
of Dorsey Converter Station — collapsing structures were back in place.
sections of the two major HVDC transmission
lines which deliver 75 per cent of the province’s
power from three northern generating stations. SEVERAL NEW RECORDS
The supply of electricity was not interrupted
during the five days it took to place one of
1997 ACHIEVED IN FISCAL YEAR
1996-97. Manitoba Hydro’s net
the lines back in operation. In this period, income of $101 million was the
all generating stations in the province were highest in history — almost $40 million higher
producing at maximum capacity, and power than the previous year’s record.
was imported from neighbouring utilities. As New records were also set in the produc-
well, for the first time in history, Manitobans tion and consumption of electricity.

58
 DUBBED “THE BLIZZARD OF ’97”, a FLOOD OF THE CENTURY HITS
spring storm bringing winds gusting up to MANITOBA. With two to three times the
96 km/h, downed poles and conductors dur- average amount of snow falling south of the
ing the first weekend of April in central and Manitoba border during the 1996-97 winter,
eastern Manitoba. The ice and snow storm did followed by the severe April storm, the re-
most of its damage in a diagonal line from the sulting quantity of water in the Red River in
Altona-Winkler-Morden area across to Letellier Manitoba spilled over its banks as it made its
then Steinbach. Dozens of power outages way from the U.S. border to the river’s outlet at
occurred in several Lake Winnipeg. Manitoba Hydro staff worked
areas. Repair crews alongside provincial, municipal, and City of
were often stranded Winnipeg officials, as well as thousands of
as they attempted members of Canada’s military forces, to assist
to reach these areas. wherever necessary to ensure the safety of
Service was restored people living and working in flooded areas.
to customers in ex- And, in southern Manitoba — primarily the
tremely challenging hardest hit area — in addition to protecting the
conditions — some utility’s facilities with dykes, conducting line
within minutes or patrols in boats, turning off power at flooded
hours, the last dur- buildings, or removing meters threatened by
ing the early hours of rising water, staff also delivered sandbags to
Letellier Substation Monday, April 7. beleaguered communities, supplied equip-
following the April 5 to 7 ment and vehicles needed to fight the flood,
snow storm.
MANITOBA HYDRO’S OPERATIONS or helped to build dykes.
STAFF HEADED SOUTH ON A RESCUE
MISSION. The same April weekend, an ice PIKWITONEI AND THICKET PORTAGE
and snow storm also hit the province’s U.S. RECEIVE FULL ELECTRICITY SERVICE FOR
neighbour, North Dakota, badly. For about FIRST TIME. These two communities were
40 hours Manitoba Hydro was the only power linked to the provincial power system in early
source available to supply Minnkota Power summer when a new 95-km long, 25-kV trans-
in Grand Forks. In addition, because the U.S. mission line was completed. Previously, the
utility needed help to rebuild over 500 poles residents received only 15-amp service.
and 99 towers damaged by the storm, Mani-
toba Hydro sent 110 pole and line staff, and MANITOBA HYDRO AND THE TOWN
over 100 pieces of equipment to assist in the OF CHURCHILL signed a settlement agree-
restoration of service. ment in July to address low water levels in the
Churchill River upstream from the town. The
settlement related to the adverse effects of the
1970s’ Churchill River Diversion, the project
which diverted water from the Churchill River
to generating stations on the Nelson River, thus
reducing flows on the Lower Churchill River.
Components of the $26-million settlement
included financial compensation to the town,
the construction of a weir that raises water
levels to enhance recreational use of the river
and to improve aquatic life, and a trust fund
to address unmitigated adverse effects.

Letellier Substation on April 27 at the start of the Red River flood.

59
 50 YEARS OF LINEMEN TRAINING WAS and the non-reserve community of God’s
CELEBRATED in Brandon by about 450 line- Lake — all located in a remote area northeast
men, both formerly and currently employed in of Lake Winnipeg — received full electricity
Manitoba. The lineman training program was service in 1997 as part of the North Central
developed in 1947 during the years of the Farm Project. Previously, the residents received
Electrification program. During the three-day only a 15-amp supply of electricity produced
reunion, they watched demonstrations featur- at their community-based diesel generating
ing the changes in tools, equipment, and line stations. Four more communities affected by
building methods over the 50 years. the project would be connected in 1998.
Following the completion of the North
NORTHERN COMMUNITIES CON- Central Project, only four communities in
NECTED TO PROVINCIAL POWER SYSTEM. Manitoba will be supplied with electricity
The First Nation communities of Oxford produced by diesel fuel — Brochet, Lac Bochet,
House, God’s Lake Narrows, and God’s River, Shamattawa, and Tadoule Lake.

In September, linemen past and present gathered in Brandon

to mark Manitoba Hydro's 50th Anniversary of the utility's
lineman training program.

