CYPRESS RECEIVES FEDERAL WIND INCENTIVE; GREENPOWER PRICE REDUCED

SaskPower's Cypress Wind Power Facility, located near Gull Lake, is helping to increase the development of wind power in Canada, thanks to a 10-year agreement with the Government of Canada, valued at $2.6 million.

The Government of Canada's Wind Power Production Incentive (WPPI) means SaskPower can reduce the price of its GreenPower product by more than 25 per cent on April 1st, making this environmentally advantageous form of electricity more affordable for GreenPower customers.

"Increasing our use of emerging renewable energy is part of Canada's plan to address climate change and improve air quality," Minister of Public Works and Government Services Canada Ralph Goodale said, on behalf of Herb Dhaliwal, Minister of Natural Resources Canada. "WPPI will help the industry in the marketplace and give consumers the option to choose cleaner energy sources, thereby building on our commitment to ensuring quality of life in communities, a healthy environment and continued economic prosperity."

"Saskatchewan's leadership in development of wind power is bringing real benefits to SaskPower customers across the province. Reducing the monthly premium for GreenPower from $3.50 to $2.50 improves the ability for customers to support the continued development of clean, renewable electrical generation in our province," Saskatchewan Crown Investments Corporation Minister Maynard Sonntag said. "Judging by the enthusiastic response to date from customers who have purchased GreenPower, I am confident this new, lower price for GreenPower will generate even greater interest."

The lower price also means that the provincial government will now be supporting enough GreenPower to meet about 20 per cent of the electrical needs in provincial buildings, as part of its long term support for GreenPower – an increase of 5 per cent compared to the old price.

The Government of Canada first announced WPPI in the December 2001 federal budget. Based upon its commissioning date of October 18th, 2002, the incentive for the production from the Cypress Wind Power Facility is valued at 1.2 cents/kilowatt hour.

GreenPower has been available to all SaskPower customers since April 2002. A 100-kilowatt hour block is about enough electricity for 20 loads of laundry, or to operate two farmyard lights for a month. The premium offsets the higher costs to produce GreenPower, compared to coal or natural gas electrical generation.

SaskPower's nine-turbine Cypress Wind Power Facility is located near Gull Lake and produces 5.9 megawatts (MW) of EcoLogo certified renewable electricity. Combined with the SunBridge Wind Power Project, Saskatchewan now has 17 MW of GreenPower – enough to serve about 7,000 homes – and makes Saskatchewan the third largest wind power producer in Canada.

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For More Information, Contact:

Larry Christie SaskPower Regina Phone: (306)566-3167 Cell: (306)536-2886

Alexandra Muir Natural Resources Canada Ottawa Phone: (613)947-8246