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TransAlta Corporation, 2019-2021 General Tariff Application Compliance Filing and 2022 Interim Tariff Application, AUC Decision 26718-D01-2021

Link to Decision Summarized

Compliance – GTA

In this decision, the AUC determined that as a transmission facility owner (“TFO”), TransAlta Corporation (“TransAlta”), in its capacity as Manager of the TransAlta Generation Partnership, complied with directions issued by the AUC in Decision 26436-D01-2021 regarding TransAlta’s 2019-2021 general tariff application (“GTA”). TransAlta further requested, and the AUC approved revenue requirements of approximately $7.60 million for 2019, $8.37 million for 2020, and $8.16 million for 2021 on a final basis and an interim tariff of roughly $8.16 million for 2022 on a refundable basis.

2019-2021 GTA Compliance Filing

In Decision 26436-D01-2021, the AUC approved the line 113L/150L rebuild project expenses as a placeholder because TransAlta indicated that these expenses might have been billed to its rate base by AltaLink Management Ltd. (“AML”) by mistake. The AUC in Direction 4 required TransAlta to resolve this issue with AML and advise the AUC of a resolution. TransAlta reported that costs related to the line rebuild were billed to TransAlta’s rate base in error. To correct the error, AML refunded TransAlta an amount of $687,559, and the amount was subsequently reflected in AltaLink’s rate base. TransAlta also confirmed that it applied a corresponding reduction to the capital additions costs of the project.

The AUC was also satisfied that TransAlta complied with directions 1, 2, 3 and 5 and TransAlta’s revenue requirements of approximately $7.60 million for 2019, $8.37 million for 2020 $8.16 million for 2021 were approved as filed.

2022 Interim Tariff

TransAlta requested that its 2021 applied-for tariff of $8.16 million be approved as the 2022 tariff on an interim, refundable basis at a monthly rate of $680,052, effective January 1, 2022. The AUC found this request reasonable and approved the requested interim tariff for 2022 until it is replaced by a revised interim or a final tariff.

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