CIB invests $283.5 million in new Alta. transmission line
by CM Staff
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.
View of fragment of power line as component of large electrical networks and system of power equipment. Electricity transmission, electric current. (CNW Group/Canada Infrastructure Bank)
CALGARY — 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 reportedly 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 reportedly 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 may strengthen Alberta’s grid, increase resiliency and enhance power reliability for prospecting businesses.
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.
“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,” said Ehren Cory, CEO, Canada Infrastructure Bank.
