TMX group

CALGARY, Nov. 28 /CNW/ - FortisAlberta's Board of Directors today
announced the approval of $240 million in capital projects for 2007, which is
net of customer contributions totaling $33 million. The current forecast for
2006 is $217 million, net of customer contributions of $33 million.
"These higher levels of capital investments are required to meet the
unprecedented growth driven by the Alberta economy," says Philip Hughes,
President and CEO, FortisAlberta. "The strategic investment of capital to
support Alberta's customer growth requirements and a focus on electrical
upgrades and enhancements across our service territory will position
FortisAlberta to continue to provide high quality electrical service in a
safe, reliable cost effective manner."
More than half the Company's capital investments in 2007 will be directed
towards improving and expanding poles and wires facilities to meet customer
demand. These investments will strengthen the physical integrity of the
existing electrical system and be used to build additional facilities to
improve capacity and reliability.
As part of a negotiated settlement agreement between FortisAlberta and
its customers dealing with the Company's 2006/07 Distribution Revenue
Requirement and the 2007 Terms and Conditions of Service, the agreement
included capital expenditures of $177 million, which was net of customer
contributions of $24 million. The increase in FortisAlberta's 2007 capital
expenditure program, which is subject to approval by the Alberta Energy and
Utilities Board (EUB), is primarily due to higher electricity demands and
significant customer growth in the residential, commercial and oil and gas
customer classes as a result of a strong provincial economy.
In addition, on November 27, 2006, the EUB issued Order U2006-292, which
establishes the generic return on equity for FortisAlberta and other utilities
under the EUB's jurisdiction at 8.51% for 2007 versus 8.93% in 2006.

FortisAlberta is an electric distribution company with approximately
426,000 customers and more than 104,000 kilometres of power lines. It is a
wholly owned indirect subsidiary of Fortis Inc. - a diversified, international
electric utility holding company with assets of approximately $5 billion and
annual revenues of over $1.4 billion. The Common Shares, First Preference
Shares, Series C; First Preference Shares, Series E; and First Preference
Shares, Series F of Fortis Inc. are traded on the Toronto Stock Exchange under
the symbols FTS, FTS.PR.C, FTS.PR.E and FTS.PR.F, respectively. Fortis Inc.
information can be accessed at www.fortisinc.com.

FortisAlberta may include forward-looking statements in this release. By
their very nature, forward-looking statements are based on underlying
assumptions and are subject to inherent risks and uncertainties surrounding
future expectations generally. Such events include, but are not limited to,
general economic, market and business conditions, regulatory developments,
weather and competition. FortisAlberta cautions readers that should certain
events or uncertainties materialize, or should underlying assumptions prove
incorrect, actual results may vary significantly from those expected. For
additional information with respect to certain of these risks or factors,
reference should be made to FortisAlberta's continuous disclosure materials
filed from time to time with Canadian Securities Regulatory Authorities.
FortisAlberta disclaims any intention or obligation to update or revise any
forward-looking statements, whether as a result of new information, future
events or otherwise.

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