c. Zuker and Glenn P. Jenkins, in collaboration · of conclus10ns or reco!!lmendat10ns by etther...

62
j :' A paper prepared for the Economic Council of Canada P.O. Box 527 Ottawa, Ontario KiP 5V6 •! ,, Un document prepare pour le Conseil economique du Canada C.P. 527 Ottawa (Ontario) KiP 5V6 Statistical Appendices to BLUE GOLD: Hydro Electr_ic Rent in ea·nada by Richard c. Zuker and Glenn P. Jenkins, in collaboration with Henry Lim and Pierre Poirier c §®&®©@ Susitna Joint Venture Document Number Please Return To DOCUMENT CONTROL -

Transcript of c. Zuker and Glenn P. Jenkins, in collaboration · of conclus10ns or reco!!lmendat10ns by etther...

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j :'

A paper prepared for the

Economic Council of Canada

P.O. Box 527 Ottawa, Ontario KiP 5V6

• •! ,,

Un document prepare pour le

Conseil economique du Canada

C.P. 527 Ottawa (Ontario) KiP 5V6

Statistical Appendices to

BLUE GOLD: Hydro Electr_ic Rent in ea·nada

by Richard c. Zuker and Glenn P. Jenkins, in collaboration with Henry Lim and Pierre Poirier

fMJ&rffi~& c §®&®©@

• •

Susitna Joint Venture Document Number

Please Return To DOCUMENT CONTROL

-

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The Economic Co\tncil of Canada was established in 1963 by Act of Parliament. The Council is a crown corporation consisting of a Chairman, two Directors and not more than twenty-five Members appointed by the Governor in Council.

The Council is an independent advisory body with broad terms of reference to study, advise a11d report on a very wide range of matters relating to Canada's econom­ic development. The Council is empowered to conduct studies and inquiries on its own initiative, or if directed to do so by the Minister, and to report on these activi­ties. The Council is required to publish annually a review of medium- and long-term economic prospects and problems. In addition it may publish such other studies and reports as it sees fit.

The Chairman is the Chief Executive Officer of the Council and has supervision over and direction of the work and staff of the Council. The expenses of the Council are paid out of money appropriated by Parlia­ment for the purpose.

The Council as a corporate body bears final responsi­bility for the Annual Review, and for certain other reports which are clearly designated as Council Reports. The Council also publishes Research Studies, D:'scus­sion Papers and Conference Proceedings which are clearly attributed to indiVldual authors rather than the Council as a whole. While the Council establishes gener­al policy regarding such studies, it is the Chairman of the Council who bears final responsibility for the deci­sion to publish authored research studies, discussion papers an~ conferent,;e. procee?ings u~der t~e imprint of the Council. The Chalfman, m reachmg a Judgment on the competence and relevance of each author-attributed study or paper, is advised by the two Directors. In addition, for authored Research Studies the Chairman and the two Directors weigh the views of expert outside readers who report in confidence on the quality of the work. Publication of an author-attributed study or paper signifies that it is deemed a competent treatment worthy of public ~onsideration, but do~s not im~ly endors;_me.nt of conclus10ns or reco!!lmendat10ns by etther the ..... hatr­man or Council members.

Etabli en 1963 par une Loi du Parlement, le Conseil economique du Canada est une corporation de Ia Couronne composee d'un president, de deux directeurs et d'au plus vingt-cinq autres membres, qui sont nommes par le gouverneur en conseil.

Le Conseil est un organisme consultatif independant dont le mandat lui enjoint de faire des etudes, donner des avis et dresser des rapports concernant une grande variete de questions rattachees au developpement econrmique du Canada. Le Conseil est autorise a entreprendre des etudes et des enquetes, de sa propre initiative ou a Ia demande du Ministre, et a faire rapport de ses activites. Chaque annee, i1 doit preparer et faire publier un expose sur les perspectives et les problemes economiques a long eta moyen termes. Il peut aussi faire publier les etudes et les rapports dont Ia publication lui semble opportune.

Le president est le directeur general du Conseil; il en surveille les travaux et en dirige le personnel. Les montants requis pour acquitter les depenses du Conseil sont preleves sur les credits que Ie Parlement vote a cette fin.

