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Smart meter critics change tone on NB Power's new business case

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Replying to and 49 others 
Methinks folks should thank Dr. Roger Richard He went to a great deal of effort and expense to bring Dr. Paul Heroux and Dr. Francis Tatoutchoup before the EUB to speak in defense of our interests N'esy Pas?


 https://davidraymondamos3.blogspot.com/2020/01/smart-meter-critics-change-tone-on-nb.html 



 




https://www.cbc.ca/news/canada/new-brunswick/nb-power-smart-meter-eub-hearings-1.5434186





Smart meter critics change tone on NB Power's new business case

Outside energy consultants say tweaked plan ‘a good business case’



Robert Jones· CBC News· Posted: Jan 21, 2020 6:00 AM AT




NB Power's $92-million smart meter plan has been under the microscope during EUB hearings this month. (Robert Jones/CBC)

NB Power's $92-million plan to buy and deploy smart meters in New Brunswick got a late endorsement Monday from a pair of consultants unconnected to the utility who had lobbed early criticisms at the project — a change in tone not lost on at least one Energy and Utilities Board member who will soon be deciding its fate.

"Both of you there just gave some compliments to NB Power on their business case. So you think this is a well-prepared business case?" asked EUB member Michael Costello during the testimony of Philip Diodomenico and Kathleen Kelly, consultants with Daymark Energy Advisors Inc. of Worcester, Mass.

Diodomenico and Kelly were hired by public intervener Heather Black to independently review NB Power's smart meter plan and told Costello despite some shortcomings it is a much better proposal than they have dealt with elsewhere.



"Generally, the business case is a good business case," said Diodomenico.


U.S. energy experts Philip Diodomenico and Kathleen Kelly gave NB Power high marks for its smart meter plan on the final day of witness testimony, despite being critical in a November report. (CBC)

"It's made good use of outside consultants and expertise. It's taken a conservative approach in a number of areas, not everywhere, but in a number of areas. Yeah, so it's a good business case."

Kelly said although NB Power might be underestimating expenses and overestimating benefits of its smart meter plan by several millions of dollars, it still looks to be a solid investment.

"We've tried to take some of the assumptions and expand them and make them more conservative to make ourselves more comfortable with it," said Kelly.

"We've reduced the benefit cost ratio, but we haven't seen it go to one [break even] or lower."


EUB member Michael Costello is one of three who will decide the fate of NB Power's smart meter plan and was struck by compliments it was getting from experts hired by the public intervener. (CBC)

Black recommended against the adoption of NB Power's smart meter plan during the utility's first application in 2018 and, although she has expressed no personal opinion on the matter so far this time, her experts gave the utility's case an important boost at a critical time.



The two said they would not recommend against the project moving forward if NB Power expands on a risk assessment of things that could go wrong and how they might be fixed and develops acceptable ways to measure whether the meters are accomplishing predetermined goals.


New Brunswick public intervener Heather Black opposed NB Power's smart meter application in 2018, but experts she hired for the current application are giving it high marks. (CBC)

Diodomenico and Kelly were the final two witnesses to be called during the hearing, which has lasted six days and moves to final arguments on Wednesday.

Extent of financial benefits questioned


NB Power has presented evidence suggesting its acquisition of 360,000 smart meters will provide 16 financial benefits that together will exceed the projected cost of the project by $31.1 million over 15 years.

Although Diodomenico and Kelly said that net benefit number is probably too high, it's likely not zero, something a second independent expert was less certain of.

Alice Napoleon, a senior associate with Synapse Energy Economics of Cambridge, Mass., also testified Monday.


A third U.S.-based energy expert who testified Monday about NB Power's smart meter plan was less flattering. Alice Napoleon was hired by the EUB and testified over the phone the proposal is risky for NB Power customers and may cost more than it makes. (Synapse Energy Economics)

Synapse was hired to independently evaluate the smart meter plan as well, but by the Energy and Utilities Board itself.

Napoleon told the board it is unclear from her analysis — because of vagueness in NB Power's numbers — whether the project will be a financial benefit or liability in the long run.

"We find that NB Power has presented a proposal that, under plausible conditions, would result in benefits to ratepayers," said Napoleon in her opening statement.

"Under alternative but still plausible conditions, the proposed AMI (advanced metering infrastructure) plan might not provide net benefits to customers."

Intervener raises health concerns


Also testifying Monday was McGill University lecturer Paul Heroux, who was called by intervener Roger Richard, a staunch opponent of smart meters.

Heroux said his research shows that even low levels of radiation, like from radio frequencies that will be constantly emitted by smart meters, pose a health hazard to humans.
"We have been for a long time influenced by this radiation unknowingly," said Heroux.

