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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 173<br />

78.3.1 Would it be possible to obtain a reasonably accurate measure <strong>of</strong> network<br />

losses without the installation <strong>of</strong> AMI? Please explain why or why not.<br />

Estimates <strong>of</strong> total system losses have been used historically in the Company’s Revenue<br />

Requirements and Cost <strong>of</strong> Service Analysis <strong>Application</strong>s. While these estimates are adequate<br />

<strong>for</strong> power purchase and cost allocation purposes, they are not as granular or as detailed as the<br />

network losses which could be measured following the installation <strong>of</strong> AMI meters. These more<br />

detailed loss measurements would allow <strong>FortisBC</strong> to proactively locate and address specific<br />

loss problems. Time-synchronized customer billing meter readings are required to make more<br />

detailed loss calculations. <strong>FortisBC</strong>’s proposed AMI system is capable <strong>of</strong> producing these timesynchronized<br />

meter readings.<br />

Response:<br />

78.3.2 Does <strong>FortisBC</strong> consider it reasonable to make an AMI investment to<br />

address electricity theft in the absence <strong>of</strong> a reliable estimation <strong>of</strong> nontechnical<br />

network losses? Please explain why or why not.<br />

As described previously in the responses to BCUC IR1 Q78.3 and Q78.3.1, the current method<br />

<strong>of</strong> estimating network losses can only determine overall losses <strong>for</strong> the entire <strong>FortisBC</strong> system.<br />

By installing AMI meters, system losses could instead be measured at the individual distribution<br />

feeder level. These much more detailed measurements would allow <strong>FortisBC</strong> to proactively<br />

locate and address specific loss concerns – whether these losses are commercial or technical in<br />

nature. Since a reduction in system losses reduces power purchase costs (and hence rates), it<br />

is in the customers’ interests <strong>for</strong> <strong>FortisBC</strong> to use practical and available technologies such as<br />

AMI to identify and reduce system losses.<br />

Response:<br />

78.4 How many customer accounts have been subject to production orders by law<br />

en<strong>for</strong>cement <strong>of</strong>ficials each year since 2006?<br />

<strong>FortisBC</strong> has received a total <strong>of</strong> thirteen production orders from law en<strong>for</strong>cement <strong>of</strong>ficials since<br />

2006.

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