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Press release from Marketwire

Northland Power Thorold Cogeneration Plant to Begin Commercial Operations

Monday, April 05, 2010

Northland Power Thorold Cogeneration Plant to Begin Commercial Operations09:01 EDT Monday, April 05, 2010TORONTO, ONTARIO--(Marketwire - April 5, 2010) - NOT FOR DISTRIBUTION TO U S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES OR ITS POSSESSIONS. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY CONSTITUTE A VIOLATION OF U.S. SECURITIES LAW. Northland Power Income Fund ("Northland") (TSX:NPI.UN)(TSX:NPI.DB)(TSX:NPI.DB.A) announced today that its wholly-owned Thorold cogeneration facility completed all tests required to achieve commercial operations under its Power Purchase Agreement ("PPA") with the Ontario Power Authority ("OPA") and has assumed operational control of the facility. Northland is currently awaiting confirmation from the OPA that the facility satisfied the OPA's test requirements and can commence full commercial operations. The Thorold facility was built by V. K. Mason, a subsidiary of Kiewit Construction Co. of Omaha, Nebraska. The highly-efficient and clean 265 megawatt natural-gas-fired combined cycle cogeneration plant is located adjacent to the AbitibiBowater recycled newsprint mill. Under the terms of the 20-year PPA, the Thorold facility will supply an average annual capacity of approximately 236 megawatts of power to the Ontario power grid. In addition to providing capacity to the OPA, the facility will supply the mill with electricity and steam under a 20-year energy supply agreement. This will help reduce AbitibiBowater's energy costs and enhance its competitiveness. "We are very pleased to have achieved this important milestone. With a capital budget of over $500 million, this was the largest project we have undertaken so far, and we are gratified that we can now start full operations," said John Brace, CEO of Northland. "Building on our relationship established at Thorold, Kiewit will soon begin construction of our 261 megawatt combined cycle plant in North Battleford, Saskatchewan. That project was awarded a 20-year PPA by SaskPower in February, 2010 and we are now completing financing and expect to start construction early this summer." ABOUT THE FUNDNorthland Power Income Fund is a Canadian income trust that has ownership or economic interests in 10 power projects totaling over 1,100 megawatts ("MWs") (net 872 MWs). The Fund's assets comprise natural-gas-fired plants which efficiently and cleanly produce electricity and steam as well as facilities generating renewable energy from wind and biomass. Sales are made almost entirely under long-term contracts with a current average duration of 14 years. The Fund's plants are located in Canada, the United States and Germany. In addition, the Fund's 86 MW Spy Hill project and the 261 MW North Battleford facility are in advanced stages of development. The Fund also has a diverse development portfolio of high-quality 'Clean and Green' energy projects, including wind, solar, natural gas, and hydro assets that supports the Fund's strategy of sustainable growth primarily through internally developed opportunities. The Fund's trust units and two series of convertible debentures, which trade on the Toronto Stock Exchange under the symbols NPI.UN, NPI.DB and NPI.DB.A respectively, are qualified investments for RRSPs and DPSPs under the Canadian Income Tax Act. The Fund has in place a distribution re-investment plan that allows Unitholders who are residents of Canada to automatically have their monthly cash distributions reinvested in additional units. Participants do not pay any costs associated with the plan, including brokerage commissions. For further information or to join the plan, contact your financial advisor or broker.FOR FURTHER INFORMATION PLEASE CONTACT: Northland Power Income Fund John Brace President & Chief Executive Officer 416-962-6262 x 115 or Northland Power Income Fund Boris Balan Director, Communications & Business Development 416-962-6262 x 116 or Northland Power Income Fund Barb Bokla Manager, Investor Relations 416-962-6262 x156 info@NPIFund.com www.NPIFund.com