Gas pipeline company TransCanada Corp. has won Quebec government approval for a US$375 million cogeneration plant to supply power to Hydro-Quebec and steam to two industrial facilities. Construction on the 550 MW power plant at Becancour, near Trois-Rivières, Quebec, is underway.

All the power produced will be sold to government-owned utility Hydro-Quebec under a 20-year contract. Meanwhile, Norsk Hydro and Pioneer Chemicals Inc. will use the steam at their nearby plants, says TransCanada. The plant is expected to be in service in September 2006.