Caisse de Depot et Placement du Quebec, Montreal, formed a strategic partnership with a local indigenous organization, the Mohawk Council of Kahnawàke, to jointly invest in renewable energy infrastructure projects.
The partnership seeks to “facilitate access to funding for the MCK and other indigenous communities interested in taking part in the implementation of these projects” in Québec, said a Feb. 3 release.
In addition to easing access to funding and contributing to the success of projects, MCK and CDPQ will seek to “position communities at the heart of project development by promoting their long-term participation.” As co-investors, the two organizations will also provide close oversight to “foster a sustainable and inclusive development approach.”
Among other things, MCK and CDPQ plan to provide the technical capacity communities need to negotiate complex agreements and analyze the financial terms of large-scale projects; and to propose an innovative solution that allows communities to participate and gives them access to sufficient capital to hold a stake in projects, the release noted.
“For over a century, major energy infrastructure projects have impacted indigenous peoples’ rights and lands.” said Ohénton Írate ne Ratitsénhaienhs (Grand Chief) Cody Diabo, Grand Chief of the MCK, in the release.
“We believe the time is right for our communities to participate in the energy transition by owning and benefiting from energy infrastructure on our ancestral lands. We have developed this partnership to provide the economic opportunity for First Nations and Inuit communities to maximize their stake in large-scale energy infrastructure on their lands, and benefit from the revenues generated.”
Emmanuel Jaclot, executive vice-president and head of infrastructure at CDPQ, said in the release that in Quebec “numerous renewable energy projects will cross traditional Indigenous territories, which presents an opportunity to foster the financial participation of the communities involved and ensure that the partners’ priorities are well aligned.”
MCK will also engage with interested indigenous communities that wish to explore this opportunity to meet their capital needs.
According to the website of the Quebec government, the province comprises 11 different indigenous nations and account for just over 1% of Québec’s population of about nine million.
The MCK is already involved in some renewable energy investments, including the 24 MW Des Cultures wind farm project in Montérégie, Québec.
As of June 30, 2024, CDPQ’s net assets totaled C$452 billion ($330 billion). As of Dec. 31, 2023, CDPQ had about 13.8% of its portfolio invested in infrastructure, according to the latest annual report. Neither CDPQ nor MCK could be immediately reached for further details.