En tant que personne morale, le Conseil assume l'entiere responsa­bilite des Exposes annuels, ainsi que de certains autres ra~ports qui sont clairernent designes comme etant des Rapports du Conseil. Figurent egalement au nomhre des publications du Conseil, Ies Etudes, Documents et Comptes rendus de col/oques, qui sont explici­tement attribues a des auteurs particu/iers plutot qu'au Conseil lui-meme. Celui-ci etablit une politique generale touchant ces textes, mais c'est au president qu'tl mcombe de prendre Ia dectston finale de faire publier, sous les auspices du Conseil economique du Canada, les ouvrages a nom d'auteur tels que les etudes, documents et rapports de colloques. Pour se prononcer sur Ia qualite, !'exactitude et l'objec­tivite d'une etude ou d'un document attribue a son auteur, le president est conseille par les deux directeurs. De plus, dans le cas des etudes a nom d'auteur, le president et les deux directeurs sollicitent l'avis de lecteurs exterieurs specialises, qui font un rapport confidentiel sur Ia qualite de ces ouvrages. Le fait de publier une etude ou un document a nom d'auteur ne signifie pas que le president ou les membres du Conseil souscrivent aux conclusions ou recom­mandations contenues dans J'ouvrage, mais plutot que !'analyse est jugee d'une qualite suffisante pour etre portee a }'attention du public.

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Statistical Appendices to

BLUE GOLD: ifY'dro Electric Ren·t ·in· ea·nada

by Richard C. Zuker and Glenn P. Jenkins, in collaboration with Henry Lim and Pierre Poirier

0

Fall 1984

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Table of Contents

Page

Appendix A - Supplementary Tables to Chapter 3 1

Appendix B - Supplementary Tables to Chapter 4

Appendix C - Description of the Procedure

to Estimate the Provincial

Distribution of the Rent on

Hydro-Electricity Generated

by Electric Utilities on the

7

Basis of Consumption 34

Appendix D - Supplementary Tables to Chapter 5 48

1 i 1 1 !

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Appendix A

Supplementary Tables to Chapter 3

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Table A.l

Economic Prices of Fuel and Variable Operating Costs 1'979-1980

British Quebec Ontario Manitoba Columbia

{$ per Mwh) Operating Fuel Costs

Nuclear 1979 $ 2.10 $ 2.10 $ 2.10 $ 2.10 1980 2.31 2.31 2.31 2.31

Coal 1979 18.86 18.08 15.38 9.04 1980 20.49 19.89 16.90 9.95

J6 Fuel Oil 1979 64.37 64.37 64.37 64.37 1980 65.79 65.79 65.79 65.79

#2 Fuel Oil 1979 111.25 111.25 111.25 111.25 1980 113.70 113.70 113.70 113.70

Variable Operating and Ma ilntenance Costs

Nuclear 1979 $ 2.00 $ 2.00 $ 2.00 $ 2.00 1980 2.20 2'.20 2.20 2.20

Coal-Ste~m 1979 1.30 1.30 1.30 1.30 1980 1.43 1.43 1.43 1.43

Oil-Fired StBam 1979 1.20 1.20 1.20 1.20 1980 1.32 1.32 1.32 1.32

Gas Turbine 1979 3.39 3.39 3.39 3.39 1980 3.73 3.73 3.73 3.73

Sources Basic Fuel prices from Department of Rnergy, Mines and Resources, Energy Reference Cost Premiums, 1980. Estimations of cost per mwh made by C.T. Main Engineering, Systems Planning Division, Roston, Mass. 1981.

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Table A.2

Generation Capacity Fixed Operation ·), Costs of and Costs .

(1979 prices)

( 1) ( 2) ( 3) ( 4) ( 5) Fixed ,,

Operating Forced Schedulecl, '··

Ulnit Cost and Heat Rate@ Availability Outage Maintenance .:'~· " \1 ·.

