Alberta electricity consumers continue to be punished by the Alberta government’s mismanagement, with the construction of new transmission lines costing more than double the cost of buried lines in other jurisdictions, according to my colleague, Wildrose utilities critic Joe Anglin, the MLA for Rimbey-Rocky Mountain House-Sundre.
Recently, the Blackstone Power Cable from Quebec to New York, which consists of two five-inch diameter cable lines that will be buried underground and underwater over 531 kilometres, was approved at a cost of $2.2 billion (roughly $4.1 million US per kilometre).
Transmission lines recently approved by the Alberta government cabinet without an independent needs assessment, such as the 66-kilometre Heartland Transmission Line that’s set to cost more than $600 million and will not be built underground (roughly $9.9 million Cdn per kilometre).
“These transmission lines will raise the cost of power bills for almost every Albertan in this province, yet this government continues to have no price controls on these lines,” Anglin said. “This government continues to bill Alberta for its mismanagement, as the cost of our above-ground transmission lines are more than double the cost of buried lines in other jurisdictions. Simply, this just doesn’t add up.”
The Wildrose believes the transmission lines approved under the former Bill 50, which are set to cost over $16 billion, should be approved through an independent needs-based assessment process and diversifying Alberta’s electricity market through cleaner and greener natural gas and hydro strategies.
“These transmission lines have been a boondoggle from the very beginning,” Anglin said. “Not once have Alberta consumers had a chance to receive a full public evaluation of their electricity needs, and now they are stuck on the hook for billions of dollars added to their power bills. The Alberta government isn’t building Alberta’s future; it’s billing Albertans for its incompetence.”
As we enter into the summer months, at long last, we will naturally consume less electricity. Your bill, however, will not go down accordingly.
Take, for instance, a bill of $140 for one month’s electricity. Taking into account the current rate of transmission, distribution, rate riders, local access fees and finally administration fees, they’re responsible for about 70 per cent of the total bill.
With the lion’s share of the bill being consumed by fees that will not change, you are left with $40 in usage to find any saving. Remember that your usage will now be half the electricity you actually used in the colder winter months.
It all adds up to a saving of $20, which is less than 15 per cent for a 50 per cent reduction in usage.
These fees and charges are designed to pay for the infrastructure to build lines we don’t need and you as a consumer have been required to pay for these projects without an independent-needs assessment.
Responsible infrastructure development can only be done with independent and transparent needs assessments. As the Official Opposition Wildrose caucus, we’re committed to pressuring this government to justify the majority of your power bill.
When travelling through the Drumheller-Stettler constituency, if you happen to catch a glimpse of the giant electrical towers, think back to what portion of your electrical bill goes to pay those towers that we do not need.
Rick Strankman is the MLA for Drumheller-Stettler. Email drumheller.stettler@assembly.ab.ca. Twitter: @RickStrankman. Website: www.RickStrankman.ca.
— From The Legislature