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

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<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 210<br />

The NPV <strong>of</strong> the Net Benefit increases to $50.4 million as presented in the supporting analysis<br />

provided as Electronic Attachment BCUC IR1 87.2.<br />

Response:<br />

87.2.8 Please recalculate the ‘NPV <strong>of</strong> net benefit’ assuming both the above two<br />

scenarios occur (50 percent <strong>of</strong> marijuana grow operations diverting<br />

electricity and being on average 50 percent larger than paying grow<br />

operations).<br />

<strong>FortisBC</strong> considers this scenario unlikely since <strong>FortisBC</strong> data does not currently support a 50%<br />

theft ratio as further described in the response to BCUC IR1 Q87.2.6.<br />

The NPV <strong>of</strong> the Net Benefit increases to $106 million as presented in the supporting analysis<br />

provided as Electronic Attachment BCUC IR1 87.2.<br />

Response:<br />

87.2.9 Please recalculate the ‘NPV <strong>of</strong> net benefit’ <strong>for</strong> an alternative option where<br />

only Phase 2 <strong>of</strong> the theft detection program is undertaken (purchase <strong>of</strong><br />

feeder, trans<strong>for</strong>mer and portable wireless meters plus the associated<br />

annual operational expense), together with the minimum requirements <strong>of</strong><br />

Phase 1 required to enable Phase 2. Please specify Phase 1 minimum<br />

requirements.<br />

The minimum phase 1 requirement to enable phase 2 is the full implementation <strong>of</strong> AMI. As<br />

such, the net benefit related to theft detection in this scenario is the same as presented in the<br />

<strong>Application</strong>. Please also refer to the responses to BCUC IR1 Q82.4.2 and Q78.3.1.<br />

Response:<br />

87.3 Please describe how <strong>FortisBC</strong> is proposing to measure, evaluate and report the<br />

actual versus <strong>for</strong>ecast results <strong>of</strong> the AMI program as it relates to theft reduction<br />

and revenue margin from paying marijuana grow operations.<br />

Please see the response to BCUC IR1 Q56.3.

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