The Alberta Energy and Utilities Board has voided its hearings on a proposal to build a 500-kV power line between Edmonton and Calgary. In its decision, the EUB stated that it had lost its jurisdiction and that circumstances have "accumulated to a reasonable apprehension of bias."

According to CBC News, following four investigations into how the energy board handled the application by AltaLink to build the power line, the board's new chair, William Tilleman, said the only way to restore public confidence in the provincial regulator is by going "back to Square 1" and start the application process from the beginning.

CBC News said that the decision follows allegations that the EUB had hired security personnel to spy on landowners who were opposed to the plan.

AltaLink, assigned to construct the transmission line between Edmonton and Calgary, responded to the EUB decision.

“We’re very disappointed that these procedural issues have overshadowed the critical electricity needs for the more than 1.5 million Albertans who live south of Edmonton,” said Scott Thon, president and CEO of AltaLink. “As the company responsible for keeping the lights on for the majority of Albertans, this decision will increase the risk that the transmission system will be unable to keep up with their demand for electricity.”

“Today’s decision makes it critical that, at a minimum, the government of Alberta delivers on its promised improved legislation and that a newly constituted Alberta Utilities Commission can act in a timely and thorough manner on what will be their most critical file,” Thon said.

The AESO has determined that the transmission system south of Edmonton will be operating below North American reliability standards by the fall/winter peak of 2009-2010, increasing the possibility of rotating power outages for the more than 1.5 million Albertans living south of Edmonton.

It has been more than 20 years since the system between Edmonton and Calgary has been reinforced and more than three years since this project was launched. The voiding of this project, which was launched in early 2004, now places increased pressure on Alberta’s transmission system to meet the demands of Alberta.