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NorthWestern Energy Announces Power Purchase Agreement With Turnbull

Published: 10-Nov-2009

NorthWestern Energy has entered into an agreement with Turnbull Hydro, LLC (Turnbull Hydro) to purchase 13 MW of hydro power from a generating facility located on an existing irrigation canal near Fairfield, Montana. The facility will help the company meet its renewable portfolio standard obligation in 2012. Under the 20-year power purchase agreement the company will receive all of the renewable energy credits associated with this generation project.

This hydro project will start generating electricity in 2011 when the irrigation canal begins receiving water, and will operate throughout the irrigation season. The electricity from this hydro project provides long-term benefits to ratepayers including price, environmental, and rate stability.

The agreement is the culmination of a Request for proposal effort to identify cost effective electric energy supply agreements that meet Montana’s Renewable Portfolio Standard requirements. “This project fits nicely in our portfolio of electric resources,” said chief supply officer, John Hines. “This hydro facility will provide our customers with a stable, reliable source of cost effective electricity that has no carbon emissions.”

“Turnbull is pleased to enter into this agreement with NorthWestern Energy and believes that NorthWestern’s competitive solicitation process enabled all parties to work toward a contract that meets the needs of NorthWestern, ourselves, and the ratepayers,” said Ted Sorenson, Turnbull Hydro project developer.

“We are pleased with the number of proposals that we received because it allowed us to select a project that met all of our criteria for cost effective, low-risk, reliable electricity,” said Hines. “We expect future efforts from similar competitive solicitations to further diversify our resource portfolio and provide sustainable value to customers.”

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