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A natural gas-powered facility in Campbell River has been purchased by BC Hydro, in a bid to help provide extra capacity in peak times across Vancouver Island. (Image Credit: Capital Power)
backup power

BC Hydro purchases Island natural gas power generation facility

Aug 5, 2026 | 2:45 PM

CAMPBELL RIVER — In a bid to secure more reliable power during peak times for Vancouver Islanders, the province’s electrical utility has purchased a local business.

BC Hydro announced Wednesday, Aug. 5, the acquisition of Island Generation in Campbell River, a natural gas-based power facility which will help add capacity for Vancouver Island during high-demand times.

BC Hydro’s Senior Vice-President, Integrated Planning Ajay Kumar said the facility will boost system capacity.

“Through this acquisition, we expect the operations of the facility will continue in a similar fashion as for the same number of days over the coming years. The acquisition of Island Generation does not replace our commitment to renewables.”

It’s expected Island Generation will operate around 15 days a year, which is on par with its average over the last five years.

Capable of generating upwards of 275 megawatts of power, the facility has worked in partnership with BC Hydro since 2002.

Kumar said this partnership goes hand in hand with other investments being made, or planned, by the utility to increase power stability year-round.

“We will continue to advance our investments in battery storage, transmission upgrades, generation upgrades as we move forward to ensure we can provide clean, reliable energy for our customers.”

Demand has risen steadily in recent years, thanks in large part to population growth on Vancouver Island.

Nanaimo was ranked as one of the top five fastest-growing areas nationwide in the 2021 Census.

In addition to providing a more reliable power network for Vancouver Island, the purchase also helps cement a better future for the Campbell River property.

Mayor Kermit Dahl said Wednesday the property has been key to the city’s industrial sector.

“For many years, the Island Generation facility has been more than just an industrial site in Campbell River. It has been a critical part of the energy system that supports Vancouver Island during periods of high demand, transmission interruptions, severe weather, and emergency conditions.”

— with files from Jon de Roo, 97.3 FM The Eagle

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