60
 MANITOBA HYDRO ANNOUNCED NO MANITOBAHYDROADOPT-
CHANGE IN ELECTRICITY RATES for the
fiscal year of 1998-89. The utility decided it 1998 ED THE CANADIAN ELEC-
TRICITY ASSOCIATION’S
could still achieve its long term financial goals ENVIRONMENTAL COM-
without increasing the 1997 rates charged to MITMENT AND RESPONSIBILITY PRO-
Manitobans. Good water conditions during GRAM (ECR). The ECR program created a
previous years, coupled with a continuing framework for evaluating and reporting the
strong market for electricity export sales, electric utility industry’s environmental per-
allowed Manitoba Hydro to achieve higher- formance as a whole. To ensure credible and
than-forecast net incomes. standardized reporting, the ECR program re-
quired utilities to implement an Environmental
CHANGES TO THE MANITOBA HYDRO Management System based on standards set
ACT WERE INTRODUCED and passed in the by the International Organization for Stand-
Manitoba legislature in June. The revisions to ardization (ISO) for managing the processes
the Act primarily focused on two major areas. that have an impact on the environment. The
One, providing for wholesale competition in standards are known as ISO 14,001.
the electrical energy market in Manitoba. Two,
allowing the Corporation to offer new products SELKIRK GENERATING STATION SUF-
and services and to create subsidiaries, joint FERED FIRE DAMAGE in March when a fire
ventures, and business alliances. started on the conveyor system, near the top of
the powerhouse. Over $100,000 in damages oc-
NORWAY HOUSE SIGNED HISTORIC curred. The generating station was shut down
AGREEMENT. A comprehensive agreement, for repairs for approximately one month.
effective December 31, to implement the
Northern Flood Agreement (NFA) was signed AT HERITAGE CEREMONIES IN NEL-
by Manitoba Hydro, the Norway House Cree SON HOUSE, Manitoba Hydro, the Museum
Nation, and the governments of Canada and of Man and Nature, and the provincial Historic
Manitoba. The agreement settled claims and Resources branch were honoured for their
other outstanding issues that arose under the involvement in the recovery, analysis, repli-
NFA, which was signed by Norway House cation, and return of heritage artifacts to the
and four other bands in 1977. Nisichawayasihk (Nelson House) Cree First
Key features of the agreement included Nation of northern Manitoba. Surveys revealed
payment of approximately $78.9 million in cash evidence of large communities situated along
and Hydro bonds, about 24,300 hectares of new the Churchill River and other streams and
reserve lands, and the creation of a resource lakes, indicating that northerners had as rich
co-management board with the province. and advanced a culture as southerners.

NEW STANDARDIZED MANITOBA HY-

DRO LOGO DESIGNED. The new logo would
replace those used on vehicles, signs, print
applications and other materials that publicly
identify Manitoba Hydro. The m-h graphic
symbol was retained, but a new typeface and
placement of the company name was used.

61
 stations. The $154­ million project involved
the construction of four substations and over
500 km of transmission and distribution lines.
The cost was undertaken by the federal and
provincial governments and Manitoba Hydro.
Oxford House was first to be linked to the pro-
vincial power system in 1997, followed over
the next few years by God’s Lake Narrows,
God’s River, God’s Lake, Red Sucker Lake,
Garden Hill, Wasagamack, St. Theresa Point,
and Island Lake.

CHURCHILL WEIR, MARINA, AND

GOOSE CREEK ENHANCEMENT COM-
PLETED. By backing up river flows, the weir
raised the water level 10 kms upstream on
the Churchill River, enhancing fish habitat,
The control room at and increasing recreational and business op-
Manitoba Hydro’s new portunities for the community. The project
System Control Centre
completed in 1998. NEW SYSTEM CONTROL CENTRE. was designed to resolve the water levels in
Control of Manitoba Hydro’s generation, the river, which dropped after construction
transmission, and distribution system was of the Churchill River Diversion Project was
transferred from the old facility at 820 Taylor completed in the 1970s.
Avenue to a $67 million stand-alone centre.
The new centre was a product of Manitoba WEST LYNNE AREA RECEIVED NATU-
Hydro’s decision in the mid-1990s to replace RAL GAS SERVICE during last week of Sep-
the computer system that was used to oversee tember. Centra Gas Manitoba Inc., the Town of
the province’s power grid. Originally adopted Emerson, and individual residents contributed
in the 1970s, the existing system was not Year about $125,000 in capital costs to fund the ex-
2000 compliant and could no longer handle pansion for gas service to the west side of the
some of the new applications, such as opera- Red River at Emerson.
tor training simulations, made necessary by
changes in the electrical utility industry. MANITOBA HYDRO RECOGNIZED
FOR COMMITMENT TO ENVIRONMENT.
The Pembina Institute, a leading Canadian
MANITOBAHYDRO SIGNED environmental think tank, named Manitoba
1999 LETTER OF INTENT WITH
WESTCOAST ENERGY INC.
Hydro the top performer among Canadian
electrical utilities in the fight against climate
OF VANCOUVER to acquire change. As well, Canada’s Climate Change
Centra Gas Manitoba Inc. In March, Manitoba Voluntary Challenge and Registry presented
Hydro announced plans to become a world the utility with a Gold Champion award for
class energy provider by combining two key its 1999 voluntary Climate Change Action Plan
sources of energy — electricity and natural gas. Update in recognition for the highest level of
The purchase followed the trend of electrical achievement in the organization’s Champion
and natural gas utilities around the globe to Reporting System. Manitoba Hydro joined
provide one-stop energy services. The purchase the voluntary National Action Program on
of Centra Gas Manitoba Inc. for $245 million Climate Change for Managing Greenhouse
was finalized in July 1999 following approval Gas Emission in 1995. National businesses and
by the Public Utilities Board. governments were challenged to take action
voluntarily to limit and reduce greenhouse
NORTH CENTRAL PROJECT COM- gas emissions, including a commitment to
PLETED in April, when the last of nine remote regular reporting.
northern communities received full electrical
service for the first time. Previously, most of the
residents had only 15-amp electrical service,
produced by local diesel-fueled generating

