The decision ends rumours that the utilities provider was to pull the plug on the relationship, which is the longest running sponsorship in ITV's history, having begun in September 1989.
Despite speculation to the contrary, the sponsorship will remain a vehicle for the existing UK brand rather than carrying the logo of Powergen's new German parent company, E.ON.
Suggestions had been rife that the broadcast deal was under threat after E.ON signed a £32m, four-year deal with the Football Association last month to become headline sponsor of the FA Cup.
The investment in the football tie-up has already marked the end of Powergen's existing associations in both rugby codes. The company announced last week that its rugby sponsorships would finish at the end of this season.
Powergen is in the process of rebranding its corporate arm to E.ON and has run ads to inform consumers that it is part of the group. However, a spokesman insisted that the Powergen name would remain in use 'for the foreseeable future'.
Helen Merrick, head of brand strategy and communications at Powergen, said: 'The renewal of our sponsorship lets us continue to reach into British homes through ads that encourage viewers to have a gentle laugh at Bob and his friends observing a subject dear to people's hearts - the British weather.'
Publicis creates the advertising for Powergen's ITV weather sponsorship.
The E.ON buyout has prompted a restructure at Powergen, with top marketer Paul Parmenter leaving at the start of the year (Marketing, 11 January).