Orders

 

ORDER NUMBER

F-33-24

 

IN THE MATTER OF

the Utilities Commission Act, RSBC 1996, Chapter 473

 

and

 

British Columbia Hydro and Power Authority

Request to Amend Major Capital Project Filing Guidelines

 

Participant Cost Award Application

 

BEFORE:

A. K. Fung, KC, Panel Chair

A. C. Dennier, Commissioner

W. M. Everett, KC, Commissioner

 

on September 24, 2024

 

ORDER

WHEREAS:

 

A.      On March 17, 2023, British Columbia Hydro and Power Authority (BC Hydro) filed an application with the British Columbia Utilities Commission (BCUC) seeking to amend the major capital project filing guidelines (Application);

B.      On December 2, 2019, by Order G-313-19, the BCUC approved the 2018 Major Capital Project Filing Guidelines (2018 Guidelines), including BC Hydro’s commitment to submit applications to the BCUC for major capital projects with authorized cost estimates that exceed the following thresholds:

•   $100 million for Power System projects;

•   $50 million for Buildings projects; and

•   $20 million for Information Technology projects.

C.      In the Application, subsequently amended by submissions of May 25, 2023, and the revised application filed on February 23, 2024, BC Hydro seeks approval:

•         To increase the major project expenditure thresholds to:

o   $250 million for Power System projects;

o   $125 million for Building projects; and

o   $50 million for Information Technology projects.

•         To clarify the definition of “extension;”

•         To update the annual reporting requirements in the 2018 Guidelines to reflect the BCUC’s direction in letter L-46-23; and

•         To update the 2018 Guidelines and the applicable directives for the John Hart Dam Seismic Upgrade Project, Bridge River 1 Units 1 to 4 Generator Replacement Project, Peace to Kelly Lake Stations Sustainment Project and Mainwaring Substation Upgrade Project to:

o   Move to annual progress reports from semi-annual progress reports, in instances where material change reports are a separate reporting requirement;

o   Adjust the due date of filing final reports to three months after review by BC Hydro’s Board of Directors rather than three months after substantial completion of the projects; and

o   Amend the 2018 Guidelines to clarify that the BC Hydro’s Board of Directors reviews, rather than approves, final reports.

D.      By Order G-113-23, dated May 9, 2023, the BCUC established a regulatory timetable for review of the Application. By Orders G-118-23, dated May 17, 2023, G-132-23, dated June 7, 2023, and G-184-23, dated July 13, 2023, respectively, the BCUC amended the regulatory timetable;

E.       On January 31, 2024, by Order G-27-24A with decision issued concurrently, the BCUC approved amendments to the 2018 Guidelines regarding project reporting;

F.       The following parties registered as interveners in this Application:

•         British Columbia Sustainable Energy Association (BCSEA);

•         Residential Consumer Intervener Association (RCIA);

•         Commercial Energy Consumers Association of British Columbia (CEC); and

•         British Columbia Old Age Pensioners’ Organization et al. (BCOAPO).

G.      On August 15, 2024, by Order G-218-24 with Decision issued concurrently, the BCUC approved amendments to the 2018 Guidelines (to be renamed as the 2024 Major Capital Project Guidelines) including requiring annual compliance reporting;

H.      The following participants filed Participant Cost Award (PCA) applications with the BCUC with respect to their participation in the proceeding:

 

I.         By letter dated September 12, 2024, BC Hydro provided its comments on the PCA applications, stating that each of the applicants appears to be eligible for a cost award and that it has no objection to them receiving the specific PCA amounts applied for; and

J.        The BCUC has reviewed the PCA applications in accordance with the criteria and rates set out in the BCUC’s Rules of Practice and Procedure and determines that the PCA applications should be approved in their entirety.

 

NOW THEREFORE pursuant to section 118 of the Utilities Commission Act, the BCUC orders as follows:

 

1.       Costs are awarded to the following participants in the listed amounts for their participation in BC Hydro’s Request to Amend Major Capital Projects Filing Guidelines proceeding:

 

2.       BC Hydro is directed to reimburse the above-noted participants for their respective awarded amounts in a timely manner.

 

DATED at the City of Vancouver, in the Province of British Columbia, this        24^th        day of September, 2024.

 

 

BY ORDER

 

Original signed by:

 

A. K. Fung, KC

Commissioner