Saturday 8 April 2017

Distributed Power Generation - we pay this man the most money for this?



Alex Love manager of Nelson hydro continues to repeat the falsehood that the Nelson Community solar garden is about distributed energy generation when in fact its the opposite!

 His statements "its about distributed power generation" !!

The meaning of Distributed power generation :

Distributed generation (also known as distributed energy) refers to power generation at the point of consumption. Generating power on-site, rather than centrally, eliminates the cost, complexity, interdependencies, and inefficiencies associated with transmission and distribution.

Any intermittent unreliable power, solar and wind only add to infrastructure and costs.  The need for firm reliable power when wind and solar don't work still exists and requires infrastructure, solar and wind don't remove that.

At the city hydro budget meeting Alex Love explained distributed generation to the mayor and council as follows:

Take a large interior hydro dam for example it creates gobs of power but requires huge infrastructure to bring it to the population.  

Well that is still required no matter how many solar panels we waste our money on in BC.  Because they don't make power at night, hardly in winter, during peak breakfast demand or evening supper demand periods, or winter heating demands when solar is next to useless.

We pay this man the most money in Nelson.  Update,  he no longer works for this city. 


Monday 3 April 2017

$3Million not returned??



               Another way to steal money from Nelson hydro customers to fund city projects

As a background, my attention came to Nelson Hydro and the city when they announced a community solar garden.  For the only city in Western Canada with its own hydro plant, solar panels are absurd, pretending to make solar power, while the cleanest and greenest waterpower spills over the dam.  My 30 years of working with solar, I attempted to point this out.  The arrogant dismissive attitude of the city managers to pick my pocket for yet another Nelson solar project caused me to dig in my heels and try to stop this absurdity.  The solar garden is built, the money has been wasted.
You can find that blog here./  This led me to another waste  nelsonfibre.


This involves the 5.8% Nelson hydro rate increase of 2012.    One reason for that years increase was to raise $3M for the District Energy project, if the project did not move forward the money was to be returned $750,000 per year for the next 4 years.

Returned to the Nelson hydro ratepayer as reduced electrical costs.....not a chance.  Disappeared in City finances somewhere!!!


This was written in the Nelson Star article Jan 24, 2012 titled "Nelson Hydro rates set for jump"

The important info as follows:  If it doesn’t go ahead, $750,000 per year from 2013 to 2016 will go back into the Nelson Hydro budget.

My logic says the portion of the  5.8% 2012 increase intended to raise this $3M should be returned to
the Nelson hydro ratepayer as reduced electric rates, not city revenue.

We see the following from this city Nelson Hydro 2012 Rates.pdf document.


Notice the Pink outlined $750,000 returned for the next 4 years.

From the same document we find Nelson hydro ratepayers funding many other things as seen below




              From the 2012 Budget Report for Nelson Hydro we see their contribution to the city

In years prior to about 2008 Nelson hydro rate increase applications to the BCUC were about
increases to fund excess power purchase costs, since that time, its been anything but.

From the Nelson city hydro website they state:

Power Purchase

Approximately 45% of our annual energy requirements are obtained via power purchase. The supplier has historically been West Kootenay Power, now FortisBC under the current traditional regulatory environment. Power purchase represents approximately 30% of our annual operating costs.

When Selkirk College recently renovated old dormitories in Nelson, the college administration was aiming for some level of LEED certification. Nelson Hydro was contracted to install a geothermal cooling and heating system, a new venture for them. They did it, and that system’s been in operation since September 2011.

another article regarding district energy











Saturday 24 December 2016

Is Nelson Hydro a hidden tax?

my letter to the editor



The mandate of a municipal electric utility is to provide the most reliable and cheapest electricity for its ratepayers.   Is Nelson hydro doing this?  I don't think so.

You can contact the mayor and council here if you want your voice heard, ask them for an audit of Nelson hydro.  We need the Attorney General for Local Governments to come here and help us.

