~a.
~VBritish
Columbia
Transmission
CORPORAnON'~
Marcel Reghelini
Director, Regulatory Affairs
Phone: 604699-7331
Fax:
604 699-7537
E-mail: marcel.reghelini@bctc.com
12 July 2006
ML Robert J. Pellatt
Commission Secretary
British Columbia Utilities Commission
Sixth Floor, 900 Howe Street
Box 250
Vancouver, BC V6Z 2N3
Dear ML Pellatt:
British Columbia Transmission Corporation ("BCTC")
Transmission Revenue Requirement Application - Project 3698424
Re:
BCTC files Section 14 and Appendix A of the Application.
Sincerely,
Original signed by:
Marcel Reghelini
Director, Regulatory Affairs
Enclosure
Copy: Registered Intervenors
British Columbia Transmission Corporation,
Suite 1100 Four Benta" Centre, 1055 Dunsmuir Street,
Vancouver, BC V7X 1V5
IAnAnAl
nl'Il'
l'nm
AGREEMENT
BC HYDRO F'1ELD SERVICES AND BCTC
ON KEY PERFORMANCE MEASURRS FOR FISCAL 2007
Thc imcnt ofthis Agreement on Key Performance Measures for Fiscal 2007 (FO?) is to providc
incentives for BC Hydro Field Services to safely complete 100% of the BCTC FO? Work Plan on
or lcss than budget, in a reliablc and environmental1y responsible mamler.
1. ln the previous COl1tmcly car, Fiscal 2006, neither a Perfomlance Inccntivc nor a
Performance Paytnent was payable. Thereforc, as per article 9.6(b) ofthe Field Services
Service Af,'Teement,the Payment Limit for Performance Incentives and Pçrformance
Paymcnts for this F07 Contract Year will be $500,000.
2. The Payment Limit will bc calculatedscparatcly, and apportioned:
a)
b)
c)
d)
]0%
]0%
10%
70%
against
against
against
against
Safety
Envimnmental
Reliability (T-SAIDI in support of BCTC's Corporatc Mcasure)
completion of Work Plan on Budget
The sub-talals will bc added together 10detennine the final payable amount.
3. The fo!lowing process wil] be used to dClermine if a Performance Incenti vc or a Performance
Paymcnl is paY<lblein Fiscal 2007:
Safetv
a) The safet)' mcasurcis dclined as preventionof a rep0l1abiesafcty incidentl while
carrying out the F07 WorkPlml.
h) The safety large! for this F07 Agreement on Key Perfonnance Measlires is:
1. Rcportable Safety Incidents <. .,..,22 for BC Hydro Ficld Services Stations,
Transmission Line and Vegetation Management
c) If Field Services(FS) mcets the .~atètytarget. then BCrC will pay BC Hydro 10% of
the Payment Limit as a Pcrfonnance Inccntivc.
d) Olherwise. BC Hydro will pay BCTC a Pel'formancePa)l1nent.
e) ln caseof a fatality,ncitherBCTCnor BCHydrawill paya Performance1ncentiveor
Pa)l1nent,and the PaymentLimit will be reducedby 10%.
lA Reportablc Safety Incident is defined as au incident tbat mvol\'cs a Di5abling Injury (DI), a work injury which
n:~nlt., ;Jla falality, penuanent total disubility, pern!.anent partial disahility or tcmpornry total disability, or il Mcdicul
Aid Jnjury (MA), which Î,.;a c1assificarion for an}' injury that invulvcs medic.a 1 care or treatment be}'ond fust aid as
deflJ1ed by BC Hydro Corporatc Safety but wrn:rc Ihere ÎS 110timc lost beyond thc date of injury.
Field ServÎces Service Agreement: Key IJerformance Measures for Fiscal 2007
page2 of6
Page 6
Envi ro nm entai
a) The environmental mcasurc jgdefined as prevention ofa preventablc and extcmally
rcportable2environmental incident while carrying out the F07 Work Plan.
b) The environmenl<lllargctfor this F07 Agreementon Key Pcrtonnance Me.asuresis;
i. Preventahle and Extemally Reportablc Environmcnta!Incidents <, '"'3 f'Or
BC Hydra FS Stations, Transmission Line and Vegetation Management
c) IfFS mects the cnvironmental targets, then BCrC will pay BC Hydro 10% of the
Payment Limit as a Pcrfom13nceIncentivc.
d) Otherwisc, BC Hydro wiUpa)' BCTC a Performance Payment.
