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

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Response:
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 244
• savings on meter reading will shift out into the future by the appropriate
number of years.
FortisBC made the following assumptions in preparing this response:
1. Meters are replaced with AMI meters at the rate of the yearly sum of Measurement
Canada SS-O6 + normal meter exchanges + new customer growth.
a. Meter fleet is converted to AMI:
i. 25% by 2016
ii. 50% by 2019
iii. 75% by 2024, and
iv. 88% by 2032
b. Unit price of AMI meters are inflated by 1.8 percent per year
2. HES, MDMS, telecom are installed in 2013 / 2014 as per existing proposed preliminary
project plan. The back office software (including integration) and communication
network is required immediately in order to realize benefits as soon as AMI meters are
installed.
3. Measurement Canada compliance, Meter Growth and Replacement are adjusted for the
cost of the AMI meters.
4. The cost related to the meter exchange program remains the same as in Status Quo.
5. Meters are written off over the 20 year study period as they are replaced by AMI meters.
6. Benefits adjusted:
a. While not an exact forecast, benefits are generally adjusted relative to the
percentage of the meter fleet that has been converted to AMI.
b. Theft reduction
i. The gain in theft reduction benefits as per the proposed AMI project is
reduced annually to equate to the percentage of the meter fleet that has
been converted to AMI. Feeder meters do not, by themselves, provide
the proposed gain over the Status Quo.
c. Manual Meter Reading