Canadian Hydro Developers, Inc.
TSX : KHD

Canadian Hydro Developers, Inc.

September 13, 2005 23:59 ET

Canadian Hydro Developers Announces Official Groundbreaking of $120-Million Melancthon I Wind Project

SHELBURNE, ON--(CCNMatthews - Sept. 13) - Canadian Hydro Developers, Inc. today announces the official start of construction of the Melancthon I Wind Project in the townships of Melancthon and Amaranth near Shelburne in Southern Ontario. This $120 million dollar wind facility consists of 45 GE wind turbines, each rated at 1.5 megawatts (MW) for a total capacity of 67.5 MW. Canadian Hydro CEO John Keating says, "Once completed in early 2006, the Melancthon I Wind Project will generate enough green power to supply more than 20,000 households each year".

Keating adds that the 20 year contract provided by the Ontario Government is an essential requirement for building new renewable energy facilities.

"The McGuinty government is committed to ensuring that five per cent of Ontario's electricity capacity comes from clean, renewable sources by 2007," said Ontario Minister of Energy, Dwight Duncan. "We are continuing to remove barriers to cleaner energy and conservation. Melancthon I will help us meet that objective, while cleaning up the air we breathe and increasing Ontario's supply of clean, green energy."

The Government of Canada will provide approximately $19.5 million in funding over 10 years to the project through the Wind Power Production Initiative. This will help the industry compete successfully in the marketplace and encourage the growth of clean, renewable, reliable energy for Canadians.

"The contribution of $19.5M by the Government of Canada to the Melancthon I Wind Power Project demonstrates our strong commitment to the promotion of a clean and diversified energy mix in Ontario. The people of Ontario and all Canadians benefit from technological innovation, such as wind power, that contributes both to our climate change and our energy goals. I am pleased that the Government of Canada has once again shown leadership in these areas," said the Honourable Tony Valeri, on behalf of the Honourable R. John Efford, Minister of Natural Resources Canada.

Wind energy is the fastest-growing form of electricity production in Canada, and the Government of Canada plays an important role in making this growth possible. Through its Wind Power Production Incentive (WPPI), which was quadrupled in Budget 2005, the Government encourages the growth of this clean, renewable, reliable energy for Canadians.

WPPI has supported the construction of 14 wind farms in Canada. By the end of the current year, Canada's wind power capacity will have increased to more than 800 MW - more than half of it because of the support provided by the incentive.

Over the next 15 years, the Government of Canada will invest at least $920 million in promoting wind power, increasing its production target to 4,000 megawatts by 2010. That's enough electricity for more than 250,000 Canadian homes - and the wind farms are expected to keep producing for many years.

"Construction has been going very well," says Canadian Hydro CEO John Keating. "If you drive along the highway near the wind plant, you will see a few turbines already standing. New wind turbine components such as blades, towers and nacelles have been arriving throughout August. Workers are now focusing on completing the foundations, with each using about 455 cubic metres of concrete. Our goal is to have all 45 turbines standing by the end of this year, and be into commercial operations by early next year."

Canadian Hydro is passionate about building a sustainable future by providing future generations with reliable, efficient and affordable electricity supplies. As a unique and innovative company, publicly listed (TSX:KHD). Canadian Hydro is a working model for the Green Power industry in Canada.

Canadian Hydro is a developer, owner and operator of 17 low impact renewable-energy power plants, totalling net 162 MW of installed capacity. The generation portfolio is diversified across three technologies (wind, water and biomass) in the provinces of British Columbia, Alberta and Ontario. This portfolio is unique in Canada as all facilities are certified, or slated for certification, under Environment Canada's EcoLogo(M) program.

Contact Information

  • Preston Stuart Communications
    (403) 264-6444
    Cell: (403) 830-9326
    Email: media@prestonstuart.ca

    Natural Resources Canada, Ottawa
    Ghyslain Charron
    Media Relations
    (613) 992-4447

    Office of the Minister, Natural Resources Canada, Ottawa
    Tom Ormsby
    Director of Communications
    (613) 996-2007