Macquarie Energy export permit request

Summary#

An application from Macquarie Energy Canada Ltd. asks the Commission of the Canada Energy Regulator for permission to export up to 4 380 000 MWh of electricity a year to the United States for 10 years. The Commission is asking for public comments before it decides whether to issue a permit or move the application to a licensing process.

What it does#

• Asks permission to export up to 4 380 000 MWh of combined firm and interruptible electricity each year for 10 years.
• Asks the public and interested parties to submit views before the Commission decides on a permit or licensing.
• Makes the application available for public inspection at the applicant’s office in Toronto, at the Canada Energy Regulator library in Calgary, and on the Regulator’s website.
• Asks for submissions on two specific points (see next section), and allows the Applicant to file replies.

Key deadlines and procedural dates

• Submissions by interested parties due April 13, 2020.
• Any answers from the Applicant to those submissions due April 28, 2020.

Who's affected#

• Electricity traders and export companies such as Macquarie Energy Canada Ltd..
• Provincial utilities and electricity market operators in provinces that might supply the exported power.
• Canadian buyers who had declared interest in buying electricity for use in Canada.
• Consumers and businesses could be indirectly affected if exports change local supply or prices.

If it is unclear who exactly would provide the electricity or which provinces would be affected, that is not specified in the notice.

Why it matters#

• Large electricity exports can change how much power is available for local markets. That can affect prices, reliability, or who gets priority to buy power in Canada.
• The Commission is explicitly asking whether provinces other than the supplier’s province could be affected, and whether Canadian buyers were given a fair chance to buy the power before it’s exported. Those questions matter for competition and local supply.
• The decision could set or confirm how export requests of this size are treated in Canada’s regulatory process.