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Transmission Must-Run Services

Important Materials and Deadlines

Feb. 4, 2025 | Submission Deadline

Jan. 15, 2025 | Materials Posted:

Stakeholder Update - Jan. 15, 2025

The REOI opened on Wednesday, January 15, 2025 and will close at 3:30 PM (MT) on Tuesday, February 4, 2025. The REOI stage seeks to identify market participants who are interested in competing for a commercial agreement to provide TMR in the Grande Prairie region of the province and for the AESO to assess the qualifications of those interested market participants. Participation in the REOI stage is strongly encouraged for respondents that may wish to participate in in Stage 2 of the procurement.

After the REOI stage, the AESO will consult with the Market Surveillance Administrator (MSA) to determine contestability:

  • If contestable: The process will advance to the RFP stage, where eligible proponents will be evaluated in a fair and transparent manner. Evaluation criteria will be provided during the RFP stage, and successful proponent(s) will enter into a Final TMR Agreement with the AESO.
  • If non-contestable: The AESO may move directly to a Bilateral Negotiation stage, as outlined in Appendix B of the ISO Tariff.

This structured approach ensures that the procurement process remains efficient, transparent, and aligned with market oversight requirements.

Purpose

The AESO will be running a procurement process for Transmission Must-Run (TMR) Services. TMR is generation that is required to be online and operating at specific levels in parts of the province's electricity system to compensate for insufficient local transmission infrastructure relative to local demand. TMR is used to ensure reliability until adequate transmission infrastructure is built in that local area.

Given the location-specific nature of TMR, only specific units in Alberta may be eligible to provide it. The AESO may enter into a contract with these units when long-term requirements for TMR are identified.

Procurement Timeline

Ancillary Services (AS), like TMR, keep the transmission system running reliably and securely. AS are procured by the AESO in a fair, open, efficient, and competitive manner to the extent that a procurement is contestable between market participants.

The AESO has identified a foreseeable need for TMR in the Grande Prairie region and therefore is initiating a procurement to enter into a commercial agreement for TMR in the region. The procedure for procuring foreseeable TMR is set out in Appendix B of the ISO Tariff and includes two stages, depending on contestability, as follows:

Stage 1: Request for Expressions of Interest (REOI)

Stage 2: Request for Proposals (RFP) or bilateral negotiation


Request for Proposals (RFP) - March to April 2025

If the REOI stage is deemed contestable, the RFP stage will begin in March 2025, with proposals due in April 2025. The AESO will select successful bidder(s) by late Q2 2025.

The RFP documents will be available through the AESO’s procurement platform, Bonfire. Market participants must register on Bonfire to access the documents and submit their proposals. Detailed registration instructions, along with guidance on how to access the documents and submit proposals, will be provided on the AESO’s TMR Procurement page after the REOI Response Date.

Important Materials and Deadlines

Feb. 4, 2025 | Submission Deadline

Jan. 15, 2025 | Materials Posted:

Stakeholder Update - Jan. 15, 2025

The REOI opened on Wednesday, January 15, 2025 and will close at 3:30 PM (MT) on Tuesday, February 4, 2025. The REOI stage seeks to identify market participants who are interested in competing for a commercial agreement to provide TMR in the Grande Prairie region of the province and for the AESO to assess the qualifications of those interested market participants. Participation in the REOI stage is strongly encouraged for respondents that may wish to participate in in Stage 2 of the procurement.

After the REOI stage, the AESO will consult with the Market Surveillance Administrator (MSA) to determine contestability:

  • If contestable: The process will advance to the RFP stage, where eligible proponents will be evaluated in a fair and transparent manner. Evaluation criteria will be provided during the RFP stage, and successful proponent(s) will enter into a Final TMR Agreement with the AESO.
  • If non-contestable: The AESO may move directly to a Bilateral Negotiation stage, as outlined in Appendix B of the ISO Tariff.

This structured approach ensures that the procurement process remains efficient, transparent, and aligned with market oversight requirements.

Purpose

The AESO will be running a procurement process for Transmission Must-Run (TMR) Services. TMR is generation that is required to be online and operating at specific levels in parts of the province's electricity system to compensate for insufficient local transmission infrastructure relative to local demand. TMR is used to ensure reliability until adequate transmission infrastructure is built in that local area.

Given the location-specific nature of TMR, only specific units in Alberta may be eligible to provide it. The AESO may enter into a contract with these units when long-term requirements for TMR are identified.

Procurement Timeline

Ancillary Services (AS), like TMR, keep the transmission system running reliably and securely. AS are procured by the AESO in a fair, open, efficient, and competitive manner to the extent that a procurement is contestable between market participants.

The AESO has identified a foreseeable need for TMR in the Grande Prairie region and therefore is initiating a procurement to enter into a commercial agreement for TMR in the region. The procedure for procuring foreseeable TMR is set out in Appendix B of the ISO Tariff and includes two stages, depending on contestability, as follows:

Stage 1: Request for Expressions of Interest (REOI)

Stage 2: Request for Proposals (RFP) or bilateral negotiation


Request for Proposals (RFP) - March to April 2025

If the REOI stage is deemed contestable, the RFP stage will begin in March 2025, with proposals due in April 2025. The AESO will select successful bidder(s) by late Q2 2025.

The RFP documents will be available through the AESO’s procurement platform, Bonfire. Market participants must register on Bonfire to access the documents and submit their proposals. Detailed registration instructions, along with guidance on how to access the documents and submit proposals, will be provided on the AESO’s TMR Procurement page after the REOI Response Date.

Page last updated: 15 Jan 2025, 01:37 PM