Ms. Katherine Perron reports

CAPITAL POWER SIGNS LARGE-SCALE VIRTUAL POWER PURCHASE AGREEMENT WITH SAPUTO INC.

Capital Power Corp. has entered into a 15-year virtual power purchase agreement (VPPA) with Saputo Inc. The long-term commitment, supported by leading energy procurement adviser Schneider Electric, marks a key milestone in Saputo's sustainability efforts as it makes significant strides toward its climate target for 2025 and future environmental goals.

The agreement pertains to Capital Power's Canadian-based wind facility (Halkirk 2 wind) currently under construction. Subject to final regulatory approvals and, once operational, the portion of the wind facility contracted by Saputo will generate approximately 206,300 MWh (megawatt-hours) of renewable electricity per year. The new VPPA will ultimately cut down Saputo's global CO2 (carbon dioxide) footprint by 13 per cent (against its fiscal 2020 baseline).

"As a global leader in the food industry, it is vital we demonstrate our commitment to the long-term sustainability of the dairy industry," said Carl Colizza, president and chief operating officer (North America) for Saputo. "This VPPA is an important step in sourcing clean, renewable electricity to reduce the carbon footprint of our North American operations, so that we may play our part as a sustainable dairy processor and safeguard the environment for future generations."

"We are pleased to collaborate with industry leaders such as Saputo and Schneider Electric in delivering reliable, affordable and decarbonized energy to our North American customer base," said Jason Comandante, senior vice-president, head of Canada for Capital Power. "Through this agreement, we are again able to showcase our ability to collaborate and innovate, creating mutually beneficial partnerships to reduce emissions and support achieving broader climate change targets."

"This collaboration between Saputo and Schneider Electric represents a global best practice for today's needed energy transition, demonstrating the power of innovative partnerships and technology while also strengthening Saputo's position as a leading sustainable dairy processor," said John Powers, vice-president of renewable energy and cleantech for Schneider Electric.

Territorial acknowledgement

In the spirit of reconciliation, Capital Power respectfully acknowledges that it operates within the ancestral homelands, and traditional and treaty territories of the indigenous peoples of Turtle Island, or North America. Capital Power's head office is located within the traditional and contemporary home of many indigenous peoples of the Treaty 6 region and Metis Nation of Alberta Region 4. Capital Power acknowledges the diverse indigenous communities that are located in these areas and whose presence continues to enrich the community.

About Capital Power Corp.

Capital Power is a growth-oriented power producer committed to net zero by 2045, with approximately 9,300 megawatts of power generation at 32 facilities across North America.

Capital Power prioritizes delivering reliable, affordable and decarbonized power that communities can depend on, building decarbonized power systems needed for tomorrow, and creating real net-zero solutions for customers. Capital Power is powering change by changing power.

About Saputo Inc.

Saputo, one of the top 10 dairy processors in the world, produces, markets and distributes a wide array of dairy products of the utmost quality, including cheese, fluid milk, extended-shelf-life milk and cream products, cultured products, and dairy ingredients. Saputo is a leading cheese manufacturer and fluid milk and cream processor in Canada, a leading dairy processor in Australia, and the top dairy processor in Argentina. In the U.S., Saputo ranks among the top three cheese producers and is one of the top producers of extended-shelf-life and cultured dairy products. In the United Kingdom, Saputo is the leading manufacturer of branded cheese and dairy spreads. In addition to its dairy portfolio, Saputo produces, markets and distributes a range of dairy alternative cheeses and beverages. Saputo products are sold in several countries under market-leading brands, as well as private-label brands.

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