Ottawa commits $100 million to advance Nova Scotia offshore wind project
The funding includes money for data buoys and transmission modelling to attract investors ahead of a call for bids in 2027.
HALIFAX — The federal government is set to announce a $100-million commitment toward developing offshore wind energy in Nova Scotia in the hope of attracting private investment to projects like the province's Wind West plan.
Federal Energy Minister Tim Hodgson is expected to deliver the announcement in Halifax on Thursday morning, joined by Justice Minister Sean Fraser and Nova Scotia Premier Tim Houston.
A senior government source said Ottawa is putting $5 million toward deploying a fleet of buoys to help measure wind speeds and ocean conditions.
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The information will help inform prospective investors ahead of a call for bids in winter 2027.
Houston said the federal funding's contribution "will shave years off the project, bring us closer to jobs, and closer to [making] it a reality."
The provincial government says the first phase of Wind West is estimated to cost about $60 billion and would produce about five gigawatts of power as early as 2033.
About $40 billion would be for turbine infrastructure, with another $20 billion for new transmission lines.
In June 2025, Houston said the province's plan to license enough offshore wind farms to produce five gigawatts of electricity would be increased eightfold to 40 gigawatts, well beyond the 2.4 gigawatts Nova Scotia needs.
Houston has said the excess electricity could be used to supply 27 per cent of Canada's total demand.
Quebec and Massachusetts have already shown interest in buying electricity from the proposed project.
Thursday's announcement is also expected to include a $3-million commitment to expand modelling to include transmission of offshore wind power from Nova Scotia to Quebec and Ontario, and for underwater survey work to route transmission cables.
Earlier this year, Nova Scotia's offshore energy regulator signalled its intent to begin studying areas of the ocean that could be home to the first turbines of the Wind West project.
Houston offers there is "incredible interest from industry," with the offshore regulator receiving eight formal requests for information from global companies in the past year, according to him.
Although the federal government says more than 80 per cent of Canada's electricity comes from renewables, Ottawa has faced criticism in recent months from environmental groups over prioritizing conventional oil and gas projects rather than investing in more renewables.
In particular, Ottawa's electricity strategy unveiled in May aims to double Canada's grid, with a key component leveraging a build out of natural gas.
Clean Energy Canada, a think tank at Simon Fraser University, said at the time the strategy "overstates the role of natural gas and understates the long-term energy security and affordability benefits of clean energy."
Marine Renewables Canada, the national association for the offshore wind industry, says the global offshore wind market is projected to be a trillion-dollar industry by 2040.
"And while Canada is home to some of the world's longest and most wind-rich coastlines, we have yet to install a single offshore wind turbine," the organization says.
"Nearly 30 countries are ahead of us, and in the North Sea alone, thousands of turbines now generate more than 30 gigawatts of power."
With files from The Canadian Press, CBC News and The Globe and Mail