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NLIS 5
June 28, 2006
(Natural Resources)
 

Wind monitoring program to proceed in Labrador  

To support the continued efforts of the Government of Newfoundland and Labrador to use the province�s natural resources for the benefit of its people, Newfoundland and Labrador Hydro will oversee a monitoring program to measure the wind resource in Labrador .  

�Our government believes wind has great potential as a source of energy in Labrador and on the island,� said John Ottenheimer, acting Minister of Natural Resources.  �We also believe that wind must be developed in such a way that benefits accrue to the people of the province.  That is central to our government�s natural resource development policy.�  

The Labrador wind monitoring program is in line with government�s action to expand the mandate of Hydro to explore every aspect of the energy industry and pursue developments in the best interest of the province.  Among the emerging opportunities in this sector is wind power.  

Government is continuing its work to complete a comprehensive provincial Energy Plan, which is expected to be completed by the end of the year.  The plan will incorporate government�s public policy direction regarding the development of wind projects.  

�We are following a process to ensure that we understand the wind resources and we develop the appropriate policy framework around how it is developed,� Minister Ottenheimer said.  �Our Energy Plan will provide clarity to the people of the province and to potential developers on the parameters under which this resource will be developed.�  

In support of this policy development process, technical issues about developing wind need to be determined, which is why Hydro is proceeding with a Request for Proposals (RFP) for a monitoring program in Labrador .  

�Earlier this year, Hydro issued an RFP for 25 megawatts of wind generation for the island interconnected system to determine how wind could be added to current operations in a cost-effective and reliable manner,� said Ed Martin, Hydro�s president and CEO.  �Wind power generated on the island would be for domestic use and potentially reduce our reliance on the burning of oil for electricity.�  

However, the development of the Labrador wind resource presents different opportunities than for the island since wind in Labrador can be developed for domestic use and for export.  

�Hydro and wind developments are natural complements and therefore it makes sense that we would want to explore the potential for integrating the two,� Mr. Martin said.  �Our preliminary information indicates there is a significant wind resource in Labrador .  We have set in motion a process to measure the resources so we can make informed decisions.�  

The monitoring will take place over a 12-month period.  A full year of data is necessary to effectively assess the potential of a resource of this magnitude.  Information is also required on transmission requirements, the integration of wind with other opportunities in Labrador , such as the Lower Churchill Project, and potential market opportunities.  

�The potential of wind power has yet to be determined, or how it will be developed.  As the province�s Crown entity with the responsibility for electricity generation and transmission, Hydro will do its homework,� Mr. Martin said.  �We need that information documented and understood before a major wind project can proceed in the province.�  

�We will take the time necessary to ensure we understand wind and its potential as a source for Labrador and as an export,� Minister Ottenheimer said.  �As is the case with the development of the Lower Churchill, wind development will proceed based on sound public policy and a proven business case.�  

Media contact:

Tracy Barron, Communications, Natural Resources, (709) 729-5282 , 690-1703 , tracybarron@gov.nl.ca
Dawn Dalley, Manager, Corporate Communications and Shareholder Relations,
Newfoundland and Labrador Hydro, (709) 737-1315, 727-7715, ddalley@nlh.nl.ca  

2006 06 28                                                        2:20 p.m.


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