Acciona Wind Energy Canada, Inc.

Transcription

1 Decision Acciona Wind Energy Canada, Inc. New Dayton Wind Power Project Facility & Substation Costs Award December 11, 2013

2 The Alberta Utilities Commission Decision : Acciona Wind Energy Canada, Inc. New Dayton Wind Power Project Facility & Substation Costs Award Application No Proceeding ID No December 11, 2013 Published by The Alberta Utilities Commission Fifth Avenue Place, Fourth Floor, 425 First Street S.W. Calgary, Alberta T2P 3L8 Telephone: Fax: Web site:

3 Contents 1 Introduction Commission's assessment of costs Commission findings GST Order... 3 AUC Decision (December 11, 2013) i

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5 The Alberta Utilities Commission Calgary, Alberta Acciona Wind Energy Canada, Inc. Decision New Dayton Wind Power Project Facility & Substation Application No Costs Award Proceeding ID No Introduction 1. On September 28, 2012, Acciona Renewable Energy Canada GP Holdings Inc. (Acciona) filed a facility application with the Alberta Utilities Commission (Commission) to construct and operate the New Dayton Wind Power Project (the project). The application was registered as Application No and assigned Proceeding ID No The project consists of: 33 three-megawatt wind-powered turbines, a collector system, a substation and other ancillary components. The project site would be located approximately three kilometres southwest of the community of New Dayton and 45 kilometres southeast of Lethbridge, Alberta. 2. The Commission issued a notice of hearing on April 12, 2013, setting a hearing date of July 8, 2013, in Lethbridge, Alberta. On April 18, 2013, the New Dayton Landowners Group requested the hearing be postponed until September 2013 to accommodate the availability of one of its expert witnesses and landowners. 3. On May 17, 2013, the Commission issued a revised notice of hearing which scheduled the hearing for September 30, 2013, in Lethbridge, Alberta. 4. In a July 15, 2013 letter, Acciona requested an adjournment of the proceeding as a result of the project s voluntary removal from the Alberta Electric System Operator (AESO) interconnection queue process, which resulted in uncertainty in respect to the the project timeline. Acciona indicated that it will be required to resubmit its System Access Service Request to the AESO at a future date and that the AESO s process typically takes at least two years to complete. Acciona stated that while it intended to maintain development activities associated with the project, the project would be delayed for an indefinite period of time. Acciona requested that its application be adjourned until the project enters the AESO interconnection study process. 5. In its July 23, 2013 ruling, the Commission denied Acciona s request for an indefinite adjournment of Proceeding ID No The Commission stated that it would close the proceeding and Acciona could re-file its application when it was ready to proceed before the Commission. 6. On August 14, 2013, My Landman Group Inc. submitted a cost application on behalf of the New Dayton Landowner Group. 7. On August 30, 2013, the Commission circulated a summary of costs claimed to interested parties. Parties were advised that any comments regarding figures listed in the summary, or the merits of the total costs claimed, were to be filed by September 13, No comments were received from parties on the summary of costs. AUC Decision (December 11, 2013) 1

