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chemgear · 03-29-2016, 07:27 AM

http://calgaryherald.com/news/politi...a-terminations

The NDP government’s challenge of Enmax’s decision to dump its unprofitable coal-fired power contract into the lap of consumers has little chance of success, says a University of Calgary law professor.

Enmax terminated its power purchase arrangement (PPA) for the Battle River coal-fired power plant in January on the basis that it was no longer profitable as a result of low power prices and changes in law to hike the carbon levy on heavy carbon emitters.

Since then, TransCanada, with partner AltaGas Pipelines, and Capital Power have also terminated their PPAs for electricity from coal-fired power plants — all relying on a clause in the arrangements that enables them to get out of them if the government makes a change in law to render them “more unprofitable.”

Bankes said he assumes the government was aware of the clause when it made its decision to hike the carbon levy last June.

“People who had been working on this file over the decades would know that and one would assume that they brought it to the attention of their political masters,” he said.

03-29-2016, 07:27 AM	#461
chemgear Franchise Player Join Date: Feb 2010 Exp:	http://calgaryherald.com/news/politi...a-terminations The NDP government’s challenge of Enmax’s decision to dump its unprofitable coal-fired power contract into the lap of consumers has little chance of success, says a University of Calgary law professor. Enmax terminated its power purchase arrangement (PPA) for the Battle River coal-fired power plant in January on the basis that it was no longer profitable as a result of low power prices and changes in law to hike the carbon levy on heavy carbon emitters. Since then, TransCanada, with partner AltaGas Pipelines, and Capital Power have also terminated their PPAs for electricity from coal-fired power plants — all relying on a clause in the arrangements that enables them to get out of them if the government makes a change in law to render them “more unprofitable.” Bankes said he assumes the government was aware of the clause when it made its decision to hike the carbon levy last June. “People who had been working on this file over the decades would know that and one would assume that they brought it to the attention of their political masters,” he said.