The companies currently have existing agreements in place which provide for the purchase of 850MW of hydroelectric power from Manitoba Hydro, although these start to expire 30 April 2015. The new agreements have been customized to match customer energy requirements as efficiently as possible and will extend the purchases through 2025.
“We are pleased to continue our nearly 30-year power supply relationship with Manitoba Hydro,” said Judy Poferl, president and CEO, Northern States Power Co.-Minnesota, an Xcel Energy company. “This partnership ensures the reliable flow of electricity to our customers across the Upper Midwest, and helps keep our rates reasonable and our environmental performance high.”
As part of the transaction, Xcel Energy and Manitoba Hydro have extended agreements in which the companies exchange power seasonally. Xcel Energy purchases additional power during the summer when its customers’ power demand is higher and provides power to Manitoba Hydro in the winter when their customers’ power demand is higher.
