The acquisition of 10 hydroelectric projects by Hydro Ottawa from Fortis, Inc., adds about 31 MW of cumulative capacity to the Canadian utility's fleet.
The run-of-river plants, spread across Ontario and New York, will help Hydro Ottawa meet its four-year strategic goal of increasing its renewable offerings to account for about 25% of its overall energy mix.
"We want to increase renewable generation capacity and provide earnings that benefit our shareholder, the City of Ottawa, in an environmentally responsible way," president and CEO Bryce Conrad said. "After significant due diligence, risk evaluation and a thorough technical assessment of all assets, we concluded that this was an excellent business opportunity that wisely builds upon our existing generation assets portfolio."
Hydro Ottawa said the New York assets have a combined capacity of 22.6 MW and are located in Lyons Falls, Dolgeville, Philadelphia and Diana.
Meanwhile, the Ontario assets combine for 8.3 MW of capacity and are located in Ottawa, Rideau Lakes, Kingston, Gananoque and South Crosby.
"Hydro Ottawa is an industry leader when it comes to identifying and investing in innovative growth opportunities," Board of Directors chair Jim Durrell said. "This acquisition of clean, sustainable run-of-the-river hydroelectric facilities in our own backyard and with our neighbors across the border shows vision, coupled with long-term responsible planning on behalf of the City of Ottawa."
The deal's value -- executed by Hydro Ottawa subsidiary Energy Ottawa -- was not disclosed as the company is reportedly still in negotiations to acquire additional hydropower assets.
HydroWorld.com reported last March that Hydro Ottawa had been awarded a 40-year power purchase agreement that will allow for a 29 MW expansion of the Chaudiere Falls plant.
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