Green Mountain Power (GMP) has announced that it has reached an agreement with Enel Green Power North America (EGP-NA) to purchase 14 small hydroelectric plants for a total installed capacity of 17 MW.
These hydro plants are located in New England (US) and will provide GMP customers with locally-generated, cost-effective energy. In addition, Green Mountain Power has reached two long-term power purchase agreements with EGP-NA for power from Sheldon, Vermont and in Ticonderoga, New York.
The deal will create one of the lower cost renewable resources in GMP’s energy portfolio. GMP expects to sell a limited number of renewable energy credits from some of the plants to reduce costs for customers in the short term. GMP has now filed for all state and federal regulatory approvals that will enable it to go forward with the agreement with EGP-NA.
Green Mountain Power currently owns 32 hydro plants in Vermont. The addition of the 14 plants and the power purchase agreements adds enough energy to power 21,000 homes, and all together, more than half of the power is sourced from Vermont resources.
The agreement is subject to state and federal regulatory approval, and is expected to be completed in 2017.
Mary Powell, President and CEO of Green Mountain Power said:
“This is a great deal for our customers and for our overall commitment to provide the cleanest, most cost-effective and reliable power we can as we’re empowering customers to take control of their energy use. To become more energy independent as we transform the future of energy to more local generation, we appreciate the value of adding more of a resource long valued as a foundation of energy generation in Vermont – local power from our rivers.”
Tony Klein, a Vermont Representative and chair of the House Natural Resources and Energy Committee, stated:
“This is a great, cost effective way for GMP to help meet the renewable energy standards and goals set by the state. Growing Vermont’s renewable portfolio for ratepayers is critical and this new agreement will help ensure that happens for Vermont and Vermont rate payers.”
Neale Lunderville, General Manager of Burlington Electric Department, who understands the value of local, renewable generation, added:
“Hydroelectric plants are a long-lasting, dependable source of clean, environmentally responsible energy operating at stable and predictable costs. With the acquisition of the Winooski One Hydro Plant in 2014, BED was able to source 100% of its power from renewable generation. For utilities like Green Mountain Power, leveraging hydro power creates tremendous value, providing affordable, stable rates for Vermont customers, while growing the renewable portion of its portfolio.”