AESO issues competitive procurement discussion paper

CALGARY, Sept. 20 /CNW/ - The Alberta Electric System Operator (AESO) issued a discussion paper on September 17 seeking input from stakeholders on the development of a competitive procurement process for critical transmission infrastructure.

"The projects identified as critical transmission infrastructure under the Government of Alberta's Electric Utilities Act must be developed in a timely and cost-effective manner while maintaining the integrity of the transmission system as a whole," says Shan Bhattacharya, Vice-President of Transmission. "To meet this goal, the AESO is committed to developing a fair competitive procurement process that achieves competitive pricing, encourages innovation and creates opportunity for new entrants, among others. We will develop this process using input and support from stakeholders."

Competitive procurement refers to the provision of specific transmission infrastructure through a process that enables all qualified bidders to compete in a fair, transparent and open environment for the right to build, own and operate or transfer an identified transmission infrastructure. Currently, transmission infrastructure is assigned based on service territory.

"The discussion paper outlines two alternative frameworks for structuring a competitive process for the procurement of critical transmission infrastructure. Other alternatives will be considered provided they meet the key objectives of the process," says Bhattacharya, who indicated that it will take six to 12 months to design and approve this process.

The AESO will review and consider all input received from stakeholders within and outside Alberta on the concepts to develop a competitive procurement process. The closing date for comments is November 4, 2010. The AESO will then develop a detailed competitive procurement process document to file with the Alberta Utilities Commission for approval.

For more information, please refer to the AESO's website: www.aeso.ca/transmission/21684.html

As an independent system operator, the AESO leads the safe, reliable and economic planning and operation of Alberta's interconnected power system. The AESO also facilitates Alberta's fair, efficient and openly competitive wholesale electricity market, which has about 200 participants and approximately $5 billion (2009) in annual energy transactions.

For further information: Ally Taylor, AESO Corporate Communications, Ph: 403-539-2729 (bus), Ph: 403-608-6172 (cell), Email: [email protected]