City of Medicine Hat Substation-11 application denied

Medicine Hat – City officials received word on June 12, 2023 that the Alberta Utilities Commission (AUC) has denied the application for a new substation in the southwest area of Medicine Hat (known as MHS-11).

In 2019, the City of Medicine Hat began the process of site evaluation and related cost estimations for a new substation in the southwest area of Medicine Hat to meet growing electrical needs. On June 1, 2022, the City of Medicine Hat filed a regulatory application for approval to construct the substation on either a preferred location (near Highway 3 in Medicine Hat’s south) or an alternate location (near South Boundary Road at the entrance to Desert Blume).

The AUC denied the application on the grounds that neither site is in the public interest. The regulatory process included a public hearing which began on March 13, 2023 where the AUC reviewed the application and submissions from three intervening parties.

The decision will significantly delay the ability to increase a secure power supply in the city’s south, where electricity constraints may impede development. Development applications will be evaluated on a first come, first served basis and the City will continue to work collaboratively with the development community to minimize the impacts of the decision.

“Continued growth and development on the south side of our city requires a substation in this area, and we understand the concerns and disappointment that will arise because of this decision,” says Councillor Alison Van Dyke, Chair of the Energy and Infrastructure Committee. “We will be aggressively recommencing the process in order to meet the needs of our community.”

“While we are disappointed, we respect the AUC decision and thank them for their diligence in regulating Alberta’s electric, gas, and water utilities in the best interest of Albertans,” says City Manager, Ann Mitchell. “Our next step is to thoroughly review the decision report and consider our next steps.”

The process of gaining regulatory approvals and establishing a new substation can take five to seven years. The full AUC report can be viewed at: Https://www.auc.ab.ca/regulatory_documents/decisions/.

- 30 - 

For media inquiries, please contact:
media@medicinehat.ca