Hydro-Quebec says it has intensified its discussions with New York with the goal of signing a potential 20-year $ 10 billion electricity contract, even though New York State has just awarded a purchase contract. wind power of $ 5 billion.
“The exchanges are very active”, summed up in Journal a source well acquainted with the matter.
At Hydro-Quebec, spokesperson Serge Abergel maintained that the talks were taking place on a “regular basis” with New York City.
Recently, representatives from New York paid a visit to Montreal at the head office of the Crown corporation on René-Lévesque Boulevard West.
Hydro-Québec negotiators also participated in discussion sessions with their American counterparts in New York.
Last April, the mayor of New York, Bill de Blasio, unveiled an ambitious green plan in several parts, which includes the construction of a power line to connect his city to the Hydro-Quebec network.
New York’s goal is to sign an agreement by the end of 2020 to fully supply the city’s facilities with renewable sources within five years.
The final supply contract (nearly nine terawatt-hours) with Hydro-Quebec could bring up to $ 10 billion in its coffers over 20 years.
This is roughly the same amount that Hydro-Québec will receive for its contract signed with Massachusetts last year (9.45 terawatt-hours).
The State of New England will pay an average of 6.6 US cents (8.8 cents CA) per kilowatt hour for Quebec electricity.
Wind turbines at sea
In addition, the State of New York announced, a few days ago, the signing of a contract for the purchase of wind power of 1,700 megawatts (MW), valued at nearly five billion US dollars. .
The wind farm should deliver its first electrons to the New York power grid in 2024. It will be built off Long Island by the Norwegian giant Equinor, the American company Eversource Energy and the Danish firm Orsted A / S.
Hydro-Québec does not believe that this wind power purchase contract will harm its negotiations with New York City.
“On the contrary, this approach confirms New York’s commitment to its transition to clean energies and it represents a balancing opportunity for Hydro-Quebec,” summed up the spokesperson for the state-owned company.
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