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Ontario Develops New Wind Projects

Wind power continues to gain momentum across Canada. A recent example, the Melancthon Grey Wind Project, is among the first utility-scale wind projects to be developed in the province of Ontario and will use GE Energy's 1.5-MW wind turbines to add 67.5 MW of wind capacity to the country's growing total.

Located near Shelburne, 70 km northwest of Toronto, Melancthon Grey is among five new wind projects recently approved by the government of Ontario. Another of the Ontario projects, Erie Shores Wind Farm, also will feature GE's 1.5-MW technology.

The Canadian wind power industry recently received a major boost when the Canadian government increased its original 1000-MW Wind Power Production Incentive (WPPI) to 4000 MW. Under the WPPI, qualifying projects receive a payment of C$10/MWh of electricity produced from wind energy. Melancthon Grey is expected to qualify for the WPPI.

"Four thousand megawatts of wind energy in Canada would generate approximately C$6 billion in investment and would create more than 40,000 direct and indirect person-years of employment," said Robert Hornung, president of the Canadian Wind Energy Association (CanWEA).

The WPPI increase, according to Hornung, signals that the federal government is willing to partner with provincial governments to put wind projects into motion that are now under consideration or in the early stages. That would put in place "between 4500 and 5000 MW of wind energy capacity by 2012," he said. As of September 2004, Canada's installed wind energy capacity was 439 MW.

"There is no question wind power will be an important part of Canada's energy mix for the future, and the government of Canada is determined to provide the conditions that will allow the industry to expand," said John Efford, Canada's Minister of Natural Resources.

"Worldwide, wind remains the fastest growing energy technology," said Steve Zwolinski, president of GE Energy's wind operations. "In addition to being clean and sustainable, using wind as a fuel source can help to diversify the economies of rural communities, adding to the tax base and providing new types of income. It is apparent that the government of Canada recognizes wind energy's many benefits and is strongly supporting the development of the country's wind industry."

Melancthon Grey is expected to generate 180,000 MWh of electricity annually, or enough to power 25,000 average Canadian households. The power purchaser will be the Ontario Electricity Finance Corporation, on behalf of the government of Ontario.

The project owner and developer is Canadian Hydro Developers, Inc. of Calgary, Alberta. Since 2000, Canadian Hydro has invested more than C$179 million in the development of seven low-impact, renewable energy projects in Alberta and British Columbia. The Melancthon Grey project will increase the company's presence in Ontario.

Canadian Projects Limited of Calgary is the project manager, responsible for the overall construction. Groundbreaking for the project is expected to occur in the spring of 2005, with commercial operation expected no later than March 30, 2006.

GE Energy will supply 45 of its 1.5-MW wind turbines. Melancthon Grey will be the first installation in Canada of the 1.5sle model, which features a 77-meter rotor designed to optimize the area's winds. GE's 1.5-MW machines are the most widely sold and tested megawatt-class wind turbines in the world, with more than 2500 now installed

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