Issues request for biomass prices

Mar.
19, 2010, Toronto – Ontario Power Generation is issuing a request for
indicative prices for 90,000 tonnes/year of renewable wood-based biomass fuels
to potential suppliers for the Atikokan Generating Station. OPG will continue
to use costs of fuels, required plant modifications, and construction of fuel
storage and handling facilities to develop the business case for safe and
efficient commercial-scale biomass electricity generation.

“OPG
is continuing to move the biomass program ahead,” says Chris Young, OPG’s
vice-president of thermal generation development. “We are looking at making
Atikokan Generating Station, northwest of Thunder Bay, the first coal unit we
repower with biomass. Supply and price of fuel will be an important
consideration in making our final decision in the coming months.”

The
wood-based biomass fuel required for Atikokan Generating Station can take the
form of forest industry byproducts and harvested wood. If all of the wood
needed to meet this fuel requirement came from harvested wood, it would be less
than 1% of the current allowable annual harvest in Ontario. Suppliers will be
required to prove that biomass is being sourced from sustainable forest
management practices. Participation of Aboriginal groups will be part of the
submission evaluation. The request closes on May 12, 2010.

Information
on how to participate in the request for indicative prices for the supply of
wood-based biomass can be found on OPG’s website www.opg.com under biomass energy.