Federal government poised to roll out plan to raise nuclear liability cap

OTTAWA – Sources tell The Canadian Press that federal Natural Resources Minister Joe Oliver is set to roll out his plan to raise the liability cap that Canadian nuclear operators would have to pay in case of an accident.

That amount is now set at $75 million but that is widely considered outdated, especially in the wake of the Fukushima disaster that caused tens of billions of dollars worth of damage.

The federal Conservatives have put forward legislation several times in the past that would have increased the liability cap to $650-million, but the bills have failed every time.

This time, documents obtained by Greenpeace earlier this year showed Ottawa was contemplating raising the liability cap somewhat higher than $650-million.

Environmentalists want unlimited liability, but nuclear proponents say that would be incentive for a company involved in an accident to declare bankruptcy and walk away, leaving governments on the hook.