1. Fair, Efficient and Open Competition Regulation Metropolitan Centre August 28, 2009 Preferential Sharing of Records Not Available to the Public

2. - 2 - Agenda 1.Background 2.Timeline 3.Process Template Stakeholder Feedback 4.Minimum Filing Requirements Stakeholder Feedback 5.Questions & Discussion Process Template Filing Requirements Other

3. - 3 - Background The Fair, Efficient and Open Competition Regulation (FEOC) Regulation comes into force on September 1, 2009 FEOC Regulation covers 5 main areas: –Conduct –Preferential Sharing of Records –Outage Records –Offer Control –Commercial Information With respect to Preferential Sharing of Records, the regulation prohibits market participants from sharing past, current or future price and quantity offer information regarding offers made to the power pool or provision of ancillary services that is not available to the public.

4. - 4 - Background (cont’d ) Examples of records that are not available to the public that may be shared: –between Market Participants that are affiliates of each other; –60 days after the offers were made; –shared with ISO, MSA, broker, brokerage, forward exchange, person who prepares price index, or person permitted by law; –in accordance with Commission Order; –for the sole purpose of financial settlement; –covered by ISO-approved sharing arrangements until the earlier of termination or September 1, 2010 Refer to section 3(2)(a-h) in the FEOC Regulation

5. - 5 - Timeline August 14, 2009 –Written comments on the discussion paper due September 1, 2009 –FEOC Regulation comes into force September 15, 2009 –Parties with existing arrangements expiring in 2009 must notify the AUC if they intend to file an application under s.3(3) of FEOC Regulation October 15, 2009 –Parties with existing arrangements expiring in 2010 or beyond must notify the AUC if they intend to file an application under s.3(3) of FEOC Regulation

6. - 6 - Process Template Preferential Sharing of Records Proceedings

7. - 7 - Process Template Stakeholder Feedback Shorter Process if MSA Not Involved  AUC Response: Commission will deal with on a case by case basis; timing concerns should be brought to the Commission’s attention Request for Clarity on Oral Hearings, Template Timing and Information Requests  AUC Response: Template for Oral hearings similar to Written hearings  AUC Response: Revised steps 5 and 6 of Template Process to make timing work  AUC Response: Information Requests at the discretion of the Commission panel

8. - 8 - Proposed Minimum Filing Requirements Preferential Sharing of Records (a) Description & Duration (b) Grounds for Application* (c) Statutory Provision (d) Authority & Offer Control (e) Agreement Copy (f) List of Affiliates (g) Confirmation of FEOC* (h) Other Relevant Information (i) Contact Information for Applicant (j) Contact Information for Representative (k) Confirmation of Internal Compliance* *Amended in response to stakeholder comments

9. - 9 - Minimum Filing Requirements Stakeholder Feedback Representation of FEOC by Senior Officer  AUC Response: Revised requirement (b) and eliminated requirement (g) MSA request for information on internal compliance  AUC Response: Revised requirement (k) to provide relevant details including how records will be controlled and monitored Request for Clarity  AUC Response: Provided clarity on who files the application and the need for a copy of the agreement between the parties on Preferential Sharing of Records

10. - 10 - Contact Information John Esaiw Executive Director, Markets 403.592.4479 John.Esaiw@auc.ab.ca Darin Lowther Director, Market Rules 403.592.4507 Darin.Lowther@auc.ab.ca Presentation and Handout will be posted at www.auc.ab.cawww.auc.ab.ca Click on Market Consultations Presentation and Handout will be posted at www.auc.ab.cawww.auc.ab.ca Click on Market Consultations

11. - 11 - Questions & Discussion