Other Vermont utilities have identified the amounts of power that they intend to buy under this agreement, which was negotiated by CVPS and GMP on their behalf. They will also be participating in the review process before the Vermont Public Service Board.
"The agreement will ensure that the cost of this renewable power from Qu bec remains linked to sustained market prices over time, while ironing out the highest of the highs and the lowest of the lows," CVPS President Bob Young and GMP President Mary Powell said in a joint statement. "The price will be tied to inflation and electricity market price indexes, ensuring we avoid price spikes, and it will begin at a rate comparable to what we pay Hydro-Qu bec today. This market-following component of the price will also benefit our customers by adjusting downward in the event that future power market prices decline. Overall, we believe it is an attractive deal for Vermont, and are pleased to include other Vermont utilities as well."
"We are very pleased to continue providing Vermonters with reliable renewable low-emitting energy," said Thierry Vandal of Hydro-Qu bec. "With this agreement, Vermonters are helping ensure that they maintain their commitment to renewable energy and minimize greenhouse gas emissions. Like all successful longstanding relationships, ours continues to be mutually rewarding."
Young, who recently announced plans to retire next May, said completing the contract was one of his top goals for his final year at CVPS. "We have made tremendous environmental gains over the past decade, and this agreement will provide long-lasting environmental benefits, especially compared to other baseload alternatives, which are more expensive and would result in significant air and greenhouse gas effects," Young said.
"At GMP, a key part of our energy strategy has been to pursue a broader partnership with HQUS and lock in long-term supplies with low economic and environmental costs," Powell said. "Today we can proudly say we have achieved that goal. This will serve our customers well."