CALGARY,
AB, June 9, 2022 /PRNewswire/ - TransAlta
Corporation ("TransAlta" or the "Company") (TSX: TA) (NYSE: TAC)
announced that the Alberta Court
of Appeal released a unanimous decision today dismissing an
application filed by ENMAX Energy Corporation ("ENMAX") and the
Balancing Pool seeking to set aside an arbitration decision in
favour of TransAlta. The Court of Appeal upheld the Company's
claim of force majeure that arose when its Keephills 1 generating unit tripped off-line
in 2013. As a result of the decision, the Company's claim of
force majeure remains valid and the associated costs of the force
majeure event will not be reassessed against TransAlta.
Additional Background
TransAlta Generation Partnership ("TransAlta") was the owner and
ENMAX was the buyer under the Keephills Power Purchase Arrangement
(the "PPA"). On March 5, 2013, the
Keephills 1 facility tripped
off-line due to a suspected winding failure within the generator
and did not return to service until October
6, 2013. TransAlta claimed force majeure relief under the
terms of the PPA. ENMAX and the Balancing Pool disputed the force
majeure claim and initiated an arbitration against TransAlta. In
November 2016, an independent
arbitration panel unanimously concluded that TransAlta was entitled
to the force majeure relief and was therefore not obligated to pay
approximately $167.6 million of
availability incentive payments plus associated interest.
About TransAlta
Corporation:
TransAlta owns, operates and develops a diverse fleet of
electrical power generation assets in Canada, the United
States and Australia with a
focus on long-term shareholder value. TransAlta provides
municipalities, medium and large industries, businesses and utility
customers with clean, affordable, energy-efficient and reliable
power. Today, TransAlta is one of Canada's largest producers of wind power and
Alberta's largest producer of
hydroelectric power. For over 100 years, TransAlta has been a
responsible operator and a proud community member where its
employees work and live. TransAlta aligns its corporate goals with
the UN Sustainable Development Goals.
For more information about TransAlta, visit our web site at
transalta.com.
Note: All financial figures are in Canadian dollars unless
otherwise indicated.
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SOURCE TransAlta Corporation