Wind-power development set for Ontario


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CALGARY — Canadian Hydro Developers Inc. plans to develop 240 megawatts of wind power at a plant in central Ontario, part of the Ontario government's plan to produce more electricity from clean sources.

The Calgary energy company said recently it had struck a deal to acquire the rights to a wind power project in Melancthon, a township near Shelburne, Ont. The project is owned by Chinodin Enterprises, a private company.

Subject to due diligence, the deal will allow Canadian Hydro to develop up to 240 megawatts of wind power in a partnership with Chinodin. Financial terms of the deal were not revealed.

The proposed plant would generate about twice the daily power used by a city the size of Sudbury, Ont.

The transaction is part of a plan by the company to meet new demand for wind power in Ontario, where the Liberal government plans to shut down its coal-fired power plants by 2007 and wants to develop more environmentally friendly sources of electricity.

The Ontario government has targeted five per cent - or 1,350 megawatts - of all generating capacity to come from renewables by 2007 and plans to issue requests for proposals to the private sector to produce that power. "We are extremely pleased to have a potential, large wind project to develop in Ontario," said John Keating, CEO of Canadian Hydro.

"The Ontario government is creating market certainty through its announced (plan) to purchase 300 MW of green power and we hope to be one of the successful bidders. The Melancthon-Grey Highlands Wind Project gives us the opportunity to increase our market presence in Ontario and continue to balance our geographic and technological diversification."

Canadian Hydro owns and operates 10 hydroelectric plants, three wind plants and a natural gas fired plant in Alberta, British Columbia and Ontario.

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