Iroquois Falls, Ontario
The Tunis Project is a 40 MW gas-fired generating facility located in Iroquois Falls, Ontario adjacent to the TransCanada Mainline. Atlantic Power indirectly owns 100% of the Project. Tunis was in commercial operation from 1995 through December 2014, when its Power Purchase Agreement (PPA) with the Ontario Power Authority expired. Subsequently, Atlantic Power entered into a new 15-year PPA for the Project with the Independent Electricity System Operator (IESO) that would commence between November 2017 and June 2019.
In the fourth quarter of 2017, the Company began work on returning Tunis to service as a simple-cycle plant with a targeted commercial operation date of the third quarter of 2018. Under the new PPA, Tunis will provide electricity to the Ontario grid only when required, thereby assisting to reduce the incidents of surplus baseload generation in the market. The new agreement provides the Tunis project with a fixed monthly payment which escalates annually according to a pre-defined formula while allowing it to earn additional energy revenues for those periods during which it is called upon to operate.