A revenue-sharing deal between the province and the Squamish Nation which gives the First Nation a share of royalties on a Skookum Creek run-of-the-river power project will see the band receive $78,000 per year once the project is fully operational.
The agreement will provide the Squamish with a share of provincial revenue from the Skookum Creek Power Project, a 25-megawatt $92-million project being developed on Skookum Creek, about 10 kilometres east of Squamish.
Once completed, the project is projected to supply enough power for up to 8,400 homes.
The province's First Nations Clean Energy Business Fund is backing the revenue-sharing deal.
Since 2010, the province has deposited half of all revenues from new water leases paid by run-of-the-river licencees into the fund, which started with $5 million. A total of 75 per cent of the deposited funds are shared directly with First Nations whose territories are impacted by run-of-the-river energy projects.
The Squamish will receive the shared revenue as long as the project is operating, which could be up to 40 years.
The Skookum Creek agreement is the fourth revenue-sharing agreement to be signed under the First Nations Clean Energy Business Fund.
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