Ontario has given Ontario Power Generation the formal go-ahead to begin executing the refurbishment of the Pickering Nuclear Generating Station’s Units 5–8, marking one of Canada’s largest energy infrastructure commitments in decades. The decision clears OPG to advance detailed planning ahead of project execution in early 2027.

The province’s approval enables OPG to start transitioning Pickering into its next operational phase, securing 2.1 gigawatts of low-carbon baseload power for more than 30 additional years. That represents enough electricity to supply over two million homes and will help Ontario meet steeply rising electricity demand tied to industrial growth, electrification and population expansion.

The green light allows OPG to begin the definition phase of Pickering’s refurbishment through 2026, leveraging over 7,000 lessons learned from the Darlington Refurbishment and the utility’s ongoing small modular reactor (SMR) program. Construction and component replacement work will begin in 2027, with completion expected in the mid-2030s.

With an estimated all-in cost of $26.8 billion, the Pickering overhaul ranks among the largest infrastructure projects in the country. According to the Conference Board of Canada modelling, the project is projected to add $38.2 billion to Ontario’s GDP and $41.6 billion nationally over its lifespan. Roughly 85–90% of spending will remain in Ontario, bolstering the province’s nuclear supply chain and creating substantial regional economic benefits.

Employment impacts are similarly significant: refurbishment and continued operations are expected to support an average of 7,500 jobs annually across Canada, including 30,500 jobs per year during the refurbishment phase.

Major contracting has already begun, including a $2.1-billion award to CanAtom for early engineering and procurement tied to the retube, feeder and boiler replacement program.

Pickering’s four-unit overhaul mirrors elements of Darlington’s multi-year life-extension—such as replacing 380 fuel channels per reactor—but adds considerable complexity. Unlike Darlington, Pickering’s project includes the replacement of all 48 steam generators, a first-of-its-kind scope for Ontario’s CANDU fleet.

The project also includes construction of a 1.5-kilometre deep-water intake system to secure colder cooling water—an infrastructure element Pickering lacks from its original design.

Pickering holds an operating licence valid through 2028. OPG has applied for a new 10-year licence from the Canadian Nuclear Safety Commission that would cover refurbishment activities and post-refurbishment operations.

Ontario is in the midst of the largest nuclear build-out in Canadian history. Alongside Darlington’s completed and ongoing refurbishment stages, the province is advancing the G7’s first grid-connected SMR at Darlington, expanding the Bruce Nuclear site, and now embarking on Pickering’s full life-extension. Together, these moves are designed to ensure long-term grid reliability while meeting aggressive climate and electrification targets.

By Charles Kennedy for Oilprice.com

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