Notice of Application
Maritime Electric Company Limited
Approval to Purchase Combustion
Electric Company, Limited ("Maritime Electric" or the "Company") has
a request for expenditure approval for a
combustion turbine generator with the Island Regulatory and Appeals
Commission (the "Commission"). The Commission's docket number
is UE20723. The
Company seeks Commission approval of an expenditure of $68 million
for the design, construction and commissioning of a new combustion
turbine generator with a nominal rating of 50 MW to be located at
the Charlottetown plant site. Subject to Commission approval, the
unit is expected to be in service late 2017 or early 2018.
The application states the new combustion turbine unit
("CT4") is needed for the following reasons:
Thermal Generating Station ("CTGS") is nearing the end of its
useful life and extensive refurbishment is required to continue
to operate safely and reliably. The newest generating unit at
CTGS is 48 years old. Even if refurbished its operating cost is
not comparable to the lower cost alternative of CT4.
constraints on the mainland require more on-island generating
capacity to meet peak demand loads. These transmission
constraints are a separate issue from the capacity limitation of
the two existing cables and/or the addition of additional
The Charlottetown plant
site location for CT4 has been selected to strategically serve
as back up to much of the on-Island transmission system.
This expenditure is in
addition to the annual capital budget which the Company files each
year. That application is expected in July, 2015 and will include
capital budget requirements of the Company.
The CT4 application
documents a variety of capacity purchase scenarios and concludes the
least cost and most reliable solution is the installation of CT4.
The extent of the impact on customer rates will not be finalized
until further discussions can be undertaken between the Company and
the Government of PEI, who have stated their intention to have the
option of financing and/or owning the CT4.
HOW TO SEE THE APPLICATION
HOW TO COMMENT AND ASK QUESTIONS
complete copy of the application can be obtained by clicking
here. Any person wishing to
obtain a hard copy of the filing can do so by writing to Maritime Electric
at the address below.
Any person wishing to
comment on the filing can do so by writing to the Commission at the
address below. In order to be considered, comments must be received
by Tuesday, September 15, 2015. Persons wishing to pose questions to
Maritime Electric on the filing may do so by sending their
questions, in writing, to the Company on or before Friday, July 24,
2015. Questions posed to Maritime Electric must be answered by the
Company, in writing, on or before Friday, August 14, 2015. Copies
of both written questions and written answers must be copied to, or
filed with, the Commission not later than Wednesday, August 26, 2015 in
order to be considered.
All questions posed and comments provided related to this
application will be made available on the Commission's website at
*Note: The Commission has extended the
deadline as noted above.
A public hearing will not be held unless the Commission
determines a hearing is necessary. If there is a public hearing, a
Notice of Hearing will be published. Otherwise, the Commission will
finalize its review in the form of a written Order. All Orders
issued in this matter will be posted on the Commission's website at
FOR ADDITIONAL INFORMATION
information on the application can be obtained by contacting Maritime
Electric at 629-3756. Written communications should be forwarded to:
Loggie, CPA, CA
Vice-President, Finance &
Chief Financial Officer
Maritime Electric Company, Limited
P.O. Box 1328
Charlottetown, PE C1A 7N2
Lanigan, CPA, CA
Island Regulatory & Appeals Commission
P.O. Box 577
Charlottetown, PE C1A 7L1
DATED at Charlottetown, this
24th day of June, 2015.
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