Economy

Preliminary report due from utilities commission on Site C megaproject

Preliminary report due from utilities commission on Site C megaproject”

While B.C.'s Site C dam is now on budget and on time, it would be cheaper for the province to cancel the $8.8-billion hydroelectric project altogether rather than delay it, a new report commissioned by the BC Utilities Commission (BCUC) says.

A report submitted for the commission's review by the auditing firm Deloitte LLP concluded that putting the project on hold until 2025 would cost about $1.4 billion, while cancelling it outright would cost $1.2 billion.

The report said B.C. Hydro has been asked for more information, which the Commission said it needs to decide whether the project was on budget as of June 30.

"There has been a lot of analysis that has been done and other reports that say it could costs billions more to cancel", said PCA's regional director for B.C., Rieghardt van Enter.

Peace River Hydro Partners (PRPH) has run into geotechnical issues and one of its partners, Petrowest Corp., was cut from the partnership after being forced into receivership.

Spokeswoman Katharine Carlsen says the report will be delivered to government and posted on the commission's website. BC Hydro has explained the differences between the planned and actual spending to date against the schedule to complete the dam by November 2024. Much of this hinges on the project team being able to start the crucial river diversion process on time.

Site C, first proposed in the early 1980s, has proved controversial since the B.C. Liberal government of Gordon Campbell resurrected the project shortly after the year 2000 and has faced fierce opposition from First Nations that have declared it an infringement on their rights and title.

When it comes to terminating the project, the Commission is once again comfortable with the numbers provided by B.C. Hydro and Deloitte. The report goes on to say "However, termination of the project and remediation of the site would trigger incremental costs to replace the energy that would have been provided by Site C with alternative sources of energy".

However, it said there is broad agreement that abandoning the project would cost about $1.1 billion in addition to the $2.1 billion spent so far.

In total the Commission shared 37 preliminary findings in their report and has posed over 70 follow-up questions to B.C. Hydro. Hydro has until October 4 to respond.

The Commission will next start a public consultation meetings, starting Saturday in Vancouver, and will include sessions in Prince George, Hudson's Hope and Fort St. John ending in Victoria Oc. 11. The public is also invited to comment on the preliminary report in writing.

The Progressive Contractors Association of Canada (PCA), which represents roughly 1,000 workers on the site, was unfazed by the report.



Like this

Latest


21 September 2017
Investors Catching Stocks Petroleo Brasileiro SA - Petrobras (PBR)
Petroleo Brasileiro SA Petrobras (NYSE:PBR) was the target of a significant decrease in short interest during the month of August. Over the last five days, shares have managed 0.8% gains and now is up 6.02% since hitting its 200-day moving average of $8.98.

21 September 2017
Apple admits new watch has connectivity issues
The headlining feature of the Series 3 watch is LTE connectivity, and it doesn't work as it should - or in some cases, at all. Apple Watch Series 3 LTE owners should not expect that the watch will try to connect to every single Wi-Fi network.

21 September 2017
Lamar Advertising Company (NASDAQ:LAMR) Shares Bought by Wells Fargo & Company MN
Penserra Capital Management LLC bought a new stake in shares of Lamar Advertising during the 1st quarter worth about $169,000. With their stock price now trading around $64.42, the firm has proven a solid track record of growth over the past few years.

21 September 2017
BT to create 172 cybersecurity jobs in Sydney with new operations centre
A new survey from Vodafone has discovered a strong link between how cyber security is used and business success. Interestingly, attitudes to the likelihood of cyber-threats impacting an organization vary across geographies.

21 September 2017
Hamilton: Merc won't fix weaknesses on '17 vehicle
Lewis Hamilton doesn't think the weaknesses of his Mercedes F1 vehicle will be addressed until next season as he chases a fourth driver's title.

21 September 2017
Sean Spicer has cameo appearance on the Emmys broadcast
The Times did not state specifically the wording of the question Spicer was responding to. Both in person and around the world. But ultimately, he's the president.

21 September 2017
Walmart not hiring for holiday season
Several analysts expect holiday hiring for stores to rise this year as retailers try to make up for a drop in service quality. There were a record number of unfilled job openings nationwide in the latest government reading of the labor market.

21 September 2017
Sudan says ready to help South Sudan to reopen oil fields
The Department of Homeland Security said those from Sudan can remain and work in the USA until November of 2018. The two sides signed oil and bilateral trade agreements to boost mutual investment.

21 September 2017
Aaron Rodgers, Clay Matthews can make individual history vs. Bengals
Quarterback Andy Dalton threw four interceptions and lost a fumble in a shut-out loss to the Baltimore Ravens in week one. Rodgers doesn't need to pile up stats against Bengals; he simply needs a Green Bay win.

21 September 2017
Pamela Anderson Denies Rumours Of Romance With Julian Assange
Well I love Julian, he's one of the most interesting men I've ever met. Pamela told him: "Everywhere I go I have a romantic adventure".



Recommended