Press Release
April 29, 2004
BC Hydro qualifies 11 bidders in the VI CFT process
Bidder approval rate bodes well for Island electricity acquisition
VANCOUVER – Eleven of the fourteen bidders that made pre-qualification submissions have pre-qualified to submit tenders to supply Vancouver Island electricity requirements under the Vancouver Island Call for Tenders (VI CFT) process. The tenders will respond to BC Hydro's requirement for dependable capacity on Vancouver Island to help meet the Island's need for new electricity supply.
"We're very pleased by the number of bidders who have pre-qualified," said BC Hydro's Senior Vice-President, Distribution, Bev Van Ruyven. "We take very seriously our obligation to meet our customers' electricity needs on Vancouver Island and all across the province. With eleven pre-qualified bidders representing 22 potential projects from a diversity of energy sources, we are optimistic the VI CFT will be an active competition that will ensure we continue to meet our service obligations on Vancouver Island in a reliable, cost-effective manner."
BC Hydro began the VI CFT process in 2003 as a way to find options to meet the anticipated supply shortfall on Vancouver Island. To ensure that the process is fair, open and transparent, three external parties have been involved. PricewaterhouseCoopers LLP (PwC) was retained in October 2003 as the independent reviewer for the process, responsible for monitoring and reporting on fairness and BC Hydro's adherence to the VI CFT. For the pre-qualification phase, KPMG Corporate Finance Inc. and R.W. Beck, Inc. were retained to provide third party reviews of the financial and technical criteria used to assess whether bidders and projects would meet the requirements to ensure that reliable supply is available by May 2007.
"A key goal for the VI CFT is that it be a fair and open process, with everybody participating on a level playing field," added Van Ruyven "PwC, in their ongoing monitoring of the process as independent reviewer, has confirmed this fairness in a report issued to us today."
For those projects not moving on to the next stage of the VI CFT process, there may be future opportunities for them with BC Hydro.
"We have proposed to the BCUC as part of our Integrated Electricity Plan (IEP) that there be future calls for electricity supply from the private sector," concluded Van Ruyven. "Should the BCUC approve such future calls as part of our Resource Expenditure and Acquisition Plan, these projects could well be eligible to participate depending on the location and kind of supply we are looking for."
Over the next four months BC Hydro will continue implementing the VI CFT according to the schedule available at BC Hydro's website, with tenders currently scheduled to be due on August 13, 2004. BC Hydro expects to award one or more 25 year Electricity Purchase Agreements, based on cost-effectiveness, when the VI CFT process is concluded.
Read the Vancouver Island Call for Tenders document, along with the schedule and other related materials.
Contact:
| BC Hydro Media Relations |
| Media Relations manager |
| Phone: 604 623-4022 |
Vancouver Island Call for Tenders Pre-Qualified Bidders List
| Bidder Name* | Technology | Location |
| Pristine Power Inc. 3 projects pre-qualified | Natural Gas | Nanaimo Nanaimo Nanaimo |
| Norske Skog Canada Limited 7 projects pre-qualified | Natural Gas | Elk Falls, Campbell River Elk Falls, Campbell River Elk Falls, Campbell River Port Alberni Port Alberni Port Alberni Port Alberni |
| EPCOR Power Development Corporation 3 projects pre-qualified | Natural Gas | Duke Point Duncan Ladysmith |
| Exodus Energy North America LLC 1 project pre-qualified | Natural Gas | Nanaimo |
| Beacon Rock Power Management Limited 2 projects pre-qualified | Natural Gas | Nanaimo Nanaimo |
| EPCOR Power Development Corporation and Calpine Canada Power Ltd. 1 project pre-qualified | Natural Gas | Nanaimo |
| Calpine Canada Power Ltd. 1 project pre-qualified | Natural Gas | Campbell River |
| ENCO Power Co. 1 project pre-qualified | Natural Gas | Nanaimo |
| Maxim Power Corp. 1 project pre-qualified | Natural Gas | Ladysmith |
| Northern Utilities Inc. 1 project pre-qualified | Water | Port McNeil |
| Green Island Energy Ltd. 1 project pre-qualified | Wood Waste | Gold River |
*Bidder names indicated in this column are either the entity that registered pursuant to section 9.2 of the CFT, or is an affiliate of such entity.