(Rated) Maintenance 75% Output Factor Rate Rat.e Type/Size (Mw) $/KW $/KW/YR BTU/KWH Per Cent Per Cent Per OeAjt,

-NUCLEAR (CANDU) ··:

' ,.? "'.,~;-;:":"""iJ;:-,:'...,._......,.,ttt

500 1,238 4.1 85.6 8 7

I I 6·00 1,212 4.1 85.6 8 7 700 1,187 4.1 84.1 9 7 800 1,163 4.1 82.6 10 ij ~;

850 1"151 4.1 81.9 10 9 W.·. 900 1,139 4.1 80.1 11 10 r~

1,000 1,115 4.1 78.3 11 10 I

Length of Life - 25 years

COAL 100 583 23.6 10,250 86.3 5.0 11.0 200 566 20.4 10,170 84.6 5.0 11.0 300 S49 17.2 10,060 81.8 6.0 13.0 400 532 13.9 9,940 81.5 8.5 14.0 500 516 12o5 9,875 76.5 10.0 15.0 600 501 11.1 9,810 76.5 10,0 15.0 700 486 9.9 9,750 76.5 10.0 15.0 750 479 9 .. 4 9,720 76.5 10.0 15 .• 0 800 471 8.8 9,680 76.5 10.0 15.0 900 456 8.3 9,680 75 .. 0 11.0 15.0

1,000 443 8.0 9,680 74.0 12.0 15,. 0

Length of Life = 25 years

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Table A.2 (Cont'd)

Costs of Generation Capacity and Fixed Operation Costs (1979 prices)

Type/Size (Mw)

OIL-FIRED STEAM

100 200 300 400 500 600 700 750 800 900

1,000

Length of Life - 25 years

GAS-TURBINE

20 40 60 80

100

Length of Life = 15 years

( 1 )

Unit Cost (Rated) $/KW

472 458 444 431 418 405 393 387 381 370 359

174 158 143 130 118

( 2) Fixed

Operating and

Maintenance $/KW/YR

23.6 20.4 18.2 13.9 12.5 11.5

9.9 9.4 8.8 8.3 7.3

0.32 0.32 0.32 0.32 0.32

Real econommic .cost o:f capit.a1 = 10 per cent

( 3)

Heat Rate@ 75% Output

BTU/KWH

10,350 10,270 10,160 10,040

9,980 9,910 9,850 9,815 9,780 9,780 9,780

14,000 13,800 13,500 13,000 12,500

Real financial cost of fun~s to utility = 3 per cent Adjustment of prices .of inflation = 10 per cent per year

..

( 4 )

Availability Factor

Per Cent

86.3 85.9 81.5 81.5 80 .. 5 79.0 77.5 76.5 76.5 76.0 75.5

88.8 88.8 88.8 88.8 88.8

( 5)

Forced Outage

Rate Per Cent

5.14 5.48 8.5 8.5 8.5 9.0 9.0

10.0 10.5 11.0 12.0

8.0 8.0 8.0 8.0 8.0

(6) t'

Sched.aih.ed· MainteA~n.o·~ ·

Rate-, Per Cent

~-

1 o •. o 10.0 12.0 12.0 ·' 15.0 15.0 "" 15.0 15.0 15.0 15.0 15.0

'---:-

3.2 382 3.2 3.2 3~2

Sources Electric Power Research Institute (8PRI), Technical Assessment Re~ort (EPRI PS-1201-SR) 1979, Ontario Hydro, CC?.,st Col}!parison of 4 X SOOMJT <;oal fuelled ana 4 XSOMW Candu Nuclear Gen~r9!::_J.J;)O stations, Report No. 5~5 SP, January 1981.

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Table J\.3

Generation Mix For Alternative 11111-Thermal Generation Systems, 197'9

Type of Generation

Nuclear

Coal

Oil

TOTAL

QUEBEC CAPACITY ENERGY

(MW) (MWH)

lJ,Go:o BEI,581, 745 (16 @ 850')

7,50'0 20,743,957 (10 @ 750)

3, 2001 1,266,752 (32 @ 1001)

24,3010 11 (),59 7~ ,, 4 54

ONTARIO CAPACITY ENERGY

(MW) (MWH)

12,750 81, 59'4, 7~55 (15 @ 850)

6,000 15,237,.:SIH (8 @ 750)

2,000 1, 277 ,81'0 (20 @ 100)

.20!, 750 9 8, 1 0 9 , ~lll6

f'IIANITOBA CAPACITY ENERGY

(MW) (MWH)

3,000 (10 @ 300)

520 (13 @ 40)

3,520

13,814,01JL

1i802,70i8

15, 616, 71'9

* ..

