C&B Alberta Solar Development ULC

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Decision 22781-D01-2017 Newell Solar Power Plant November 15, 2017

Alberta Utilities Commission Decision 22781-D01-2017 Newell Solar Power Plant Proceeding 22781 Application 22781-A001 November 15, 2017 Published by the: Alberta Utilities Commission Fifth Avenue Place, Fourth Floor, 425 First Street S.W. Calgary, Alberta T2P 3L8 Telephone: 403-592-8845 Fax: 403-592-4406 Website: www.auc.ab.ca

Alberta Utilities Commission Calgary, Alberta Decision 22781-D01-2017 Proceeding 22781 Newell Solar Power Plant Application 22781-A001 1 Decision summary 1. In this decision, the Alberta Utilities Commission must decide whether to approve an application from to construct and operate a power plant designated as the Newell Solar Project. After considering the record of the proceeding, and for the reasons outlined in this decision, the Commission finds that approval of the project is in the public interest having regard to the social, economic, and other effects of the project, including its effect on the environment. 2 Introduction 2. (CBA) filed an application with the AUC for approval to construct and operate a 13.2-megawatt (MW) power plant, designated as the Newell Solar Project, pursuant to Section 11 of the Hydro and Electric Energy Act. The Newell Solar Project would be located approximately 800 metres south of the city of Brooks in Newell County in the southwest quarter of Section 20, Township 18, Range 14, west of the Fourth Meridian on land owned by the County of Newell. The application was registered on July 4, 2017, as Application 22781-A001. 3. On August 2, 2017, the Commission issued a notice of application for Proceeding 22781. The notice was sent directly to potentially affected stakeholders within 2,000 metres of the project. The notice was also published in the Brooks Bulletin on August 15, 2017, posted on the AUC website and notification was automatically emailed to efiling System users who had chosen to be notified of notices of application issued by the Commission. 4. In response to the notice, the Commission received a submission from the County of Newell on September 7, 2017. The County stated that the parcel of land where the proposed project would be located was not zoned for alternative energy, and that the parcel would require rezoning to a land use district that could accommodate the development. In addition, the County indicated that CBA would have to obtain development and construction permits prior to the commencement of construction. 5. On October 2, 2017, the Commission requested that the County clarify any outstanding concern or objection it has with respect to the proposed solar project. 6. On October 16, 2017, the County responded that CBA had submitted an application to rezone the site to accommodate the solar facility and that after the land had been rezoned, CBA could apply for a development permit approval for the proposed project. The County of Newell did not request standing in the proceeding. Decision 22781-D01-2017 (November 15, 2017) 1

3 Discussion 7. The proposed project consists of approximately 51,000 solar modules and six inverter and transformer stations within a fenced area covering approximately 28.7 hectares of land. A collector system would also be installed. 8. The proposed project would be located on land that is entirely native prairie. There are two temporary flooded graminoid marsh wetlands and an ephemeral water body located nearby, but avoided by the project footprint. 9. Siting a project on native prairie increases the risk to wildlife and is inconsistent with Alberta Environment and Parks (AEP) Wildlife Management policy and recommendations as outlined in the AEP Wildlife Guidelines for Alberta Solar Energy Projects. However, in this specific situation AEP has ranked the risk as low due to existing disturbances, proximity to the town limits of Brooks, and alternative mitigation outlined by CBA. 1 10. The AEP wildlife biologist reviewed the wildlife assessment and the post-construction monitoring plan. In the referral report dated May 31, 2017, AEP concluded that the proposed project would pose a low risk to wildlife and wildlife habitat due to residential, recreational, and industrial development, as well as road infrastructure surrounding the proposed project area. 11. CBA committed to working with AEP to ensure potential wildlife traps are removed and all overhead collector lines are properly marked to reduce bird collisions. Post-construction monitoring would be conducted in the first year and CBA would work with AEP to develop and implement mitigation if a high level of bird mortality were observed. If initial mitigation does not sufficiently reduce mortality, further mitigation and post-construction monitoring surveys would be required as prescribed by the AEP wildlife biologist. If mortality rates are low during the first year of monitoring, as determined in consultation with AEP, options for a second year of post-construction monitoring would be discussed. 12. CBA submitted it had received confirmation from AEP that an approval or registration under the Alberta Environmental Protection and Enhancement Act is not required because the proposed solar project is not a designated activity pursuant to the Activities Designation Regulation. Consequently, an environmental assessment is not required. 13. A Statement of Justification was submitted on March 22, 2017 to Alberta Culture and Tourism seeking clearance under the Historical Resources Act. Alberta Culture and Tourism provided a response requiring a pre-construction Historic Resources Impact Assessment for archaeological resources. The subsequent field assessment concluded that there were no recordable finds other than one lithic shatter. The archaeologists recommended no further work. 14. CBA retained Scott Land & Lease Ltd. to develop and conduct a project-specific participant involvement program that complies with Rule 007: Applications for Power Plants, Substations, Transmission Lines, Industrial System Designations and Hydro Developments. Personal consultation was conducted with stakeholders located within 800 metres of the proposed project, and stakeholders within 2,000 metres of the proposed project were notified. An open house was held on April 5, 2017. CBA also met with municipal and provincial agencies. 1 Exhibit 22781-X0005, Attach 4 Newell AEP Referral Report, PDF Page 6. 2 Decision 22781-D01-2017 (November 15, 2017)

