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 271
application. The Company has estimated set-up costs of $250,000 for CPP and TOU rates (and
possibly higher for pre-pay).
111.0 Reference: Future Benefits
Response:
Exhibit B-1, Tab 6.0, Section 6.5, p. 103;
Exhibit B-1, Appendix C-1, p. 10
Future Conservation Rate Structures -
Network Benefits
FortisBC states on page 103 of the Application:
“FortisBC has estimated, using data from its Future Program Study (by Navigant) and
the BC Wholesale Market costs for energy and capacity (as presented in the
Company’s 2012 Long Term Resource Plan – Midgard Consulting 2011 FortisBC
Energy & Capacity Market Assessment), the effect of possible conservation rate
structures enabled by AMI.”
Appendix C-1 of the Application (Navigant Future AMI program study) states on page
10:
“Load control (LC) programs are designed to reduce electric loads during capacity
constrained periods by sending signals to customers and/or their equipment to either
cease operation or reduce power usage. ... The most common load control programs in
the residential sector control water heaters and air-conditioners. These programs
typically allow the utility to switch the appliance(s) off for a defined period of time during
load control events.”
111.1 Does the Midgard Consulting 2011 FortisBC Energy and Capacity Market
Assessment also include any network (transmission/distribution) incremental
capacity costs associated with load growth? Please explain why or why not.
No, the Midgard report does not provide any information on the network
(transmission/distribution) incremental capacity costs associated with load growth. It discusses
the impacts of regional transmission capacity constraints on the electricity market and gives
overall forecasts of the BC wholesale market capacity and the BC new resource market
capacity.