Alberta Power Prices Among Highest in Country
Alberta power consumers have been complaining a lot during the past few years about our high electricity costs.
This Calgary Herald article indicates Alberta’s electricity prices are among the highest in Canada. Sheldon Fulton of the Industrial Power Consumers Association of Alberta says power prices are so high in Alberta because of the market volatility that can push the megawatt-hour price to as high as $999/MWh when power plants shut down either unexpectedly or intentionally. The news article indicates Alberta is the only jurisdiction in Canada with a fully deregulated market that sets the price hourly.
There are many other reasons Alberta’s power prices are high, including the skyrocketing costs of building the massive electricity transmission network that most Albertans think is unnecessary, or at minimum an overbuild. Once the new legislated 500kV lines are completed, our electricity rates will be even higher. Alberta ratepayers foot 100% of the transmission infrastructure costs while companies such as AltaLink, EPCOR and ATCO Electric assume no risk and are guaranteed annual investment returns of no less than 9%.