May 7, 2018
Smart investment in transmission system drives improved reliability for customers
CALGARY, ALBERTA (Globe Newswire – May 7, 2018) – To begin 2018, AltaLink recorded a calendar month without any unforeseen loads lost on its 13,000 square kilometre system. While Alberta set a new record for peak demand of electricity at 11,697 megawatts, AltaLink’s system delivered reliable energy to its customers without interruption in January.
"Looking back more than 30 years, we’ve never seen a calendar month without any customer loads lost,” said Scott Thon, President and Chief Executive Officer of AltaLink. “Great work by our team in the field and the office combined with smart investment into our system is driving positive results for customers. We’re proud to start the year with a month of perfect reliability.”
Proactive maintenance and monitoring of electrical assets played a part in keeping the lights on in January. AltaLink field teams using infrared cameras to identify potential signs of failure spotted an issue with a transformer at a substation northeast of Edmonton. This failing equipment could have led to an unplanned outage if the problem had not been identified in advance. Proactively replacing this transformer meant the supply of reliable energy continued uninterrupted.
"After a long, cold winter, it looks like Alberta has finally emerged from the deep freeze. Whatever Mother Nature brings, our team is committed to reliable and affordable service that keeps Alberta homes, farms, businesses and industry running smoothly in the most challenging conditions,” said Thon.
AltaLink announces 2018 first quarter financial results
AltaLink continues to invest in transmission facilities to ensure the reliability of the electricity grid and to help enable Alberta’s transition to a greener energy future. During the first quarter of 2018, AltaLink invested $93.4 million in its transmission system.
Today, AltaLink, L.P. announced comprehensive income of $79.0 million for the quarter ended March 31, 2018, compared to $83.1 million for the same period in 2017. The decrease is due to lower miscellaneous revenue and a one-time gain in 2017, partially offset by the return earned on a higher regulatory capital investment.
Revenue from operations for the first quarter of 2018 was $244.1 million compared to $237.6 million in 2017, an increase of $6.5 million. The change is primarily due to an increase in our investment in electricity transmission infrastructure.
As a partnership, AltaLink, L.P. reports its net income before income taxes; therefore its results are not directly comparable with net income reported by corporations that recognize income taxes in their financial statements.
AltaLink's full financial results and management's discussion and analysis can be found on AltaLink's website at www.altalink.ca or on SEDAR at www.sedar.com.
Headquartered in Calgary, with offices in Edmonton, Red Deer and Lethbridge, AltaLink is Alberta's largest electricity transmission provider. AltaLink is partnering with its customers to provide innovative solutions to meet the province’s demand for reliable and affordable energy. A wholly-owned subsidiary of Berkshire Hathaway Energy, AltaLink is part of a global group of companies delivering energy services to customers worldwide.
Significant first quarter 2018 highlights
During the three months ended March 31, 2018:
- We earned net and comprehensive income of $79.0 million (three months ended March 31, 2017 - $83.1 million). The decrease is due to lower miscellaneous revenue and a one-time gain in 2017, partially offset by the return earned on a higher regulatory capital investment;
- In the first quarter of 2018 customer satisfaction was 100%, which is an improvement compared to 78% in the same period of 2017;
- Reliability of service provided to customers in the first quarter of 2018 improved compared with the same period in 2017. Our customer outage time was less than one minute in the first quarter of 2018 compared to 10 minutes for the same period in 2017;
- Our employee safety performance as measured by the total recordable injury frequency rate, was 0.55 for the first three months of 2018, representing one injury, compared to zero injuries for the first three months of 2017;
- We invested $93.4 million (three months ended March 31, 2017 - $134.4 million) in capital assets to ensure continued reliability of the electricity network and help enable Alberta’s renewable energy future; and
- On January 24, 2018, S&P reaffirmed its corporate credit and senior secured ratings on AltaLink at “A” with a stable outlook. An “A” rating allows us to continue to provide low cost debt financing for our customers.
This news release does not constitute an offer to sell or the solicitation of an offer to buy AltaLink’s securities in any jurisdiction, including but not limited to, the United States. AltaLink’s securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”), or any state securities laws and may not be offered or sold in the United States except in certain transactions exempt from the registration requirements of the U.S. Securities Act and applicable state securities laws.
Except for the historical and present factual information contained herein, the matters set forth in this news release, including words such as "expects", "intends", "projects", "plans", "anticipates" and similar expressions, are forward looking information that represents management of AltaLink's Internal projections, expectations or beliefs concerning, among other things, future operating results and various components thereof or the economic performance of AltaLink. The projections, estimates and beliefs contained in such forward looking statements necessarily involve known and unknown risks and uncertainties, which may cause AltaLink's actual performance and financial results in future periods to differ materially from any projections of future performance or results expressed or implied by such forward looking statements. These risks and uncertainties include, among other things, those described in AltaLink's filings with the Canadian securities authorities. Accordingly, holders of AltaLink securities and potential investors are cautioned that events or circumstances could cause results to differ materially from those predicted. AltaLink disclaims any responsibility to update these forward looking statements.
For more information please contact:
Vice President, Treasurer
AltaLink Management Ltd.
Vice President, Communications
AltaLink Management Ltd.