62
 Addressing the impacts of hydro development

Manitoba’s rivers represent a clean and renewable source of energy — one capable of providing
an abundant and affordable supply of electricity. However, the construction and operation of
hydroelectric developments has had an impact on the province’s waterways and the communi-
ties who use them, in particular, First Nation communities.

In the 1990s, Manitoba Hydro made a concerted effort to work with affected communities
to find resolutions for past effects and to build cooperative relationships for the future. During
the decade, Manitoba Hydro signed a total of 14 agreements, with some of the largest settle-
ments falling under the Northern Flood Agreement (NFA), which provides the framework for
resolving issues with five First Nations regarding the effects of the hydroelectric projects on
the Churchill and Nelson rivers.

When development of Manitoba’s northern rivers was first considered in earnest in the
1960s, proposals and plans were drawn up with little community consultation. Construction
was already underway in 1974 when five affected First Nations formed the Northern Flood
Committee to negotiate commitments from the governments of Canada and Manitoba, along
with Manitoba Hydro to provide compensation and take steps to limit the impact of develop-
ment.

The result of that effort was the Northern Flood Agreement, signed in 1977 by Cross Lake,
Nelson House, Norway House, Split Lake and York Landing, together with the governments
of Canada and Manitoba, and Manitoba Hydro.

The NFA provided for mitigation works, compensation, training, employment and for
community planning. But, by the mid-1980s, it was apparent the arbitration process set out in
the NFA was an inefficient mechanism to resolve outstanding issues.

At the initiative of First Nations, negotiations to achieve implementation agreements began

in the mid-1980’s. During the 1990s, the First Nations and Manitoba Hydro signed Implemen-
tation Agreements in four of five NFA communities; Split Lake in 1992, York Factory in 1995,
Nelson House in 1996, and Norway House in 1997.

The four comprehensive implementation agreements provided significant financial re-

sources, land in exchange for reserve land lost to hydroelectric projects (at a ratio of 16:1), and
other benefits, such as resource co-management boards with the province and joint planning
processes for future hydroelectric projects. The total value of the comprehensive implementa-
tion agreements amounted to $223 million.

These new agreements were a major step forward in the relationship between Manitoba
Hydro and northern First Nations. They not only compensated those bands affected monetar-
ily, but more importantly, the First Nations were empowered to make their own decisions with
regard to the use of funds and the development of their communities.

Manitoba Hydro also undertook projects to mitigate the impacts of its operations, such as
the Cross Lake Weir. Completed in 1991, the $9.5 million weir was built across one of Cross
Lake’s four outlet channels to maintain higher summer water levels and moderate seasonal
water level fluctuations. In addition, a long term fish restocking program was undertaken to
return the fish population in Cross Lake to pre-development levels. Between 1992 and 1999,
Manitoba Hydro arranged for 100 million whitefish from the Grand Rapids fish hatchery to
be released into the lake.

63
 Separate agreements were also reached with the communities along the Churchill River who
were adversely affected by the diversion of river flows into the Nelson River system. Discussions
with representatives from the community of South Indian Lake reached a successful conclusion
in 1992 with a settlement of $18 million. Further downstream, the Town of Churchill signed an
agreement in 1997 which included $3 million in compensation, a $2.8 million mitigation trust
fund, and a $5 million capital payment to conclude Manitoba Hydro’s previous ongoing obli-
gation for the town’s water supply. As part of the agreement, the town and Manitoba Hydro
initiated construction of a rock weir in the Churchill River. The $15 million project created a 10
kilometre long reservoir with fishing and boating opportunities.

