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Emera Q3 Earnings Increase to $40.9 million

HALIFAX, Nova Scotia, November 2, 2007, (EMA-TSX): Emera Inc.’s consolidated net earnings increased to $40.9 million in the third quarter of 2007 compared to $19.5 million in Q3, 2006. The increase in the quarter was largely due to a $10.8 million income tax recovery in Nova Scotia Power Inc. (NSPI). Earnings per share were $0.37 in Q3 2007 compared to $0.18 in the same period last year. Strong results year to date are driven by solid performance from Bangor Hydro-Electric (BHE) and the Bear Swamp hydro-electric generating station.

“We continue to see progress in our business.” said Chris Huskilson, President and Chief Executive Officer of Emera Inc. “The Brunswick Pipeline has cleared all regulatory hurdles and construction is about to begin. In addition, construction of the Northeast Reliability Interconnect (NRI) transmission line is complete and the line will be in-service in December as planned.”

NSPI earned $14.2 million before a $10.8 million income tax recovery in the third quarter compared to $12.7 million in Q3, 2006. This tax recovery is the result of the Canada Revenue Agency’s approval of the deductibility of certain capitalized expenses as requested by NSPI for the years 2000 to 2004 inclusive.

Bangor Hydro-Electric earned $9.1 million in the quarter compared to $5.1 million in Q3 last year. The increase relates to increased revenue and capitalized costs associated with the NRI development partially offset by the strong Canadian dollar.

Emera’s other operations contributed $6.8 million in Q3, 2007 compared to $1.7 million in Q3, 2006. The Bear Swamp generating facility had higher energy and capacity sales as well as strengthened mark-to-market on energy positions, primarily associated with the company’s long term contract with the Long Island Power Authority, in the third quarter of 2007 compared to Q3 of 2006. The Maritimes & Northeast Pipeline also reported increased earnings this quarter.

Consolidated cash from operations was $82.8 million in Q3, 2007, compared to $98.8 million in Q3 2006 reflecting increased operating working capital requirements.

Teleconference Call

Emera will be hosting a teleconference at 4:00 pm Atlantic time today (3:00 pm Toronto/Montreal/New York; 2:00 pm Winnipeg; 12:00 pm Vancouver) to discuss the Q3 2007 financial results.

Analysts and other interested parties wanting to participate in the call should dial 1-888-575-8232 (in Toronto 416-406-6419) at least 10 minutes prior to the start of the call. No pass code is required. The teleconference will be recorded. If you are unable to join the teleconference live, you can dial for playback toll-free at 1-800-408-3053 (in Toronto 416-695-5800), access code 3238704# (available until midnight, Friday, November 16, 2007). The teleconference will also be web cast live at www.emera.com and available for playback for one year.

Forward Looking Information

This news release contains forward-looking information. Actual future results may differ materially. Additional financial and operational information is filed electronically with various securities commissions in Canada through the System for Electronic Document Analysis and Retrieval (SEDAR).

About Emera Inc.

(EMA-TSX) is an energy and services company with $4.0 billion in assets. Electricity is Emera’s core business. The company has two wholly-owned regulated electric utility subsidiaries, Nova Scotia Power Inc. and Bangor Hydro-Electric Company, which together serve 590,000 customers. Emera also owns 19% of St. Lucia Electricity Services Limited, which serves more than 50,000 customers on the Caribbean island of St. Lucia. In addition to its electric utility investments, Emera has a joint venture interest in Bear Swamp, a 600 megawatt pumped storage hydro-electric facility in northern Massachusetts; a 12.9% interest in the Maritimes & Northeast Pipeline; and Emera Energy Services which manages energy assets on behalf of third parties. Visit Emera on the web at www.emera.com.

For more information, please contact:

Nancy Tower, FCA
Chief Financial Officer
(902) 428-6991

Jennifer Nicholson, CA
Director, Investor Relations and Strategic Development
(902) 428-6347