Vermont Utilities, Hydro-Quebec Reach Settlement on Ice Storm Case

Under the settlement, the Vermont Joint Owners (VJO) will continue to receive power and energy from Hydro-Quebec under a long term, stable-priced contract that for most utilities extends to 2016 and to 2020 for others. Hydro-Quebec will make a $9 million payment to the 15 utilities, which comprise the VJO.

"This is a fair settlement that brings to an end once and for all contract issues that arose between the contracting parties after a massive 1998 ice storm knocked down power lines and interrupted electric service in Vermont and Quebec. We look forward to restoring a fruitful business relationship that is important for Vermont and Quebec," said Richard H. Saudek, representing Hydro-Quebec, and Stephen C. Terry, spokesperson for the Vermont Joint Owners.

The settlement brings to a close the final issue of an arbitration proceeding that was decided on April 17 by a panel of three international jurists.