~_.

BRITISH COLUMBIA CAPACITY ENERGY

(MW) (MWH)

6,000 (12 @ 500)

2,400 (40 @ 60)

8,400

33,931,759

7,261 .. 121

41,182,880

I

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Table A. 4

Load and Capacity Factors for Alternative All-Thermal Systems, 1979

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SY:STEM LOAD FACTOR {per cent)

CAPACITY FACTOR

NUCLEAR

COAL

OIL/TURBINE

QUEBEC ONTARIO MANITOBA

65.2 68.5 70.1

74.4 73 •. 1

31.6 29.0 52 .. 6

4.5 7.3 39.6

,. '.) >

-'4~.

BRITISH COLUMBU{ . ,

69.6

64.5

34.5·

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Appendix B

Supplementary Tables to Chapter 4

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Table B.1

Economic Cost of Current System: Elecl!.ric Utilities, 1979: Quebec and Ontario

Generation Capacity Cost

1. Gross Generation Capital Stock ( Histor,ical) ( $000)

2. Net Current/Gross Historical Capital Stock, 1979 (Ratio)

3. Net Generation Capital Stock at 1979 Prices ($000)

4. Rate of Ecor.omic Depreciation

5. Economic Depreciation

6. s.o.c. of Genera.tion Capital @10%

1. Total Annual Cost - Generation Capital

Fuel Cost

8. Uranium@ $2.10/MWH

9. Coal

10. Coal

11. Heavy

@ $18.08/MWH

@ $18.83/MWH

Fuel Oil @ $62.60/MWH

12. Diesel (i Light Fuel Oil @ $111.20/MWH

13. Natural Gas @ $62.60/MWH

14. Total Annual Cost - Fuel

Generation Operating And Maintena'-!'"'0 Fixed Cost

15. Nuclear @ $4.10/k.W

16. Coal @ $12.50/kW

17. Oil @ $12.50/kW

.18. Internal Combustion @ $12.50/kW

19. Gas Turbine @ $0. 32/kW

10. Hydro @ $3.00/kW

21. Total Annual Cost - Gene rat ion Operating ' Maintenance - Fixed

l ,,

Quebec ---$666 $000

4,404,929

1. 4535

6,402,564.3

,0266

170,308.;2

6-&0,256.4

810,564.6

MWH

21,893 1,370.5

149,478 116,622.0

17,992.5 17 ;-992. 5

MW

266.4 1,092.2

600.0 7,500.0

76.4 955.0

312.7 100.1

14,182.0 42,546.0

52,-f!fJ. 3 12, !..~.~- 3

6,495,641

1. 4796

9,610,950.4

.032.5

MWH

33,272,359

28,422,622

875,366

154,464

1,473,668

HW

5,600.0

12,259.0

10.0

450.6

G,786.6

Ontario -s-mro--

312,355.9

961,095.0

1,273.450.9

69,871.9

513,881.0

54,797.9

17,176.4

92,251,6

747,978.8

22 .. 960.0

153,237.5

125.0

144.2

20,359.8

T96;-826"3

$000

00

747,978.8

r/ .,

196~~26. 5

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Table B.l (conl'd)

Generation Ope~ating and Maintenance - Variable Cost

22. Nuclear @ $2.0/MWH

23. Coal @ $1.3/MWH

24. Oil, Diesel, Gas @ $1.2/MWH

25. Oil, Diesel, Gas @ $3.4/MWH

...