Earlier in the hearing, Dr. Michele Plant, a witness for NB Power, testified there was "no carcinogenic risk" from radio waves or frequencies at "an exposure level thousands of times higher than those measured near a smart meter."

In the hearing two years ago, the EUB ruled it could find no credible evidence that smart meters posed any health risks.









63 Comments









David Raymond Amos
Surprise Surprise Surprise 










David Raymond Amos
Methinks Higgy and Minister Mikey would agree that their silence on this topic speaks volumes to political animals such as I. For a year they could have picked up the phone to stop this "Not So Smart" Meter madness and saved us 100 million loonies in the process. Instead the conservatives opted to roll the dice and leave the matter in the hands of EUB Commissioners all of whom are politically appointed liberal buddies. Its a wicked game and I am very curious as to how it will play out but I have no doubt whatsoever Jacky Boy Keir already knows N'esy Pas?













David Raymond Amos
Methinks a lot of folks should thank my friend Dr. Roger Richard

At the very least Minister Mikey Holland and his political cohorts cannot deny that my friend went to a great deal of effort and expense to bring the expert witnesses Dr. Paul Heroux and Dr. Francis Tatoutchoup before the EUB to speak in defense of our rights and interests AGAIN N'esy Pas?



BruceJack Speculator
Reply to @David Raymond Amos: let's wait to see if the effort was successful . . . 
 

David Raymond Amos
Reply to @BruceJack Speculator: Methinks that person who does not have enough class to use his real name should at least thank your neighbor for trying to defend what you hold so dearly in your wallet N'esy Pas? 
 

BruceJack Speculator
Reply to @BruceJack Speculator: was that the guy talking about radio waves or something? what about the hazard from 60 hertz power itself all 24 hours . . . what about the use of cell phones or in-house portable phones . . . for a smart meter why not just put a metal shield on the wall behind it ? would that protect the residents? maybe wear a hat with a metal shield and save oneself from all other types of E-M radiation too? who could a person thank if they don't know really why the expert was testifying and perhaps the chance for a personal gain? let's wait to see if the effort is successful and see if there is any way to determine why the person intervened?
David Raymond Amos
Reply to @BruceJack Speculator: Methinks folks should understand why you don't use your real name N'esy Pas?

















Justin Time
From a previous CBC article.

"A recently revived Energy and Utilities Board review is examining potentially extreme pricing changes that would shift more cost to residential consumers in New Brunswick with electric heat and move other residential consumption to lower demand periods.

The so-called "rate design" initiative could eventually result in premium prices for consumers in high-demand periods, discounts during lulls, special charges for peak monthly consumption levels, known as demand charges, or other measures or combinations of measures designed to reshape New Brunswick electricity demand. "
https://www.cbc.ca/news/canada/new-brunswick/nb-power-rate-design-extreme-prices-eub-1.5365757
This same Brattle group also promotes the benefits of smart meters . What a coincidence.
Residental customers are going to take it again.



David Raymond Amos 
Reply to @Justin Time: Methinks Minister Mikey knows that I will have a lot to say Brattle Group's report when the EUB finally holds the hearing about it that has been delayed since December N'esy Pas?





















Justin Time
There's one big assumption that has been made that I don't think has been sufficiently addressed. Customer acceptance and customer benefits/detriments. If enough customers opt out then the grand plan may not meet expectations.


David Raymond Amos 
Reply to @Justin Time: I must disagree with ye who has a name I do not believe

I do so because I try considering things in extremes

Methinks if everybody opted out then NB Power would make a rather huge profit collecting our penalties monthly yet it would not have to spend a dime on "Not So Smart" meters because nobody wanted them in the first place N'esy Pas?

 
Justin Time
Reply to @David Raymond Amos: We can't get much by you can we.
I think there may be a chance quite a few people opt out of smart meters unless they can be shown that there is a personal financial benefit to them. However, I think that the chance of NB Power not spending a dime on smart meters is next to zero. N'esy Pas?



David Raymond Amos  
Reply to @Justin Time: Methinks everybody knows NB Power already signed the contracts to get the "Not So Smart" meters This is a just smoke and mirror show at the circus brought to us by spin doctors from south of the 49th This article attests to the fact that it has become rather obvious that our so called "Public" intervener and her Yankee consultants have changed their tune and she is now working against our interests N'esy Pas?


David Raymond Amos  
Reply to @Justin Time: Trust that I made certain that Higgy and his cohorts knew about this "Not So Smart" Meter nonsense long before the last election

IN THE MATTER OF an application by New Brunswick Power Corporation
for approval of the schedules of the rates for the fiscal year
commencing April 1, 2018. held at the Delta Hotel, Saint John, New
Brunswick, on February 9th 2018.

