FEI-FEVI 2010 EEC Report filed March 31, 2011 - FortisBC

FORTISBC ENERGY INC. AND FORTISBC ENERGY (VANCOUVER ISLAND) INC.
2010 ENERGY EFFICIENCY AND CONSERVATION ANNUAL REPORT
Innovative technologies programs, including the Commercial NGV Demonstration program, are
to be run as pilots and/or demonstration projects that would subsequently provide data to
enable the Companies to establish the appropriate timelines, key milestones, and completion
dates for full-scale program activity in the innovative technologies area.
10.1.1.2 Background
On April 16, 2009, the Commission issued the EEC Decision approving funding for FEI and
FEVI for 2009 and 2010 programs. While the Companies did not receive approval for
expenditures for the Innovative Technologies Program Area as part of that application, the
Commission directed the Companies to bring forward projects for consideration as they became
more fully developed. 48
FEI and FEVI submitted their respective applications for 2010 – 2011 Revenue Requirements
and Delivery Rates on June 15, 2009 and June 29, 2009, respectively, which proposed
innovative technologies programs and expenditures in order to meet the Commission’s
directives in Order No. G-36-09. On November 26, 2009, the Commission issued Order No. G-
141-09, approving the Negotiated Settlement Agreement (“NSA”) for FEI. This EEC budget that
was approved as part of that NSA included the requested FEI innovative technologies program
budget of $2.334 million in 2010 and $4.669 million for 2011, for a total budget of $7.003
million. 49 FEVI’s NSA, which was also approved, included an EEC envelope that encompassed
the requested $478,000 in 2010 and $956,000 for 2011, for a total FEVI budget of $1.435
million. 50
As part of their respective NSAs, the parties explicitly agreed that the Innovative Technologies
Program Area will be managed by FEI and FEVI as a separate segment of the overall EEC
portfolio and have a weighted total resource cost (“TRC”) of 1.0 or more. FEI’s NSA provided as
follows in this regard, with FEVI’s NSA being identical but for the name of the company and
dollar amounts.
Item 12.1 of the FEI’s NSA states:
“(d) EEC funding for innovative technologies will be $4.669 million for 2011, which is the
amount requested by TGI in the Application.
48 EEC Decision, at page 41.
49 The FEI NSA provides in section 11(c): “EEC funding for innovative technologies will be $2.3 million for 2010,
which is the amount requested by TGI in the Application,” and in section 12.1(d): “EEC funding for innovative
technologies will be $4.669 million for 2011, which is the amount requested by TGI in the Application.”
50 The FEVI NSA provides in section 6(b): “EEC funding for innovative technologies will be $0.478 million for 2010,
which is the amount requested by TGVI in the Application,” and section 7.1(c): “EEC funding for innovative
technologies will be $0.956 million for 2011, which is the amount requested by TGVI in the Application.”
SECTION 10: INNOVATIVE TECHNOLOGIES PROGRAM AREA Page 176