TransAlta Corporation announced today that it has entered into a long-term Power Purchase Agreement ("PPA") with Pembina Pipeline Corporation ("Pembina") for the offtake of 100 MW from its proposed 130 MW Garden Plain Wind Power Project ("Garden Plain" or "facility"), to be located approximately 30 km north of Hanna, Alberta. Under this agreement, Pembina will receive both renewable electricity and environmental attributes for an 18-year term. This long-term contract with Pembina enables TransAlta to add the 130 MW Garden Plain Wind Project to its growing wind generation fleet.
"Pembina views power purchase agreements as an effective tool to support development of renewable energy infrastructure, lower emissions and support the transition to a lower carbon energy system. With over 100 years of power generation experience, including extensive and growing renewable energy capacity, we are pleased to be working with TransAlta at Garden Plain and believe we have found the right partner to help Pembina accomplish its long-term goals," said Mick Dilger, Pembina's President and Chief Executive Officer.
"TransAlta is excited to partner with a great Alberta-based company like Pembina to make the Garden Plain project a reality. The delivery of low cost, reliable and clean energy solutions in support of our customer's sustainability goals and commitments is a cornerstone of our strategy. Pembina is a leader in this space and the perfect customer and partner for our next Alberta wind facility," said John Kousinioris, President and Chief Executive Officer of TransAlta.
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Pembina and TransAlta have entered into an 18-year PPA for 100 MW, commencing on the Commercial Operation Date ("COD") of Garden Plain. The PPA with Pembina provides the foundation that supports the investment in the 130 MW Garden Plain project. TransAlta is currently marketing the remaining 30 MW of the facility to commercial and industrial electricity customers that are looking to reduce the carbon intensity of their operations. To the extent contracts for the remaining 30 MW are not secured, the excess energy will be offered into the merchant wholesale power market in Alberta.
The project will consist of 26 Siemens-Gamesa SGRE SG-145 turbines with construction expected to begin in the fall of 2021, and with a target COD in the second half of 2022. TransAlta will construct, own and operate the facility. Total construction capital of the project is estimated at approximately $195 million.
Source: TransAlta Corporation
Date: May 4, 2021
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