Ontario Power Generation's nuclear power plant at Pickering, Ont.Louie Palu/The Globe and Mail
Ontario Power Generation has reported a loss of $29-million in second quarter, compared with $306-million profit a year earlier, affected by a decision to delay seeking a rate increase for its electricity.
"As a result, the rates that we receive for electricity from our nuclear and large hydroelectric stations have been unchanged since April 1, 2008, a period of 28 months." chief executive officer Tom Mitchell said Friday in a news release.
Ontario Power Generation has filed an application with the Ontario Energy Board for new rates and if approved, the new rates would take effect on March 1, 2011, until the end of 2012, Mr. Mitchell said.
"This would be only the second increase in OPG's regulated rates since 2005," he said.
Total electricity generated during the three month period ended June 30 was 19.7 terawatt hours, compared to 20.9 TWh for the same period in 2009.
The 5.7-per-cent decrease in production was primarily a result of lower electricity generation from OPG's unregulated hydroelectric generating stations due to the impact of low water flows, the electricity generating company said.
Net income for the six months ended June 30, 2010 was $114-million compared to net income of $297-million for the same period in 2009.
"Although OPG experienced a reduction in net income in the first half of 2010 compared to last year, our operational performance was strong," Mr. Mitchell said.
"Our generating stations reliably provided much needed power during Ontario's first heat wave of the summer. Production from our nuclear and thermal stations increased."
Hydroelectric production was lower because of extremely low water levels caused by below normal precipitation across Ontario," he said.