TransAlta Supports Canada's New Greenhouse Gas Initiative

Business Wire, June 3, 1998

CALGARY, ALBERTA--(BUSINESS WIRE)--June 3, 1998--TransAlta Corporation (TSE:TA.) (Alberta Stock Exchange:TA.) (ME:TA.) TransAlta Corporation strongly supports the establishment of a national, market-driven effort to address greenhouse gas emissions in Canada.

Federal and provincial government departments announced the creation of the Greenhouse Gas Emission Reduction Trading pilot (GERT). The program will make it possible for Canadian businesses and organizations to buy and sell greenhouse gas emission reduction credits. Organizations that reduce greenhouse gas emissions will get credits which can then be sold.

"Governments and industry in Canada are demonstrating their leadership on global climate change by creating a pilot domestic emissions reduction trading program," says Dr. Bob Page, TransAlta's vice-president of Sustainable Development. "The program recognizes that challenging environmental issues often require innovative economic solutions."

Page, the former dean of Environmental Design at the University of Calgary, added, "TransAlta has worked very hard to reduce greenhouse gas emissions so we definitely will participate in Canada's emissions reduction trading pilot."

In 1994, TransAlta committed to reduce its greenhouse gas emissions to 1990 levels by the year 2000. TransAlta is on track to reach its objective even though the company's production has increased over the last five years. TransAlta also has been involved in the national Voluntary Challenge and Registry (VCR) program since it began. In 1996, the federal minister of Natural Resources recognized TransAlta for its leadership and participation in the VCR program.

TransAlta, a long-time advocate of a global, market-based approach to address the greenhouse gas issue, also has initiated domestic and international greenhouse gas offset programs, including: a Saskatchewan soils project; building offset projects in Alberta; and a project in India.

TransAlta is an energy company with $5 billion in assets, operating in Canada, New Zealand, Australia, Argentina and the United States. Headquartered in Calgary, Alberta, TransAlta is the major supplier of electricity in Alberta. The company also has interests in gas and electricity distribution, independent generation, energy services and energy marketing. TransAlta is focused on providing its customers with innovative energy solutions in an increasingly deregulated market.

    CONTACT: TransAlta Corporation
              Richard Peter, 403/267-3678
              http://www.transalta.com