ATCO and AltaLink complete CETO transmission project in Alberta
ATCO and AltaLink completed the CETO transmission project, adding 135 km of lines in Alberta to boost grid reliability and integrate renewable energy. Financed by the Canada Infrastructure Bank, the project saves $135 million over 30 years. The work included 50 km of lines and substation upgrades by AltaLink, and 85 km of lines and expansion by ATCO.
*this image is generated using AI for illustrative purposes only.
ATCO and AltaLink have successfully completed the construction of the Central East Transfer-Out (CETO) project to strengthen Alberta's energy infrastructure and enable the integration of renewable power. The completion of this initiative marks a significant step in enhancing the reliability of the province's energy grid as demand continues to grow. By expanding transmission capacity, the project ensures that communities and businesses have access to reliable power while accommodating new sources of generation.
Project Scope and Financing
The CETO project comprises 135 kilometres of double-circuit 240-kilovolt transmission line between Red Deer and Stettler, Alberta, along with improvements to existing substations. The infrastructure enhances Alberta's ability to move electricity from central east Alberta to other parts of the province. ATCO and AltaLink secured a multimillion-dollar loan with the Canada Infrastructure Bank (CIB) to finance the project, saving Albertans approximately $135 million over the 30-year financing term.
Operational Contributions
Directed by the Alberta Electric System Operator (AESO), the project was divided between the two companies based on location. The following table outlines the specific scope of work completed by each entity:
| Company | Scope of Work |
|---|---|
| AltaLink | Approximately 50 km of new transmission line east of Red Deer; addition of new equipment at the existing Gaetz 87S substation |
| ATCO | 85 km of transmission line; expansion of the Tinchebray 972S substation |
Strategic Impact and Stakeholder Comments
"The energization of the CETO project marks an important milestone in strengthening Alberta's electricity system," says Rob Davidson, Vice President of Grid Reliability – Projects and Planning at the AESO. He noted that the project reflects years of planning and collaboration across the industry to improve system reliability and enable generation development.
Jason Sharpe, Chief Operating Officer of ATCO Energy Systems, emphasized the collaborative effort, stating that the project reinforced the importance of partnership between ATCO and AltaLink. Paul Lee, President of AltaLink, added that the energization plays an important role in meeting the growing demand for reliable, affordable, and sustainable electricity in Alberta's expanding economy.
Ehren Cory, CEO of the Canada Infrastructure Bank, highlighted that the partnership demonstrates how cost-effective financing can help deliver large-scale energy infrastructure, preparing Alberta for future projects.
How will the CETO project specifically influence the approval and development timelines for proposed renewable energy projects in central Alberta?
Will the successful CIB financing model for this project be replicated for future Alberta transmission initiatives to further reduce consumer costs?
What are the next major infrastructure upgrades required by AESO to maintain grid reliability as renewable integration accelerates?
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