# BC Hydro infrastructure and capacity expansion

> Live situation record from CLSTR: https://clstr.news/situations/bc-hydro-infrastructure-and-capacity-expansion
> Updated: 2026-08-19T22:35:51.000Z. Sources: 3. Developments: 2.

BC Hydro is undertaking several initiatives to expand electricity capacity and modernize infrastructure in British Columbia to meet rising demand.

In August 2026, the utility acquired the 275-megawatt Island Generation natural gas power plant in Campbell River from Capital Power. The facility provides dispatchable backup capacity to support residential, industrial, and electrification needs. This acquisition follows provincial expectations of a 20% increase in electricity demand over the next four years.

Concurrently, BC Hydro announced a $200 million investment to upgrade the Newell Substation in Burnaby. The project aims to modernize aging equipment and increase capacity to serve approximately 15,000 additional customers while improving reliability for 60,000 existing users. Construction for the substation upgrades is expected to continue through 2031.

## Timeline

### 2026-08-19: BC Hydro to invest $200M in Newell Substation upgrades

BC Hydro is investing $200 million to modernize the Newell Substation in Burnaby, adding capacity for 15,000 new customers and improving reliability for 60,000 existing users.

3 sources. https://clstr.news/cluster/bc-hydro-to-invest-200m-in-newell-substation-upgrades

### 2026-08-05: BC Hydro acquires Island Generation gas plant on Vancouver Island

BC Hydro bought the 275 MW Island Generation gas plant in Campbell River, securing backup power for Vancouver Island as demand rises, with officials citing reliability and growth support.

13 sources. https://clstr.news/cluster/bc-hydro-acquires-island-generation-gas-plant-on-vancouver-island

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Cite as: BC Hydro infrastructure and capacity expansion. CLSTR, https://clstr.news/situations/bc-hydro-infrastructure-and-capacity-expansion