Manitoba Hydro also reached settlements with communities affected by the operation of
facilities on rivers in the central and southern regions of the province. In 1997, the Sagkeeng
Nation agreed to a $2.5 million settlement which recognized the impact of hydroelectric de-
velopments on the Winnipeg River. In the early 1990s, five settlements were reached related to
the Grand Rapids Generating Station, built on the Saskatchewan River. Agreements totalling
$31.8 million were signed with Easterville/Chemawawin, Moose Lake, The Pas Indian Band,
Grand Rapids First Nation, and Cormorant communities. The former residents and families of
Pine Bluff who were affected by the project agreed to a settlement in 1996.

By the end of the decade, Manitoba Hydro had spent or committed approximately $400 million
on comprehensive community settlements, resource sector or remedial work settlements, and
settlements with individuals to remedy problems and offset losses. But, more importantly, the
Corporation had forged new relationships with Manitoba’s First Nation’s people. The process of
negotiation and discussion associated with reaching settlements produced, in many situations,
a mutual understanding and respect that lay the foundation for further cooperation. These new
relationships were clearly exemplified in 1997 when Manitoba Hydro began collaborating with
both the Nisichawayasihk (formerly Nelson House) and Tataskweyak (formerly Split Lake) Cree
Nations to evaluate potential hydroelectric sites in their resource management areas.

64
 THE YEAR 2000 ARRIVED IN PREPARING FOR NEXT GENERA-

2000 MANITOBA, and Manitoba

Hydro’s generation, transmis-
TION. Manitoba Hydro moved forward with
preparations for the possible development of
sion, and distribution system one or more of three potential hydroelectric
performed flawlessly. The utility had spent sites in northern Manitoba. Two of the sites,
three years working on the Y2K problem Wuskwatim and Notigi, are on the Burntwood
— ensuring its power system would continue River system, and the third site, Gull, is on the
to operate normally through the Year 2000 Nelson River.
changeover. It was realized in the early 1990s
that many computers and microchips had been INTERLAKE NATURAL GAS EXPAN-
designed to read only two digits for a year’s SION PROJECT began after enough customer
date, meaning computers could potentially sign-ups were achieved to make the project
interpret the year 2000 as 1900. feasible. The $7.3 million project installed
nearly 200 kms of transmission and distribution
NATURAL GAS COMBUSTION TURBINE pipeline and expanded natural gas service to
FACILITY AT BRANDON ANNOUNCED. the communities of Arborg, Teulon, Warren,
The new facility would add a new power and Riverton.
source to the provincial power system,
allowing Manitoba Hydro to expand its TATASKWEYAK AND MANITOBA
profits on the export market while improving HYDRO SIGNED HISTORIC AGREEMENT-
reliability. The two turbines are capable of IN­-PRINCIPLE in October. The new agreement
generating up to 260 MW of electricity. The created a model of partnership between First
facility was built at the site of the Brandon Nations and the utility for future developments
Generating Station at a cost of approximately in the Tataskweyak Cree Nation’s resource
$180 million. area. Specifically, the agreement provided
the Tataskweyak, and potentially other Cree
NORTHERN STATES POWER COM- Nations within the Split Lake resource man-
PANY (NSP) of Minneapolis announced the agement area, the opportunity to invest in the
selection of Manitoba Hydro and two other proposed Gull Generating Station.
energy providers, to provide 900 MW of elec-
tricity, pending regulatory approvals. The THE ISO 14001 ENVIRON-
purchase involved 500 MW from Manitoba
Hydro for a duration of 10 years beginning May
2001 MENTAL STANDARD was
achieved by employees from
1, 2005. The sale was effectively an extension the Long Spruce Generating
of Manitoba Hydro’s previous 500 MW sale to Station, Brandon Generating Station, and
NSP, with modifications to various terms and Selkirk Generating Station. The certification
conditions, including pricing. of the three stations means that they meet the
criteria set by the International Organization for
Members of Manitoba Hydro’s Y2K Task Force marked a new century with the Standardization (ISO) for managing processes
flawless changeover of the utility’s systems. that have an impact on the environment.

AN AGREEMENT IN PRINCIPLE WAS

SIGNED, to develop new hydroelectric facili-
ties between the Nisichawaysihk Cree Nation
(NCN) and Manitoba Hydro, at a ceremony
in Nelson House. The Agreement in Principle
allows the First Nation to obtain an equity
position by investing in the proposed Wusk-
watim and Notigi generating stations, which
are located in the NCN Resource Management
Area.

