P.U.
34 (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 the Town
of Pouch Cove (the “Customers”) 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 water chlorination plant located on Cameron Place in
Pouch Cove; and
WHEREAS the Customer has requested that the Applicant
provide its facility with single-phase electrical service which, in order to so
provide, requires the construction of 1,351 meters of single-phase line (the
“Extension”); and
WHEREAS the Extension will not be jointly used by the
Applicant and NewTel Communications Inc.; and
WHEREAS a contribution in aid of construction (“CIAC”) of
the Extension has been calculated in accordance with Clause 5(b) of the CIAC
Policy: Distribution Line Extensions and Upgrades To General Service Customers,
approved by Order No. P.U. 7 (1997-98) dated September 30, 1997 (the “Policy”),
which calculation assumes the Extension will supply service to a water
chlorination plant with an estimated peak demand of 23.1 kW, and the CIAC thus
calculated is Thirty-four thousand eight hundred eighty-six dollars and
sixty-nine cents ($34,886.69), including HST; and
WHEREAS the construction cost of the Extension is $38,775.00
and Clause 11(a) of the Policy states that all Line Extensions or Upgrades
involving CIACs in which the construction costs are estimated to be greater
than $25,000 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.
IT IS THEREFORE ORDERED THAT:
Pursuant to Section 41(5) of the Act, the contribution in aid of construction of Thirty-four thousand eight hundred eighty-six dollars and sixty-nine cents ($34,886.69), including HST, as calculated under the Policy is hereby approved.
DATED at St. John’s, Newfoundland this 12th day of January, 2001.
David
A. Vardy,
Chairperson.
Darlene Whalen, P.Eng.,
Vice-Chairperson.
__________________________
Barbara Thistle,
Assistant Board Secretary.