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J.D. Irving Seeks New Brunswick Power Rule Reversal, Warns Mill Could Close

The Canadian Press reported that executive Mark Mosher estimated a $10 million annual cost increase.

Updated 2 min read
Power lines run beside the Irving Paper mill in Saint John, New Brunswick. (AI-generated image / EconoTimes)
Power lines run beside the Irving Paper mill in Saint John, New Brunswick. (AI-generated image / EconoTimes)

J.D. Irving has asked New Brunswick’s energy regulator to reverse NB Power pricing changes, arguing the formula raises costs for manufacturers and reshapes the supply available to industry.

J.D. Irving, Limited said it filed its application with the New Brunswick Energy and Utilities Board on Oct. 23. It wants the board to undo changes to the calculation of prices for interruptible and surplus electricity.

The dispute turns on what NB Power counts as committed supply before setting those prices. In an April 1 decision, the board approved hourly pricing and included every firm sale contracted for at least six months among the “other supply commitments” used in the calculation.

NB Power’s schedule, effective April 14, bases those prices on the added cost of generating or purchasing power after firm demand within New Brunswick and other firm commitments are covered.

J.D. Irving says the revised calculation shifts lower-cost electricity away from New Brunswick manufacturers and toward out-of-province buyers, including in the United States. The board’s decision describes the pricing method but does not identify U.S. customers as recipients.

The Canadian Press reported Oct. 30 that Mark Mosher, J.D. Irving’s executive vice-president of its Pulp & Paper Division, estimated the change could add $10 million a year to Irving Paper’s power costs and warned the Saint John mill could close. The warning described a possible closure, not a scheduled shutdown.

J.D. Irving also attributed the 2025 closure of one of Irving Paper’s two paper machines and the loss of 140 jobs to uncompetitive electricity rates.

Energy Minister René Legacy told The Canadian Press that reversing the board’s decision could affect other NB Power customers. Legacy said the government would wait for the board’s process. The board’s next step is to review the application.

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