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Hydro Ottawa Completes Purchase of Chaudière Falls Hydroelectric Assets

OTTAWA, Nov. 22, 2012 /CNW/ - Hydro Ottawa has completed the purchase, first announced in June 2012, of three hydroelectric plants and a 38.3 percent interest in the Ring Dam and remaining water rights at Chaudière Falls from Domtar Corporation for $46 million.

"This presents a tremendous opportunity for Ontario to add 21 megawatts of renewable run-of-the river hydro power, with the potential to expand that to more than 40 megawatts as we explore additional opportunities at this site," said Hydro Ottawa President and CEO Bryce Conrad.

"The Chaudière Falls generating stations have powered Ottawa's industrial expansion for over a century," said Ottawa Mayor Jim Watson. "What many people don't know is that Canada's oldest surviving hydroelectric facility still operates right here in the nation's capital."

Prior to the purchase, Hydro Ottawa already had over 100 years of experience operating hydroelectric plants at Chaudière Falls, where it owns and operates three plants, with Generating Station #2 originally built in 1891 and Generating Station #4 built in 1900. Both stations have been refurbished.

With the closing of the purchase of the three hydroelectric stations from Domtar, Hydro Ottawa's hydroelectric generating capacity will more than double to 38 megawatts, enabling the company to generate enough clean, renewable energy to meet the annual needs of 28,000 households.

Another benefit of the acquisition is that the Chaudière Falls site is one of the largest remaining hydroelectric sites available in Ontario, with an expansion opportunity that could see Hydro Ottawa's hydroelectric capacity grow to 60 megawatts.

The acquisition is a key part of Hydro Ottawa's strategic plan to pursue growth opportunities that benefit its customers, its shareholder - the City of Ottawa - and the environment. Hydro Ottawa is the largest municipally-owned producer of green power in Ontario.

About Hydro Ottawa
Hydro Ottawa Holding Inc. (Hydro Ottawa) owns and operates two subsidiary companies, Hydro Ottawa Limited and Energy Ottawa Inc.  Hydro Ottawa Limited is the third-largest municipally-owned electrical utility in Ontario, serving more than 305,000 customers in the City of Ottawa and the Village of Casselman. Energy Ottawa Inc., the largest municipally-owned producer of green power in Ontario, generates renewable energy and provides commercial energy-management services.

SOURCE Hydro Ottawa Holding Inc.

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