Government of Alberta announces second and third rounds of 5000 MW Renewable Electricity Program

The Government of Alberta, a province in western Canada, has announced that the Alberta Electric System Operator (AESO) is preparing to open the second and third series of tenders in its Renewable Electricity Program. In total, the two tenders will award 700 MW renewable energy projects.

This announcement follows the considerable success of the first tender in the program, which took place in December 2017 and attracted CAD1 billion (US$795 million) private sector investment. 600 MW wind projects were tendered - 200 MW more than originally planned. They are expected to begin supplying the national grid by the end of 2019.

The second tender will have a procurement target of 300 MW. Each bid will have a minimum Indigenous equity component, which can include an ownership stake in the project or land use agreement between the company and the community. The Government of Alberta has defined Indigenous as one of the following: First Nation communities, Metis Settlements, Metis Nation of Alberta, Aseniwuche Winewak Nation or Indigenous-community owned organization and/or business. 

The aim of this component is to encourage and support the growth and economic development of Indigenous peoples in Alberta, and their participation in Alberta's broader electricity sector and the development of renewable electricity. Indigenous communities in the province have had a leading role in developing green energy through small-scale, micro-generation projects. This tender promotes a transition to larger, utility-scale projects.

The third tender will distribute 400 MW. Projects tendered in both rounds must be located in Alberta and be able to connect to existing distribution or transmission systems. The minimum eligible capacity is 5 MW.

AESO will provide competition proposals for both rounds at the end of this month, with Requests for Expressions of Interest being issued at the end of March. Requests for Qualifications will be issued at the end of April, with submission deadlines in mid-to-late June, followed by Requests for Proposals in mid-September. The authority hopes to award contracts in December 2018.

In total, the Renewable Electricity Program will support the development of 5,000 MW of renewable capacity, supporting the government's target of 30% renewable energy by 2030.