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Safey Frs. Aways.

Urban PpeneRepacemen Projec

Edmonon, Abera

A NAtURAl GAS PiPEliNE iNitiAtivE


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Background

Projec Oerew

Safey Frs. Aways.

For more than 100 years ATCO Pipelines has saely

and reliably transported natural gas rom producers to

communities and industrial customers through a networko high-pressure pipelines. For residential customers, these

high-pressure lines eed the low-pressure local distribution

pipelines, managed by companies such as ATCO Gas, that

deliver the natural gas to homes and businesses.

In the 1950s and 60s a network o high-pressure

pipelines was built on, what was predominately, the

outskirts o both Edmonton and Calgary to deliver

natural gas to the growing communities.

Over the years, urban development in Edmonton and

Calgary has overgrown the network o high-pressure

natural gas pipelines placing homes, schools and

businesses adjacent to these lines.

This has created three serious concerns or ATCO Pipelines:

1. Public Saety Due to the proximity o these

pipelines to densely populated areas, and the very

high pressures at which they operate, an incident

involving these pipelines has the potential or tragic

consequences.

Additionally, despite our best eorts to educate the

public, pipelines are still hit by third parties during

excavation activities. The current location o these

pipelines continues to make them vulnerable

to damage and increases the risk that an incident

will occur.2. Construction Standards - These pipelines were

constructed to the standards o 50 years ago and are

more vulnerable to ailure as they near the end o their

expected operating lie as high-pressure lines.

Pipelines built to todays standards have the

advantage o substantial improvements in materials,

inspection capabilities and damage prevention

technologies that reduce the risk o an incident.

3. Meeting Demand - As Edmonton and Calgary

continue to grow in size and population, the location

and capacity o the existing high-pressure networkwill not be able to meet the associated growth in

demand or natural gas in these cities.

This situation is a matter o public saety that is

challenging cities across North America. There have

already been serious incidents in other jurisdictions

prompting ATCO Pipelines to re-evaluate the integrity

o its existing pipeline network.

As a result, ATCO Pipelines has developed a solution

that will dramatically improve public saety and

ensure that customers receive sae, reliable natural

gas service or decades to come.


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the Projec

Make your oce heard! Open Houses:Century Hotel and Casino

13103 Fort Road | Thurs. Dec. 6, 4 - 9pm

Four Points by Sheraton Edmonton Gateway10010 12 Avenue SW | Sun. Dec. 9, 11am - 4pm

Delta Edmonton South Hotel

4404 Gateway Boulevard | Mon. Dec. 10, 4 - 9pm

Radisson Hotel Edmonton South

4440 Gateway Boulevard | Tues. Dec. 11, 4 - 9pm

Edmonton Marriott at River Cree Resort

300 East Lapotac Boulevard (Enoch, AB)

Wed. Dec. 12, 4 - 9pm

ATCO Pipelines has developed a proactive solution,

the Urban Pipeline Replacement (UPR) Project, that

will be considered or approval by the Alberta UtilitiesCommission (AUC).

The UPR Project is composed o 10 distinct projects

that, i approved, will see a new, modern high-pressure

network o natural gas pipelines constructed inside the

Transportation/Utility Corridor (TUC) o each city over a

period o fve years.

Unlike many other jurisdictions in North America,

Edmonton and Calgary beneft rom the Province

o Albertas oresight in establishing the TUCs in the

1970s to accommodate utility inrastructure as well

as a ring road. These corridors were specifcally

designed to provide a controlled space to saely locate

inrastructure or the growing cities.

By shiting the high-pressure transmission o natural

gas to a new, modern pipeline network located within

the designated TUCs, theUPR Project will reduce the

risk o a serious incident by up to 95%.

The new pipelines will have signifcant technological

improvements over the existing high-pressure network

including:

modern pipeline coatings that better protect

the pipe rom corrosion;

enhanced welding practices that reduce the

occurrence o leaks;

inspection o 100% o the welds during

construction;

inline inspection capabilities that will detectdeects in pipelines and identiy repairs required

prior to an incident occurring, and

remote monitoring technologies that provide early

warning o threats to the integrity o the pipeline.

By shiting the high-pressure transmission o natural gas

to the TUC, the UPR Project will greatly improve public

saety and provide the additional capacity to meet the

growing demand or natural gas.

ATCO Pipelines believes that the UPR Project is the

only viable solution to address the long-term saetyand growth o the Edmonton system.

