APPENDIX C AESO PIP

Alberta Electric System Operator 1524 April 2016

Kent Energy Connection Needs Identification Document

1.0 Participant Involvement Program (PIP) From February 2016 to April 2016, the AESO conducted a Participant Involvement Program (PIP) to assist in preparing its Kent Energy Connection Needs Identification Document (NID). The AESO directed transmission facility owner (TFO), ATCO Electric Ltd. (ATCO), to assist the AESO in providing notification in accordance with NID19 and Appendix A2 of Alberta Utilities Commission Rule 007. 1.1 Stakeholder Notification The AESO’s PIP was designed to notify and provide information to all occupants, residents and landowners within the notification area of the proposed development, as well as to other interested parties, including the following government bodies, agencies and other stakeholder groups (Stakeholders):

• Alberta Culture & Tourism • Alberta Environment & Parks • Alberta Transportation • Cold Lake First Nation • Department of National Defence • Industry Canada • Municipal District of Bonnyville • Nav Canada • Telus Communications Inc. • Transport Canada

The AESO used a variety of methods to notify Stakeholders on the need for the Morrison 2051S Substation. The AESO developed a one-page Need Overview document that described the need for the proposed transmission development. A copy of this document was posted to the AESO website at http://www.aeso.ca/transmission/33316.html on March 7, 2016 and a notice was published in the AESO Stakeholder Newsletter on March 8, 2016. Copies of the Need Overview posting and the AESO Stakeholder Newsletter notice have been included as Attachments 1 and 2, respectively.

Alberta Electric System Operator 1524 April 2016

The Need Overview was also included with ATCO’s project-specific information package mailed on February 9, 2016 to the Stakeholders noted above. Attachment 3 includes a copy of ATCO’s information brochure. To ensure that Stakeholders had the opportunity to provide feedback, the AESO also provided Stakeholders with a dedicated, toll-free telephone line (1-888-866-2959) and a dedicated email address (stakeholder.relations@aeso.ca). AESO contact information, along with the AESO’s mailing address (2500, 330 5th Ave. SW, Calgary) and website address (www.aeso.ca), and a privacy statement that described how the AESO is committed to protecting Stakeholders’ privacy, were included on the Need Overview related to this application. As directed by the AESO, the TFO was prepared to direct any inquiries or concerns about the project need to the AESO. The TFO has indicated that Stakeholders have not identified any concerns or objections with the need for the proposed transmission development. 1.2 Public Notification Most recently, the AESO published a Public Notification of NID Filing to the AESO website at http://www.aeso.ca/transmission/33316.html on April 6, 2016 and a notice in the AESO Stakeholder Newsletter on April 7, 2016. Copies of the Public Notification of NID Filing posting and the AESO Stakeholder Newsletter notice have been included as Attachments 4 and 5, respectively. 1.3 Concerns and Objections Raised

The AESO has not received any indication of concerns or objections from any party about the need for the proposed transmission development. 1.4 List of Attachments

• Attachment 1 – AESO Need Overview • Attachment 2 – AESO Stakeholder Newsletter Need Overview Notice • Attachment 3 – ATCO’s Information Brochure – Morrison substation project

(February 2016) • Attachment 4 – AESO Public Notification of NID Filing (AESO Website

Posting) • Attachment 5 – AESO Stakeholder Newsletter NID Filing Notice

Alberta Electric System Operator 1524 April 2016

Attachment 1 – AESO Need Overview

FAST FACTAlberta’s electric

transmission system comprises the towers, wires and

related equipment that are a part of moving electricity from

where it is generated to where it is used.

The AESO is committed to protecting your privacy. Your feedback, comments and/or contact information collected by the AESO will be used to respond to your inquiries and/or to provide you with further information about the project. The AESO will not use your personal information for any other purpose and will not disclose your information without consent or a legal obligation. If you choose to communicate by email, please note, email is not a secure form of communication. Security of your communication while in transit cannot be guaranteed.

WHO IS THE AESO?

The Alberta Electric System Operator (AESO) is a not-for-profit organization with no financial interest or investment of any kind in the power industry. We plan and operate Alberta’s electricity grid and wholesale electricity market safely, reliably and in the public interest of all Albertans.

AltaGas Ltd. (AltaGas) has applied to the Alberta Electric System Operator (AESO) for transmission system access to connect its proposed AltaGas Kent Energy Plant in the Cold Lake area. AltaGas’s request can be met by the following solution:

PROPOSED SOLUTION

�� Add the new Morrison 2051S substation, which includes three 144 kV breakers.

