AltaLink and its customers reach negotiated settlement on its 2026-2027 General Tariff Application

Press Release

CALGARY, ALBERTA (November 3, 2025) – AltaLink and the industry groups representing industrial and residential customers have agreed to a negotiated settlement on the company’s 2026-2027 general tariff application (GTA), which will ensure Albertans have a safe and reliable transmission system at a reasonable cost over the two-year term of the agreement.

“By working closely with the associations that represent our largest customers, we found a solution that both carefully manages costs while ensuring the system is safe and reliable for Albertans,” said Gary Hart, AltaLink President and Chief Executive Officer. “This is the fourth time AltaLink has reached a settlement agreement with customers on our GTA.”

The negotiated agreement covers substantially all of AltaLink’s 2026-2027 GTA, including operating expenses, AltaLink’s capital replacement and upgrades program, and information technology and security costs. Some remaining items will be reviewed in a public hearing with the Alberta Utilities Commission (AUC) later this fall, including AltaLink’s Wildfire Mitigation Plan and future insurance premiums related to wildfire.

The AUC approved the negotiated settlement for AltaLink’s GTA and its 2023-2024 direct assigned deferral capital account application on September 24, 2025.

“We’re proud that our settlement with customers has been approved by the AUC, recognizing the value we provide to Albertans,” said Mr. Hart. “Our commitment to carefully managing costs while providing reliable service is as strong as ever. For the last seven years, AltaLink kept its rates below 2018 levels to help manage costs to its customers. Looking ahead, we will strive to keep future rate increases below inflation.”

AltaLink announces 2025 third quarter financial results

Today, AltaLink, L.P. announced net and comprehensive income of $80.8 million for the three months ended September 30, 2025, compared to $83.7 million for the same quarter in 2024. Our net and comprehensive income for the three ended September 30, 2025, decreased by $2.9 million compared to the same periods in 2024. These changes are primarily due to decreased revenue from a lower approved return on equity of 8.97% in 2025 versus 9.28% in 2024.

For the three months ended September 30, 2025, our revenue from operations was $248.2 million, a decrease of $17.9 million compared to the same period in 2024. The change is are primarily due to higher revenue in 2024 related to the recovery of 2023 wildfire restoration costs through AltaLink’s self-insurance reserve account as approved by the AUC on July 31, 2024, and lower equity returns on rate base in 2025 due to a lower approved return on equity of 8.97% in 2025 versus 9.28% in 2024.

As a partnership, AltaLink, L.P. reports its net income before income taxes; therefore, its results are not directly comparable with net income reported by corporations that recognize income taxes in their financial statements.

AltaLink’s full financial results and management’s discussion and analysis can be found on AltaLink’s website at www.altalink.ca or on SEDAR+ at www.sedarplus.ca.

Headquartered in Calgary, with offices in Edmonton, Red Deer and Lethbridge, AltaLink is Alberta’s largest electricity transmission provider, with more than 13,400 kilometres of transmission lines and more than 310 substations. AltaLink is partnering with its customers to provide innovative solutions to meet the province’s demand for reliable and affordable energy.

Significant highlights during the third quarter of 2025

AltaLink’s third quarter of 2025 results highlight ongoing focus on safety, reliability and customer satisfaction:

• We achieved a customer satisfaction average score of 9.64 out of 10 compared to 9.78 for the same quarter in 2024.
• In the second quarter of 2025, we reached a negotiated settlement agreement with customer groups for substantially all our 2026-2027 GTA revenue and the entirety of our 2023-2024 direct assigned deferral capital account application. On September 24, 2025, the AUC approved the negotiated settlement. The AUC will issue the reasons for its approval at a later date. The approved negotiated settlement marks AltaLink’s fourth successful negotiated settlement over the past decade, which secures revenue for AltaLink to balance grid resilience and reliability with affordability for customers. Under the agreement, AltaLink reduced its applied-for operating expenses by $4.0 million and sustaining capital expenditures by $67.0 million for the 2026-2027 test period. The agreement does not include, among other items, AltaLink’s Wildfire Mitigation Plan, insurance premiums, and regulatory accounting of certain costs. These items will be heard in an AUC hearing in November 2025, with a decision expected in the first quarter of 2026.
• AltaLink held its 11th annual “Let’s Connect” customer event on October 7, 2025. The event featured a utility CEO panel discussing wildfire management strategy and a discussion on electricity policy with the Minister of Affordability and Utilities.
• We had zero employee injuries matching our performance for the same quarter in 2024.
• Our customer average outage duration increased to eleven minutes compared to two minutes for the same quarter in 2024. Performance was impacted by the severe windstorm near Brooks, Alberta, which contributed approximately eight minutes.
• On August 20, 2025, a tornado with wind speeds reaching 150 kilometres per hour and severe hail swept through the Brooks region of Alberta, causing significant damage to transmission infrastructure. The storm impacted three 138-kilovolt wood pole and two 240-kilovolt steel lattice transmission lines and damaged a total of 34 structures resulting in a power outage for approximately 3,000 FortisAlberta customers due to damage sustained by both AltaLink’s transmission system and FortisAlberta’s distribution network. Leveraging mutual aid in collaboration with other Alberta utilities, power was able to be restored to the majority of customers within 24 hours, with all customers restored in 36 hours. As of October 15, 2025, one 240-kilovolt transmission line remains out of service, with repairs scheduled for completion in the fourth quarter of 2025. The total cost of repairs is currently forecasted at $8.5 million, which we expect to recover through our self-insurance reserve.
• In July 2025, DBRS reaffirmed its ratings on AltaLink including the Issuer, Medium-Term Note (Secured), and Senior Secured Note ratings at “A”, as well as the Commercial Paper rating at R-1 (low), all with stable trends. “A” and “A-” ratings allow us to keep debt financing costs low for our customers.
• In July 2025, with the release of our 2024 Sustainability Report, AltaLink continued to demonstrate its commitment to sustainability as it operates the transmission system that supplies millions of Albertans with electricity.
• We earned net and comprehensive income of $80.8 million compared to $83.7 million for the same quarter in 2024. Our income decreased mainly due to decreased revenue from a lower approved return on equity of 8.97% in 2025 versus 9.28% in 2024.
• We invested $91.3 million in capital assets compared to $86.2 million for the same quarter in 2024 to ensure continued electric transmission system safety and reliability, to replace transmission assets damaged by severe weather, and to connect customers.

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FOR FURTHER INFORMATION

Investor Relations

Chris Lomore
Vice President, Treasurer
AltaLink Management Ltd.
Phone: 403.828.1521
E-mail: Chris.Lomore@AltaLink.ca

Media Relations

Scott Schreiner
Vice President, External Engagement
AltaLink Management Ltd.
Phone: 403.880.0275
E-mail: Scott.Schreiner@AltaLink.ca

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