Newfoundland Power is responding to concerns raised by the Consumer Advocate and NL Hydro about the utility’s latest capital budget application.
Newfoundland Power has submitted its 2022 capital budget application to the PUB of close to $110-million.
Consumer Advocate Dennis Browne says those expenditures need to be reduced. He accused Newfoundland Power of taking advantage of an inadequate PUB process.
Newfoundland Power’s Michele Coughlan says their annual capital expenditures are driven by the need to replace aged or deteriorated equipment in order to provide safe and reliable service.
She says all of Newfoundland Power’s Capital Budget Applications are subject to full and thorough review by the PUB, including the Consumer Advocate and Hydro in what she calls a completely transparent process.
” Annual capital expenditures are driven by the need to replace aged or deteriorated equipment and infrastructure necessary to provide safe and reliable service to our customers as well as the obligation to connect and serve new customers and increased electricity usage. Newfoundland Power’s 2022 Capital Budget Application is currently before the Public Utilities Board (PUB) for review. Proposed expenditures are consistent with the last 10 years when the multi-year, once-in-a-generation projects to replace our Customer Service System and install energy efficient LED street lights are removed.
All of Newfoundland Power’s Capital Budget Applications are subject to a full and thorough review by the PUB and all interested parties, including the Consumer Advocate and Hydro. This process is completely transparent, with all information made available to the public.
This extensive review process includes: the filing of an application with detailed supporting evidence and reports; a presentation on the application to PUB staff and interested parties; the filing of Requests for Information by all parties and our responses; and, final submissions. Technical conferences are also held when required. This allows all evidence to justify the proposed capital projects to be tested and cross-examined in detail. By way of example, Newfoundland Power’s 2021 Capital Budget Application was almost 800 pages in length, and we received and responded to 263 information requests. It also included a presentation and technical conference.”
