Infrastructure will enhance energy system
availability and reliability
- Central East Transfer-Out project to be constructed and
owned by AltaLink and ATCO.
- Will add 750 MW of electrical capacity to the
Alberta grid.
- 130 kilometres of new transmission line will help future
proof Alberta's transmission
infrastructure, increasing resiliency and enhancing power
reliability.
CALGARY,
AB, July 4, 2024 /CNW/ - The Canada
Infrastructure Bank (CIB) is providing Alberta electricity transmission companies,
AltaLink, L.P (AltaLink) and ATCO Electric Ltd. (ATCO) with
financing to construct a new transmission line in the counties of
Red Deer, Lacombe and Stettler.
The CIB's $283.5 million loan will
help advance a new, 130-kilometre high-voltage power line, which is
needed to reinforce and strengthen the reliability of the
electrical grid and increase access to available renewable
electricity generation in the region. This investment will save
Alberta ratepayers approximately
$135 million over the 30-year
financing of the project.
According to the Alberta Electric System Operator (AESO), the
transmission line is required to relieve power congestion and
distribution capabilities in the area. The Central East
Transfer-Out project will supply over 750 megawatts of electricity
to the grid.
Adding new transmission infrastructure will help to alleviate
grid congestion and unlock the capacity for new renewable energy
sources to come online to reduce the province's GHG emissions.
The CIB's flexible loan will allow AltaLink and ATCO to
construct and operationalize the new transmission infrastructure at
a lower financing cost, reducing the cost to Alberta ratepayers. Investing in projects like
this will strengthen Alberta's
grid, increase resiliency and enhance power reliability for future
generations.
This is CIB's first investment in energy transmission under its
$10 billion Clean Power priority
sector, which is dedicated to addressing financing gaps in new
projects such as renewables, transmission, district energy systems
and energy storage.
The CIB financing is subject to customary closing conditions,
including approval by the Alberta Utilities Commission.
Endorsements
The CIB's investment in the Central East Transfer-Out project
will improve Alberta's
transmission capacity while creating the opportunity for clean
energy sources to be added to the grid. As the CIB's first
investment through the Clean Power priority sector, this project
will help build a cleaner economy and support Alberta's clean energy transition.
The Honourable Sean Fraser, Minister of Housing, Infrastructure,
and Communities
Our partnership with AltaLink and ATCO will help future proof
Alberta's transmission grid –
increasing the amount of available power and enhancing power
reliability. The investment will enable both transmission companies
to advance the construction of the Central East Transfer-Out
project, which will deliver energy safely and cost-effectively to
homes and businesses in Alberta.
Ehren Cory, CEO, Canada
Infrastructure Bank
This investment is yet another step towards ensuring
Alberta's electricity system is
affordable, reliable, and sustainable for generations to come.
Collaboration is necessary for our grid to be prepared to meet the
province's future needs. As Alberta's government works towards modernizing
our grid, support from industry and the CIB is essential to
achieving these goals.
Nathan Neudorf, Minister of
Affordability and Utilities, Government of Alberta
As the demand for electricity continues to grow in Alberta's expanding economy, our goal remains
to provide reliable and affordable electricity to our customers.
With the support of the CIB, we are reducing the cost to our
customers for this important electrical infrastructure, while
strengthening the system and increasing access to renewable energy
sources.
Gary Hart, President and CEO,
AltaLink
The Central East Transfer-Out project will underpin Alberta's growing economy by addressing future
electricity availability and augmenting resiliency. Adding 750 MW
to our grid will meet this increasing demand while helping to
enable a modernized system that can more readily accommodate
renewable generation projects. Importantly, the Canada
Infrastructure Bank's significant investment will also help
maintain affordable rates for our customers by minimizing financing
costs.
Melanie Bayley, President, ATCO
Electric
Learn More:
Canada Infrastructure Bank
ATCO Electric
AltaLink
SOURCE Canada Infrastructure Bank