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

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FortisBC Inc. (FortisBC or the Company)
Application for a Certificate of Public Convenience and Necessity
for the Advanced Metering Infrastructure Project
Response to British Columbia Utilities Commission (BCUC or the Commission)
Information Request (IR) No. 1
Submission Date:
October 5, 2012
Page 213
property. Theft sites often present access issues for the investigator (i.e. threatening dogs,
locked gates or customer presence) and require return visits. The On-Demand Meter Reading
feature offered by AMI will enable the investigator to poll the meter wirelessly at the road rather
than enter the customer property. This feature will reduce safety risks for the investigator at
potential theft sites, preserve the integrity of discreet investigation and improve productivity by
eliminating the need for repeat visits.
Response:
88.3.1 Do meter readers physically visiting sites act as a deterrent to electricity
theft? Please explain why or why not.
The bills issued to FortisBC customers indicate the approximate date of the next meter reading,
meaning that customers who are engaged in tampering have a good idea of when they need to
conceal any visible evidence. Similarly, many off-cycle reads (i.e. for move-outs or check
readings) are performed at customer request, again giving the customer an opportunity to
present a normal meter installation. Physical visits may nevertheless deter some visually
obvious theft such as inverted or switched meters. However, the more common methods of
electric theft cannot be detected with a cursory visual inspection. The Tamper Detection feature
enabled by AMI will improve the reporting on tampered meters as all sites where meter
tampering has occurred will be identified.
89.0 Reference: Project Costs and Benefits
Exhibit B-1, Tab 5.0, Section 5.3.3, p. 76;
Exhibit B-3, Excel Document: “FortisBC – AMI Excel NPV Analysis –
17Aug12”
Composite Depreciation Rate, Meters
Exhibit B-1, page 76 notes the following:
“Meters – Assumptions regarding depreciation rates for the AMI meters have been
determined based on the observed useful lives as established through industry
experience, as well as through the manufacturer’s recommendations. This has resulted
in a 5 percent depreciation rate based on an estimated economic life of 20 years;”
On December 23, 2010, the Ontario Energy Board issued the “Accounting Procedures
Handbook Frequently Asked Questions” which notes: