13 December 2005

TORONTO – Macquarie Power Income Fund (TSX: MPT.UN - the “Fund”) today announced an increase to its monthly cash distributions from $0.07917 to $0.08333 per unit, the equivalent of $1.00 per unit on an annualized basis.  The distribution increase will apply to unitholders of record on January 31, 2006.

The increase in monthly cash distributions reflects the Fund’s strong financial position and the excellent financial performance of the Fund and its assets during the 2005 year to date, including the newly acquired 45% indirect equity interest in Leisureworld Senior Care LP (“Leisureworld”).

The Board of Trustees anticipates maintaining an annual payout ratio of less than 95% for the Fund for the 2006 financial year.

Mr. Gregory Smith, Chief Executive Officer of the Fund, said “We are pleased to be able to increase the Fund’s cash distributions per unit and deliver on our goal to profitably grow the Fund and distributions to unitholders.

“Since the Fund’s launch in 2004 we have demonstrated a steady improvement in the Fund’s financial performance and we have underpinned the stability of our long term cash flows through the acquisition in October of the interest in the Leisureworld long term care business.

“The Fund is in a strong financial position as we near the end of the 2005 fourth quarter and the outlook in 2006 is positive for the Cardinal Power and Leisureworld businesses.  This has enabled the Fund to implement the increase of over 5% in sustainable monthly cash distributions for unitholders,” Mr.Smith said.

Unitholders of record on January 31, 2006 will be eligible for the distribution increase, payable on or about February 28, 2006.

Standard and Poor’s has reaffirmed the Fund’s stability rating and distribution profile following consideration of the Fund’s increase in monthly cash distributions.

About Macquarie Power Income Fund
Macquarie Power Income Fund is an unincorporated limited purpose trust which owns a 156 MW gas-fired cogeneration power station located in Cardinal, Ontario and a 45% indirect equity interest in Ontario long-term care provider Leisureworld.  The Fund’s units are listed on the Toronto Stock Exchange under the symbol MPT.UN.  The Fund is managed by Macquarie Power Management Ltd., a wholly-owned subsidiary of Macquarie Bank Limited and a member of the Macquarie group.

Investor enquiries
Harry Atterton
Chief Financial Officer
Macquarie Power Management Ltd.
Tel: (416) 607 5198
Email: harry.atterton@macquarie.com

Media Enquiries
Suzanne Mercer
Public Affairs and Communications
Tel: (416) 607 5042
Email: suzanne.mercer@macquarie.com