IN THE MATTER OF
the Utilities Commission Act, R.S.B.C. 1996, Chapter 473
and
An Application by British Columbia Hydro and Power Authority
Stave Falls Spillway Gates Replacement Project
BEFORE: D.A. Cote, Commissioner
L.F. Kelsey, Commissioner May 13, 2010
O R D E R
WHEREAS:
A. On December 23, 2009, British Columbia Hydro and Power Authority (BC Hydro) filed an application (the Application) with the British Columbia Utilities Commission (the Commission) under section 44.2(1)(b) for acceptance, pursuant to sections 44.2(3)(a) of the Utilities Commission Act (the Act), that capital expenditures BC Hydro anticipates making in respect of the Stave Falls Spillway Gates Replacement Project (Project) are in the public interest; and
B. The Project has an estimated capital cost of approximately $61.5 million, funded entirely by BC Hydro’s ratepayers, which includes costs to date and costs for the spillway gate design, supply and install contract, protection and control materials and installation, additional equipment and retirement items, design and design support during construction, construction management and resident engineering services, indirect BC Hydro support plus contingency, inflation, interest during construction and capital overhead; and
C. On January 11 , 2010 the Commission issued Order G-7-10 which established the Notice of the Application and the Regulatory Timetable for a written public hearing process having two rounds of information requests to review the Application under section 44.2 of the Act; and
D. The Commission directed BC Hydro to provide a copy of Order G-7-10 to the First Nations considered to be relevant for inclusion in the consultation activities on the Project through their Chief and Council contacts; and
E. BC Hydro held a Workshop on the Application on January 18, 2010 in the BC Hydro Edmonds Main Auditorium at 6911 South Point Drive in Burnaby; and
F. British Columbia Old Age Pensioners’ Organization et al. (BCOAPO), Commercial Energy Consumers Association of British Columbia (CEC) and the Commission provided information requests to BC Hydro, and BC Hydro responded to all of the information requests on April 1, 2010; and
G. BCOAPO and CEC provided Final Submissions in respect of the Application on April 22, 2010; and
H. BC Hydro filed its Reply Submission on April 29, 2010 completing the Commission’s comment process; and
I. The Commission has considered the Application, evidence and submissions of Interveners and BC Hydro, notes the Application is not opposed and concludes that the expenditures are in the public interest.
NOW THEREFORE the Commission orders that:
1. The expenditures for the Project, as described in the Application, are in the public interest in accordance with section 44.2(3)(a) of the Act.
2. In accordance with section 43 of the Act, BC Hydro is directed to file with the Commission quarterly progress reports on the Project schedule, costs and any variances or difficulties that the Project may be encountering. The form and content of the quarterly progress reports will be consistent with other BC Hydro capital project progress reports filed with the Commission. The quarterly progress reports will be filed within 30 days of the end of each reporting period.
3. BC Hydro is directed to file a final report within six months of the end or substantial completion of the Project in accordance with section 43 of the Act. The final report is to include a complete breakdown of the final costs of the Project, a comparison of these costs to the Project Expected Cost estimate and provide an explanation of all material cost variances.
DATED at the City of Vancouver, in the Province of British Columbia, this 13th day of May 2010.
BY ORDER
Original signed by:
D.A. Cote
Commissioner