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ENMAX receives confirmation to terminate PPA with TransAlta-owned plant

Alberta's Balancing Pool confirmed ENMAX Corp.'s entitlement to terminate its power purchase arrangement with TransAlta Corp.-owned 792-MW Keephills coal power plant in the province.

Enmax moved to abandon the contract in May 2016, citing a clause in the PPA that allows it to be returned to the Balancing Poll when it becomes unprofitable due to government policy changes.

In November, the Court of Queen's Bench ordered the Balancing Pool to complete the process of assessing and verifying the termination notice in good faith and without further delay. Prior to that, Enmax received a similar court decision on its terminated PPA with ATCO Ltd.'s Battle River coal-fired power plant.

The Balancing Pool had previously refused to carry out the process due to a pending court case commenced by the province's attorney general on PPA terminations. "ENMAX remains confident in its overall legal position relating to the PPA terminations, which has been strengthened by success in two related Court decisions," the company said in a Dec. 7 statement.