Hydroelectricity is officially flowing to the Minto Mine today after Premier Dennis Fentie flicked the "on" switch at the Yukon Energy Corp.'s control room, perched over the Yukon River.

"We saved all data and shut off all our computers," joked Fentie before clicking a mouse that turned off a smoke-spewing diesel generator graphic on control room screens, signifying the Minto Mine's transfer to green energy.

According to Gary McLaughlin, the energy corporation's (YEC) systems operator, hydroelectricity to the mine has been flowing since Nov. 19.

At a photo opportunity this morning, officials capped the $37-million "Phase I" hydro expansion project.

It's expected to reduce electricity prices, save 30,000 tonnes of greenhouse gas emissions annually and increase the profitability of Capstone's (formerly Sherwood Copper Inc.) Minto Mine.

"What you're witnessing is a very important step for Yukoners in meeting its energy needs, providing a clean energy source to industry while addressing our climate change commitments," Fentie said.

This hydro milestone brings the merger of the Mayo/Dawson and Whitehorse/Aishihik/Faro grids one step closer.

"We'll be shortly announcing how (Phase II) is going to unfold, so stay tuned," added Fentie.

Capstone president Stephen Quin, whose company contributed $7.2 million to extend the hydro line from Carmacks to Pelly Crossing and another $10 million for the spur line to its mine, expects to recoup its investment in three or four years.

"There's a significant benefit even with lower (fuel) savings," said Quin, comparing the past summer's $120/barrel oil prices versus the $50/barrel of today's marketplace.

"And (hydroelectricity) is significant insurance against increasing oil prices as we can cut off our fuel shipments ... thereby reducing our chances of accidents in transit or a fuel spill at the site."

And lower costs for the Minto Mine mean more profits and greater resource royalties flowing into Yukon coffers, added Quin.

Electricity demand at the mine will be between four and six megaWatts, which leaves the Whitehorse/Aishihik/Faro grid with surplus energy.

"There's more than enough to service all the load Yukon requires, going into the future," said YEC president David Morrison.