6 New Dayton Wind Power Project Facility & Substation Costs Award Acciona Wind Energy Canada, Inc. 8. The Commission considers the close of record for this proceeding to be September 13, Commission's assessment of costs 9. Section 22 of the Alberta Utilities Commission Act provides that the Commission may award costs to persons or groups of persons that meet the definition of local intervener. That provision reads in part as follows: 22(1) For purposes of this section, local intervener means a person or group or associations of persons who, in the opinion of the Commission, (a) has interests in, and (b) is in actual occupation of or is entitled to occupy land that is or may be directly and adversely affected by a decision or order of the Commission in or as a result of a hearing or other proceeding of the Commission on an application to construct or operate a hydro development, power plant or transmission line under the Hydro and Electric Energy Act or a gas utility pipeline under the Gas Utilities Act, but unless otherwise authorized by the Commission does not include a person or group or association of persons whose business interest may include a hydro development, power plant or transmission line or gas utility pipeline. (2) The Commission may make rules respecting the payment of costs to a local intervener for participation in any hearing or other proceeding of the Commission. 10. When assessing costs claims pursuant to Section 21 of the Alberta Utilities Commission Act, S.A c. A-37.2, the Commission applies AUC Rule 009: Rules on Local Intervener Costs (Rule 009) which provides rules for local interveners costs claims. This rule describes the process for applying for an award of costs and lists factors that the Commission may consider when deciding on a local intervener s costs claim. Rule 009 also prescribes a Scale of Costs applicable to local intervener costs claims. 11. In exercising its discretion to award costs, the Commission will act in accordance with Section 7 of Rule 009 and consider whether an eligible participant s costs are reasonable and directly and necessarily related to the proceeding and whether the eligible participant acted responsibly in the proceeding and contributed to a better understanding of the issues before the Commission. 12. As the costs of a utility proceeding are generally passed on to customers, it is the Commission s duty to ensure that the customers receive fair value for a party s contribution. The Commission only approves those costs that are reasonable and directly and necessarily related to the party s participation in the proceeding. 2 AUC Decision (December 11, 2013)

7 New Dayton Wind Power Project Facility & Substation Costs Award Acciona Wind Energy Canada, Inc. 3 Commission findings 13. The Commission finds that the New Dayton Landowner Group qualifies to claim local intervener costs because its members have demonstrated that they have rights that may be directly and adversely affected by the Commission s decision on the application. 14. The New Dayton Landowner Group submitted costs totaling $23, The claim is comprised of expert fees for Cottonwood Consultants Ltd. in the amount of $3, and GST of $168.75; expert fees for Ken Orich in the amount of $5, and disbursements of $ for mileage; consulting fees for My Landman Group in the amount of $12,000.00, disbursements of $ for mileage and GST of $600.00; and an intervener honorarium in the amount of $ While no hearing was held for the proceeding, the New Dayton Landowner Group submitted evidence and issued information requests. The Commission finds the hourly rates claimed for My Landman Group, Cottonwood Consultants Ltd., and Mr. Orich are in accordance with the Scale of Costs and commensurate the work performed. Accordingly, the Commission finds based on its review of the costs claims, that the fees and disbursements claimed for My Landman Group, Cottonwood Consultants Ltd., and Mr. Orich were directly and necessarily related to this proceeding and approves them in full. 16. An honorarium is claimed for one member of the New Dayton Landowner Group in the amount of $ Rule 009 allows for organizers of a group to claim an honorarium for the formation of a group because organization of the group, even if the group is represented, may require time, effort, or expense. The Commission finds that the intervener honorarium in the amount of $ is reasonable and within the Scale of Costs. 4 GST 17. In accordance with the Commission s treatment of GST on costs awards, Acciona is required to pay only that portion of the GST paid by interveners that may not be recoverable through the GST credit mechanism. Accordingly, the Commission approves eligible GST in the amount of $ The Commission emphasizes that its treatment of the GST claimed in no way relieves participant s or their lawyers and consultants from their GST obligations pursuant to the Excise Tax Act, R.S.C. 1985, c. E Order 19. It is hereby ordered that: Acciona Wind Energy Canada, Inc. shall pay intervener costs in the amount of $23, to My Landman Group Inc. Attention: Darryl Bennett, Box 45058, High River, AB, T1V 1R7. AUC Decision (December 11, 2013) 3

8 New Dayton Wind Power Project Facility & Substation Costs Award Acciona Wind Energy Canada, Inc. Dated on December 11, The Alberta Utilities Commission (original signed by) Tudor Beattie, QC Panel Chair (original signed by) Gwen Day Acting Commission Member (original signed by) Patrick Brennan Acting Commission Member 4 AUC Decision (December 11, 2013)