Rcliabilitv - support of BCTC's T-SA TPI
a) In support ofBCTC's focus on reliability, BC Hydro FS will adopt aCTC's T-SAlOl
measure, which is delined by:
r
Sum numbcr of delivcry points on the transmÎ!;sion system X the duration of outagc l
Total Delivery Points on the Transmission System
h) The T-SAIDI targels for Ihis F'07 Agreement on Key Performance Mcasures are:
i. l'-SAlIn <, = ] .99 will result in Performance Incentive to BC Hydro
ii. T-SAIDI> 1.99 and < , ""2.09 will rcsult 1t'1a "deadhand"-'
di. l-SAIDI > 2.09 will result in Performance Payment to BCTC
c) IfT-SAfOT for a sing]eevent is greater (han0.3, il will not bc addcd to the T-SAIDI
PerfOlmanccIncèntÎveor Payment ca1cu1ation.
F07 Work Plan
a) The F07 Work Plan will identify "Planned Work" in cach oflhe Stations,
TransmÎssion Line and Vegetation Maintenance arcas. "Planned Work" is work
whieh is id<'l1tified,scoped and scheduled in advance as weil as such other work or
changes to the Planlled Work cntcred into by the parties in accordanee \vîth Article 5
of the Field Services Service Agreement.
b) Planned Work does nol include the Control Ccntre ServÎCes and Distrihution
Opcmlion Support Services as defined in the Field Services Service Agreement.
2
A Preventl\bl~, Incident is one which is c3L1sedby Human EITQf(HE) ~nd E1denu~lIy Report~blc rcfers to
requirements by l'rovincial and Fcderal ~'I1vjrollmental statures.
) Dcadband is the range in which neithel' !>erformance Inocntivc nor P~ymcnt would be payable.
Field Services Scnice Agreement:
Key Performance
Page 7
Mcasurcs for Fisc.a12007
page3 of6
c) Details ofthc F07 Work Plan, including complctcd work, provided in separntc
spreadsheets (Stations' kept by Al Methani or his succcssor, Transmission Line's kcpt
by Sim Papadoulis or his successor, Vegetation Maintemmce's kept by Tom Wells or
his successor), to be sharr.;dwith BC Hydro FS on a monthly basis and reconciled on
a quarterly basis.
d) Planned Work or Budget may be adjustcd, by agreement and through UHeafthe
Work Plan Change Request Fonn, as the year progresses.
e) Actual Pcrfonnance, for the purposc of calculating Performance Incentive or
Paymçnt, to bc bascd on adjusted Work Plan and adjusted Budget at year end.
f) Work oomplction will be further dcfincd and a!,'fccd upon by bath BCTeandBCR
FS representatives of Stations, Transmission Line and Vegetation Maintenance before
QI Performance RevÎew.
Perfolmance lncentive or Paymcnl for adiustl,.'dF07 Work Plan and adiusted Budget
g) FU?Work Plan sub-categoriesto be ineludcdin the calculation of F07 Performance
Inccntivcor Payment are the followingWork Types:
i. Stations:
1. PrcvcntativeMaintenance (PM)
2. Condition Based (CB)
3. Facility Maintenance(FM)
iL TransmissionLine:
123.
4.
PreventativoMaintenance(Pyl)
Condition Based(Cn)
RecurringCpital
Othcr Capital
iii. Vc!,retationMaintenance:
1. Inspections
2. Condition Based
h) BC Hydro FS will receîve a Perfolluancc Incentivc for cach work area: Stations4,
Transmission Line and Vegetation ~.1aintenancc (to De calculated separatcly), ifi!
completes, on average5, 98% or more of the adjustcd F07 Work Plan, at an average of
100% or lcss of the adjusted Budget for ail Area Headquarters6 (HQ).
i)
A "deadband" [or adjusted Work Plan is detined as average F07 Work Plan
completion ofless than 98%, down 10 and including 95%.