THE MANITOBA ELECTRICAL MU-

SEUM AND EDUCATION CENTRE was
officially opened. The new museum building,
located at 680 Harrow Street in Winnipeg, in-
corporates some of the highest energy efficient

65
 features available with current technology.
Established in 2001 by the Manitoba Electrical
Museum Inc., an organization of retired Mani-
toba Hydro employees (Hydro X) and retired
electrical industry employees, the Museum
shows everyone who visits the marvels of
electrical history. Six main themes portray the
Story of Electricity in Manitoba from the 1870s
to the present as well as a view into the future.

MANITOBAHYDROPURCHASEDWINNIPEG
HYDRO from the City of

2002 Winnipeg. On September 3, the

official transfer of ownership of
Winnipeg Hydro to Manitoba
Hydro was completed. As of
that date, the Corporation officially took over
the responsibility for generating, transmitting,
and distributing electrical energy throughout
all parts of the province.

MANITOBA HYDRO’S SELKIRK GEN-

ERATING STATION WAS CONVERTED to
burn natural gas, one of the cleanest forms
of thermally generated power. The project
involved the conversion of the station’s two
boilers to natural gas, and a new gas supply
pipeline from Landmark.
Natural gas combustion turbine plant at the
Brandon Generating Station.
THE NATURAL GAS COMBUSTION
TURBINE PLANT at the Brandon Generating
Station was officially opened in December.
Built over two years at a cost of $177 million,
the new 260 MW plant will help Hydro maxi-
mize export revenues while strengthening the
security of the electricity system in southern
In 2002, Manitoba Hydro became the sole provider Manitoba. The first of the Brandon Combustion
of electricity in the province with the acquistion of
Winnipeg Hydro from the City of Winnipeg. Turbine’s two generating units went on-line at
the end of the June. The occasion represented
the first time the unit was remotely operated
from the System Control Centre.

66
 MANITOBA HYDRO ERECTED its first THE FOX LAKE CREE NATION, PROV-

2003 60-metre wind-monitoring tower near

Minnedosa – one of seven towers across
the province that would eventually be built
2004 INCE OF MANITOBA, AND MANITOBA
HYDRO agreed to the terms of a settlement
agreement to address the adverse effects
to provide information about favourable of past hydroelectric development in the Lower Nelson
wind conditions. Data recorded from various sensors River area.
and instruments on the towers contributed to a better
understanding of the best locations for future wind power A NET LOSS OF $436 MILLION was reported in
development in the province. Manitoba Hydro’s 53rd annual report for the fiscal year
ending March 31, 2004. The loss was primarily due to
A NEW DIESEL GENERATING STATION was of- the prolonged drought conditions that affected normal
ficially opened in Shamattawa in October — substan- electricity production at the utility’s 14 hydroelectric
tially expanding the capacity of the existing diesel plant. generating stations.
Shamattawa, which is located approximately 800  km
north of Winnipeg, is one of four remote Manitoba com- MANITOBA’S CLEAN ENVIRONMENT COM-
munities that continues to rely on diesel generation for MISSION released its final report on the proposed
its power supply. Wuskwatim Generating Station and Transmission
Projects – concluding that the mega-project was both
MANITOBA HYDRO’S NEW DOWNTOWN OFFICE viable and economic. The project still required ratifica-
location in Winnipeg was unveiled in December. It was tion from the Nisichawayasihk Cree Nation (NCN), a
announced the site would encompass an entire city block potential partner on the development with Manitoba
on the south side of Portage Avenue between Carlton and Hydro, before construction could proceed.
Edmonton streets and north of Graham Avenue.
PREMIER GARY DOER announced that AirSource
Power would invest $187 million to develop Manitoba’s
first wind farm near St. Leon. The 99-megawatt (MW)
project, located in the rural municipalities of Lorne and
Pembina near St. Leon, would use technology developed
by Vestas Wind Systems. AirSource Power will sell the
wind-generated power to Manitoba Hydro as part of a
25-year Power Purchase Agreement.

THE CANADIAN ENERGY EFFICIENCY ALLI-

ANCE (CEEA) gave Manitoba an A for efficiency in
its fifth annual National Report Card on Energy Ef-
ficiency – the highest grade in the country. A variety of
Power Smart programs and initiatives contributed to
the overall rating.

67
 THE MIDWEST INDEPEND-

2005 ENT TRANSMISSION SYSTEM

OPERATOR (MISO) launched the
largest competitive energy trad-
ing market in the United States in
April, responsible for dispatching all generation
resources from participating members and setting
real-time prices across 15 states. As the only Cana-
dian member of MISO, Manitoba Hydro maintains
control of its own generation and operates as an
external participant.

