Ontario Power Generation, Niagara Parks Commission and FortisOntario sign Niagara Exchange Agreements

TORONTO, ONTARIO Ontario Power Generation (OPG), the Niagara Parks Commission (NPC) and FortisOntario (Fortis) recently signed the "Niagara Exchange Agreements" which provide for the long-term disposition of water rights and certain hydroelectric facilities on the Canadian side of the Niagara River.

The agreements provide for the long-term use of water at OPG's Beck stations, ensuring that the most efficient use is made of this water. The agreements also provide for the eventual transfer of three hydroelectric stations to NPC.

- Two former OPG generating stations - the historic Toronto Power GS and Ontario Power GS - will be transferred to NPC. With the signing of the NEA, NPC will now be in a position to consider tourism development alternatives for both the historic Toronto Power Generating Station and the Ontario Power Generating Station. Rankine GS will be transferred to NPC in 2009.

- OPG must carry out certain structural stabilization and certain environmental remediation work at Toronto Power GS and Ontario Power GS prior to transferring them to the NPC. OPG expects to transfer these stations to NPC by mid-2006.

- OPG receives Fortis' water entitlement for Rankine GS in return for supplying Fortis the equivalent of 75 megawatts of electric power supply and a payment of $10 million.

Ontario Power Generation Inc. is an Ontario-based electricity generation company whose principal business is the generation and sale of electricity in Ontario. Our focus is on the risk-managed production and sale of electricity from our generation assets, while operating in a safe, open and environmentally responsible manner.

The Niagara Parks Commission is a self-sustaining agency of The Ministry of Tourism and Recreation. It encompasses 56 km of parklands, gardens, recreation trails, retail outlets, restaurants, golf courses, attractions and historic sites. Revenues derived by the Commission are used to preserve and enhance the natural beauty of Niagara Falls and the Niagara River Corridor for the benefit of visitors.

Canada NewsWire