The latest from the city hall, Nelson hydro is looking for a 4.28% increase in 2017. This adds up to a 41% increase since about 2009, about the time the new managers, city manager Kevin
Cormack, and Nelson hydro manager Alex Love took over.....!

The following is taken from the city website:



Notice above "The arithmetic average 3.88%".  Pretty Slick PR.  Lets not call it the arithmetic average lets call it what it is, gouging because no one is complaining, well I am complaining!

                                        Its not a 3.88% arithmetic average its a
           48.7% INCREASE FROM 2009 TILL NOW AND 66%                                         THROUGH 2020                                               .  
                              It took 50 years previously to do what is being done in less than 10 years.

In this document   BCUC Order Number G-3-12 dated January 13,2012, Alex Love states

Nelson Hydro, believes that holding the Customer Charge fixed and applying increases only to the energy charges appears to be a good way to make the transition from cost-based to conservation-based rates  

Can you explain the above now that basic has gone from $10 to what will almost be $16 that will help one conserve when for me basic rate is now half my power bill!  I do my best to conserve and I get nothing for it, another basic rate increase!

This hurts those who can afford it least and hardly promotes conservation chasing that elusive savings taken away each year with increased basic charges.



  It took 50 years before to do what has been done in 6 years.  By 2020 using the above projections and compounding it will be over 60%!

Nelson, the only city with its own hydro dam, our golden goose, the first hydro electric plant in BC,  our gem being destroyed in one term of this mayor and council.

The city receives dividends(distribution of profits) from Nelson hydro, averaging $4.4M since 2009.
The BC government calls it  excess optional capital,  regarding ICBC profits deposited into general revenue.  About $26.8M in these few short years.
ICBC government insurance was sold to us because profits were to be returned to keep insurance rates low.  This year ICBC is being raped for $540 million to general revenue.

Is Nelson hydro using profits to reduce or keep electrical rates low or calling it  excess optional capital to be returned to the city?  It appears to be the latter, is this valid under the mandate of a municipal electric utility or community charter?
                         

Nelson hydro is owned by the residents of this city, not the mayor and city council,  we residents deserve the benefits of our own hydro dam, this might force the city managers to begin to manage and make business decisions or be responsible for the results of their mismanagement.

I would like Nelson Hydro run like Chelan County Power south of us who have their own hydro dam and power is 3 cents not our 10 cents/kWh.   Read my letter to the editor  "Hydro smoke and mirrors"  .


Here are some  projects that have no business case and waste our money that involve Nelson hydro.

The 10th St. Selkirk college campus geothermal heating system.

Way over budget and not working.   The gas backup boilers were to be supplemental heating are the main heat source and can't keep up,  the students have electric heaters in their rooms.
When I ask the college maintenance people about this, they tell me they have nothing to do with it.
Alex Love, manager of Nelson hydro maintains this system, what is a manager doing maintaining a heating system?  Isn't this a union job anyways?


Selkirk College 10th St campus student residence where electric heaters are required.    Who is paying that electricity bill?

Its difficult to find any information regarding the costs.  Lets have an accounting, transparent and available for  we the people paying the bills and some accountability for this boondoggle.  Is that part of why my electric bill keeps going up?






Nelsonfibre, what is the city doing in the internet business? They have about 10km of fibreoptic cable in the city, which can cost from $30-90,000 or more per km.
They have virtually no customers outside of the city core except SD8 schools.  Why is SD8 involved they have their own government network, I would like to know what this is about.  They can get the same service for less from Shaw.


This picture shows the Nelson fibre optic cable along with Telus and Shaw on the same pole, the city website information says Nelsonfibre is self sustaining. How?  Several employees, only available downtown with the small exception of several km's out to the schools who pay $100/mo per school, is this why my electric bills keep going up?  Nelson hydro is listed as responsible for the infrastructure.

You can read my letter to the editor here.