Cos of he UPR ProjecTheprojectwillbemanagedandfundedby

ATCO Pipelines, an investor-owned utility, that

ultimately recovers its costs through customer natural

gas bills. The impact on customers bills will be

incrementally phased in over a period o fve years.

By the end o the project, the average residential bill

will increase by less than $2 per month.

ThetotalcostoftheUPRprojectisapproximately

$600-700 million, which includes the cost to integrate

the new high-pressure network with the ATCO Gas

low-pressure distribution system.

An important component o our submission to the

Alberta Utilities Commission will be the eedback we

receive rom you. Online, on the phone, or in person,ATCO Pipelines is committed to listening to your

comments, answering your questions, addressing

your concerns and sharing your eedback.

You can make your voice heard by completing and

submitting the attached comment card, calling us at

1-855-802-7546 (Mon. to Fri., 8am - 6pm), visiting our

web site at www.atcopipelines.com/upr or meeting

with us at one o the Open Houses.


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EdmononPipeli

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TheTransportation/UtilityCo

rridors(TUCs)weredesignedtofacilitate

infrastructuredevelopmentinEdmontonandCalgarybyaccom

modating

theprovincialringroadsystem,majorpowerlines,pipelines,regional

waterandsewerlinesandtelecommunicationlines.

Thecorridorsarenearlyakilometrewideandprovideasafe

designatedspacetoplaceh

igh-pressurenaturalgaspipelines

.

Theywereestablishedtoprotectutilityalignmentsfroma

dvancingurban

developmenta

ndofferalong-terms

olutiontomanyofthelanduse

challengesass

ociatedwithdevelopingmajorfacilitiesinanurbansetting.

TheTUCinEd

montonincludesAnthonyHenday

Driveand

Highway216(Hwy14X).

transporaion/U

iliyCorridors(tUCs)

S a f e y F i r s A l w a y s


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the Consequences of NOtProceedng wh he UPR Projec

Safey Frs. Aways.

I the Urban Pipeline Replacement (UPR) Project is not

approved, ATCO Pipelines will pursue a course o action

to improve the standards o the existing high-pressurepipelines in their current locations.

This will be carried out over two phases. The frst phase

requires substantial work just to prepare the lines or

the testing and ongoing inspection activities that will

determine their reliability. The second phase will then

replace those sections o the 50 to 60-year-old pipelines

that ail the testing or are deemed unreliable.

Both o these phases will require major construction

activities that will disturb your neighbourhoods, roadways

and green spaces, as well as cause disruptions to yournatural gas service as the pipelines are being tested

and replaced.

We estimate the cost to complete the work that prepares

the pipelines or testing and ongoing inspection

capabilities to be approximately $200 million. There

will be additional costs incurred to replace unsuitable

sections o the pipeline. The scope o the required

replacements can only be determined once the testing

is completed.

Under the UPR Project, the existing pipelines would be

either decommissioned or converted to distribution lines

carrying natural gas at a much lower, and saer, pressure.

While these upgrades will improve the integrity o the

existing pipelines, they do not address our other primary

concerns. It leaves the pipelines near where we live,

work and play. Without the ability to meet the growing

demand or natural gas, new pipelines may still have to

be constructed in the Transportation/Utility Corridor (TUC

in the uture.

This is why we believe the UPR Project is the only

viable solution. Building new, modern pipelines in

the TUC will dramatically improve public saety by

reducing the risk o an incident and protecting the

pipelines rom other construction activities, while also

ensuring we can meet the demand or natural gas as

the cities continue to grow.


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Frequeny Asked Quesons

What is natural gas used or?

Natural gas is delivered to the vast majority o Alberta

homes through a network o high-pressure and low-

pressure pipelines. Natural gas uels many o the comorts

o our daily lives including heat or homes through natural

gas urnaces, hot water through hot water tanks, as well as

cooking appliances, clothes dryers and freplaces. Natural

gas is also used to generate the electricity that powers

homes and businesses across the province.

Are the existing urban high-pressure pipelines sae?

The current system is operating saely. We undertake

an intensive integrity program that includes cathodic

protection surveys and leak inspections, as well as

monitoring our lines 24-hours-a-day through our Control

Centre.However,manyofthepipelineswereconstructed50 to 60 years ago. The new pipelines will beneft rom

the advancements in materials, construction practices

and damage prevention technologies, and be located

within the saety o the designated Transportation/Utility

Corridor (TUC).

