P.E.I. borrows $31M in energy accord refinancing

Charlottowne, PEI - - The Prince Edward Island Energy Corporation has been given cabinet approval to borrow more than $31 million as part of an agreement with Maritime Electric.

The money is being used to refinance debt associated with the refurbishment of the Point Lepreau Nuclear Generating Station and the decommissioning of the Dalhousie Thermal Generating Station.

Energy Minister Paula Biggar said it is part of the previous P.E.I. Energy Accord.

The accord was set up in 2010. Under that agreement Maritime Electric lowered electricity rates for Islanders, and in exchange the government signed a loan on behalf of the utility, taking advantage of its borrowing power to get a lower interest rate than the utility could. That accord expired earlier this year, and a new three-year agreement on electrical rates has been set up.

Biggar said the refinancing of the outstanding loan balance of $31.34 million includes the conversion of short-term loans to long-term loans, and a lower rate of interest for the balance.

She said the savings should help to reduce and stabilize electricity rates in the coming years.

Related News

old dam

Some old dams are being given a new power: generating clean electricity

TORONTO - As countries race to get their power grids off fossil fuels to fight climate change, there's a big push in the U.S. to upgrade dams built for purposes such as water management or navigation with a feature they never had before — hydroelectric turbines. 

And the strategy is being used in parts of Canada, too.

The U.S. Energy Information Administration says only three per cent of 90,000 U.S. dams currently generate electricity. A 2012 report from the U.S. Department of Energy found that those dams have 12,000 megawatts (MW) of potential hydroelectric generation capacity. (According to the National Hydropower Association,…

READ MORE
totalenergies-to-acquire-german-renewables-developer-vsb

TotalEnergies to Acquire German Renewables Developer VSB for US$1.65 Billion

READ MORE

new york city at night

What Will Drive Utility Revenue When Electricity Is Free?

READ MORE

japan boimass plant

Japan to host one of world's largest biomass power plants

READ MORE

ev

New Texas will bill electric vehicle drivers an extra $200 a year

READ MORE