MANITOBA’S FIRST WIND TURBINE, stand-

ing nearly 80 metres tall, was erected in April in
St. Leon as part of AirSource Power’s wind energy
project. An additional 62 towers were constructed
over the next year within a 93.8-kilometre radius
Using the world’s tallest crane, the first wind turbine’s 80 metre high
steel tower was raised, followed by the blades, which are longer than to complete the 99-megawatt wind farm.
a 747 jet airplane.
THE FINAL DESIGN for Manitoba Hydro’s
22-storey downtown office was unveiled in July.
The final design, which included public partici-
pation, incorporated a splayed twin office tower
resting on a podium that varies from two to three
storeys. The unique building targets a 60 per cent
energy saving compared to conventional offices.

The building will be connected to the downtown elevated walkway system

and provides street level retail activity, as well as offering a landscaped public
courtyard on its southern exposure along Graham Avenue.

68
 THE NISICHAWAYASIHK
2006 C R E E N AT I O N ( N C N )
AND MANITOBA HYDRO
formally signed the historic
Wuskwatim Project Development Agreement
in June, following the results of a positive
ratification vote in the community of Nelson
House. The ratification authorized chief and
council to sign the agreement with Manitoba
Hydro to share in the ownership and develop-
ment of the 200-megawatt (MW) Wuskwatim
Generating Station. Construction on Wuskwa-
tim got underway in August, with the start of
a 48 km gravel access road to the site of the
future generating station.

MANITOBA HYDRO ANNOUNCED

AN R&D PROJECT to review the potential of
plug-in hybrid electric vehicles (PHEVs) and
the possible impact that the new technology
could have on future Manitoba Hydro electri- After years of negotiation, the Nisichawayasihk Cree Nation (NCN)
cal load growth and energy markets. One of and Hydro announced a finalized Project Development Agreement for
Hydro’s fleet vehicles (a 2005 Toyota Hybrid the Wuskwatim Project in March. Standing with a copy of the historic
Prius) was converted so that it has a battery document are, from left: W. Elvis Thomas, NCN Councillor; Jerry Primrose,
pack that can be conveniently plugged in and NCN Chief; Bob Brennan (President and CEO), and Ed Wojczynski
(Division Manager, Power Planning and Development).
charged at any standard 120-volt outlet.

Bob Brennan and Greg Selinger, minister responsible for Manitoba Hydro, announce Hydro's PHEV research and development project
at a press conference on October 10.

69
 THE OFFICE AT 480 MADI-

2007 SON STREET in Winnipeg

closed after 50 years. Initially
the St. James District office, the
building also once housed a transformer shop,
welding and repair shops, and the meter shop.
The Long Plain First Nation Trust assumed
ownership at that point, and took possession
of it on July 1, 2007.

Fox Lake Cree Nation and Mani-

toba Hydro signed a process agreement for
the Conawapa Generating Station. The agree-
ment set out a process and funding mechanism
for Fox Lake Cree Nation’s participation in the
planning and consultation for the development
of Conawapa.

Hydro begins to install ad-

vanced metering infrastructure
(AMI) technology in the homes of residential
customers in Winnipeg and Landmark for a Fox Lake Chief George Neepin and Bob Brennan (CEO)
pilot project. The first of its kind in Canada, signed a process agreement for the Conawapa Generating Station
on February 28, 2007 in Gillam.
the new technology uses power lines to com-
municate automatic meter readings and other
data back to Hydro.

The 2007 Canadian Electric Util- Manitoba Hydro signs a term sheet
ity Residential Customer Satisfac-
tion Study showed that Manitoba Hydro 2008 with Wisconsin Public Service to provide
up to 500  megawatts of clean, renewable hydro
ranked highest among medium-large utilities power over 15 years, starting in 2018. The long-term
and ranked highest overall in satisfying resi- sale – which would mean $2 billion of revenue over 15 years – will
dential electric utility customers in Canada. require the construction of the Bipole III transmission line as well
as new hydroelectric facilities in northern Manitoba. It will also
Hydro announced that the require a major transmission line to be built between Canada and
C orporation would move the United States.
forward with plans to build a new high
voltage direct current (HVDC) transmission
line, known as Bipole III, on the west side of
the province. This line will act as a back up to
the current system as well as being able to carry
power from new generating stations, such as
Conawapa, to the south and export markets.
The proposed line would originate near Gil-
lam, run to the west of Lake Winnipegosis,
and terminate at the Riel Converter Station
near Winnipeg.

70
 The first concrete is poured at Manitoba Hydro and Xcel

2009 the Wuskwatim Generating Sta-

tion construction site. The pour 2010 Energy in Minneapolis enhanced
and extended, by 10 years, a significant
marks a turning point in progress from power purchase agreement worth about
preparing site infrastructure to building $3 billion. This is another boost for Hydro’s export markets.
the station itself. Wuskwatim is the first generating station Additionally, a 350-MW seasonal diversity agreement
to be built in Manitoba since the completion of Limestone allows for an exchange of electricity between the utilities
in 1992. It is also the first time in Canada that a First Na- based on a summer peak on the U.S. side and a winter
tion — Nisichawayasihk Cree Nation — and an electric peak for Manitoba. The power sale, which starts in 2015,
utility have entered into a formal partnership arrangement will extend contracts through 2025. Under the agreement,
to develop a major hydro generation project, resulting in Xcel Energy will purchase between 375 and 500 MW of
the Wuskwatim Power Limited Partnership. power from Manitoba Hydro.

