Volume 2 - Wild Steer Butte Wind Power Facility Interconnection Project

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January 2012 Volume 2

Electric system improvements near you Proposed Wild Steer Butte Wind Power Facility Interconnection Project Preferred and Alternate Route Selection

Did you know? Existing transmission lines and substations in the southern part of the province do not have the capacity to connect power generated from new wind farm projects. In much the same way highways get congested with more traffic, transmission lines get congested and cannot transport additional power. To connect this wind-generated power to the electric system, new transmission projects are being proposed that will move the wind power from where it’s generated to you.

You are receiving this newsletter because you are near the proposed Wild Steer Butte Wind Power Facility Interconnection Project and we want to provide you with an update. During the first stage of consultation, between August and December 2011, we received valuable stakeholder input about the preliminary route options. We used the stakeholder input we gathered and results from further studies and field work, including environmental evaluations, to refine the preliminary route options to preferred and alternate routes for the proposed transmission development.

Definition

Transmission Transmission lines make up Alberta’s electric highway, linking the places where power is generated to where power is used. Transmission lines transport large amounts of power over long distances across the province. The transmission system connects diverse sources of power generation including wind, coal, natural gas and more.

We want to provide you with: • project details • information about the preferred and alternate routing • information about how you can provide your input • project schedule • project compensation

CONTACT US 1-877-267-1453 (toll free) stakeholderrelations@altalink.ca Visit us online at www.altalink.ca/regionalprojects


Project details The proposed transmission development includes new single circuit 240 kilovolt (kV) transmission lines, a new switching station and upgrades to the Whitla Substation (currently under construction). 3 V U

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Definition

Kilovolt (kV)

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A kilovolt is equal to one thousand volts and is commonly used when describing transmission and distribution lines. AltaLink’s transmission lines range from 69 kV (69,000 volts) to 500 kV (500,000 volts). Light bulbs typically range from 120 to 300 volts.

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Proposed Shell WSB1 Collector Substation

Alternate Route

Proposed Shell WSB2 Collector Substation

Existing Transmission Line

Proposed Shell WSB3 Collector Substation

Major Road

Proposed AltaLink Switching Station

Urban Area

Approved Whitla Substation

Water Body

Proposed Shell WSB1 Collector Substation Proposed Shell WSB2 Collector Substation Proposed Shell WSB3 Collector Substation Proposed AltaLink Switching Station Approved Whitla Substation Preferred Route

Alternate Route Existing Transmission Line Major Road Urban Area Water Body

Preferred Route

If approved, the proposed project would be developed in three stages: Stage ONE

• building 27 to 29 kilometres (17 to 18 miles) of transmission line connecting the Shell WSB1 Collector Substation (red box) to the Whitla Substation (pink box) • modifying the Whitla Substation to include additional 240 kV equipment Stage TWO

• building a new switching station (orange box), located adjacent to the Shell WSB2 Collector Substation (purple box)

PLEASE Note The preferred route between the Shell WSB3 Collector Substation and the Whitla Substation will include two parallel transmission lines.

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• building 50 metres (164 feet) of transmission line connecting the proposed transmission line built in stage one to the new switching station • connecting the Shell WSB2 Collector Substation to the proposed new switching station Stage THREE

• building seven to eight kilometres (four to five miles) of transmission line connecting the Shell WSB3 Collector Substation (yellow box) to the Whitla Substation


Preferred and alternate routing Both the preferred and alternate routes were identified because these routes: • are generally located on quarter lines to minimize agricultural impacts • have few residents located within 800 metres • have low impacts to native prairie and wetland areas Preferred route

The preferred route was identified because it requires the least number of turns or corners decreasing the need for larger corner structures. Please note the preferred and alternate route between the Shell WSB3 Collector Substation (yellow box) and the Whitla Substation (pink box) will include two parallel single circuit 240 kV transmission lines. Detailed view - box A

F rom the Shell WSB3 Collector Substation to point designation B47, the two single circuit 240 kV transmission lines would parallel each other. The parallel transmission lines would have a combined right-of-way of 70 metres (230 feet). Detailed view - box B

F rom point designation B47 to the Whitla Substation, the two parallel single circuit 240 kV transmission lines would parallel the approved double circuit 240 kV transmission line from the Bowmanton to Whitla Transmission Project. The three parallel transmission lines would have a combined right-of-way of 130 metres (427 feet).

