Category Archives: Energy

Federal Court of Appeal Provides Reasons in TMX Leave Applications

By: Nigel Bankes, Martin Olszynski and David Wright

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Decision Commented On: Raincoast Conservation Foundation v Canada (Attorney General), 2019 FCA 224.

On September 4, 2019, the Federal Court of Appeal (FCA) granted leave to six of the twelve parties who had applied for judicial review of Cabinet’s decision to re-approve the Trans Mountain Expansion (TMX) project. This post situates this most recent development in the broader TMX context and examines this rare instance of the FCA providing reasons in a leave decision. Continue reading

The Regulation of “Gas Utility” Transmission Pipelines in Alberta

By: Nigel Bankes

PDF Version: The Regulation of “Gas Utility” Transmission Pipelines in Alberta

Decision Commented On: ATCO Gas and Pipelines Ltd. Pembina-Keephills Transmission Pipeline Project August 6, 2019, AUC Decision 23799-D01-2019.

This decision of the Alberta Utilities Commission (AUC) deals with a large gas transmission pipeline designed to provide additional gas supplies to the Wabamun area (principally to provide fuel for coal to gas conversions of existing coal-fired generating facilities and additional gas generation). The decision reveals the surprising complexity of gas transmission pipeline regulation in Alberta. Continue reading

Regulatory Forbearance and the Status of District Energy Systems Under the Public Utilities Act

By: Nigel Bankes

PDF Version: Regulatory Forbearance and the Status of District Energy Systems Under the Public Utilities Act

Decision Commented On: AUC Decision 24056_D01-2019, ENMAX Independent Energy Solutions Inc., ENMAX District Energy Edmonton Exemption Application, August 1, 2019

In this decision, the Alberta Utilities Commission (AUC) had to decide whether a proposed network that would provide a service (in this case steam) to customers and that fell within the definition of a public utility should be granted an exemption under the provisions of the Public Utilities Act, RSA 2000, c P-45, (PUA). The AUC concluded that an exemption should not be issued. Continue reading

Carbon Security or Carbon Whimsy?

By: Nigel Bankes

PDF Version: Carbon Security or Carbon Whimsy?

Document commented on: Alberta’s Proposed Technology Innovation and Emissions Reduction System: Discussion Document, July 2019

This Discussion Document contains the Government of Alberta’s proposal to replace the current Carbon Competitiveness Incentive Regulation, Alta Reg 255/2017, (CCIR) with a Technology Innovation and Emissions Reduction (TIER) system for Alberta’s large final emitters (LFEs). If promulgated, the TIER system will effectively return us to the model of the Specified Gas Emitters Regulation, Alta Reg 139/2007 (SGER) first introduced by the Stelmach government in 2007, and then repealed and replaced by the Notley government’s CCIR effective January 1, 2018. Both the SGER and the CCIR are greenhouse gas (GHG) mitigation measures; both are emissions intensity schemes rather than cap and trade schemes; both require increased carbon efficiency over time (i.e. reduced carbon emissions per unit of output); both schemes offer covered entities access to flexibility mechanisms (including payments into a fund) to allow them to meet their targets in the most efficient manner; both impose a liability only on excess emissions over the target rather than on all emissions but still provide a pricing signal; both are designed to protect trade exposed sectors; and both focus on LFEs. Continue reading

Another Interconnection Application Crashes Out

By: Nigel Bankes

PDF Version: Another Interconnection Application Crashes Out

Decision Commented On: AUC Decision 24126-D01-2019, Keyera Energy Ltd, Cynthia Gas Plant Power Plant Application, June 25, 2019

In its Smith decision earlier this year, the Alberta Utilities Commission (AUC) concluded that a self-generator could only avoid the general “must offer, must exchange” obligations imposed by the Electric Utilities Act, SA 2003, c E-5.1, (EUA; and regulations) and the Hydro and Electric Energy Act, RSA 2000, c H-16, (HEEA) if it fell within one of the prescribed exceptions in the legislative scheme. ABlawg commented on the Smith decision here: Opening a Can of Worms. The AUC followed its Smith decision with two further interconnection applications in April and early June: AUC Decision 23756-DOI-2019, Advantage Oil and Gas Ltd. Glacier Power Plant Alteration, April 26, 2019; and AUC Decision 24393-D01-2019, International Paper Canada Pulp Holdings ULC Request for Permanent Connection for 48-Megawatt Power Plant, June 6, 2019. I commented on these latter two decisions here. Continue reading