SaskPower has signed a 25-year power purchase agreement (PPA) for a 200MW wind power project, which will be located south of Assiniboia, Canada.
The PPA takes the total wind power capacity of SaskPower to over 600MW.
Potentia Renewables will build the 200MW Golden South Wind Energy facility that will produce enough renewable electricity for approximately 90,000 Saskatchewan homes.
SaskPower president and CEO Mike Marsh said: ““Wind power will play a significant role in our goal to reduce our greenhouse gas emissions by 40 per cent by 2030. This added renewable power is an important step towards reaching that goal.”
The PPA is expected to contribute to the Saskatchewan’s climate change strategy that aims to reduce greenhouse gases and increase the province’s renewable electrical generating capacity.
The Golden South Wind Energy facility will feature 60 turbines.
Before selecting Potentia, SaskPower reviewed 29 proposals from 15 pre-qualified proponents during the request for proposals phase.
SaskPower said: “All proposals were evaluated equally, through a competitive process that is open and transparent with the vendor and supplier community. The average price of all 29 bids was $42/MWh, including the cost of connecting the facility to the grid. The winning bid provided by Potentia came in well below that.”
Potentia is a fully integrated developer, owner and operator of renewable energy assets in North and South America. It is owned by Power Energy, a wholly owned subsidiary of Power Corporation of Canada.
The Golden South Wind Energy facility is expected to enter into operations in 2021.
Potentia chief executive officer Jeff Jenner said: “Potentia is pleased at having been selected by SaskPower in the competitive tender process.
“This success represents a milestone for Potentia, achieved through a decade of development efforts by our subsidiary Sequoia Energy in cooperation with the government, local communities and landowners.”
SaskPower is expected to begin the next competitive process for another wind facility by mid-2019.