Municipal Government Endorses Wind Energy Project for Santa Isabel

Municipal Legislature says project to turn municipality into a symbol of sustainable progress

Santa Isabel, Puerto Rico, November 7, 2010 - The Autonomous Municipal Government of Santa Isabel unanimously approved a Resolution endorsing the Finca de Viento Santa Isabel project, proposed by the Energy Affairs Administration (EAA), stating the project will turn the municipality of Santa Isabel into a symbol of progress for sustainable development.

Resolution No. 14 of November 4, 2010, approved unanimously by legislators of all three parties represented at the Municipal Legislature and signed by Mayor Enrique ("Quique") Questell, details the benefits that the municipality and the region will accrue once the project is developed. According to the Resolution, the construction and operation of Finca de Viento Santa Isabel will maximize the use of the municipality's agricultural lands and will establish a new industry in the region which will result in growing economic activity and job creation in Southern Puerto Rico.

"This Municipal Assembly acknowledges that the Finca de Viento Santa Isabel project will position Santa Isabel as a leader in the field of power production based on wind energy and will turn it into a symbol of progress, future and sustainable development throughout the Caribbean. We also acknowledge that projects such as this one comply with the purpose of covering a portion of the need that exists in Puerto Rico to promote the generation of renewable energy projects to promote the conservation of our natural resources and, at the same time, make way for the creation of jobs that push economic activity at the municipal and regional levels," states a part of the Resolution.

The Resolution further asserts that the project promotes the Government of Puerto Rico's public policy of diversifying its energy sources to reduce its dependence on fossil fuels and to protect the environment. The Public Policy Law for Energy Diversification through Renewable, Sustainable and Alternate Energy of Puerto Rico of 2010 establishes a mandatory compliance schedule with specific objectives for the diversification of power production from renewable sources (12% by 2015, 15% by 2020 and 20% by 2035), which can be met only if renewable energy projects such as Finca de Viento Santa Isabel are developed.

The Santa Isabel Municipal Legislature Resolution was approved in the wake of an Environmental Quality Board public hearing held Thursday to evaluate the Environmental Impact Statement submitted by the EAA, proponent agency for the project. During the hearing, the Department of Agriculture, the Department of Economic Development and Commerce (represented by the EAA) and the Puerto Rico Industrial Development Company also endorsed the Project.

Finca de Viento Santa Isabel will consist of the installation of up to 65 wind turbines on land belonging to the Puerto Rico Land Authority in Santa Isabel for the generation of up to 75 megawatts of clean, renewable energy. Pattern Energy, developer and operator of the project, will sell all the power generated to the Electric Power Authority for the next 20 years, in accordance to the Power Purchase and Operating Agreement both signed in June. It is estimated that the development of this first large-scale wind energy project will pave the way for the development of other renewable energy projects that are currently under evaluation.

The project contemplates a private investment of approximately $215 million and is expected to generate more than 300 direct, indirect and induced jobs during its construction and operation and will result in the most important large-scale wind energy installation in Puerto Rico and the Caribbean.

Collie Powell, Senior Project Manager and spokesperson for Pattern Energy in Puerto Rico, said that after rigorously studying various locations in Puerto Rico for the past three years, the company chose Santa Isabel to develop the project because the municipality has the optimal conditions to develop a large-scale wind energy installation. "Santa Isabel is blessed with the flow of strong trade winds during the day, which coincide with peak energy consumption hours and make it ideal to harness the wind for energy," said Powell.

The development of wind energy projects in Puerto Rico is regulated by Regulation 30 of the Puerto Rico Planning Board which specifically stipulates the compatibility of this type of project with agricultural activity. This is consistent with the experience in other jurisdictions and countries where the majority of wind energy projects are located in agricultural farms precisely because both activities are perfectly compatible.

"My 12 years of experience in the renewable energy industry have taught me that agriculture and wind power generation are perfectly compatible," said Powell, while adding that 75% of wind farms in the United States are located in agricultural land.

ABOUT PATTERN ENERGY GROUP LP
Pattern Energy Group LP is an independent, fully integrated energy company that develops, constructs, owns, and operates renewable energy and transmission assets in the United States, Canada and Latin America. With a long history in wind energy, Pattern’s highly-experienced team of scientists, engineers, construction experts, and legal and financial professionals has developed, financed and placed into operation more than 2,000 MW of wind power. Pattern’s development pipeline exceeds 4,000 MW of renewable energy projects and multiple transmission projects. Pattern currently has 384.4 MW of wind energy in operation in the U.S. and 138 MW under construction in southern Manitoba, Canada. With offices in San Francisco, San Diego, Houston, New York, British Columbia and Toronto, Pattern is strongly committed to promoting environmental stewardship and is dedicated to working closely with landowners and communities to develop and operate premier renewable energy projects. For more information, please visit www.patternenergy.com and www.santaisabelwind.com.