Aeso System Access Service Agreement

- December 01, 2020

Keith Provost, former senior vice-president of Alberta Power Ltd (atco Electric), who has decades of experience in the energy supplier industry, argued that instead of marketing electricity contracts for future deliveries in a regulated market, AESO has its own system open to manipulation and not to a market without a system. According to AESO, the price of the pool is the arithmetic average of the 60 marginal one-minute system prices. Only accepted offers generate electricity and receive the price of the AESO pool. All accepted offers receive the same price, the price of the pool, not the price offered. [9] One of AESO`s tasks is to manage the system load when supply failures or excessive demand for electricity threaten the integrity of the electrical grid. In this case, AESO may order electricity suppliers to temporarily reduce the load through measures such as rolling power outages. In July 2012, six generators were shut down during a major heat wave that resulted in high demand on the power grid, with Edmonton, Calgary, Red Deer and Lethbridge affected by rolling power outages. [4] AESO has accused utility companies of reducing the burden on their customers. Doug Simpson of AESO said this had not been the case since 2006. [4] Alberta`s electricity policy changed in 1996, when the province restructured its electricity market from traditional to market-based. The market today includes a multitude of buyers and sellers and an increasingly diverse infrastructure.

ISA operates a market for electricity sharing in Alberta and strives to respect the principles of market equity, openness and efficiency. To this end, “ESO is closing with the owners of transport equipment to allow generators access to the electricity grid.” [3] THE main tasks and responsibilities of EESO are dictated by the Electric Utilities Act (EEA) of the Province of Alberta and the Transfer Regulation (T-Reg) and include, without restriction, that, according to its home page, AESO “operates independently of professional affiliations and has no transmission or market values.” [3] The price of unit electricity in Calgary was 14.81 cents per kWh in April 2013, compared to 6.87 cents per kWh in Montreal and 15.45 cents per kWh in Halifax. [8] The Alberta Electric System Operator (AESO) is a not-for-profit entity that is responsible for the planning and operation of the Alberta Interconnected Electric System (AIES) in a safe, reliable and cost-effective manner.

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