.1Stations fiJrth r <Lenoed Îoto three assct classes: T - Transmission, C . COl.11IlIDn,
SOA - Distribution
, A".crllge defincd as: Sum [% adjmtcd WP CompJetion (Of % <ltlju.~l.edIJudg;el.) in Area HQJ l Tora] Ii of Area HQs
6 Area H~dquarters
are definçd as: St.ations (South Vancouver Island, NOl-th Vancouver Island, F=r
VaIJc:y,
Metro, :North East/West, Nonhcm Interior, Okunagan Koo\lmay. Thompsoll $huswap); Transmission
Une
(Northem, Southt.."t11lnterior, Lowcr Mainland, Vancouver IsJand, Cables); VlJgctation (Nortbcm, Sou. hem Intcrior,
Lower Mainland, Vancouver Island)
I<'leldServices Service Agreement:
Key Performance
Page 8
Measures for l<'isca12007
page 4 of6
j)
A "deadband" for adjusted Budget is defined as average FO? Work Plan completlon
cost of grcater than 100%, ur to and inc1udingt 02%.
k) BCTC will rcceive a Performance Payment if BC Hydro FS completes, on avemgc,
less than 95% oHhe adjustcd F07 Work Plan, at a cost greater than 102%ofthe
adjusted Budget.
Maximum Inccntivc or Payment amounts fier category, to be calculatcd and awarded
separately:
CATEGORY
STATIONS
Transmission (T)
% of PAYMENT LlMIT
15
.,..
-
Common (C)
-.
Substalion
10
--
20
Distribution
Assets (SOA)
TOTAL
45
TRANSMISSION
TOTAL
15
VEGETA TTON
MAINTENACE
TOTAL
10
L
TOTAL % ofPAYMENT LTMIT
lOf WORK PLAN COMPLETION
on BUDGET
,-_..
...
70
F07 Perfonnance Inccntive or Pavment Calculation
a) 'l'ne lolal Performance Inccntivc or Payment to be paid is apportioned into four
separate categories: Safe1y,Environmental, Reliabili1yand Complction ofWork Plan
on Budget.
b) The Incentivc or Payment for Completion of Work Plan on Budget i8 further
subdivided mnong StaÜons,Transmission r-ine and Vegetation Maintenance.
c) The Inccntive or Pa).ment for Completion ofWork Plan on Budget in Stations is
separated into tbree assct classes: T, C and SVA.
d) The total F07 Performance Inccntive or Paymem wîlJ be the sum of each category
(and each assct class in Stations) incentive or paymcnt, as follows:
Field Services Service Agreement: Key Performance Measures for Fjscal 2007
page5 of 6
Page 9
=
SAFETY
BcrC
BCR RECEI\'ES
PERFORMA'IICE
INCENTIVE
KEY PERFORMANCt MEASl'RE
CATEGORY
Achieved
<,
22 reportable
safety inciéents
in
FS while completing
BCTC F07 Work
Plan (Work Plan)
RECEIYES
PF.RF'ORMANCF.
PAYMENT
= $50,000
Not Achieved;:
$50,000
Fatality in Field SetVices while
1
completing Work Plan
ENVIRONMENT
RELIAnILITY
AL
Achieved
& externally
reportable environ mental incidents in
FS while cornpleting WOIk Plan
T-SAIOI' <,
T.SAlol' >
=$50,000
Not Achieved
=550,000
i
=1.99
T-SAIDI' > 1.99 & <,
--
Neither Performance Incentive nO!'Payment d_e
[
<.= 3 preventable
$50,000
=2.09
D..,..nd
$50,000
2.09
WORK PLAN
Transmission m Assets average:
adjusledWP completion=,> 98%
Stations
AND adjusted Budget <,=
$75,000
1
1()()O/O
adjusted WP completion < 98% and
=,> 95% OR adjusted Budget
> 100% and <,= 102%
Deadband
$75,000
1 adjusted WP completion < 95% AND
adjusted Budget> 102%
,.
