2022 Tariff Modernization Application

Compliance filing approved

In Decision 28294-D01-2023 dated July 20, 2023, the Alberta Utilities Commission (AUC) approved revisions to Sections 3, 4, 5, 6, 8 and Appendix A of the ISO Tariff; new ISO Tariff definitions "system transmission facilities" and "needs approval" and amended ISO tariff definition "radial circuit" in the AESO’s Consolidated Authoritative Documents Glossary, effective July 20, 2023. The AUC also approved revisions to revisions to Section 7, effective September 1, 2023.

The AESO's ISO Tariff Compliance Filing Pursuant to Decision 27864-D01-2023 was submitted on July 4, 2023 to the AUC. For information regarding the application or the status of the proceeding, please visit the AUC's eFiling site and go to Proceeding 28294.

Application approved

In Decision 27864-D01-2023 dated May 31, 2023, the AUC approves an application filed by the AESO to revise certain sections of the ISO tariff, with the following exception: the AUC requires the AESO to revise its proposed revisions to Section 7, concerning the terms and conditions applicable to the GUOC, to reflect the alternative approach that the AESO provided in its argument.

The AESO is to submit a compliance filing that reflects the findings, conclusions and directions of the Commission in this Decision 27864-D01-2023 on or before July 4, 2023.

An application for approval of Tariff Modernization was submitted on December 9, 2022 to the AUC. For information regarding the application or the status of the proceeding, please visit the AUC's eFiling site and go to Proceeding 27864.

Purpose and intention

This 2022 Tariff Modernization Application is intended to propose revisions to the terms and conditions of the ISO tariff to better align with, and to provide stakeholders with clarity regarding existing AESO practices and process regarding system access service requests. The application is also intended to propose a structural change to the compensation formula that exists for the provision of conscripted transmission must-run (TMR) service in Section 8 of the ISO tariff, Ancillary Services, so that generators can be compensated for emissions compliance costs associated with the provision of conscripted TMR service. The application is also intended to speak to outstanding directions issued by the Alberta Utilities Commission in Decision 22942-D02-2019 regarding the AESO's 2018 comprehensive ISO tariff application.

Scope of application

The proposed scope of the 2022 Tariff Modernization Application is intended to consist mainly of administrative and non-structural changes to the ISO tariff with the exception of a proposed structural change in Section 8. The proposed scope includes:

Definitional updates
- Updated ISO tariff definition of “radial circuit”
- New ISO tariff definitions: “system transmission facilities” and “permit and licence”
Revisions to ISO tariff Terms and Conditions to align and to add clarity to:
- Section 3, System Access Service Requests
- Section 4, Classification and Allocation of Connection Project Costs
- Section 5, Changes to System Access Service
- Section 6, Financial Obligations for Connection Projects
- Section 7, Generating Unit Owner’s Contribution
- Section 8, Ancillary Services
- Section 10, Settlement and Payment Terms
- Construction Commitment, Rates DTS and STS pro forma agreements
Speak to directions outstanding from AUC Decision 22942-D02-2019

Stakeholder comments, AESO responses and Notice

The AESO received comments from stakeholders regarding the AESO’s proposed ISO Tariff revisions, to be included in the 2022 Tariff Modernization Application via the questions set out in the Stakeholder Comment Matrix - 2022 Tariff Modernization Application and Stakeholder Comment Matrix - Definitions posted on September 9, 2022. These comments were posted on the AESO website on October 12, 2022. On November 4, 2022, the AESO posted its responses to the stakeholder comments, together with an update to stakeholders regarding the scope and timing of its upcoming 2022 Tariff Modernization Application.

Thank you to all stakeholders who participated in this consultation.

On November 10, 2022, the AESO posted an updated version of the Stakeholder Comment Matrix and AESO Responses Matrix to reflect a correction to ENMAX Corporation and Capital Power’s comments on Question 13.

Revised ISO Tariff Blackline

The AESO advised Stakeholders that it would be posting a blackline of the revised ISO tariff changes for the 2022 Tariff Modernization Application, reflecting the AESO’s revisions to the scope of the application in response to Stakeholder comments.

On November 10, 2022, the blackline of the AESO’s revised proposed ISO tariff changes was posted.