Like Ontario Experienced, Alberta’s Electricity Prices will become a Political Issue in 2018

Albertans will go to the polls on a date between March 1 and May 31, 2019 according to its fixed-election-date legislation. But, already, AlbertaPowerMarket.com is seeing articles in newspapers, debates on social media, questions being asked in the Alberta Legislature and our industrial clients ask us about the rising price of electricity in Alberta.  This… Read More

RESAs Handed Out in Alberta: Ten Takeaways from the REP Round 1 Results

Round 1 of Alberta’s Renewable Electricity Program (REP) concluded this week with the award of the following Renewable Electricity Support Agreements (RESAs): Proponent Project Size (MW) Location Capital Power Corporation Whitla Wind 201.6 Medicine Hat EDP Renewables Canada Ltd. Sharp Hills Wind Farm 248.4 Oyen Enel Green Power Canada, Inc. Part 2 of Castle Rock… Read More

REP Round 2: Indexed-REC, Benchmark-REC or Something Else?

We will know shortly which renewable power projects were successful in Alberta’s REP Round 1 procurement for 400 MW of new renewable power. REP stands for the Renewable Electricity Program.  This program, administered by the Alberta Electric System Operator (AESO), is intended to encourage the development of 5000 MW of new renewable electricity generation capacity… Read More

Capacity Market Design in Alberta: Competing Views on the Length of the Delivery Period

We are going to know soon what the new capacity market for electricity will look like in Alberta.  The capacity market design work, led by the Alberta Electric System Operator (AESO), started in January.  Since then the AESO has issued a series of straw proposals on various design issues (each called a “Straw Alberta Market”… Read More

AUC Reaffirms Option M and the Policy of Paying Generators the Transmission Savings from Distributed Generation

Distributed Generation (DG) refers to smaller-sized generation projects (generally less than 20MW) that are directly connected to the lower voltage local electricity distribution systems that service consumers. DG is distinguishable from much larger-sized generation projects that are directly connected to higher voltage transmission lines that first transmit the power longer distances, and deliver it to… Read More

Selling Electricity for Nothing in Alberta: More Zero Dollar Hours in 2017

Earlier this month the National Energy Board (NEB) issued a news release drawing attention to the fact that Alberta wholesale electricity prices have already set an annual record this year for the number of hours that generators received zero dollars for the power they generated.   According to the Market Surveillance Administrator’s Q2/17 Quarterly Report… Read More

Time Out Please: AESO Offers Generators Some Connection Flexibility

New electricity generation projects in Alberta are required to complete a gated six stage connection process in Alberta (Connection Process) before they can be connected to the grid. There are actually seven stages, if you count what the Alberta Electric System Operator (AESO) calls Stage 0. The Connection Process was implemented by the AESO in… Read More

Balancing Pool Proposes to Terminate Sundance PPAs with TransAlta

AlbertaPowerMarket.com previously described here how the Balancing Pool, a public body here in Alberta, has become a very important player in the Alberta electricity market.    We also promised to update you on important Balancing Pool developments.  Earlier this week, when our neighbours to the South were celebrating July 4th, the Balancing Pool announced that, subject… Read More

Unpacking Distributed Generation: The Alberta Utilities Commission’s Challenge

What is the AUC doing? The Alberta Utilities Commission (AUC) has been requested by the Province to hold an inquiry into and report on matters relating to distribution system-connected generation (“DG”) in Alberta.  Facilitating significant growth in DG would help the Province achieve its goal of having 30% of Alberta-generated electricity be from renewable sources… Read More

Economic Withholding by Generators in Alberta’s Electricity Market

Economic withholding is now a questionable pricing strategy for generators to use in Alberta due to the May 26, 2017 decision of Alberta’s Market Surveillance Administrator (MSA) to revoke its Offer Behaviour Enforcement Guidelines (OBEG). Economic withholding has not been expressly prohibited by the MSA, but the revocation of OBEG by the MSA means that… Read More