Jordan River is the location of Vancouver Island's second hydroelectric generating station. The Vancouver Island Power Company completed construction of the Jordan River hydroelectric system in 1911. Water collects at Diversion Dam, runs 8.8 km (5.5 mi) down a wooden sluice to an equalizing basin and flows through a steel penstock for the last 330 vertical meters (1083 vertical feet).

From 1912 to 1930 continual improvements and additional generators pushed the capacity of the power plant to 26 megawatts. In 1971 the flume was replaced by a tunnel, connected to a penstock flowing down to a new power house, presently located across the river from the original location. A Japanese built generator replaced the old equipment, boosting power output from 26 megawatts to 175 megawatts.

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