Transmission projects in your area The proposed Wild Steer Butte Wind Power Facility Interconnection Project is l ocated near two other transmission projects. The Bowmanton to Whitla Transmission Project includes a new double circuit 240 kV transmission line from east of Medicine Hat to the Whitla Substation. This project was approved by the Alberta Utilities Commission (AUC) in 2011. Construction began in summer 2011. The Etzikom to Whitla Transmission Project includes a proposed new double circuit 240 kV transmission line from the Whitla Substation to the proposed Journault Substation near Wrentham. Public consultation is currently underway for this project.

Definition

Right-of-way

LEGEND

The right-of-way is a strip of land required for the construction and safe operation of a transmission line. A right-of-way refers to the physical space a transmission line encompasses including areas on either side of the line. The majority of the right-of-way can still be used by the landowner. Buildings cannot be placed on the right-of-way, but can be built up to the edge of the right-of-way.

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Note

Alternate route

More detailed project information was provided in our previous newsletter, including structure type, route selection criteria and project cost. This information can be found on our website www.altalink.ca/regionalprojects, or contact us and we will send the package to you.

The alternate route was identified because part of the route parallels an approved transmission line in the area. Detailed view - box C

F rom point designation C40 to the Whitla Substation, the single circuit 240 kV transmission line would parallel the double circuit 240 kV transmission line as part of the Bowmanton to Whitla Transmission Project (currently under construction). The parallel transmission lines would have a combined right-of-way of 100 metres (328 feet).

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Proposed Shell WSB1 Collector Substation Proposed Shell WSB2 Collector Substation Proposed Shell WSB3 Collector Substation Proposed AltaLink Switching Station Approved Whitla Substation Alternate Route

Potential Etzikom to Whitla Transmission Line Approved Bowmanton to Whitla Transmission Line Existing Transmission Line Major Road Water Body Urban Area

New switching station The proposed switching station will be approximately 145 by 95 metres (475 by 311 feet) and will be located at SE-2-9-10-W4 (directly adjacent to the Shell WSB2 Collector Substation). The switching station will require an access road. Please note that based on further studies and surveys, we have increased the size and shifted the location of the switching station.

Switching station similar to the one being proposed.

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Routes no longer under consideration

Please note

Several segments of the preliminary routes are no longer under consideration because 879 these routes: )" " )

If you are no longer on a proposed route, you will not receive any further correspondence from us about this project. If you wish to follow the progress of the project or if you have any questions, please contact us.

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• were the least preferred by stakeholders • impact a greater area of native prairie

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Proposed Shell WSB1 Collector Substation )" " ) Granlea Proposed Shell WSB2 Collector Substation Reserv oir Proposed Shell WSB3 Collector Substation

Approved Bowmanton to Whitla Transmission Line Existing Transmission Line

Approved Whitla Substation ) "

) " Proposed AltaLink Switching Station

Major Road Water Body

Preferred Route Alternate Route LEGEND LEGEND Shell WSB1 Collector Substation ) Proposed " Eliminated Route ) Proposed Shell WSB2 Collector Substation " ) Proposed Shell WSB3 Collector Substation " Substation ) Approved Whitlayour " Providing input Proposed AltaLink Switching Station ) "

Potential Etzikom to Whitla Transmission Line

Urban Area Potential Etzikom to Whitla Transmission Line Approved Bowmanton to Whitla Transmission Line Existing Transmission Line Major Road

Water Body Stakeholder input is critical to identifying the lowest overall impact route for this Preferred Route Urban Area transmission Alternate Routeproject. You can provide your input in any of the following ways.

Definition

Alberta Utilities Commission The Alberta Utilities Commission (AUC) ensures the fair and responsible delivery of Alberta’s utility services. AltaLink submits applications for new transmission projects to the AUC for review.

Eliminated Route

Attend an open house

Please join us at our open house. Subject matter experts from Siting, Environment and the Surface Land department will be available to share information, gather your input and address any questions or concerns you might have. Participate in a one-on-one consultation

open house

Thursday Feb. 9 4 to 8 p.m.

Bow Island Legion Hall 202, 5 Ave East Bow Island, AB

We will contact all occupants, residents and landowners who are on or directly adjacent to the proposed routes to gather input through one-on-one consultations by telephone and/or in person. A summary of stakeholder comments will be incorporated into the application we submit to the Alberta Utilities Commission (AUC). Contact us directly

You can contact us by phone, email, mail or through our website. Our contact information is on the front and back pages of this newsletter. 5


Definition

Facilities Application AltaLink submits Facilities Applications to the AUC for review. A Facilities Application describes how AltaLink proposes to meet the requirement for a transmission project. It includes routing details, results of the participant involvement program and technical details. Facilities Applications must be approved by the AUC before construction can begin.

