Reconsideration of ATCO Electric Z Factor for the Wood Buffalo Fire

In proceeding 28320, the Alberta Utilities Commission (the Commission) reconsiders the Z factor adjustment of ATCO Electric (ATCO) for the 2016 Wood Buffalo fire. On April 14, 2023, the Alberta Court of Appeal issued its decision regarding ATCO Electric Ltd. v Alberta Utilities Commission, 2023 ABCA 129 (the Appeal decision) where ATCO sought to appeal the Commission’s denial of ATCO’s loss recovery associated with the 2016 fires. The Commission’s original decision relied on ATCO Gas & Pipelines Ltd. v Alberta (Energy & Utilities Board), 2006 SCC 4 (the Stores Block decision) in which the Commission understood that ‘extraordinary retirements’ of assets are attributable to shareholders rather than customers. However, the Alberta Court of Appeal overturned the Commission’s decision (which depended on an interpretation and application of the Stores Block decision) and referred the matter back to the Commission.



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Fortis’s Application for Determining REA Asset Transfer Compensation

In Proceeding 28358, FortisAlberta Inc. (Fortis) requests the Alberta Utilities Commission (the Commission) to determine the amount of compensation that Fortis is to pay to Battle River Power Coop REA Ltd. (Battle River Power) for the transfer of electric distribution assets. The assets are in several municipalities that have recently passed bylaws requiring Battle River Power customers within municipal boundaries to take distribution services from Fortis.



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Alberta’s Renewable Generation Moratorium

The Government of Alberta issued a moratorium on the approval of renewable energy generation across the province until February 29, 2024. Additionally, the government also requires the Alberta Utilities Commission to commence an inquiry regarding the development and impact of renewable generation in Alberta. In the meantime, the Commission decided to continue processing renewable generation applications to the point where they require final approval. These decisions are likely to have some immediate effects on renewable generation planning, but the long-term outlook remains unknown until more details about the inquiry are made available.



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Micro-Generation Proposal Dispute

In Proceeding 28139, ATCO Electric Ltd. (ATCO) issued a notice of dispute over whether a micro-generation unit proposed by EvolvSolar meets the generator qualifications outlined in the Micro-Generation Regulation.

EvolvSolar and its client applied to ATCO to construct a solar system that would produce 296,667 kWh per year to power a farm grain drying process. ATCO did not approve the application because the site usage averaged only 204,600 kWh over the past two years (2021 and 2022). The Micro-Generation Regulation defines a micro-generation unit as one intended to meet all or a portion of the site’s annual energy consumption. ATCO, as the wires owner, believes the proposed project does not qualify as a micro-generation unit since it might produce more energy than what is consumed on site.[1]



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2024 GCOC Arguments

In proceeding 27084, interveners submit their arguments over the matters put forward by the Alberta Utilities Commission (the Commission) regarding the generic cost of capital (GCOC). The Commission had already decided to proceed with a formulaic approach that was previously approved in 2009 and had asked interveners to provide recommendations for the formula’s variables. Interveners previously submited evidence detailing their variable recommendations and have since provided arguments supporting their evidence. However, some interveners continue to argue against the formulaic approach, and most proposed a specific return on equity (ROE) ratios for the 2024 GCOC.  A significant portion of argument focused on debating whether business risk has increased or decreased in the province and why the level of risk justifies each intervener’s proposal.



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TransAlta’s 2022-2023 GTA Decision

In proceeding 27964, the Alberta Utilities Commission (the Commission) issues its decision on the 2022-2023 general tariff application of TransAlta Corporation (TransAlta). TransAlta requested a $9.0 million revenue requirement for 2022 and $9.4 million for 2023. The three main contentions in this proceeding centered around TransAlta’s non-union salary escalation rates, its operations and maintenance (O&M) agreement with AltaLink Management Ltd. (AltaLink), and its First Nations Advisory Committee costs.[1]



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Review and Variance Application of ATCO Gas PBR3 Base Revenue

In Proceeding 28244, The City of Calgary (Calgary) submits to the Alberta Utilities Commission (the Commission) a review and variance application of Decision 26616-D01-2023 which establishes the 2023 revenue requirement of ATCO Gas Distribution (ATCO). Calgary argues that ATCO’s 2022 14 percent return on equity triggers a re-calculation of ATCO’s rate base going into the third term of performance-based regulation (PBR3) which had excluded data from years 2021 and 2022.[1]



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2022 ISO Tariff Modernization Application Decision

In Proceeding 27864, the Alberta Utilities Commission (the Commission) issues its decision regarding the 2022 ISO Tariff Modernization Application applied for by the Alberta Electric System Operator (AESO). Intervenors opposed the AESO’s revisions to System Access Service Requests (SASRs) and Generating Unit Owner’s Contribution (GUOC) policies. The Commission accepts the AESO’s application as filed with only one change required to its GUOC proposal that allows an adjustment to the associated energization date under certain circumstances.[1]



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AltaLink’s 2024-2025 General Tariff Application

In Proceeding 28174, AltaLink Management Ltd. (AltaLink) submits to the Alberta Utilities Commission (the Commission) its 2024-2025 general tariff application along with the applications of KainaiLink, L.P. (KainaiLink) and PiikaniLink, L.P. (PiikaniLink) for review. Overall, AltaLink seeks to maintain its transmission tariffs at its 2018 levels and to correct accounting errors discovered since its previous application.[1]



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Decision on EPCOR’s 2023 System Access Service Rates Update

In Proceeding 28133, the Alberta Utilities Commission (the Commission) issues its decision on the 2023 System Access Service (SAS) Rate Update application of EPCOR Distribution & Transmission Inc. (EPCOR). EPCOR had filed an application with the Commission requesting approval to update its 2023 SAS rates effective July 1, 2023. The Commission already approved EPCOR’s 2023 SAS rates in December 2022. However, a week after issuing its decision, the Commission approved the 2023 Independent System Operator (ISO) tariff of the Alberta Electric System Operator (AESO), which included changes to the AESO’s demand transmission service (DTS) rate components. Therefore, EPCOR requested approval to align its SAS rates in accordance with the AESO’s DTS rate components. No additional interveners participated in this proceeding.[1]



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