APPrO statement on the announcement of CESOP and CHP2, June 14 2007

For immediate release: June 14, 2007

Ontario’s Power Producers welcome new energy supply programs

TORONTO, June 14, 2007 - The Association of Power Producers of Ontario (APPrO) complimented the Ontario government on today’s announcement of both the Clean Energy Standard Offer Program (CESOP) and the release of further details on another round of Combined Heat and Power (CHP) procurement. “APPrO has been pushing for some time for both of these initiatives, which can be good for the environment and the economy, good for energy efficiency and electricity system reliability, and a good value proposition for participating generation developers and rate payers alike,” APPrO president Dave Butters said.

Butters noted that the CESOP makes standardized power purchase contracts available to encourage small “clean energy” projects in Ontario which use natural gas or under-utilized heat or energy, and that like the Renewable Energy Standard Offer Program (RESOP) introduced in November last year, the CESOP will also be among the very first of its kind anywhere. “Today’s announcement is a very positive step forward and we will work closely with the OPA over the next several months to ensure that the CESOP is as great a success as it can be in attracting new investment and reducing barriers to more clean, small-scale distributed energy in Ontario,” he added.

Larger high-efficiency CHP projects are also important for Ontario, and the results from last year’s CHP procurement process demonstrate that Ontario power producers, industries and communities can come together to bring economically attractive, high efficiency power projects to realization, Butters added.

“Since last year, APPrO members have been working closely with the OPA to find ways to reduce barriers and technical complications that might stand in the way of more CHP, so today’s announcement is further good news,” he said.

APPrO is a non-profit organization representing more than 100 companies involved in the generation of electricity in Ontario. APPrO's members currently produce over 95% of the electricity generated in Ontario from nuclear, hydro, fossil, wind, waste wood and other energy sources.

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For further information contact:

David Butters, President
Association of Power Producers of Ontario (APPrO)
25 Adelaide St. E., Suite 1602, Toronto ON M5C 3A1
tel: (416) 322-6549 or (647) 444-6549
fax: (416) 481-5785
e-mail: david.butters@appro.org
website: http://www.appro.org

Note to editors:

APPrO’s earlier comments on the Standard Offer and a number of resources for Standard Offer proponents are available on the organization’s website, or directly through the following links:

APPrO's web page of resources for Standard Offer Program proponents:
http://www.appro.org/SOCresources.html

APPrO releases framework document on climate change policy for Ontario, April 27, 2007

"APPrO commends 22 new power producers" - Response to the announcement of the first Standard Offer contracts, February 27, 2007

http://www.appro.org/APPrO_Submission_to_OEB_on_Standard_Offer_Program,_December_5,_2005.pdf

http://www.appro.org/APPrO_Perspectives_on_Standard_Offer_Contract,_Nov_16_2005.pdf

and

http://www.appro.org/APPrO_news_release_November_9_2006.html

Association of Power Producers of Ontario (APPrO)
PO Box 1084, Stn. F, Toronto, Ont. M4Y 2T7
tel.: 416-322-6549 fax 416-481-5785
e-mail: APPrO@APPrO.org website: http://www.appro.org