HRM wants NSP rate implications
Posted Mar 28, 2011 11:24:47 AM.
This article is more than 5 years old.
The City wants to know if electricity rates are going up, down or staying the same as Nova Scotia Power Inc. seeks approval for a $150 million Annual Capital Expenditure plan (ACE).
Halifax Regional Municipality was the only intervenor to give an opening statement at the Utility and Review Board hearing, downtown Monday.
“HRM has no intention of debating the specifics of projects,” said Stephan Jedynak on behalf of the City. “However, we do believe that NSPI should have provided a general explanation of how the aggregate portfolio will influence rates to facilitate the public’s understanding of this proceeding.”
“The Halifax Regional Municipality, like other intervenors, needs to plan. We therefore require an indication of how the current ACE will influence rates over the next five years,” said Jedynak.
There is no mention of a possible rate increase in the plan.
“Last year a significant portion of the capital program was focused on building renewable energy,” Mark Savory vice-president of technical and construction services, said as part of the corporation’s opening statements to the board.
“This year, about half of the planned investments are for plant and system performance – making sure we get the most from existing assets in which customers have already invested,” continued Savory.
Among the first questions was how NSPI spent last year’s budget.
The solicitor for NewPage Port Hawkesbury Corp. and Bowater Mersey Paper Company Limited questioned why $10 million of the 2010 budget was spent on multiple projects each costed at $250,000, when about half that was spent on similarly-costed projects the year before.
“Do you not find it a bit surprising that these numbers would jump so much?” David MacDougall queried.
“We do, in fact, take a look at each of these projects and justify them for an investment to be the right thing to do for our customers,” said Mark Sidebottom, general manager of power production with NSPI and member of the ACE panel.
The board will continue to hear from intervenors throughout the day.
