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FortisBC Inc. (FortisBC) Application for a Certificate of Public ...

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Response:<br />

<strong>FortisBC</strong> <strong>Inc</strong>. (<strong>FortisBC</strong> or the Company)<br />

<strong>Application</strong> <strong>for</strong> a <strong>Certificate</strong> <strong>of</strong> <strong>Public</strong> Convenience and Necessity<br />

<strong>for</strong> the Advanced Metering Infrastructure Project<br />

Response to British Columbia Utilities Commission (BCUC or the Commission)<br />

In<strong>for</strong>mation Request (IR) No. 1<br />

Submission Date:<br />

October 5, 2012<br />

Page 14<br />

6.5.1 Has <strong>FortisBC</strong> considered replacing only the electromechanical meters at<br />

this time and the 35,000 digital meters closer to the end <strong>of</strong> their useful<br />

life? Please discuss this alternative.<br />

<strong>FortisBC</strong> has considered replacing only the electro-mechanical meters with AMI meters at this<br />

time, and replacing the digital meters at the end <strong>of</strong> their useful life.<br />

This alternative has not been pursued as it would negate much <strong>of</strong> the benefit <strong>of</strong> an AMI system.<br />

For example, the main financial benefits <strong>of</strong> an AMI system – decreasing meter reading costs<br />

and reducing theft – both require a full deployment <strong>of</strong> AMI meters in an area to be realised.<br />

Since the current digital meters are not concentrated in a geographical area, these efficiencies<br />

would not be realised across the entire <strong>FortisBC</strong> service area.<br />

Response:<br />

6.6 Please describe how with 162,000 customers (p.15) only approximately 115,000<br />

are metered customers.<br />

The 162,000 customer count referenced on page 15 <strong>of</strong> the <strong>Application</strong> refers to the total direct<br />

and indirect customer count served by <strong>FortisBC</strong>. For clarity, direct customers (approximately<br />

115,000) are those customers served directly (metered and billed) by <strong>FortisBC</strong> within its service<br />

territory. The remaining approximately 47,000 indirect customers are those customers <strong>of</strong> the<br />

five municipalities (Kelowna, Summerland, Penticton, Grand Forks, Nelson) to which <strong>FortisBC</strong><br />

provides wholesale service. <strong>FortisBC</strong>’s proposed AMI Project will only impact the metering<br />

technology <strong>for</strong> the Company’s direct customers.

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