15. CBA stated that one landowner expressed concerns with the proposed project due to visual impact, interference with cell towers, historical resources impacts, native prairie and environmental impacts, increase in gravelled land, property value, community benefits, reclamation, and temperature impact on cattle. 16. CBA submitted a noise impact assessment for the proposed project. There are no dwellings within 1,500 metres of the proposed project footprint. CBA identified four potential noise sensitive receptors along the eastern boundary of the land parcels with potential for future development. At the most impacted potential future dwelling location, 25 metres from the proposed project boundary, the sound level contribution from the project alone is predicted to be 28.6 dba L eq. The existing sound level, which includes the assumed ambient sound level plus energy-related facilities in the project area, is 40.2 dba L eq nighttime. The resultant cumulative sound level is 40.5 dba, resulting in net increase of 0.3 dba. The results of the noise impact assessment indicate that the proposed project would result in no net increase to the baseline sound level and be in compliance with Rule 012: Noise Control. 17. The project would connect to the FortisAlberta Inc. distribution system at 25 kilovolts. A system access service request form was submitted to the Alberta Electric System Operator by FortisAlberta Inc. regarding the proposed project. CBA stated it would apply for a connection order pursuant to Section 18 of the Hydro and Electric Act after FortisAlberta Inc. confirms the facilities it would require to connect the proposed project. 18. CBA stated that the proposed project is subject to the outcome of Alberta s initiatives to procure solar power for its government operations and install renewable generation under the Renewable Electricity Program. Construction could commence in the spring of 2018 or later, and could be completed by the spring of 2019. 4 Findings 19. The Commission has reviewed the application and finds that the information filed with respect to the technical, siting, emissions, environmental and noise aspects of the power plant complies with the requirements prescribed in Rule 007. 20. CBA is in the process of obtaining development permits from the County of Newell. The Commission notes that no parties objected to the application and no other responses were received in response to the notice of application and finds that the participant involvement program undertaken by CBA meets the requirements of Rule 007. 21. The proposed project poses a potential low risk to wildlife and wildlife habitat. The Commission accepts that in consultation with AEP, CBA will keep the project s wildlife data current (e.g., less than two years old) until the project is commissioned by updating the wildlife field surveys if necessary. CBA will also implement any additional mitigation measures recommended by AEP should any new wildlife features or issues be identified during completion of the updated wildlife surveys. 22. The Commission accepts CBA s post construction monitoring plan and commitment to work with AEP to implement mitigation measures if a high level of bird mortalities were to occur. Decision 22781-D01-2017 (November 15, 2017) 3

23. The Commission considers CBA s commitment to abide by any requirements laid out in AEP s May 31, 2017 Referral Report for the project to be reasonable. As necessary, CBA will continue to consult with AEP throughout construction and operation of the project; for example, consultation should occur if habitat features of sensitive wildlife species (e.g., raptor nests, sensitive breeding bird nests, sharp-tailed grouse leks, snake hibernacula) are discovered during future wildlife field surveys. 24. The Commission accepts CBA s assessment that the noise from the solar project will comply with Rule 012 permissible sound levels. 25. The Commission expects the applicant to comply with all applicable requirements for conservation and reclamation of the project site under the Environmental Protection and Enhancement Act at the end of the project s life, including the requirement to obtain a reclamation certificate. However, if for any reason, at the time of decommissioning, there are no statutory reclamation requirements in place for solar electric power generating facilities, the applicant will be required to submit a reclamation plan to the Commission for its review and approval. 26. The Commission notes that a connection order was not applied for at this time. CBA must apply for a connection order from the Commission prior to connecting the power plant to the FortisAlberta Inc. distribution network. 27. Based on the foregoing, the Commission considers the project to be in the public interest in accordance with Section 17 of the Alberta Utilities Commission Act. 5 Decision 28. Pursuant to Section 11 of the Hydro and Electric Energy Act, the Commission approves the application and grants CBA the approval set out in Appendix 1 Power Plant Approval 22781-D02-2017 November 15, 2017 (Appendix 1 will be distributed separately), subject to the following conditions: (1) CBA shall keep the project s wildlife data current (less than two years old) until the project is commissioned by updating the wildlife field surveys. (2) CBA shall implement all additional mitigation measures recommended by AEP if any new wildlife features or issues are identified during completion of the updated wildlife surveys. (3) CBA shall abide by all requirements laid out in AEP s May 31, 2017 Referral Report for the project. (4) CBA shall continue to consult with AEP throughout construction and operation of the project. Consultation with AEP must occur if habitat features of sensitive wildlife species (e.g., raptor nests, sensitive breeding bird nests, sharp-tailed grouse leks, snake hibernacula) are discovered during future wildlife field surveys. 4 Decision 22781-D01-2017 (November 15, 2017)

(5) Should AEP require post-construction mitigation measures as a result of bird mortalities, CBA will advise the Commission of those measures, in writing, as soon as practical. Dated on November 15, 2017. Alberta Utilities Commission (original signed by) Anne Michaud Commission Member Decision 22781-D01-2017 (November 15, 2017) 5