OTTAWA — The Canada Infrastructure Bank (CIB) has announced it is lending $283.5 million to two Alberta electricity transmission companies, AltaLink L.P. and ATCO Electric Ltd., to build a new transmission line in the province.
The loan will support a new, 130-kilometre high-voltage power line in the counties of Red Deer, Lacombe and Stettler. The low-cost investment will save Alberta ratepayers approximately $135 million over the 30-year financing of the project.
According to the Alberta Electric System Operator, the transmission line is required to relieve power congestion and distribution capabilities in the area. The Central East Transfer-Out project will supply 750 megawatts of electricity to the grid.
This is the CIB’s first investment in energy transmission under its $10-billion Clean Power priority sector, which is intended to address financing gaps in new projects such as renewables, transmission, district energy systems and energy storage.
“Our partnership with AltaLink and ATCO will help future-proof Alberta’s transmission grid, increasing the amount of available power and enhancing power reliability. The investment will enable both transmission companies to advance the construction of the Central East Transfer-Out project, which will deliver energy safely and cost-effectively to homes and businesses in Alberta,” stated CIB CEO Ehren Cory in statement.