SSBC  or Shared Services BC is responsible for the security of government communications.  There was a major incident of loss of Ministry of Education information that outlines policies of information and security for Ministry of Education services.  I must presume the existing government network and previous methods used by SD8 qualified, does the use of this city network meet those same qualifications?   I understand the schools still use the provincial network?  Huh? One can read a fairly length investigation report here as it refers to secure communications and security of information in the ministry.  The bigger question, am I paying for several kilometres of very expensive fiberoptic cable to serve each school that only pays the city $100/mo? When Telus or Shaw fiberoptic cable service is already available?  And Shaw is 75% less.mo. for a business connection.  Nelson hydro is involved, is this another reason for my electricity costs going up and up?


The Nelson Community Solar Garden   probably the most absurd example of a greenwashing political project on the planet.  Why would the only city in BC with its own hydro dam making the cleanest power, waterpower for 2c/kWh and selling for a 500% profit put solar panels at the dam?



I estimate this project real costing at approaching or more than $500,000, that might make the same power in a year our dam makes for $1000.  This was supposed to be only $25,000 from Nelson hydro all other funding coming from those opting in.  Now every Nelson hydro ratepayer is funding most of this boondoggle.   There is no engineering or data to support this project, its the mayors politics pandering to Nelson's green community, I am unwilling to pay for it.  You can read my blog here.  This will increase the cities carbon footprint while we let the cleanest and greenest waterpower spill over the dam along with the 500% profit it brings us. 


 This is a phoney project increasing my electric bill.  Another Nelson hydro project!



The Biomass Boiler    the concept,  burning wood today releases the same carbon as the wood decaying on the forest floor.  Carbon Neutral if you buy into that concept.  One estimate $6M and a 30 year payback(never).  Nelson hydro involved again.  Once suggesting the hospital, rec complex and pool and others would hook up, now it looks like only city hall is left?  Did anyone look into trenching costs for these hot water pipes?  I understand the city is now being sued for $1.2M extras most of it trenching costs for the Hall St. project.

 Trenching costs, the blank cheque for any contractor, nobody knows what is in the ground.   This project is all about trenching costs!  This will make the solar garden waste look like a tea party.

Thank you councilors Morrison and Adams for voting against it, but you cannot stop these others.

What Next wind turbines?  Alex Love, manager of  Nelson hydro knows all about these.  He came to us from Yukon power.  They had two wind turbines, rime icing was a problem.  Now who would have thought rime icing could be a problem in the Yukon?  They tried painting the blades black, didn't work, put 6" wide heat tapes on the blades,, nope, made them 12" wide, the tips iced up, they put on tip heaters.  Finally they were abandoned, due to the high cost of winter maintenance.  Could it be the heaters took more electric power than the wind turbines could make?   Maybe Mr. Love still has connections with  Yukon power, he could get these  heat tapes for his solar panels.

Grand Forks they have their own power poles, no engineer, Nelson hydro supplies the expertise.    Is this benefitting us or Grand Forks? Could Nelson be paying for consultant's  when staff should be doing this work cheaper instead of working for Grand Forks?


Management-   When I see most of the top 10 highest paid Nelson employees are all Nelson hydro employees, and this repeats year after year, doesn't that suggest their is room for good paying jobs that could raise families in Nelson?  And maybe there would be fewer outside contractors who don't leave their money behind in this city either.  I sure notice a lot of out of town electric contractors.


Summary


 I became aware of Nelson hydro through the community solar garden project.  I spent a career working with solar, Nelson is the last place to waste money on this.  Especially for a city with its own hydro dam making the cleanest and greenest power.

I thought I could help, I met with Alex Love, showed decades of real solar data, he told me it was irrelevant and he was an engineer.
I am unwilling to participate, I won't have my tax dollars or yours wasted.  Its about education.


I continue my blogs and the more I become aware of how mismanaged Nelson hydro is, the more I will continue to attempt to stop the waste of our money.


I see money going to people with no real expertise just politics and incompetence.


          Its time for an audit of Nelson Hydro, we citizens own it, I   

                         have no confidence in its management