AltaLink focused on reliability and affordability

Press Release

CALGARY, ALBERTA (February 24, 2025) – AltaLink achieved its best-ever reliability performance in 2024 while maintaining its annual revenue requirement below 2018 levels of $904 million for the sixth consecutive year.

“Our customers demand reliable and affordable electricity to power the homes, farms, businesses and industries of Alberta,” said Gary Hart, AltaLink President and Chief Executive Officer. “We’re proud to have delivered our best-ever reliability performance to keep our province and its economy running.”

AltaLink’s reliability as measured by System Average Interruption Duration Index (SAIDI) was 8.92 minutes in 2024, a two and a half per cent improvement over its 2023 performance of 9.15 minutes.

“Keeping the lights on is a passion for our team,” said Mr. Hart. “Our commitment to operational excellence has enabled our improved performance without increased costs. Every employee, from our front-line field employees to those that support them from our head office, contributes to delivering reliable service while carefully managing our costs for our customers.”

For a sixth straight year, AltaLink’s revenue requirement remained below 2018 levels. The company’s revenue requirement in 2024 was $902.5 million, excluding the recovery of $8.3 million of wildfire damage restoration costs in response to Alberta’s historic 2023 wildfire season along with other adjustments as directed by the Alberta Utilities Commission.

AltaLink is the only regulated utility in Alberta to have kept its revenue requirement below 2018 levels for the last six years.

AltaLink announces 2024 full year financial results

Today, AltaLink, L.P. announced comprehensive income of $79.9 million and $330.1 million respectively, for the quarter and year ended December 31, 2024. Our comprehensive income for the quarter and year ended December 31, 2024, increased by $3.5 million and $32.3 million, respectively, compared to the same periods in 2023. The changes are primarily due to increased revenue from the regulatory generic cost of capital decision, and a higher recovery of interest as a result of higher approved short-term interest rates, partially offset by higher operating costs.

AltaLink announced revenue from operations of $256.2 million and $1,021.4 million respectively, for the quarter and year ended December 31, 2024. For the quarter ended December 31, 2024, our revenue from operations increased by $2.9 million or 1.1% compared to the same period in 2023. The change is primarily due to higher debt and equity returns on rate base, partially offset by recovery of lower revenue related to salvage expenses. For the year ended December 31, 2024, our revenue from operations increased by $44.9 million or 4.6% compared to 2023. The change is primarily due to higher debt and equity returns on rate base.

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. AltaLink is partnering with its customers to provide innovative solutions to meet the province’s demand for reliable and affordable energy. A wholly-owned subsidiary of Berkshire Hathaway Energy, AltaLink is part of a global group of companies delivering energy services to customers worldwide.

Significant highlights during 2024

AltaLink’s safe delivery of affordable and reliable electricity for its customers is highlighted in its 2024 results:

• Our employee safety performance as measured by total recordable injury frequency rate was 0.32, representing two injuries, compared to three injuries in 2023. In November 2024, for the eighth consecutive year, we received the Electricity Canada President’s Award for Safety Excellence as the best performing transmission company with 300 to 1,500 employees in 2023.
• Our customer average outage duration improved to 8.9 minutes compared to 9.2 minutes in 2023, establishing a new best-ever annual performance result in 2024.
• We achieved a customer satisfaction average score of 9.70 out of 10 compared to 9.59 in 2023. Our 2024 results are our best-ever annual results achieved to date.
• We are extending our commitment to customers and Albertans by keeping our annual revenue requirements below the 2018 level of $904.0 million for another two years in 2024 and 2025; a total of seven years from 2019 to 2025. Our 2025 transmission tariffs of $905.3 million includes the revenue requirements of $897.0 million and a recovery of $8.3 million for 2023 wildfire damage restoration costs directed by the AUC.
• We received approval from the AUC to no longer pre-collect the funds used for salvage activities in our revenue requirements moving forward, which resulted in a reduction of our revenue requirements by approximately $29 million over 2024 and 2025.
• The AUC approved our project financing from the Canada Infrastructure Bank for the Central East Transfer-Out project. This project financing will save Alberta ratepayers approximately $60 million over the 30-year financing of the project.
• The AESO approved a project change proposal for a high-capacity conductor that provides approximately 50% additional capacity on the Central East Transfer-Out transmission line while only increasing the project investment by approximately 4%. This increase in project investment is approximately $8 million with a total project investment of $207.0 million.
• We were named in Forbes Canada’s best employers list for 2024.
• We received the Workplace Excellence Award from the United Way of Calgary and Area, for our 2023 campaign which raised $804,496. The award honors workplace campaigns that exhibit strong employee engagement, leadership support, and a best-practice approach. In 2024, our employees raised $867,318 for the United Way after the dollar-for-dollar match by AltaLink, bringing our total to more than $12.1 million since 2002.
• S&P reaffirmed its issuer credit rating and senior secured rating on AltaLink at “A-” with a stable outlook. 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.
• The AUC issued an order approving 8.97% as the final return on equity for 2025 for Alberta utilities using its formula-based approach and prescribed bond yields and utility credit spread inputs.
• Our comprehensive income of $330.1 million increased compared to $297.8 million in 2023 mainly due to increased revenue from the regulatory generic cost of capital decision.
• We invested $356.0 million in capital assets compared to $279.0 million in 2023 to ensure continued electric transmission system safety and reliability, and to connect generation.

This news release does not constitute an offer to sell or the solicitation of an offer to buy AltaLink’s securities in any jurisdiction, including but not limited to, the United States. AltaLink’s securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”), or any state securities laws and may not be offered or sold in the United States except in certain transactions exempt from the registration requirements of the U.S. Securities Act and applicable state securities laws.

Except for the historical and present factual information contained herein, the matters set forth in this news release, including words such as “expects”, “intends”, “projects”, “plans”, “anticipates”, and similar expressions, are forward looking information that represents management of AltaLink’s internal projections, expectations or beliefs concerning, among other things, future operating results and various components thereof or the economic performance of AltaLink. The projections, estimates and beliefs contained in such forward looking statements necessarily involve known and unknown risks and uncertainties, which may cause AltaLink’s actual performance and financial results in future periods to differ materially from any projections of future performance or results expressed or implied by such forward looking statements. These risks and uncertainties include, among other things, those described in AltaLink’s filings with the Canadian securities authorities. Accordingly, holders of AltaLink securities and potential investors are cautioned that events or circumstances could cause results to differ materially from those predicted. AltaLink disclaims any responsibility to update these forward looking statements.

FOR FURTHER INFORMATION PLEASE CONTACT:

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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