January 29, 2008
Manitoba Hydro Reaches 250-Megawatt Power Sale Arrangement With Minnesota Power
Manitoba Hydro has signed a ‘term sheet’ with Minnesota Power to provide 250 megawatts (MW) of clean, renewable hydro power over 15 years starting in 2020 as well as well surplus energy starting this year, Finance Minister Greg Selinger, minister responsible for Manitoba Hydro, announced today.
“This is definitely a win-win situation for all parties involved,” said Selinger. “The agreement bolsters our export markets, allowing our domestic rates to remain among the lowest in North America, while Minnesota Power gains clean, reliable, long-term and cost-competitive power.”
Electricity exports generated $592 million in revenues for Manitoba Hydro last year and are expected to produce $5.5 billion in revenues over the next 10 years. Manitoba Hydro is pursuing growing export opportunities to the east, west and south, said Selinger.
“The development of clean, renewable energy continues to be part of our long-term vision to build the economy. Construction is well underway on the Wuskwatim dam, a partnership between Manitoba Hydro and Nisichawaysihk Cree Nation, and development work continues on projects like Conawapa Generating Station as well as the Bipole III transmission line that will improve reliability of Manitoba’s power system and increase our export markets.”
Selinger noted that Manitoba’s exports have reduced the production of greenhouse gases by 172 million tonnes over 35 years by reducing the need for thermal generation in the region.
The long-term sale will require the construction of hydroelectric facilities in northern Manitoba and a major transmission line between Canada and the United States, which will be the responsibility of the proponent.
- 30 -