Manitoba Hydro Place, the new corpo- Construction of a 138 MW wind farm near
rate headquarters located at 360 Portage Ave. in St. Joseph begins after the signing of a 27-year power
Winnipeg, officially opened. The building, which features a purchase agreement between Manitoba Hydro and Pattern
100 per cent fresh air ventilation system, operable windows Energy. The St. Joseph wind farm will be the second major
and bright, open floor spaces, is a testament to Manitoba operation of its kind in Manitoba. It is expected to be fully
Hydro’s continued commitment to the environment. Mani- operational in the spring of 2011 with 60 wind turbines
toba Hydro Place is constructed to meet the corporation’s each producing up to 2.3 MW and covering an area of
present and future business needs while serving as a model 125 square kilometres in rural Manitoba.
for superior energy-efficient sustainable building design
and operation. The building is expected to use 65 per cent
less energy than a comparable office tower built to current
standards and every aspect of Manitoba Hydro Place is
designed to work in harmony with the natural habitat and
the people in it.

71
Past Commissioners, Chairmen and General Managers
of the Manitoba Power Commission
Terms refer to annual reports, year-ending November 30:
J.M. Leamy, Commissioner — 1920
J. Rocchetti, Acting Commissioner — 1921-1923
C.A. Clendening, Commissioner — 1924-1926
D.L. McLean, Commissioner — 1928-1930
D.L. McLean, Commissioner and Chairman — 1931-1932
H. Cottingham, Chairman — 1933-1945
W.D. Fallis, General Manager — 1946

Terms refer to annual reports, year ending March 31:

W.D. Fallis, General Manager — 1947-1961
R.C. Smellie, Chairman — 1948-1961

Chairmen, Vice-Chairmen, General Managers and

Presidents of the Manitoba Hydro-Electric Board
Terms refer to annual reports, year-ending March 31:
D.M. Stephens, Chairman and General Manager — 1952-1956
D.M. Stephens, Chairman, President and General Manager — 1957-1961
D.M. Stephens, Chairman — 1962-1967
W.D. Fallis, General Manager — 1962-1967
W.D. Fallis, Chairman and General Manager — 1968-1969
W.D. Fallis, General Manager — 1970-1971
D. Cass-Beggs, Chairman — 1970-1972
L. Bateman, Chairman — 1973
G. Reid, General Manager — 1973
L. Bateman, Chairman and Chief Executive Officer — 1974-1978
L.M. Wedepohl, Vice-Chairman — 1979
C.E. Curtis, Vice-Chairman — 1980
K. Kristjanson, Chairman — 1981
L. Blachford, President and Chief Executive Officer — 1980-1982
S. Cherniak, Chairman — 1982-1984
J. Arnason, President and Chief Executive Officer — 1983 -1986
M. Eliesen, Chairperson —1984-1988
G.H. Beatty, President and Chief Executive Officer — 1986-1990
A.B. Ransom, Chairman — 1988-1990
J.S. McCallum, Chairman — 1991-2000
R.B. Brennan, President and Chief Executive Officer — 1990 to present
V.H. Schroeder, Chairman — 2000 to present

General Managers of Winnipeg Hydro

J.G. Rossman, City Power Manager — 1911-1912
J.G. Glassco, General Manager — 1912-1944
J.W. Sanger, General Manager — 1944-1951
H.L. Briggs, General Manager — 1952-1955
T.E. Storey, General Manager — 1955-1960
D.C. Bryden, General Manager — 1960-1969
R.T. Harland, General Manager — 1969-1978
K.H. Hallson, General Manager — 1978-1988
R.J. Linton, General Manager — 1988-2001
I.H. McKay, Director — 2001-2002

72
 Historical Development of Manitoba’s Electrical Utilities
Starting with the Winnipeg Gas Company, a supplier of gas for lighting, many more gas, electricity, and transporta-
tion companies evolved in Manitoba during the following century until Manitoba Hydro became the sole supplier of
electricity and distributor of Natural Gas.

