IERN International Energy Regulation Network

The sector is partially privatised.

About one half of the province’s generating capacity is coalfired. Hydro, natural gas and a small amount of wind generation capacity comprise the remaining half.

Saskatchewan is generally a net importer of power and it is interconnected with Manitoba, Alberta, North Dakota and Ontario.

Saskatchewan Power Corporation (SaskPower), a vertically-integrated utility and Crown corporation, serves most of the province. SaskPower owns 3 056 MW of generation capacity, and holds power purchase agreements with IPPs that include the Cory and Meridian cogeneration facilities and the SunBridge Wind Power Project and the NR Green Korrobert Heat Recovery Project, for a total of approx. 3,668 MW.

Some Independent Power Producers (IPPs).

NorthPoint Energy Solutions, Inc. (NorthPoint), formed in 2001 to meet the OATT requirement to separate transmission and marketing, is a wholly-owned subsidiary of SaskPower. NorthPoint performs generation and load management services in addition to energy trading functions related to SaskPower’s generation assets.

The posting of an OATT in 2001 opened Saskatchewan’s electricity system to wholesale access. The OATT allows third parties with generation to export, and competitors can schedule access to SaskPower’s transmission system to wheel power through Saskatchewan, or to sell power to Swift Current’s or Saskatoon’s municipal utilities, SaskPower’s only wholesale customers.

Corporate separation between transmission and wholesale /retail functions is required.

The sector is still publicly owned.

SaskPower owns and operates the transmission network under regulated Third party access tariffs.

Saskatchewan Rate Review Panel reviews transmission and distribution charges and provides observations and recommendations to Minister of Crown Management Board.

Corporate separation between transmission and wholesale /retail functions.

SaskPower is the principal electricity supplier in the province, there are also some municipal utilities.

The province’s largest consumer of electricity are the Large pipeline operators, such as TransCanada PipeLines Limited and Enbridge Pipelines Inc.

SaskPower’s proposed rate increases are reviewed by the Saskatchewan Rate Review Panel at the request of the Minister of Crown Management Board and decisions regarding rates are approved by Cabinet.

The sector is partially privatised.

Estimated remaining established recoverable reserves at December 31, 2000 were 70 billion cubic metres (2.5 trillion cubic feet).

The gas prone areas are primarily located along the extreme western edge of the province. in 2000, total gas production was of 8.2 billion cubic metres (290 billion cubic feet) and there were approximately 10,483 producing gas wells in the province at year-end 2000.

Demand for natural gas in Saskatchewan by SaskEnergy and direct sale customers was approximately 3.5 billion cubic metres (126 billion cubic feet) in 2000. The remaining production was exported to other neighbouring provinces and to US.

Saskatchewan natural gas system is highly interconnected with other pipelines systems that provides provide access to Manitoba, eastern Canadian and United States markets for Saskatchewan, Alberta and United States-sourced gas supplies (see details below).

The main production company is Bayhurst Gas Limited (Bayhurst) that owns, produces and sells natural gas from its properties in the Beacon Hill area of Saskatchewan.

There are also several IGP (independent gas producers).

The sector is still publicly-owned.

TransGas Limited (TransGas), wholly owned subsidiary of the Crow Corporation SaskEnergy Incorporated (SaskEnergy), has been granted the exclusive right to transport natural gas in Saskatchewan.

TransGas and its affiliates, Many Islands Pipe Lines (Canada) Limited (MIPL) and Swan Valley Gas Corporation (SVGC), own and operate more than 13,800 kilometres of gathering and transmission pipeline in Saskatchewan.

MIPL also owns several transmission pipeline facilities, which are used to transport natural gas interprovincially (from Alberta to Saskatchewan) and internationally (both into and out of United States markets). The TransGas pipeline system is interconnected to TransCanada pipelines, ATCO pipelines and Havre pipeline, providing the Saskatchewan market with access to Alberta and Montana gas supplies.

TransGas also operate storage facilities to ensure the safe and reliable operation of our system during the Saskatchewan winter. The storage system includes: 10 storage facilities; and a Total capacity of 32 billion cubic feet (Bcf), or 901 million cubic metres of gas.

TransGas transports natural gas for more than 280 customers, including SaskEnergy, producers, and industrial and commercial customers.

SaskEnergy a provincial Crown corporation is the Saskatchewan's natural gas distribution company.

Natural gas transmission, distribution and storage charges are regulated.

The sector is still publicly-owned.

SaskEnergy purchases natural gas from independent suppliers and transport and through our 65,000-kilometer distribution system delivers it to 92% of saskatchewan communities. SaskEnergy delivers the natural gas to more than 336,000 residential, farm, commercial and industrial customers throughout Saskatchewan.

The market is not opened (all consumers are captive).

End-user price are regulated. SaskEnergy’s proposed rate increases are reviewed by the Saskatchewan Rate Review Panel at the request of the Minister of Crown Management Board and decisions regarding rates are approved by Cabinet.

• The Environmentally Preferred Power (EPP) program under development, that is part of the strategy to meet load growth over the next few years with low environmental impact power. Qualifying projects would generally be between 0.025 MW and 5.0 MW in size, for a total of 45 MW of new generation over three years. Eligible technologies include: wind, low-impact hydro, biomass, solar, flare gas, and heat recovery from existing waste heat sources.
• In addition to the Green Power Portfolio (the 11 MW Cypress Wind Power Facility), SaskPower International is developing an additional 150 MW of wind power, in the Rushlake Creek area of southwest Saskatchewan.
• SaskPower, is investigating new technologies to enable the continued use of coal-fired generation on a more sustainable basis.
• SaskPower is assessing alternative and renewable technologies to meet incremental generation requirements using EPP technologies.
• Many natural gas exploration and development projects. Natural gas reserves in Saskatchewan can readily be connected via the TransGas system to the TransCanada PipeLine system, the Foothills Pipe Line system, and the Williston Basin Interstate Pipeline system to allow delivery of gas to external markets.