Canadian Hydro Developers Inc., through its wholly owned subsidiary, Canadian Renewable Energy Corp., says that its 197.8 MW Wolfe Island Wind Project is expected to achieve a target in-service date of June 30. The previously announced date was March 31.
Harsher than expected winter weather conditions have pushed back the project completion, and as a result, the project schedule has been revised for the remainder of the winter – reducing the total number of turbines erected each week based on performance to date.
The updated schedule has resulted in a revised expected capital cost from $450 million to $475 million – a 6% increase. The $25 million capital cost increase will be funded through available internal sources.
In spite of the various winter weather challenges, construction continues to progress at Wolfe Island, with 45 of the 86 turbines fully erected and the laying of the 7.8 km submarine cable completed. All turbines and components have been delivered to Wolfe Island, and work is under way on the interconnection to the mainland. It is expected that the first two of six electrical circuits, which comprise approximately 30 wind turbines, will provide energy to the provincial grid by April.
‘Our staff, contractors and subcontractors have performed admirably in the face of adverse working conditions, and we are proud of them for all that has been accomplished to date,’ says John Keating, CEO of Canadian Hydro.
The project is owned and will be operated by Canadian Hydro. It is expected to generate approximately 594 GWh annually of renewable energy. The project has a 20-year renewable energy supply contract with the Ontario Power Authority for the purchase of electricity and renewable energy certificates and will receive funding under the federal ecoENERGY for renewable power program.
SOURCE: Canadian Hydro Developers Inc.
Calgary, Alberta-based Hydro Developers Inc. (Canadian Hydro), through its wholly owned subsidiary, Canadian Renewable Energy Corp., has announced an update on the environmental screening process (ESP) for the Wolfe Island Wind Project.
The Ontario Minister of Tourism, on behalf of the Ontario Minister of the Environment, confirmed the decision by the director of the environmental assessment and approvals branch of the Ministry of Environment that an individual environmental assessment and mediation are not required for the project. Based on this final determination by the minister of tourism, the required statement of completion will be submitted, clearing the way for Canadian Hydro to proceed with construction, subject to any other permits and approvals required.
Based on the successful completion of the ESP, Canadian Hydro confirms the expected financial return on the project is unchanged from the company's original plan. This is due to an improved long-term wind energy estimate of more than 10%, to 593,500 MWh per year from the original plan of 537,000 MWh per year, which is offset partially by a revision of the construction cost to $450 million from $410 million, an increase of less than 10%, and a change in the commercial operation date from Oct. 31, 2008, to March 31, 2009. The new in-service date for the project is expected to have no impact on the company's 20-year renewable energy supply II contract with the Ontario Power Authority.
‘This approval is a culmination of the comprehensive work undertaken by Canadian Hydro with input received from various stakeholders every step of the way,’ says John Keating, CEO of Canadian Hydro. ‘We have demonstrated respect for the needs of the environment and the interests of diverse stakeholders. We are working diligently to develop a responsible, sustainable wind plant on Wolfe Island that will deliver many benefits to the community and province and look forward to the start of construction.’
SOURCE: Hydro Developers Inc.