�� Connect the Morrison 2051S substation to the transmission line 7L24 using an in-and-out configuration.

�� Add a 144 kV transmission line between the Morrison 2051S substation and AltaGas’s proposed Kent 328S substation.

NEXT STEPS

�� The AESO intends to apply to the Alberta Utilities Commission (AUC) for approval of the need in mid-2016.

�� The AESO’s needs identification document (NID) application will be available on the AESO’s website at www.aeso.ca/nid at the time of its application to the AUC.

The following organizations have key roles and responsibilities in providing access to the transmission system:

THE AESO:

�� Must plan the transmission system and enable access to it for generators and other qualified customers

�� Is regulated by the AUC and must apply to the AUC for approval of its NID

ATCO ELECTRIC LTD.:

�� Is the transmission facility owner in the Cold Lake area

�� Is responsible for detailed siting and routing, constructing, operating and maintaining the associated transmission facilities

�� Is regulated by the AUC and must apply to the AUC for approval of its transmission facilities applications

Need for the Morrison 2051S Substation in the Cold Lake area

NEED OVERVIEW: TR ANSMISSION DE VELOPMENT INFORMATION FOR STAKEHOLDERS

JANUARY 2016

CONTACT US

We appreciate your views, both on the need for transmission system development and proposed transmission plans. If you have any questions or comments, please contact us directly.

Alberta Electric System Operator Susan Haider AESO Stakeholder Relations

stakeholder.relations@aeso.ca 1-888-866-2959

2500, 330-5th Avenue SW Calgary, AB T2P 0L4 Phone: 403-539-2450 Fax: 403-539-2949

www.aeso.ca www.poweringalberta.ca

@theaeso

Project 1524

Alberta Electric System Operator 1524 April 2016

Attachment 2 – AESO Stakeholder Newsletter Need Overview Notice

Morrison 2051S Substation – Need for Transmission System Development in the Cold Lake area

AltaGas Ltd. has applied to the AESO for transmission system access to connect its proposed AltaGas Kent Energy

Plant in the Cold Lake area. AltaGas’s request can be met by the following solution:

• Add the new Morrison 2051S substation, which includes three 144 kV breakers

• Connect the Morrison 2051S substation to the transmission line 7L24 using an in-and-out configuration

• Add a 144 kV transmission line between the Morrison 2051S substation and AltaGas’s proposed Kent 328S

substation

The AESO has posted a Need Overview for this project on its website. Please click here to view the document or visit the AESO website at www.aeso.ca and follow the path Transmission > Needs Identification Documents > Morrison 2051S Substation.

Alberta Electric System Operator 1524 April 2016

Attachment 3 – ATCO’s Information Brochure – Morrison substation project (February 2016)

PROJECT NEWSLETTER

SHAPE the

conversation MORRISON SUBSTATION PROJECTYou are receiving this newsletter because new transmission facilities are being planned in your area.

The Morrison substation is needed to connect the proposed AltaGas Kent Energy Plant (a natural gas-fired power plant) to the provincial electricity grid. The planned facilities will be located on the southeast and northeast quarter sections of 13-62-3 W4M, approximately eight kilometres (km) southwest of the city of Cold Lake.

The project includes the construction of a new substation (to be called Morrison 2051S), a new 35 metre steel lattice telecommunication tower and approximately 1.5 km of new 144-kilovolt (kV) transmission line. The new transmission line will connect the Kent Energy Plant to the Morrison substation (please see the enclosed site plan). Alterations will be required to the existing 144-kV transmission line (called 7L24) in order to connect the Morrison substation to the electrical system. More information can be found in the Project Fact Sheet and Morrison Telecommunications Tower Newsletter included in this package.

ATCO Electric is seeking your input on how this project may affect you. If you are in the direct vicinity of the planned facilities, ATCO Electric will contact you in the coming weeks.

February 2016 1

When upgrades to Alberta’s electrical system are needed, they are identified by the Alberta Electric System Operator (AESO). The AESO is an independent, not-for-profit organization responsible for the safe, reliable and economic planning and operation of the provincial transmission grid. For more information about why this project is needed, please refer to the AESO’s Need Overview included with this letter, or visit www.aeso.ca.

If you have any questions or concerns about the need for this project you may contact the AESO directly or you can make your concerns known to an ATCO Electric representative who will communicate them to the AESO on your behalf.

