Holt hesitates to use N.B.'s most powerful trade lever: electricity

Jacques Poitras · CBC News

· Posted: Mar 11, 2025 5:00 AM EDT | Last Updated: 8 minutes ago

New Brunswick's astir almighty lever successful Canada's commercialized warfare with the United States is recovered mostly on the province's backmost roads, cutting done forests and crossed fields seldom seen by astir residents.

That lever — a bid of N.B. Power transmission lines moving to the borderline with Maine —  is 1 that, truthful far, Premier Susan Holt is opting not to usage to onslaught back. 

"Our authorities is utilizing each instrumentality successful our toolbox to support New Brunswick workers and our economy," Holt said past week erstwhile she rolled retired her enactment program successful effect to President Donald Trump's 25 per cent tariffs connected astir imports from Canada.

But not each tool. Not exactly.

Holt promised to walk tens of millions of payer dollars helping hard-hit companies and workers sorb the interaction of the tariffs. 

She avoided a riskier, much achy — but perchance much effectual — option.

In bluish and eastbound Maine, 58,000 radical trust connected energy from N.B. Power to support their lights connected and their homes warm.

They're not connected to the large-scale determination powerfulness grid successful the confederate portion of the state.

They person obscurity other to spell for power.

WATCH | 'The lights would spell out': Maine's reliance connected N.B. electricity:

"Electrically, bluish and eastbound Maine are portion of Canada, not portion of the remainder of the United States," says Bill Harwood, a erstwhile nationalist advocator who represented authorities residents astatine vigor regulatory hearings.

"They are integrated into the New Brunswick strategy and the energy comes from New Brunswick."

Four section utilities are present moving done what Trump's tariffs connected Canadian imports volition outgo them — and however to walk those costs onto their customers.

If Holt slapped an further surcharge connected that electricity, it would summation the symptom adjacent more.

"A batch of this is unknown," said Greg Sherman, the wide manager of Houlton Water Company, which serves 5,500 customers successful and astir Houlton.

Another energy company, Versant Power, has much than 37,000 customers successful bluish Aroostook communities specified arsenic Caribou, Presque Isle, Fort Kent and Van Buren.

"We are staying tuned for much details connected imaginable national argumentation changes," spokesperson Tina Morrill said.

In Ontario, Premier Doug Ford has threatened to chopped disconnected energy transmission to neighbouring states "with a grin connected my face, and I'm encouraging each different state to bash the same."

That attracted wide U.S. media attention, and Ford repeated the menace again Monday arsenic helium slapped a 25 per cent export surcharge connected energy income to New York, Michigan and Minnesota — the equivalent of astir $100 other per period per household, helium said.

At her announcement past week, Holt said she wanted to debar hurting Americans crossed the border.

"Our neighbours successful Maine are our friends, and we privation to enactment superior information into the decisions that mightiness wounded immoderate of the radical that person already spoken up against the tariffs," she said.

Split views connected tariffs

Trump won the areas of Maine that trust astir connected New Brunswick for power, truthful a surcharge oregon cutoff would compression supporters of the president who whitethorn enactment his move.

Even the district's Democratic congressman, Jared Golden, supports tariffs and did not motion a missive from different Maine politicians calling connected Trump to chill it.

Harwood said Maine residents who trust connected N.B. Power person immoderate of the lowest incomes successful the state.

"This would beryllium a crushing fiscal load connected galore of those customers," helium said.

Farther south, ISO New England, the bureau operating the larger determination powerfulness grid crossed respective states, has filed a regulatory exertion suggesting energy whitethorn not beryllium taxable to the tariffs. 

In the meantime, it's asking for clarity connected what benignant of mechanics it should usage to cod the money.

"In a worst-case scenario, the ISO could beryllium forced to record for bankruptcy extortion should it person insufficient funds to screen costs stemming from specified import duties," the filing says. 

It besides warns that N.B. Power and others successful the New England market "may question oregon situation continued participation" successful that marketplace if determination is uncertainty astir who volition pay. 

A time aft saying she didn't privation to inflict symptom connected Mainers, Holt offered a 2nd mentation for hesitating: she prefers measures "that volition wounded the U.S. and not wounded New Brunswickers," oregon their debt-laden Crown corporation, N.B. Power.

"It's imaginable that shutting disconnected powerfulness to New England puts a large load connected a inferior that is already challenged, and New Brunswickers already person powerfulness bills that are excessively high," she said.

Changing expectations

N.B. Power won't sermon what specified a determination would cost, saying lone it's moving with different powerfulness utilities "to code the situation of imaginable tariffs head-on and guarantee vigor information for customers."

Holt's changing explanations and her reluctance to travel Ford's pb "indicates to maine that they haven't thought it retired good capable yet," Opposition PC Leader Glen Savoie said.

"The effect was tepid and the authorities seems a spot overwhelmed." 

Harwood said cutting disconnected powerfulness to bluish Maine would spark "an planetary crisis" that would necessitate governmental regulatory intervention.

The constituent of tariffs is to unit radical to acquisition products from home suppliers.

But determination is nary specified home shaper of energy successful bluish Maine, helium said.

"If these radical are relying connected electrical abstraction heaters oregon vigor pumps to get them done the remaining acold days of the wintertime and you chopped disconnected their electricity, you are creating a nationalist wellness hazard that is unacceptable." helium said.

That remark underscores conscionable however almighty a lever New Brunswick has.

A much assertive determination connected energy "may beryllium connected the table," Holt said March 4.

Then she corrected herself: "They are connected the table. They whitethorn beryllium implemented successful the future."