Hydro-Québec’s proposed 385MW hydro power project on the Péribonka river has been referred back to federal authorities following an announcement that the scheme would not significantly impact the environment.

Canada’s environment minister David Anderson said the scheme was unlikely to cause significant adverse environmental effects, provided that a range of mitigation measures was implemented.

One of the measures is the development of a compensation programme, subject to approval by federal authorities, which aims to offset any negative effects the scheme has on wetland areas.

Anderson has now referred the plan to the Fisheries and Oceans Canada and Transport Canada authorities for further action.