FREDERICTON - The possibility of plugging all of Atlantic Canada into the massive hydro riches of the Lower Churchill Falls will be discussed as the region's premiers gather in Fredericton on Friday.

New Brunswick Premier Shawn Graham, host of the one-day meeting, said Thursday he thinks there's room for at least two mega power projects in the region - Lower Churchill in Newfoundland and Labrador and a possible second nuclear reactor at Point Lepreau, N.B.

"The premier of Newfoundland is looking to advance the Churchill Falls project and we're the only province in Atlantic Canada certified to produce nuclear power," Graham said in an interview, referring to New Brunswick's request for proposals from the private sector to build a second reactor.

"We feel there's an opportunity to see all of these projects come to fruition."

The premiers are under pressure to find ways to ease the region's heavy dependence on fossil fuels to generate electricity, and there's growing interest in the massive potential of the Lower Churchill in Labrador.

The project, with two dams at Gull Island and Muskrat Falls, would have an estimated capacity of more than 2,800 megawatts, enough to power 1.5 million homes.

The Lower Churchill project has been on the drawing board in one form or another for about 30 years, but the Newfoundland government said recently it could begin producing power by 2015. It's estimated the project could cost $6 billion to $9 million, but no financing is lined up.

Jim Feehan, an economics professor at Memorial University in St. John's, N.L., said the possibility of importing Lower Churchill power to the Maritimes would depend on the cost of transporting it to the region, likely via an undersea cable.

"The main challenge is the transport of the power," Feehan said. "But if it is cost effective, it would be a great solution for the Maritimes."

Nova Scotia's power utility, Emera Inc., (TSX:EMA) recently signed a memorandum of understanding "to explore the possibility of bringing energy from the Lower Churchill project to the Maritimes and New England markets."

Nova Scotia Premier Rodney MacDonald said Churchill Falls has been talked about in the past by the premiers and likely will come up again during the Fredericton meeting.

"There would have to be infrastructure upgrades in regards to transmission lines in Nova Scotia." MacDonald said.

"There are still a lot of unanswered questions and it's a long-term discussion. But the benefits to Nova Scotia could be cheaper power and a reliable source in the future."

Graham confirmed he's been talking to Newfoundland Premier Danny Williams about the idea of an undersea cable from Labrador, under the Gulf of St. Lawrence, to New Brunswick.

Although Williams has said the New Brunswick route is a "serious alternative," he's keeping open the option of transmitting the power through Quebec and Ontario.

Williams said Friday his preference would be to transport the power not necessary for the needs of Newfoundland and Labrador into the Maritimes.

"We presently have a memorandum of understanding with Emera in the Maritimes, and that's with a view to them obtaining a power corridor to transport that power into their jurisdiction as well as into other jurisdictions through Maine and obviously down through the northeast coast," Williams said.

Newfoundland's hydro company filed a request last year to wheel the power from the Lower Churchill through New Brunswick's power grid and into other markets by 2015.

However, Newfoundland and Labrador Hydro has also applied to Hydro-Quebec TransEnergie and the Ontario Independent Electricity System Operator to flow the power into those markets also.

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