Transcript Page 601
VICE-CHAIRMAN: I was a bit surprised when I heard this morning and
yesterday that you are entering into a contract at the end of February
and is that with respect to the purchase of the smart meters?
MS. CLARK: That's correct.
VICE-CHAIRMAN: So how can you enter into a contract without the firm
approval of this Board, if we are going to approve or not the AMI? How
prudent is that?
MS. CLARK: So we are at the end stages of the contract in terms of
just the final terms and conditions, but we have been very clear that
we -- with the vendor -- and they recognize that, because we also have
Nova Scotia Power, who is part of our consortium, who also needs Board
approval. So should we not get -- this is conditional on EUB approval.
So should we not get EUB approval, the contract would not proceed.
VICE-CHAIRMAN: Now there was discussion yesterday, I think it was with
Mr. Stoll regarding time of use and time based pricing, and so I went
through the evidence this morning, and in your main evidence, and I
think one of the objective of having the AMI going forward to a time
of use price structure -- rate structure. So am I understanding that
correctly



David Raymond Amos  
Reply to @Justin Time: Continued

MS. CLARK: That is correct. And in the evidence, we did answer an
interrogatory on that and you will see that AMI is an enabler for time
varying rates in the Energy Smart NB Plan. And we did have time
varying rates included in our investment rationale. We took it out,
because we couldn't -- we couldn't pinpoint without more detail as to
what those time varying rates may be and the benefit of those, so we
took them out of the investment rationale at this point in time, but
certainly it's something that we are looking at in the future
VICE-CHAIRMAN: So the fundamental question here is that the Board
should heard -- or hear Matter 357 before approving the AMI? So if we
don't approve time of use, that basically what will happen with your
AMI, I mean it's -- if we don't approve the time of use, which we are
going to hear next year, how can we proceed in approving the AMI
before we look at the rate structure?
MS. CLARK: As we have talked about in our investment rationale, there
are a number of other benefits to both the customer and to the utility
over and above time varying rates that we believe are important for
the utility and for the movement forward of our Energy Smart New
Brunswick plan. Many of those benefits accrue to the customer. And
many of those benefits accrue to the utility and ultimately the
customer. So even if we were not to move in the direction of time
varying rates, we believe that the investment rationale supports the
AMI installation based on the other investment -- or based on the
other benefits that it provides






















Justin Gunther
If you're a crown corp in a representative democracy, and you propose something that citizens clearly don't want, what do you do? You keep hiring experts to say the same thing over and over again and until the citizenry is worn down and decides it can no longer invest time and energy in defending itself.


Justin Gunther 
Reply to @Justin Gunther: One too many "and's", apologies still on my first coffee.


David Raymond Amos
Reply to @Justin Gunther: Me Too but my coffee has gone cold because I am enjoying the circus too much today. Methinks a lot of folks are gonna enjoy the closing arguments tomorrow N'esy Pas?


DON MOFFATT 
Reply to @Justin Gunther: I seem to recall someone from history that used that tactic. Keep telling people the same thing over and over again and eventually they will think it is the truth. This person used it a lot in the 1930's and 1940's until he committed suicide. 



















Roy Nicholl
I have always wondered why they need to use meters with wireless communications given the meter is connected to a perfectly fine network over which data could be transmitted.


Steve Cohen 
Reply to @Roy Nicholl: which "perfectly fine network" are you referring to?


David Raymond Amos
Reply to @Roy Nicholl: BINGO 

















 
Ben Haroldson
Must have got them in on the butter too.


David Raymond Amos
Reply to @Ben Haroldson: NOPE Methinks everybody knows that Cardy and Higgy have the market cornered on Butter Tarts N'esy Pas? 

















 
 
April Foster
Having looked at the fiasco in Saskatchewan and Ontario, they should not even be looking at smart meters. If this is supposed to reduce the rate of consumption, how does NB Power ever expect to recover their investment? You got it, INCREASE RATES. As for using only in off peak hours are you ready to freeze in winter and sweat it out in summer. I think not.

David Raymond Amos
Reply to @April Foster: Methinks if you have read the EUB transcripts in this matter then you should be a fan of the former leader of the KISS Party N'esy Pas? 


















 
Paul Bourgoin
Is this OK?

David Raymond Amos
Reply to @Paul Bourgoin: NOPE 
















 
Alex Butt
This whole EUB is just a circus show put on by the government and nb power. Mr Thomas will get his way and when this fails, and millions wasted he will be long gone and we are stuck paying for it for decades. Just like the magic joi bean scandal.

David Raymond Amos
Reply to @Alex Butt: Welcome to the cirus


















John Valcourt
This is a crock. NBPower is going to do everything they can to get these smart meters installed. There is no cost savings to New Brunswickers it is just the first step towards prime time billing so it will give the New Brunswick citizen owned corporation more money that they can waste. It is time to stop them.
David Raymond Amos
Reply to @John Valcourt: Methinks you are not alone with that opinion The question is Minister Mikey and his boss Higgy or their PANB pals paying attention N'esy Pas?





