What is the dierence between the high-pressure

pipelines used or transmission and the low-pressure

lines used or distribution?

High-pressuretransmissionpipelinesarethemost

efcient way to transport large amounts o natural gas

rom producers to communities and industrial customers.

Large volumes o gas in the pipeline increase the pressure

in the pipeline. For residential customers, the high-

pressure transmission pipelines eed local distribution

pipelines, managed by companies such as ATCO Gas.

There are more than 9,000 kilometres o distribution

pipelines running throughout Edmonton and Calgary

bringing natural gas directly into your home. The

distribution pipelines operate at a much lower pressure,

as the amount o gas travelling through them is much less.A pipeline ailure caused by a leak or hit line at these lower

pressures is less likely to result in a serious incident.

Why is it important to move high-pressure pipelines

to the TUCs?

Given the high pressures these pipelines operate at, any

ailure or damage to the pipeline can result in a serious

incident. This presents a signifcant risk to public saety.

I a serious incident were to occur in a densely populated

area it could have tragic consequences.

Why are you not moving all high-pressure pipelines

to the TUCs?

The lines that are not part o this project are either

located in industrial areas that require high-pressure

service or are already in a defned corridor and have

been constructed to current standards.

What will happen to the old high-pressure pipelines

near my home?

I the Urban Pipeline Replacement Project is approvedthere will be 260 kilometres o high-pressure pipelines

in Edmonton and Calgary removed rom high-pressure

service. Where appropriate, some o these pipelines will

be converted to low-pressure distribution service.


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Please

provi

Name:

Address:

Phone

orEm

We need your oce.An important component o our submission to

the Alberta Utilities Commission will be the

eedback we receive rom you. Online, on the

phone, or in person, ATCO Pipelines is committed

to listening to your comments, answering your

questions, addressing your concerns and sharing

your eedback.

This issue is a matter o public saety that will

have a direct impact on your home and amily.

You can make your voice heard by completing

the attached comment card, calling us at

1-855-802-7546 (Monday to Friday, 8am - 6pm),

visiting our web site at www.atcopipelines.com/upr

or meeting with us at one o the Open Houses.

Iaminte

Thankyouorprovidin

willbeconsultingwith

mayprovidetousinco

youareaskingtoparti

wetakeyour

privacys

ofcerat403-245-7060


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For more than 100 years, ATCO Pipelines has owned andoperated key pipeline inrastructure throughout Alberta

that transports natural gas to utilities, power generators

and major industries.

With ofces in Edmonton and Calgary and acilities

throughout the province, ATCO Pipelines is committed

to operating in a responsible and sustainable manner.Our success depends on building and maintaining a sae

and reliable natural gas pipeline system, while meeting

high environmental standards and developing strong

community relationships.

ATCO Pipelines is part o the ATCO Group o Companies

an investor-owned, Alberta-based, worldwideorganization with more than 8,800 employees that

deliver service excellence and innovative business

solutions through leading companies engaged

in Structures & Logistics, Utilities, Energy and

Technologies.

More inormation can be ound at www.atcopipelines.com

Who s AtCO Ppenes?


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Your inpu s CrcaATCO Pipelines believes that sae communities must be a

priority. The only way to ensure the right decision is made or

your home and amily is to get involved and provide your input.Online, on the phone, or in person, ATCO Pipelines is committed

to listening to your comments, answering your questions,

addressing your concerns and sharing your eedback.

Visitwww.atcopipelines.com/upr

Call1-855-802-7546(Mon.toFri.8am-6pm)

Completeandreturnthefeedbackcard

attached to this document

AttendoneofourOpenHouses

ATCO Pipelines would like to talk to you in person. Listed

belowareanumberofOpenHouseswewillbehostingto

walk you through the details o the project. We will have our

project experts there to answer any questions you may have.

I these dates do not work or you and you would like to see

us in person, please call us at 1-855-802-7546 and we will

be happy to come and visit you at your home.

Open House Dates:Thurs. Dec. 6, 4 - 9pm

Century Hotel and Casino

Sun. Dec. 9, 11am - 4pm

Four Points by Sheraton Edmonton Gateway

Mon. Dec. 10, 4 - 9pm

Delta Edmonton South Hotel

Tues. Dec. 11, 4 - 9pm

Radisson Hotel Edmonton South

Wed. Dec. 12, 4 - 9pm

Edmonton Marriott at River Cree Resort

Note: See page 3 or Open House addresses

Safey Frs. Aways.

at co pipelines 2

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