Alberta will add 5,000 megawatts of renewable energy capacity by 2030 through the Renewable Electricity Program, run by the Alberta Electric System Operator (AESO).
To meet this firm target, investment in Alberta’s electricity system will be solicited through a competitive and transparent bidding process, while ensuring projects come online in a way that does not impact grid reliability and is delivered at the lowest possible cost to consumers.
The program will also complement Alberta’s initiative to phase-out coal pollution to ensure system reliability is maintained at all times.
It's estimated $10.5 billion in new investment will flow into the provincial economy by 2030, creating at least 7,200 new jobs for Albertans as projects are built.
The AESO will gather feedback from industry on draft commercial terms before the first auction takes place in 2017.
The first competition will see investors bidding to provide up to 400 megawatts of renewable electricity. The competition:
- is open to all renewable technologies, with lowest cost qualified projects receiving support
- will support an indexed renewable energy credit payment mechanism
- requires supported projects to be operational by the end of 2019
- offers 20 year contract terms consistent with international norms
- requires projects to connect to existing transmission or distribution infrastructure to avoid indirect costs to electricity consumers
To be eligible for support within the Renewable Electricity Program, projects must:
- be based in Alberta
- be new or expanded
- be five megawatts or greater in size
- meet the Natural Resources Canada definition of renewable sources
Successful projects will be privately funded and supported by reinvesting a portion of carbon revenues from large industrial emitters. In addition, safeguards will be in place to ensure that the process is fair and transparent.
Support is available to help Indigenous communities, agriculture producers and educational institutions use renewable energy sources.