June 28, 2004

Hydro-Quebec reports wind power RFP results, will name selected proponents in September

MONTREAL, QUE-Hydro-Quebec Distribution received a total of 32 submissions from nine proponents in response to its Request for Proposals (RFP) issued in May 2003 for the purchase of 1000 megawatts (MW) of wind-generated electricity, to be produced by wind turbines in the regional county municipality of Matane or in the administrative region of the GaspÈsie/Iles- de-la-Madeleine. The proposals, for delivery between December 1, 2006 and December 1, 2011, ranged from 99 to 300 MW in capacity and were submitted by: Cartier Wind Energy; VEO Venture; Boralex; Domtar; Invenergy Wind Canada; Groupe Axor; Investissements Eoliens St-Ulric; Northland Power/Northland Power Income Fund; and Listiguj Wind Project. The proposals also represent three wind turbine manufacturers: Gamesa Eolica, GE Wind Energy, and Vestas Canadian Wind Technology. Hydro-Quebec Distribution has estimated the average cost of the proposals received, including the cost of transmission and power balancing, at ten cents per kilowatt-hour (kWh) in 2007. The company will analyze and evaluate the proposals over the next few weeks, and will announce its selection of proposals in September. The final decision will be based on costs related to the transmission of electricity as well as price. Contracts must be approved by Quebec's Energy Board (RÈgie de l'Ènergie) and the proponents selected will be responsible for obtaining the necessary environmental approvals.
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