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 272
111.2 Please provide FortisBC’s forecast network investment costs (transmission and
distribution) from 2012 to 2030 related to load growth (i.e., which could be
avoided if peak load was lower than forecast).
Please refer to BCUC IR1 Table 111.2 below (summarized from Appendix J of the FortisBC
2012 Long-Term Capital Plan). These costs are related to projects which could potentially be
deferred or avoided if peak load was lower than forecast.
Response:
BCUC IR1 Table Q111.2
Year 2012 2013 2014 2015 2016 2017-31
($000s)
Total Transmission Growth 11,832 8,847 17,287 27,537 15,265 348,873
Total Distribution Growth 13,646 13,759 16,300 14,320 19,172 267,293
Total 25,478 22,606 33,588 41,857 34,437 616,166
111.2.1 Are avoidable network investments specific to certain regions
only? If yes, please describe.
The avoidable network investment costs listed in BCUC IR1 Table Q111.1 represent growth
investments required throughout the FortisBC service territory. The total costs are composed of
many individual projects that may cover an area as small as a portion of distribution feeder or an
area as large as the north or south Okanagan. Thus, to have any impact on future projects that
support growth in an area, any load reductions would need to be specific to the area covered by
those individual projects.
Response:
111.2.2 Does FortisBC consider that any of these investments could
reasonably be avoided through the use of residential TOU or CPP
rates? Please explain why or why not.
In general, it is plausible that customer demand reductions resulting from TOU or CPP rates
could result in the deferral of some load-growth driven projects. However, the potential impact is