Justin Time
This whole smart meter thing could become an election issue even bigger than the failed Hydro Quebec sale.People get upset when you start hitting their pocketbook and it looks like this will be inevitable in order to make this whole smart meter thing work. With the number of residential customers in this province the payback is questionable. Some studies show a minimum customer base of 1 million in order to reap the benefits of smart meters. We don't have that many people, let alone electricity customers. 
Roy Kirk
Reply to @Justin Time: The better way is to use monthly consumption data to estimate mean and variation about mean for each customer over their prior years use and use those numbers to classify them. Those with relatively stable monthly consumption go in a low-cost rate class, those that show greater variation in their energy consumption go in classes with higher rates. Those who improve their performance get automatically moved to the lower rate class when their numbers show the improvement, and they stay there as long as they perform at that level. Nice predictable billing for the customer and eliminates the subsidies that small residential users with stable consumption now pay to cover the cost of larger residential customers that cost more to serve than they pay in rates.

The net result is much fairer rates for customers and good price signals for customer investments. All without a 90+ million capital investment. But benefits without costs just aren't in the wheelhouse of most utilities. ;-(
 
David Raymond Amos
Reply to @Justin Time: Methinks everybody knows before the last election the liberal appointed board did not say ok to "Not So Smart" meters and Gallant promised to freeze Nb Power's rates just like Alward did However as soon as Higgy and the PANB took over the mandate NB Power made another stab at the Metter Madness and have been begging to rate hikes even though their profit have never been better. So of course this will be an election issue N'esy Pas?






Dan Flanagan
There is a big imbalance between daytime electricity demand & nighttime demand. A utility has to build its grit for peak demand & at night the infrastructure is at an idle-----very inefficient. With pricing policies that encourage off-peak use (dish & cloth washers, industrial use), we will can avoid building more plants or buying from out-of-province suppliers. Whether or not I save money, at least we're doing something for the planet.
 
Roy Kirk
Reply to @Dan Flanagan: Actually, the big imbalance is between winter peak demand and summer demand, as the data clear shows. The day night swing is not insignificant, but it is not the biggest problem on the system and doesn't justify 90 million investment when most of the benefit can be gained with existing meters. 'Do what you can with the equipment you have before you by new equipment' is always good advice. 
Dan Flanagan 
Reply to @Roy Kirk: Agreed, seasonal variation is bigger than daily variation. That being said, the only economy I see is to use more electricity at night & less during peak time; you can't get that advantage on seasonal usage. Bear in mind, peak US electricity use is June when AC is in full swing, good for NB generation.
Roy Kirk
 Reply to @Dan Flanagan: You can adopt a rate design that uses existing meters and gives a much better price signal to customers. That should be done before considering any new meter investment. It'll work on the summer/winter discrepancy in load, and also the diurnal load variation that is quite large in winter because of diurnal outside air temperature swings. Then you can use all that excess capacity for export sales.
Fred Brewer
Reply to @Dan Flanagan: And we can do a lot for the planet by using that night-time excess power capacity to recharge electric vehicles. NB Power saves $92 million and gets new night-time customers. Win-Win. 
David Raymond Amos
Reply to @Dan Flanagan @Fred Brewer: A little Deja Vu 4 U 2

NB Power launches PR campaign for revived smart meter plan

The utility plans to reintroduce its smart meter plan for approval later this year
Hadeel Ibrahim · CBC News · Posted: Jan 10, 2019 7:19 PM AT

Fred Brewer
@Dan Flanagan
Your vigorous defense of NB Power sounds like you might have a vested interest.
Perhaps you are an employee or related to an employee?

Dan Flanagan
@Fred Brewer
I'm retired. No relatives at or business with NB Power & never worked for them. I don't think NB P is out to screw the consumer. I feel utilities need to have enough revenue to provide for the future & be competitive & efficient. But smart meters should save many users money. Remember, the gov't has control over rate increases. I trust NB Power more than the government.

David Amos
@Dan Flanagan Whereas you are retired consider studying the transcripts of the EUB Hearings about Smart Meters etc

Gerry Ferguson
I don't want one on my house.

Dan Flanagan
@Gerry Ferguson
WHY ?

David Amos
@Dan Flanagan "WHY ?"
Methinks you should talk to Roger Richard or me if you truly care. Everybody knows that our contact information is on record within the 375 and the 357 matters of the EUB N'esy Pas?

Roger Richard
@Dan Flanagan Read Dr. Héroux testimony in NBEUB’s matter #375. It is in the fourth, fifth or sixth days of the hearing.
 

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