Released on March 18, 2005
SaskPower today announced that it has signed a Power Purchase Agreement (PPA) with Alliance Pipeline for a project selected in the first phase of the Environmentally Preferred Power (EPP) program. The agreement will result in SaskPower purchasing approximately five megawatts (MW) of electricity from a heat-recovery project to be built by Alliance Pipeline at their compressor station near Kerrobert."It is a commitment of this government to build a green and prosperous economy through our Green Power Portfolio," Minister responsible for SaskPower Frank Quennell said. "The EPP program is a cornerstone of the Portfolio and is helping evaluate viable, environmentally low-impact generation options for the future."
"Alliance Pipeline is pleased to participate with SaskPower in the Environmentally Preferred Power initiative," Alliance Pipeline President and Chief Executive Officer Murray Birch said. "Recovering heat that would otherwise be wasted and converting it to electricity is a mutually beneficial opportunity for SaskPower and Alliance Pipeline."
Now that the PPA has been signed, Alliance Pipeline will purchase state-of-the-art equipment needed to build the heat-recovery system. Construction of the project is tentatively scheduled for the summer and fall of 2006. The four-month construction process will employ approximately 30 tradespeople and will contribute about $1 million to the region's economy – mostly through local contracts.
"The EPP program was designed to provide the opportunity for SaskPower to partner with independent power producers to build and operate smaller-scale generation projects," SaskPower President Pat Youzwa said. "With Alliance Pipeline as a partner, this project will help SaskPower in its goal to provide for new load-growth to the year 2010 with environmentally low-impact generation that produces no new greenhouse gas emissions."
In the second phase of the program, SaskPower has received Expressions of Interest for additional EPP projects. These are currently being evaluated to identify those projects that meet the environmental objectives for the program. SaskPower plans to issue a formal Request for Proposals to those proponents with qualified projects. SaskPower will select the remaining 32 MW of the 45 MW program from the formal proposals submitted later in the year.
In addition to the EPP program, the Green Power Portfolio includes community energy efficiency pilot projects, last year's expansion of the Cypress Wind Power Facility and SaskPower International's 150 MW Rushlake Creek Wind Power Project now under construction in southwest Saskatchewan.
Alliance Pipeline is a 3,713 kilometre pipeline that extends from northeastern British Columbia and northwestern Alberta through Saskatchewan to the Chicago market hub. Alliance Pipeline is comprised of a Canadian limited partnership (Alliance Pipeline Limited Partnership) and a United States limited partnership (Alliance Pipeline L.P.). The equity interests of both partnerships are privately held.
For more information on the EPP program, visit http://www.saskpower.com/.
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For More Information, Contact:
| Larry Christie SaskPower Regina Phone: (306) 566-3167 Email: (888) 536-0000 |