The Alberta Wire – January 23, 2018

The Alberta power market saw considerably lower settles this week at $34.39/MWh, a 48% decrease over the
previous week which saw a perfect storm driving prices up. Thermal generation ramped back up, combined with
higher than expected wind generation. Forward prices continue to climb with more scheduled outages, up over
~$1.00/MWh since last week.
The gas market continues steadily with a weekly average price of $1.90/GJ, down ~10% from last week. Gas
forwards remain almost unchanged week over week, expecting to continue to settle around the $2.00/GJ mark
for the near future.
The Trump administration has implemented a tariff on solar imports – 30% starting February 7th, 2018. The tariff
will significantly increase the cost for utility scale solar projects, up to ~$150,000 per megawatt. This change
comes after Trump attempted to provide monetary relief to the coal industry in the form of subsidies.