REGULATORY
Utility regulator reviews plan to boost capacity with ambient-adjusted approach
25 Jul 2025
British Columbia is preparing to change how it manages its electricity network, with regulators reviewing a proposal from BC Hydro to adopt ambient-adjusted ratings (AAR) for its transmission system. The move would replace long-standing seasonal limits with ratings that adjust in real time to weather conditions such as wind and temperature.
The BC Utilities Commission has opened a proceeding to consider the plan, which is intended to unlock additional grid capacity and create more room for renewable energy. Unlike dynamic line ratings, which rely on detailed sensor data, AAR uses widely accepted methods already in place in parts of the US.
By reflecting actual conditions rather than fixed seasonal assumptions, AAR allows utilities to carry more power on existing infrastructure. Supporters say the approach can reduce congestion, defer costly upgrades, and provide developers with greater certainty about when capacity is available. "This is as much about transparency as it is about technology," one analyst said, pointing to requirements for utilities to provide verifiable data on grid performance.
The transition would require investment in monitoring equipment, weather stations, and software capable of calculating safe capacity. While upfront costs could be significant, proponents argue that avoided transmission expansions and more efficient grid use would generate savings over time.
For Canada, the reform comes at a moment of rising demand and mounting pressure to integrate new renewable projects without compromising system reliability. Other provinces are expected to follow developments in British Columbia closely, viewing the AAR initiative as a potential model for addressing transmission bottlenecks nationwide.
The commission's decision will signal how Canada positions itself in adopting more flexible grid management practices, as utilities prepare for a future of higher loads and cleaner power.
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