Common IC} Assets averaqe:
1 $50,000
same as T Assets
same as T Assets
Deadband
-
sameas T Assets
SDA Assets averaae:
sameas T & C Assels
sameas T & C Assels
5100,000
Deadband
-
same as T & G Assats
Transmission
Line
$100,00
Averaae adi. WP comDlation 1 Budaet IB}:
WP -,> 98% ANDB <,= 100%
$75,000
WP < 98% and =,> 95% OR
B> 100% and <,= 102%
Deadband
575,000
Averaae adl. WP comDletion 1Budaet IB):
WP -.> 98% ANDB <,= 100%
WP < 98% and =,> 95% OR
B > 100% and <,= 102%
$50.000
Deadband
--'-
WP < 95% ANDB > 102%
71fT -SAlDllor
---i
-
WP < 95% AND B > 102%
Vegetation
Maintenance
-
$50,000
550.000
a single event:> 0.3, then it will not be added
10 the
Pcrfunnancclncenti\'c/Payment
catculation.
Field Services Service Agreement: Key Performance Measures for Fiscal 2007
page 6 of 6
Page 10
-
- ---
- -
--
---------
14.3 Reliability Indices
Directive Number 26 on Page 90 of the Decision accompanying Commission Order G-96-04
states,
The Commission Panel expects BC Hydro and BCTC to present their reliability indices
(SAIFI, SAlOl, CAIOI, ASAI, SARI, MAIFI, generation forced outages, availability, and
the generation outage rates) both combined and disaggregated (where applicable) on an
annual basis with comparisons to CEA averages.
BC Hydre responded to this Directive on September 2, 2005. BCTC concurs with the parts of
BC Hydro's response that relate to BCTC. An excerpt from the 2005 response is as follows:
Distribution Services:
The latest annual CEA report on distribution system performance has just been
released: "2004 Annual Service Continuity Report on Distribution System Performance
in Electrical Utilities, July 2005". The comparative information for BC Hydro and BCTC is
provided in the tables and graphs in Attachment No. 1. (Please note that the SARI and
MAIFI performance measures are not currently used for the BC Hydro portion of system
performance).
Attachment No. 1 to the September 2, 2005 letter is repeated at the end of this section, and this
includes BCTC performance on SAIFI, SAlOl, CAIDI and ASA!. This performance information
reflects BCTC's contribution to Distribution reliability metrics. As with BC Hydre, please note that
the SARI and MAIFI performance measures are not currently used for the BCTC portion of
system performance.
Attachment No. 1 to the BC Hydro letter of September 2, 2005 is repeated as follows:
Page11
Attachment No. 1
Table 1: Combined Reliability Indices
-
BC Hydro/BCTC and CEA
SC Hvdro & SCTC Combined
CAl01
%ASAI
SAIFI
SAlOl
SAIFI
SAlOl
CEA
CAIOI
%ASAI
Year
F1996
F1997
F1998
F1999
F2000
F2001
F2002
F2oo3
F2004
F2005
1.40
1.43
1.13
1.50
1.21
1.18
1.41
1.45
1.63
1.47
3.04
2.95
2.00
4.23
2.28
2.51
3.60
3.77
4.5"1
3.96
2.17
2.03
1.76
2.82
1.88
