P.U.
14 (2000-2001)
IN THE MATTER OF the
PUBLIC UTILITIES ACT,
R.S.N. 1990, c. P-47, as amended
(“the Act”)
AND
IN THE MATTER OF the application
by Newfoundland Power Inc. (“the
Applicant”) for approval of a contribution
in aid of
construction (“CIAC”) for a line extension
to serve
Rotary Club of Avalon Northeast
(“the
Customer”) pursuant to Section 41(5)
of the Act.
WHEREAS the
Applicant is a corporation duly organized and existing under the laws of the Province
of Newfoundland and Labrador, is a public utility within the meaning of the
Act, and is also subject to the provisions of the Electrical Power Control Act, 1994; and
WHEREAS the
Customer will operate a recreation park, located at Topsail Beach in the Town
of Conception Bay South; and
WHEREAS the
Customer has requested that the Applicant provide its facility at Topsail Beach
with single phase electrical service which, in order to so provide, requires
the construction of 562 metres of single phase line (the
“Extension”); and
WHEREAS the
Extension will not be jointly used by the Applicant and NewTel Communications
Inc.; and
WHEREAS the Customer has arranged for the purchase and
installation of the poles required for construction of the Extension, and the
Applicant will require that the Customer ensure all work is completed to the
Applicant’s construction standards and that ownership of the poles is
transferred to the Applicant prior to installation of conductor; and
WHEREAS a Contribution in Aid of Construction (“CIAC”)
of the Extension has been calculated in accordance with Clause 5 (a) of the
distribution line CIAC Policy of the Applicant for general service customers,
approved by Order No. P.U. 7 (1997-98) dated the 30th day of
September 1997 (the “Policy”), except that the estimate of total line
construction costs has been reduced by $11.50 per metre to reflect the
exclusion of the costs associated with the purchase and installation of poles
and anchors; and
WHEREAS the Extension will supply service to a Comfort
Station and Amphitheatre, both having an estimated peak demand of less than 10
kW, and the CIAC thus calculated is Three thousand eight hundred thirty-seven
dollars and fifty-five cents ($3,837.55) including HST; and
WHEREAS the
CIAC as calculated involves a deviation from the procedure contained in the
Policy for estimating the construction cost of the Extension and Clause 11 (b)
of the Policy requires that any deviations from the Policy in the calculation
of CIACs for Line extensions must be submitted to the Board for approval; and
WHEREAS the proposed expenditures on the Extension are
necessary for the Applicant to provide service and facilities to the Customer
which are reasonably safe and adequate and just and reasonable as required
pursuant to s. 37 of the Act; and
WHEREAS the proposed CIAC is necessary to ensure that the
Applicant’s investment in the Extension is compensatory over the useful life of
the Extension and will not be to the detriment of the Applicant’s other
customers; and
WHEREAS the Board is satisfied that the deviation from the
Policy is reasonable in the circumstances and will not be to the detriment of
the Applicant’s other customers.
IT IS THEREFORE ORDERED THAT:
Pursuant to Section 41(5) of the Act, the Board approves
(a) the CIAC in the amount of Three thousand eight hundred thirty-seven dollars and fifty-five cents($3,837.55), including HST, as calculated under the Policy.
DATED at St. John’s, Newfoundland this 6th day of July, 2000.
________________________________
D.A. Vardy,
Chair & Chief Executive Officer.
______________________________
Darlene
Whalen, P.Eng.,
Vice-Chairperson.
G.
Fred Saunders,
Commissioner.
__________________________
Barbara Thistle,
Assistant Board Secretary.