What’s next? After we gather further stakeholder input and other technical and environmental information, we will make further adjustments to the preferred and alternate routes. AltaLink will include the preferred and alternate routes in the Facilities Application we will submit to the Alberta Utilities Commission (AUC). The AUC will review the Facilities Application through a process in which stakeholders can participate. If approved, AltaLink could construct the preferred route, alternate route or a combination of both. To learn more about the AUC process and how you can become involved, please refer to the brochure included in this package titled Public Involvement in Needs or Facilities Applications.

Anticipated project schedule Winter 2012

Notify and consult with stakeholders

Summer 2012

File application with Alberta Utilities Commission (AUC)

Spring 2013

Start first stage of construction if project is approved

Summer/Fall 2018

Complete final stage of construction

Although we attempt to follow the anticipated project schedule, it is subject to the approval and construction of Shell Canada Energy’s proposed Wild Steer Butte Wind Power Project. We will continue to provide you with updated schedule information as the project progresses.

Facts about compensation There are two primary forms of compensation landowners receive for having transmission facilities on their property: 1) The easement purchase – one-time payments 2) Annual Structure Payments – on-going payments Easement acquisition

The one-time payments for the approved route on this project include: Entry fee payment

$500 per acre minimum of $250 to maximum of $5,000 per titled unit/quarter section

General disturbance payment

$1,500 for each structure on land, or if transmission line wires overhang on land $3,000 for two or more structures on land

AltaLink will pay fair market value per acre for the total area of the easement that crosses a landowner’s property, while the landowner retains ownership of the land. We determine market value by studying sales, industry comparables (including oil and gas comparables) or appraisals of similar/comparable types of land within the area. 6


If AltaLink and the landowner are unable to reach agreement, then the Surface Rights Board would be asked to determine compensation. Further information on the scope of the Surface Rights Board’s authority and procedures are available on the Board’s website at www.surfacerights.gov.ab.ca. Annual Structure Payments

We are proposing to use H-frame 240 kV structures for this project. Our current rates for this structure type are: Entire structure (both poles) on one property

Split structure (structure straddles property line with one pole on each property)

Cultivated land

$465/year

$307/year

Uncultivated land

$186/year

$125/year

AltaLink in your community – project construction If this project is approved, we will continue to communicate with landowners during the construction process to provide the most up-to-date information and to mitigate any potential impacts that may arise.

240 kV H-frame structure proposed for this project.

Safety commitment

AltaLink is committed to the safe design, construction, maintenance and operation of transmission facilities. AltaLink’s safety standards and practices are developed to meet or exceed government guidelines and codes to ensure that our facilities meet the requirements for public, employee and neighbouring facility safety. Weed control

During construction, weed control measures will be implemented to reduce the risk of spreading weeds. Post construction, a portion of the Annual Structure Payment compensates landowners for ongoing weed control measures. This allows the landowner to choose their preferred method of weed control. Additional work spaces and access trails

Additional work spaces and access trails are required for the safe construction of the transmission line, including structure assembly, installation and stringing. Work spaces are needed to build the transmission line more efficiently. Access trails are sometimes needed to provide more efficient access to the transmission line during the construction period. These trails are usually temporary and are located on private property. If the project is approved, we will require work spaces and access trails only on the approved route. If we require work spaces or access trails on your property, we will work with you to identify the area required. We will restore the area to its original condition once construction is complete.

Did you know? Modern technologies, like digital recording devices, are a large drain on the power system. Some home entertainment configurations use more power than a new refrigerator. The average home has more and more gadgets continuously drawing power from the grid. Transmission lines bring power from where it’s created to where it’s needed so you can power your quality of life.

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Included in this Stakeholder Information Package • Project maps • AltaLink brochure: A Dialogue on Electric & Magnetic Fields • AltaLink brochure: Good Neighbours • AUC brochure: Public Involvement in Needs or Facilities Applications • AESO Need Overview

More information To learn more about the proposed project, please contact: AltaLink

1-877-267-1453 (toll free)

Email: stakeholderrelations@altalink.ca

To learn more about Alberta’s electric system and the need for the project, please contact: Alberta Electric System Operator (AESO)

1-888-866-2959 (toll free)

Email: stakeholder.relations@aeso.ca

To learn more about the application and review process, please contact: Alberta Utilities Commission (AUC) 780-427-4903 (You can call toll free by dialing 310-0000 before the number) Email: utilitiesconcerns@auc.ab.ca

2611 - 3rd Avenue SE Calgary, Alberta T2A 7W7

To learn more about Shell Canada Energy please contact: Shell Stakeholder Consultation

1-866-739-1333 Email: scan-wildsteerbutte@shell.com

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