Welcome to this week's edition of IPPSA Intelligence! |
Upcoming IPPSA Event A Conversation with the Honourable RJ Sigurdson
Wednesday, October 28, 2026 @ 11:00 AM - 1:00 PM
Fairmont Hotel MacDonald | |
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Alberta Electric System Operator |
Alberta Goes Permanent UTC-6 on Nov. 1; Market Participants Face System Update Deadlines Market & Regulation Effective 2:00 a.m. on November 1, 2026, Alberta will remain on daylight saving time year-round at UTC-6 — a permanent change that requires market participants to update and test their systems. The AESO has set October 9 as the feedback deadline on Alberta Time Change Administrative Amendments, with the REM IT Systems Working Group meeting October 20 and the Market Participant Sandbox Access Questionnaire due October 30. Separately, the IDR bill impact analysis deadline fell September 29, and transmission project activity continues under ANAP for Banff area needs and Lethbridge development, with activity expected on or after October 14. |
AER Outlines Hydrogen, Geothermal, Helium, and Lithium Forecasts to 2035 Storage & Emerging The AER's updated emerging resources outlook puts Alberta's 2025 hydrogen output at 2.6 million tonnes — mostly grey — and projects growth to 4.4 million tonnes by 2035, with Air Products, Linde, Suncor, and ATCO among active developers. Geothermal generation remains negligible at 1.7 GWh in 2025, and estimated supply costs of $236–$278/MWh make it uncompetitive without significant policy support. Helium output is recovering from 2024 insolvencies. Lithium is pre-commercial, with E3 Lithium, NeoLithica, and LithiumBank targeting production between 2028 and 2029. For power market purposes, the geothermal cost figures confirm it remains a long-term proposition, not a near-term grid contributor. |
AltaLink Completes Reorganization, Becomes Direct Regulated Utility and Successor Obligor Electricity, Generation & Infrastructure AltaLink Ltd. completed its internal reorganization on October 1, 2026, consolidating the former AltaLink L.P. structure into a single regulated transmission utility managed by AltaLink Management Ltd. AltaLink now holds all assets and liabilities previously under ALP and has assumed full obligations on ALP's outstanding debt securities. Continuous disclosure continues via SEDAR+. For Alberta's transmission sector, the change is largely structural — the same assets, same manager, same regulatory obligations — but it simplifies the entity's legal and reporting architecture, which may reduce complexity for future debt issuances and regulatory proceedings before the AUC. |
Red Deer County's Junction 42 Eyed for $300M Data Centre on 13.5-Acre Site Companies & Projects An unnamed developer has offered roughly $4 million to purchase a 13.5-acre lot in Red Deer County's Junction 42 business park near Penhold for a $300 million data centre. The site sits off Highway 42 west of Highway 2 and would require medium-industrial rezoning, a public hearing, and approvals from the AUC and Alberta Environment and Protected Areas. No power demand figures have been disclosed, which is the critical unknown for grid planning purposes — data centres at this scale can draw anywhere from tens to hundreds of megawatts, and AUC and AESO engagement will determine the actual interconnection burden on the local system. |
Northland's 80MW/160MWh Jurassic BESS Enters Commercial Operation in Cypress County Storage & Emerging Northland Power's Jurassic BESS — 80 MW and 160 MWh — achieved commercial operations in Cypress County, Alberta, making it the largest operational battery storage system in the province. The project came in ahead of schedule and under budget, financed with CA$120 million in non-recourse project-level debt and backed by a 15-year, 100% capacity offtake agreement. Northland projects roughly US$10.58 million in annual EBITDA. The facility is paired with Northland's adjacent 220 MW Jurassic Solar+ project. This is a concrete data point that contracted BESS projects with long-term offtakes can close financing and deliver on schedule in Alberta's market. |
Walton Seeks Zoning Overhaul to Enable Massive Data Centre Campus in Northeast Edmonton Generation & Infrastructure Walton Global Investments, through Stantec, has applied to amend the Edmonton Energy and Technology Park's area structure plan to permit data centres and power generation in the Medium Industrial Precinct, and to shift roughly 253 hectares from the Petrochemical Precinct into that same category. The City is accepting public feedback until October 25. Walton has disclosed no MW demand figures, construction value, named operator, or job counts — significant gaps given that Edmonton's grid already sits at approximately 1,400 MW load, with Meta's 970 MW and Keephills' 230 MW connections recently approved. AESO, AUC, and AER would all have roles in what could be one of the largest single load additions in Alberta's history, if the project materializes at scale. |
Manitoba Hydro Posts $446M Loss as Drought Slashes Generation and Drives Power Purchases Electricity Manitoba Hydro recorded a $446 million loss for fiscal 2025-26, ending March 31, 2026 — a dramatic swing from the $220 million profit it had budgeted and sharply worse than the prior year's $63 million loss. Drought reduced hydroelectric output and forced the Crown corporation to purchase replacement power at higher costs. For Alberta, this reinforces the reliability risk embedded in interprovincial hydro dependence: when precipitation fails, even large hydro systems become net power buyers rather than exporters. |
Saskatchewan Commits to Two Large Nuclear Reactors Targeting 2,600 MW by 2050 Nuclear Premier Scott Moe announced Saskatchewan will pursue two large nuclear reactors in the province's northwest, with site evaluation along the North Saskatchewan River now underway. The first unit could be online by 2042, with the pair delivering roughly 2,600 MW by 2050. The province is open to private financing and Indigenous equity partnerships and intends to export electricity to neighbouring provinces and the U.S. Saskatchewan is simultaneously exploring a small modular reactor near Estevan. |
Hydro-Québec Asks Regulator to Nearly Double Data Centre Electricity Rates to 13 Cents/kWh Market & Regulation Hydro-Québec appeared before the Régie de l'énergie requesting a new rate class for data centres above 5 MW, proposing an average price of 13 cents per kWh — up from a calculated current average of 6.82 cents. The utility projects data centre load could climb from 190 MW today to 1,000 MW by 2035. Opponents include Google, the Canadian Federation of Independent Business, Greenpeace, and Nature Québec; a second hearing phase is scheduled for December. |
Siemens Energy Flags Strong Gas Turbine Demand Into 2027, Plans €1B U.S. Manufacturing Expansion Generation & Infrastructure Siemens Energy CEO Christian Bruch told Bloomberg Television that gas turbine demand is solid heading into 2027, driven by data centres and broader electrification — not AI alone. The company sees no customer cancellations, conventional power remains its largest order backlog segment, and Siemens plans roughly €1 billion in U.S. capital expenditure to expand gas turbine and transformer manufacturing. For Alberta generators and new entrants planning gas capacity, the message is straightforward: equipment lead times are not easing, and competition for turbines will remain tight. The caveat Bruch acknowledged — that AI efficiency gains could reduce power demand forecasts — is worth watching, but does not change near-term supply constraints. |
IPPSA's Mandate IPPSA's mission is to convene industry, providing information, resources, and a forum for knowledge sharing, and to create opportunities for dialogue, collaboration, and education. This newsletter is meant to inform members but not advocate for specific outcomes. We always appreciate your feedback at info@ippsa.com. |
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