Included in this package: • Project Fact Sheet - The

Technical Details

• Morrison Substation Site Plan

• Route Concepts Mosaic Map

• AESO Need Overview

• Project Newsletter - Morrison Telecommunication Tower

• AUC brochure: Public involvement in a proposed utility development

• Reply form and postage paid envelope

THE ALBERTA UTILITIES COMMISSION

THE SCHEDULE

PUBLIC CONSULTATIONis a continuous process that occurs throughout the life of the project

Our research indicates that you are in the vicinity of the proposed route concepts for the Morrison Substation Project. In the coming weeks, ATCO Electric will be contacting you to discuss the project.

Please let us know if you have any questions, concerns and/or suggestions regarding this project.

Consultation with landholders routinely leads to improvements on our projects. We have adjusted facility locations and modified plans because of conversations with landholders.

Your feedback will help us assess the facility locations chosen for the new substation and transmission line development.

ATCO Electric must consider a range of route constraints and barriers – including proximity to residences when determining transmission facility location. We undertake extensive studies to understand the potential impacts on wildlife, wetlands and other sensitive areas.

In addition to the in-person and telephone consultations that ATCO Electric will undertake, we invite anyone who is interested in this project to:• provide feedback and share other information using the

enclosed reply form and postage paid envelope;• be a part of the conversation. If you have any

questions, concerns or other information regarding this project, we want to hear from you.

The

Pro

cess

Alberta’s electrical system is regulated by the Alberta Utilities Commission (AUC), an independent agency of the province that ensures the fair and responsible delivery of utility services. Before ATCO Electric can begin construction on a project, the AUC must approve the facilities application, which includes details such as location of transmission facilities and routes. For more information about how you can participate in the AUC approval process, please refer to the enclosed AUC brochure, Public Involvement in a Proposed Utility Development.

Public consultation begins with sharing information about the project in order to find the best options

We gather your input. Based on this input and other factors, route option(s) are selected.

ATCO Electric submits an application to the AUC to build the proposed facilities.

The AUC reviews the application in a public process.

If approved, construction of the new facilities begins.

Transmission Routes

facilities completed and operating

project notification

April 2016

application filed with the Alberta Utilities Commission (AUC)

(proposed routes)

right-of-way acquisition process begins

September 2016

if approval is granted by the AUC, construction begins

AUC process continues

consultation continues

February 2016

Prior to consultation with landholders, ATCO Electric develops early route concepts. In selecting early route concepts, ATCO Electric considers numerous constraints and barriers, including:• Proximity to residences • Environmentally sensitive areas • Wetlands• Existing infrastructure (i.e. other

transmission lines, roads, highways, pipelines, telecommunication towers)

• Planned developments• Agriculture operations• Visual factors• Construction & land acquisition costs• Quarter and section lines• Other special considerations

(i.e. access roads)

The enclosed map shows the route concepts. New options may be developed in response to feedback, landholder consultations and ongoing studies of the project study area. Only one route will be selected and built.

If you are within the vicinity of any of the enclosed early route concepts, ATCO Electric will contact you to schedule a personal consultation. Anyone who is interested in speaking with ATCO Electric on this proposed project can contact us to arrange a consultation at their convenience. Please see our contact information on the back of this newsletter.

The

Rig

ht-o

f-W

ay The term right-of-way refers to the area a transmission

line uses – including areas on either side of the line. Rights-of-way must have a minimum width to ensure safety and ongoing access for maintenance.

For safety reasons, some general restrictions on the use of the land in the direct vicinity of the transmission line may apply. These include setbacks for development.

Details including width and position of the right-of-way will depend on the type and size of the required structure, existing land use, surrounding features and other factors.

The right-of-way will follow property boundaries if feasible and in some situations, will follow existing features like a road, pipeline or another power line.

The typical width of the right-of-way for this project is 18 m.

Once a proposed route has been submitted to the AUC, ATCO Electric begins coordinating agreements with landholders to acquire rights-of-way. Once a right-of-way is constructed, landholders continue to use the right-of-way subject to the terms of agreements made between the landholder and ATCO Electric.

Temporary Workspace and Access Trails

Temporary workspace and access trails may be required to complete the planned construction activities. Where required, the temporary workspace may extend beyond the right-of-way. The exact locations of all temporary workspace and access trails have yet to be determined and dimensions may vary with final plans. An ATCO Electric representative will contact you if temporary workspace or access is required.

CONTACT INFORMATION

Your comments and concerns are important to us. Please contact us if you would like to learn more about this project or if you would like to share information with us.