Year Utilities Page

1873 Winnipeg Gas Company 2
1880 Manitoba Electric & Gas Light Company 2
1881 Winnipeg Gas Company merged with Manitoba Electric & Gas Light Company 2
1882 Winnipeg Street Railway Company 2
1883 North West Electric Light and Power Company (Ltd.) (NWEL & P.Co.) 3
1889 North West Electric Company Ltd. 4
1889 Brandon Electric Light Company Ltd.(formation date unknown) built steam station in Brandon 4
1892 Winnipeg Electric Street Railway Company (WESR.Co.) 5
1894 Winnipeg Street Railway Company purchased by WESR.Co. 5
1898 Manitoba Electric & Gas Light Company purchased by WESR.Co. 5
1900 Winnipeg Selkirk & Lake Winnipeg Railway Company 8
1900 North West Electric Company Ltd. purchased by WESR.Co. 8
1902 Winnipeg General Power Company 8
1904 Winnipeg General Power Company merged with WESR.Co.
and became Winnipeg Electric Railway Company (WERCo.) 8
1905 Suburban Rapid Transit Company became subsidiary of WERCo. 8
1906 Winnipeg Selkirk & Lake Winnipeg Railway Company became subsidiary of WERCo. 9
1906 City of Winnipeg Hydro Electric System (City Hydro) 9
1911 Winnipeg River Railway Company, financed by WERCo., affiliated to Winnipeg River Power Company
1913 Winnipeg River Power Company became associate company of WERCo.10
1913 Minnedosa Power Company (formation date unknown) built Minnedosa Hydro Plant 10
1919 Manitoba Power Commission (MPC) 10
1920 Manitoba Power Company, a subsidiary of WERCo., took over
Winnipeg River Railway Company and Winnipeg River Power Company 13
1921 Canada Gas & Electric Corporation of Brandon formed with consolidation
of Brandon Electric Light Company Ltd. and Brandon Gas & Power Company Limited 13
1924 WERCo. changed name to Winnipeg Electric Company (WECo.) 14
1924 Northwestern Power Company 14
1927 Northwestern Power Company merged with WECo. 14
1931 Canada Gas & Electric Corporation of Brandon purchased by MPC 16
1936 Winnipeg Electric Company’s Plan of Consolidation and Readjustment reorganized WECo. and
its associated companies (Northwestern Power Company, Suburban Rapid Transit Company,
Winnipeg Selkirk & Lake Winnipeg Railway Company) 16
1949 Manitoba Hydro-Electric Board Development Act passed in Manitoba legislature 21

73
Historical Development of Manitoba’s Electrical Utilities (continued)
1951 Manitoba Hydro-Electric Board (MHEB) 24
1952 National Utilities Corporation Limited acquired by MPC 24
1952 WECo. transferred its gas and transit assets to newly incorporated companies, Greater Winnipeg Gas
and Greater Winnipeg Transit Company 24
1953 MHEB amalgamated with WECo. 24
1955 City of Winnipeg Hydro Electric System (City Hydro) became sole distributor
of electricity in City of Winnipeg 25
1955 Manitoba Power Commission (MPC) became sole distributor of electricity
in suburban Winnipeg and all of Manitoba 25
1958 The Pas Electrical Utility purchased by MPC 26
1959 Cranberry Portage Distribution System purchased by MPC 26
1959 Town of Selkirk Electrical Distribution System purchased by MPC 26
1961 Manitoba Hydro 29
1964 City of Winnipeg Hydro Electric System (City Hydro) became Winnipeg Hydro 31
1970 Laurie River generating stations, owned by Sherritt Gordon Mines Limited,
taken over by Manitoba Hydro 34
1999 Manitoba Hydro purchased Centra Gas from West Coast Energy Inc. 62
2002 Manitoba Hydro purchased Winnipeg Hydro from the City of Winnipeg 66
2003 Manitoba Hydro erected wind-monitoring tower 67
2004 Manitoba Hydro, Fox Lake Cree Nation and Province of Manitoba reach agreement 67
2005 MISO launched largest competitive energy trading market in the United States 68
2006 Manitoba Hydro and Nisichawayasihk Cree Nation signed Wuskwatim Agreement 69
2007 Manitoba Hydro office at 480 Madison Street closed 70
2008 Manitoba Hydro signs term sheet with Wisconsin Public Service 70
2009 Manitoba Hydro Place, the new corporate headquarters located at 360 Portage Ave. in Winnipeg, 71
officially opened.
2010 Manitoba Hydro and Xcel Energy in Minneapolis enhanced and extended, by 10 years, a significant 71
power purchase agreement worth about $3 billion.

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ABBREVIATIONS FOR UNITS OF MEASUREMENT AND ELECTRICAL TERMS
AC alternating current km kilometre(s)
amp ampere(s) kV kilovolt(s)
DC direct current kW kilowatt(s)
EHV extra high voltage kW·h kilowatt hour(s)
h.p. horse power m metre(s)
HVDC high voltage direct current MW megawatt(s)

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For more information contact:

Public Affairs
Manitoba Hydro
P.O. Box 815
Winnipeg, Manitoba R3C 2P4
Telephone: (204) 360-3233