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Minnesota Power, Manitoba Hydro PPA approved

EBR Staff Writer Published 31 January 2012

The Minnesota Public Utilities Commission (PUC) has approved a 15-year power purchase agreement (PPA) that calls for Minnesota Power to buy hydroelectricity from Manitoba Hydro beginning in 2020.

The 250MW power purchase agreement will provide a competitive energy resource for customers of Minnesota Power, a utility division of ALLETE which supplies electric service to 144,000 residents, 16 municipalities.

The two companies are seeking various transmission options between Manitoba and the US for delivery for safe and reliable delivery of electricity to Minnesota Power's service territory.

Additional hydropower will support Minnesota Power resource-planning goals while lessening its dependence on coal and lowering emissions from its generation fleet.

Through a provision in the agreement, Minnesota Power will be able to deliver electric energy northward from its wind farms in North Dakota.

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