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Press release from Marketwire

Northland Power Completes Financing for Saskatchewan Peaking Plant

Friday, April 30, 2010

Northland Power Completes Financing for Saskatchewan Peaking Plant09:34 EDT Friday, April 30, 2010TORONTO, ONTARIO--(Marketwire - April 30, 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 it has achieved financial close for its wholly-owned 86 megawatt Spy Hill peaking plant in Saskatchewan. Under the terms of the financing, a consortium consisting of the Canadian Imperial Bank of Commerce, the Bank of Montreal, and the Bank of Nova Scotia will provide term financing of $111 million. The remaining equity for the $141 million project is being provided by Northland."We are very pleased to have completed this important milestone for the Spy Hill project and with the support we received from the members of the banking consortium," said John Brace, CEO of Northland. "The confidence that the financial community has shown in our projects and our project finance strategy gives us even greater assurance that our continuing development portfolio of clean and green projects can be financed on a competitive basis. We are currently working on financing the 261 megawatt North Battleford combined cycle plant in Saskatchewan, and we look forward to arranging financing for the first of the over 200 megawatts of solar, wind, and hydro projects we were awarded under the Ontario Feed-in-Tariff program."Construction of the Spy Hill facility will begin in June 2010, and completion is expected in the fall of 2011. When completed, the facility will supply peaking power to SaskPower under a 25-year Power Purchase Agreement. ABOUT NORTHLANDNorthland Power Income Fund is a Canadian income trust that has ownership or economic interests in 10 power projects totaling over 1,100 megawatts ("MW") (net 872 MW). 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 416-962-6266 (FAX)