2.13
2.55
2.60
2.77
2.69
99.965%
99.966%
99.977%
99.952%
99.974%
99.971%
99.959%
99.957%
99.94golo
99.955%
Table 2: Disaggregated Reliability Indices
SAIFI
BC Hvdro
SAlOl
CAl01
%ASAI
2.80
2.39
2.35
2.40
2.59
2.26
2.41
2.33
2.67
1.98
3.06
2.86
3.70
3.32
4.31
3.23
3.67
4.06
10.65
3.95
1.09
1.20
1.57
1.38
1.67
1.43
1.52
1.74
3.99
2.00
99.96!:)%
99.967%
99.958%
99.962%
99.951%
99.963%
99.958%
99.954%
99.878%
99.955%
- BC Hydro and CEA
SAIFI
SAlOl
CEA
CAIOI
%ASAI
Year
F1996
F1997
F1998
F1999
F2000
F2001
F2002
F2003
F2004
F2oo5
0.95
0.88
0.70
1.02
0.65
0.73
0.86
0.89
1.21
1.06
2.66
2.35
1.60
3.61
1.80
1.98
2.94
3.18
3.50
3.57
2.78
2.64
2.28
3.54
2.78
2.72
3.43
3.59
2.89
3.35
99.970%
99.973%
99.9820/0
99.95golo
99.979%
99.977%
99.966%
99.964%
99.960%
99.959%
185
1.74
1.70
1.69
1.93
1.77
1.86
1.74
1.89
1.56
Table 3: Disaggregated Reliability Indices
SCTC
SAIFI
SAlOl
CAIOI
%ASAI
2.51
2.39
3.21
2.82
3.80
2.83
3.19
3.55
5.69
3.49
1.35
1.38
1.87
1.67
1.97
1.60
1.71
2.03
3.01
2.24
99.971%
99.973%
99.963%
99.968%
99.957%
99.968%
99.964%
99.960%
99.935%
99.960%
- BCTC and CEA
SAIFI
SAlOl
CEA
CAIOI
%ASAI
Year
F1996
F1997
F1998
F1999
F2oo0
F2001
F2002
F2003
F2004
F2005
0.45
0.55
0,43
0.48
0.56
0.45
0.55
0.56
0.42
0.41
0.38
0.60
0.40
0.62
0.48
0.53
0.66
0.59
1.01
0.39
0.85
1.10
0.93
1.29
0.85
1.18
1.19
1.04
2.43
0.95
99.996%
99.993%
99.995%
99.993%
99.995%
99.994%
99.993%
99.993%
99.989%
99.996%
Page 12
0.95
0.65
0.65
0.71
0.66
0.49
0.55
0.59
0.78
0.42
0.55
0.47
0.49
0.50
O.!:)
1
0.40
0.48
0.51
4.96
0.46
0.59
0.72
0.77
0.71
0.78
0.82
0.88
0.87
6.35
1.11
99.994%
99.995%
99.994%
99.994%
99.994%
99.996%
99.995%
99.995%
99.943%
99.995%
Attachment No. 1
10-Year Reliability Indices
- BC Hydro/BCTCand CfA
SAiFI
(System Average Interruption Frequency Index)
3.DO
2.50
;>.
u
C
~
eT
1.0e,
1.50
-
..------
!
...
1.00
a.50
C.OO
Ft~OO
=1~g7
!-6:r&ecrc-œ.
F1998
F1999
F2000
C"a3I-SOiCn~' -œ.
F2001
=20'32
5::Iu',:~
SOi-WC
Page 13
F20()3
:=20:)4
F2005
8rty-CE"'. 2<1.iv
teacre
1
SAlOl
(SystemAverageInterruptionDurationIndex)
12.00
IC'.OO
8.00
~
à
:!:
f.OO
4.00
2.00
C.OO
F199d
1-00;..
F1997
:crC-ŒA.
=1~8
FI'~
();E"al-B:J-.
F2000
Olt( -C&,
=2001
F20C2
9:lU"Ite 3CY-3crC
Page 14
=2C':l2
<i1I)'-C&,
F2004
F2OO5
9:1"":0 3CTC
1
CAIDI
(Customer Average Interruption Duration Index)
7.00
6.00
5.00
~ 4.00
:>
0
:r 3.00
2.00
1.00
0.00
F1996
1-8CH&
F1997
F1998
F1999
EC7"'8-CE~. o,.er",J-B::I-'
F2000
CI1I!-CEA
F2001
F2002
F2003
:q~ ID3Oi-BcreCnI,'
Page 15
F200é
-CE';
~
F2005
IDBcre
1
% ASA!
(Average Service Avaîlability Index)
,DO.CO%
99.96%
9G.92%
99.80%
99.84%
F1G96
I-B::P&
F,997
BCh.,-ŒA
FIQ98
=1\?QI:'
0.~311-S0-lCt11y
F2iJ(}3
-ca>.
F200'
F2O<J2
F20Q.3
::qur.r:o8CH-BCTCO<y-C&.
Page16
F2004
F2iJG5
==l'''':03CfC
1