What is the cost of the decommissioning? Who is paying for it?
TransAlta will develop detailed estimates of the decommissioning, remediation and reclamation costs of the Wabamun site once the final plan is submitted to and approved by Alberta Environment. The cost is expected to be in the tens of millions of dollars. Wabamun was a regulated power plant for most of its operating life, so the fiscal responsibility for the decommissioning is shared between TransAlta’s shareholders and Albertans, with decommissioning funds collected as part of electricity rates. Funds have been set aside with the Balancing Pool to cover some risks, including the possibility that decommissioning could cost more than had been collected. Additionally, the company is entitled to apply to the Alberta Energy and Utilities Board (EUB) to recover some decommissioning costs from the Balancing Pool. TransAlta has reached a negotiated settlement agreement with the Balancing Pool to recover costs.
