June 27, 2025 | Interest to Participate due (scroll to the bottom of the page to submit)
Purpose
The AESO is reviewing the current allocation of connection costs and investment methodology (AESO contribution policy), specifically the requirements in Section 4 of the ISO tariff, Classification and Allocation of Connection Project Costs.
Scope
Summaries of the history of connection costs allocation and ISO investment policy in Alberta
Explanation (including technical mechanics) of the current ISO tariff and policy
Presentation of what is working and not working, from AESO perspective, with current ISO tariff and policy
Gathering of stakeholder perspectives on what is working and not working with current ISO tariff and policy
Development of objectives for a future revised policy
Development of new connection costs allocation and AESO contribution policy, based on objectives determined in the engagement
Although there will be overlap and interdependencies, the below topics/workstreams are out of scope and will be covered in other workstreams:
Ancillary Services
Other priority and comprehensive tariff work; and
Optimized Transmission Planning (OTP)
OTP will have an impact on understanding drivers for new or upgraded transmission facilities and therefore price signals to stakeholders.
Engagement Schedule
Important Dates
June 27, 2025 | Interest to Participate due (scroll to the bottom of the page to submit)
Purpose
The AESO is reviewing the current allocation of connection costs and investment methodology (AESO contribution policy), specifically the requirements in Section 4 of the ISO tariff, Classification and Allocation of Connection Project Costs.
Scope
Summaries of the history of connection costs allocation and ISO investment policy in Alberta
Explanation (including technical mechanics) of the current ISO tariff and policy
Presentation of what is working and not working, from AESO perspective, with current ISO tariff and policy
Gathering of stakeholder perspectives on what is working and not working with current ISO tariff and policy
Development of objectives for a future revised policy
Development of new connection costs allocation and AESO contribution policy, based on objectives determined in the engagement
Although there will be overlap and interdependencies, the below topics/workstreams are out of scope and will be covered in other workstreams:
Ancillary Services
Other priority and comprehensive tariff work; and
Optimized Transmission Planning (OTP)
OTP will have an impact on understanding drivers for new or upgraded transmission facilities and therefore price signals to stakeholders.
Connection Costs Allocation & Investment Policy is currently at this stage
Problem identification & preparation for working group (materials, examples, training, etc.): One-on-one information gathering conversations with interested stakeholders. High-level summaries will be shared with the public.
Phase 1.1 | June - Oct. 2025
this is an upcoming stage for Connection Costs Allocation & Investment Policy
AESO development of materials: We will develop and research materials, models, jurisdictional review, examples and training for next engagement phase
Phase 2 | Oct. 2025 - Jan. 2026
this is an upcoming stage for Connection Costs Allocation & Investment Policy
Preparation for next phase of workstream by engaging broad stakeholder group:Provide information, background and workstream materials to all stakeholders and seek stakeholder feedback on:
Structure of a working group
Scorecard/objectives of workstream
Expectations and deliverables of working group
Phase 3 | Jan. - Dec. 2026
this is an upcoming stage for Connection Costs Allocation & Investment Policy
Working group connection costs options: Kick-off working group to develop potential options & assess against scorecard/objectives. Overlap with Phase 4 to ensure clear messaging on how the application will be framed.
Phase 4 | Q3, 2026 - Q1, 2027
this is an upcoming stage for Connection Costs Allocation & Investment Policy
Pre-application/application preparation: AESO will release Terms & Conditions blacklines and request stakeholder feedback prior to drafting its AUC application. Ongoing check-ins and updates will continue with the Phase 3 overlap to ensure clear communication on the preferred options