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BC Hydro is facing a federal order as early as Friday and potential fines of up to $400,000 due to erosion and sediment problems at the $9-billion Site C dam project in the province’s northeast.

The Canadian Environmental Assessment Agency has issued Hydro with a “notice of intent” to proceed with enforcement action unless the provincial Crown corporation provides assurances that problems are being addressed.

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Based on Hydro’s response, the federal agency may amend, rescind or issue the order, which carries potential maximum summary fines of $200,000 on first offence and $400,000 on subsequent offences. The fines can apply for every day that Hydro is not in compliance with the environmental conditions authorizing the project.

In the federal documents, senior enforcement officer Nicolas Courville stated that the 1,100-megawatt Site C project was inspected on Nov. 29 to Dec. 2, 2016, at three sites — Moberly River construction bridge, right bank drainage tunnel, and right bank cofferdam.