Call us toll free at: 1-855-420-5775 or contact the project planner directly: Right-of-Way PlanningATCO Electric10035-105 StreetEdmonton, AB T5J 2V6 Email: consultation@atcoelectric.comWebsite: www.atcoelectric.comFax: 780-420-5030

Alberta Electric System Operator (AESO) Phone: 1-888-866-2959Email: stakeholder.relations@aeso.ca

Alberta Utilities Commission (AUC)Phone: 780-427-4903(for toll-free, dial 310-0000 first) Email: consumer-relations@auc.ab.ca

Nicole Hupka

Phone: 780-733-2734

ATCO Electric

ATCO Electric develops regulated distribution and transmission projects andplays a key role in the growth of Alberta’s industrial sector. Headquartered in Edmonton with 38 offices throughout its service area, ATCO Electric serves nearly 224,000 customers in energy-rich northern and east-central Alberta.

With more than 85 years’ experience and approximately 2,200 employees serving 245 communities, the company builds, operates and maintains a safe, reliable system of approximately 11,000 km of transmission lines and 69,000 km of distribution lines. In addition, ATCO Electric operates approximately 4,400 km of distribution power lines on behalf of Rural Electrification Associations in its service territory.

Local Benefits

Upgrading the transmission system in your area will: • Improve access to safe, secure and reliable power• Allow future businesses to connect to Alberta’s electric system• Encourage investment in our province

If you are a local business, and would like information on ATCO Electric’s approved vendors list, please contact us toll free at 1-800-668-2248.

Alberta Electric System Operator 1524 April 2016

Attachment 4 – AESO Public Notification of NID Filing (AESO Website Posting)

AESO Public Notification of NID Filing Addressing the Need for the Morrison 2051S Substation in the Cold Lake Area

The Alberta Electric System Operator (AESO) advises you that it intends to file a Needs Identification Document (NID) for the Morrison 2051S substation with the Alberta Utilities Commission (AUC) on or after April 22, 2016 AltaGas Ltd. (AltaGas) has applied to the Alberta Electric System Operator (AESO) for transmission system access to connect its proposed AltaGas Kent Energy Plant in the Cold Lake area. AltaGas’ request can be met by:

• Adding the new Morrison 2051S substation, which includes three 144 kV breakers. • Connecting the Morrison 2051S substation to the transmission line 7L24 using an in-and-out configuration. • Adding a 144 kV transmission line between the Morrison 2051S substation and AltaGas’ proposed Kent 328S

substation.

The shaded area on the map indicates the approximate location of the Morrison 2051S substation which is at 13-62-3-4 In a separate application called a Facility Application, ATCO Electric Ltd. (ATCO), the transmission facility owner (TFO) in the Cold Lake area, will describe the specific upgrades to be performed and request AUC approval to construct and operate the specific transmission facility.

The AESO and ATCO presented this need to stakeholders, including residents, occupants and landowners, from February 2016 to March 2016. The AESO has considered feedback gathered from stakeholders, and technical and cost considerations, and will apply to the AUC for approval of the need for this transmission development. Once it is filed, the NID will be posted on the AESO website at http://www.aeso.ca/transmission/33316.html Please visit our website, www.aeso.ca for more information, or contact the AESO at 1-888-866-2959 or stakeholder.relations@aeso.ca

Alberta Electric System Operator 1524 April 2016

Attachment 5 – AESO Stakeholder Newsletter NID Filing Notice

Morrison 2051S Substation – Notice of NID Filing

AltaGas Ltd. has applied to the AESO for transmission system access to connect its proposed AltaGas Kent Energy

Plant in the Cold Lake area. AltaGas’ request can be met by:

• Adding the new Morrison 2051S substation, which includes three 144 kV breakers

• Connecting the Morrison 2051S substation to the transmission line 7L24 using an in-and-out configuration

• Adding a 144 kV transmission line between the Morrison 2051S substation and AltaGas’ proposed Kent

328S substation

The AESO intends to file the Morrison 2051S substation Needs Identification Document (NID) application with the Alberta Utilities Commission (AUC) on or after April 22, 2016, requesting that the AUC approve this NID. The AESO has posted the public notification for its NID filing on its website for the Morrison 2051S Substation. Please click here to view the document or visit the AESO website at www.aeso.ca and follow the path Transmission > Needs Identification Documents > Morrison 2051S Substation to see all the relevant documents, including the NID application once it is filed with the AUC.