Proceeding 27388  Register

Proceeding status: scoping of the proceeding

Decision expected: To be determined

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In Alberta, four companies own and operate the province’s electric distribution system (ATCO Electric Ltd., Fortis Alberta Inc., ENMAX Power Corporation, and EPCOR Distribution & Transmission Inc.) and two for natural gas distribution (ATCO Gas and Pipelines Ltd., and Apex Utilities Inc.).

The AUC uses performance-based regulation when setting rates for these distribution utility companies to encourage efficiencies through providing incentives for reducing costs while at the same time safeguarding reliability of service. As a result, distribution utility rates are kept lower for customers than they may have been otherwise. The regulatory model reduces the regulatory burden of a traditional cost of service model involving scrutiny of numerous financial statements and promotes incentives for utility companies to become more cost-conscious and improve operational efficiencies.

In this proceeding, the AUC will aim to establish, modify, or add parameters of the third-generation of performance-based regulation (PBR3) plans that will start in 2024 for Alberta distribution facility owners (DFOs) and will include the following issues:

  • Annual PBR rate adjustments.
  • Price cap versus revenue-per-customer cap.
  • I (inflation) factor.
  • X (productivity) factor.
  • Capital funding provisions.
  • Earnings sharing mechanism and the need for an efficiency carry-over mechanism.
  • Quantification and tracking of efficiencies.

The list of issues and specific items under consideration are included in Exhibit 27388-X0046 in the AUC’s eFiling System.

How to participate​

To access the proceeding, register to Proceeding 27388 through the eFiling System.

Proceeding schedule

Process step Due date
Rebuttal evidence April 28, 2023
Virtual oral hearing June 5-9, 2023
June 12-16, 2023
Argument and reply July 4-7, 2023

The eFiling System​

The eFiling System should be accessed to view the applications and the other documents the AUC will be considering in this proceeding. The system is also used to file submissions and evidence to participate in the proceeding.

To create an account, select “New account” and follow the steps to create a user ID and password. If you have any questions about how to use the system please contact us at or 310-4AUC.

Documents being considered in this proceeding can be found in the eFiling​ System (which requires log in). Once you have logged in, enter 27388 in the “go to” section at the top left corner of your screen.

Third-generation performance-based regulation