Capital Power signs large-scale virtual power purchase agreement with Saputo Inc.

EDMONTON, Alberta, March 27, 2024 (GLOBE NEWSWIRE) -- Capital Power (TSX: CPX) has entered into a 15-year virtual power purchase agreement (VPPA) with Saputo Inc. (TSX: SAP). The long-term commitment, supported by leading energy procurement advisor Schneider Electric, marks a key milestone in Saputo’s sustainability efforts as it makes significant strides towards its climate target for 2025 and future environmental goals.

The agreement pertains to Capital Power’s Canadian-based wind facility (Halkirk 2 Wind) currently under construction. Subject to final regulatory approvals and once operational, the portion of the wind facility contracted by Saputo will generate approximately 206,300 MWh of renewable electricity per year. The new VPPA will ultimately cut down Saputo’s global CO₂ footprint by 13 per cent (against its fiscal 2020 baseline).

“As a global leader in the food industry, it is vital we demonstrate our commitment to the long-term sustainability of the dairy industry,” said Carl Colizza, President and Chief Operating Officer (North America) for Saputo. “This VPPA is an important step in sourcing clean, renewable electricity to reduce the carbon footprint of our North American operations, so that we may play our part as a sustainable dairy processor and safeguard the environment for future generations.”

“We are pleased to collaborate with industry leaders such as Saputo and Schneider Electric in delivering reliable, affordable and decarbonized energy to our North American customer base,” said Jason Comandante, Senior Vice President, Head of Canada for Capital Power. “Through this agreement, we are again able to showcase our ability to collaborate and innovate, creating mutually beneficial partnerships to reduce emissions and support achieving broader climate change targets.”

“This collaboration between Saputo and Schneider Electric represents a global best practice for today’s needed energy transition, demonstrating the power of innovative partnerships and technology while also strengthening Saputo’s position as a leading sustainable dairy processor,” said John Powers, Vice President of Renewable Energy & Cleantech for Schneider Electric.

Capital Power Forward-looking information

Certain information in this news release is forward-looking information for Capital Power within the meaning of Canadian securities laws as it relates to anticipated financial or operating performance or events. When used in this context, words such as “expected”, “will” or similar words suggest future outcomes. By their nature, such statements are subject to significant risks, assumptions and uncertainties, which could cause Capital Power’s actual results and experience to be materially different than the anticipated results. Forward-looking information or statements included in this news release are provided to inform Capital Power’s shareholders and potential investors about management’s assessment of future plans and operations. This information may not be appropriate for other purposes. Material forward-looking information in this press release include, among others, expectations pertaining to the timing of commercial operations and the renewable energy generation output expected from the Halkirk 2 Wind project.