IO~ COI. ~\ ~ ~<9 ~ $ "':<: . i ~ V ~ ~ C ? , ~ '/ ., 'tl ROBERT J. PELLAT T \/~ ••' I:' COMMISSION SECRETARY /~S CO\J\~" VIA FACSIMILE Mr. David A. Harrison Senior Vice-President Corporate and Financial Affairs and Chief Financial Officer B.C. Hydro and Power Authority 333 Dunsmuir Street Vancouver, B.C. V6B 5R3 Dear Mr. Harrison: Re: British Columbia Hydro and Power Authority Certificates of Public Convenience and Necessity for planned 1997 System Extensions In its Phase II Reconsideration Decision on Utility System Extension Tests of August 13, 1996, the Commission determined that jurisdictional uncertainty would be avoided if it relied in future on the sections of the Utilities Commission Act that provide it with express powers over system extensions. In the Commission's view, those powers are most clearly defined by Sections 51 and 53 which relate to the Certificate of Public Convenience and Necessity ("CPCN"). Therefore, the Commission directed each regulated utility to file, pursuant to Section 51 (3), an annual statement of the system extensions it planned to construct in the subsequent year. The Commission indicated that in this statement utilities could opt to simply identify the extensions they plan to construct, leaving the Commission to determine the basis on which it would decide if CPCN applications would be required. Alternatively, in the interests of streamlined regulation, utilities could file with the Commission information on the criteria they apply in determining whether or not a particular system extension is in the public interest. Moreover, the Commission indicated that if utilities wished to have the Commission provide review and commentary on the criteria they apply, in order to reduce regulatory uncertainty, they should file their criteria with the Commission by September 30, 1996. This second approach would enable the Commission to apply its powers under Sections 51 and 53 in a manner that would minimize the regulatory procedures necessary to meet the Commission's obligations under the Utilities Commission Act. The major utilities regulated by the Commission, with the exception of B.C. Hydro, have chosen to follow the second approach. LETTER No. L·53·96 U . i _ i .. ~ ):f - f ~ i J ! J s ;Z 0 SIXTH FLOOR, 900 HOWE STREET, BOX 250 VANCOUVER, B.C. CANADA V6Z 2N3 « Il : I t . ' :' ," . 0 TELEPHONE: (604) 660-4700 <2:> BC TOLL FREE: 1-800-663-1385 FACSIMILE: (604) 660-1102 November 14, 1996 . . .12
2 The Commission has reviewed B.C. Hydro's statement of proposed system extensions. Based on the limited information provided by B.C. Hydro, the Commission is uncertain if it would find all B.C. Hydro's proposed system extensions to be in the public interest. Therefore, the Commission has determined that, pursuant to Section 51(3), B.C. Hydro must apply for CPCNs prior to beginning construction of the system extensions listed in "Attachment A" . Finally, B.C. Hydro has not provided information on the system extensions costing less than $100,000. B.C. Hydro should provide this information by January 1, 1997. Yours truly, Robert J. Pellatt JWF/mmc Attachment A BCH/Cor/CPCN 1997SystemExt
ATTACHMENT A Proposed System Extensions requiring a CPCN prior to construction Region Project Description Major Connection Projects: Metro Pacific Place Metro Collingwood Metro Greenside subdivision Fraser Valley 10 Lot Industrial- Steveston Hwy at No.5 Rd. Fraser Valley MacMillan Bloedel Subdivision - Annacis lsI. Fraser Valley 12.70 RIM Extension Northern Imperial Oil-Fort St. John project split exp & improvement Customer Driven Improvement Projects: Metro Southpoint Fraser Valley Surrey Project 1995055, 152St, 64th to Hwy 10 Northern Imperial Oil Vancouver Island Alberni Hwy/Clark Road Phase 3 Uneconomic Extension Allowance Projects: South Interior Seymour Arms Beautification Projects: Metro Vancouver - Elm Street Metro Burnaby - Government Street Metro Whistler - Lake Placid Road Fraser Valley Richmond Fraser Valley Surrey, King George Hwy.
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