26. Total Annual Cost - Generation OpQ.ratino " Maintenance-Vcsriable.

Economic Cost of .Power Purchased:

27. Fr011 Churchill Fcslls at Border

28. Cost of Other Power 'Purchased

29. Cost of Power PUitchased - Total

30. Econoaic Cost of Energy Produced and Purchased - Sub-total

Tran .. ission - Capital Cost

31. Gross Transaistion Capital Stock (Histocical) ($000)

32. Net Current/Gross Historical Capital Stock, 1919

33. Net Transaission Capital Stock at 1979 Prices ($000)

34. Rate of Econoaic Depreciation

35. Economic Depreciation

36. s.o.c. of Transaission Capital at 101

37. Total Annual Cost - Transmission Capital

HWH

168,473

2,898 171,371

2,614,005

1.4535

3,799,456.3

.0266

sooo

202.2

9.9

212:1

211,279.0

7,695.0

218,974.0 21~,974.0

1,099,936.5

101,065,5

379,945.6

481,011.1 48l;orr:r

MWH

33,272,359

28,422,622

2,494,441

9,357 64,198,479

2,474,779

1.4796

3,661,683.0

.0325

66,544.7

36,9.(9.4

2,993.0

31.8

106,518.9

83,724.0

83,724.0

119.,004.7

366,168.3

485,173.0

,,

.$000

106.518.~

'2";'iD8 ,499 .1

0

: .. ~ \:>

.. , ,,

485,173.0

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Table B.l (ccnt'd)

Distribution - Capital Cost

38. Gross Distrabutton Capital Stock (Historacall ($000}

39. Net Current/Gross Historicol Capital Stock, 1979 (Ratio}

40. Net Tranaaisalon Capital Stock at 1979 Prices ($000)

41. Rate of Econoaic Depreciation

42. ~conoaic Depreciation

43. s.o.c. of Distr.ibution Capital @lOt

44. Total Annual Co•t - Distribution Capital

Tranuiuion OperaUng ' Maintenance Annual Coat

45. 0 • M Tranaaisaion Coat

Qperatib! • Maintenance ' Adain. Coet - D atribution • Other

45. Total 0 • M ' A - Actual

47. Leaaa Actual Fuel Coat

48. Le••• 0 • M Generation - Fixed

49. Leaal 0 ' " Generation - variable

50. Less: 0 ' M Tranaa.leaion

51. ~quala r o, M • A Coat - Other

Capital Cost of Other Fixed Aaaeta Other Property and EqUip-.nt

52. Gro3a Capital Stock (Hiatorlcal) ($000)

53. Net Current/Groee Historical - Ratio

54. Net t ·~ Hal Stock at 1979 Prlcea Otb~t !quip .. nt • Property ($000)

other 71xed Aaseta

55. Met Capital StocX (H!etorica1) (SOOO)

56. Net Current/Net Hlatorical - Ratio

57. Net Capital Stock at 1979 Prices

58. Net Capital Stock at 1919 Prices TOtal - All Other Fixed Aaaeta (SOOO)

59. Rate of !conoalc Depreciation

60. Econo•ic Depreciation

61. s.o.c. of Other Flxed Asaeta @ 10'

62. TOtal Annual Coat - Other Fixed ~asets

r

1,893,639

1.4535

2,752,404.3

421,744

1.4535

613,004.9

108,805.0

1. 7158

186,687.6

799,692.5

.0266

Quebec sooo

73,214.0

275,240.4

348,454.4

604,018.0

-8, ~3j,.O

-52,19.1.3

-212.1

-63,924.0

sooo

348,454 .•

63,924.1J

479,355.6 479,355.6

21,271.8

79,969.2

101,241.0

1,97!#,221

1.4'/96

2,928,455.4

.0325

851,326

1. 4796

1,259,621.9

10,854.0

1. 9080

20,709.4

1,280,331.1

.0325

Ontar1o $000

.95,174.8

292,845.5

l88. o2o. 3

1,398,302.0

-580,971.7

-196,826.5

-106,519.9

-67,856.8

446,1211.1

41,610.8

128,033.1

169,643.9

sooo

388,020.1

67,1156.8

U6, 128.1

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l Table 8.1 (cant 'd) l ! i

~ \ftnnual Opportunity Cost of l.9ther Assets

' t

1 63; Cash & Temporary Investments {$000) j

:64. Accounts .Receivable (SOOO)

65. Inventory ($000)

66. Other Assets ($000)

:67. Less: Accounts Payable & Accrd. Liab. ( SOOO)

68. Net Total - Other Assets ($000)

69. s.o.c. of Other Assets @ 10\

70. Total Economic Cost of Current System

206,276.0

643,138.0

137, 58 4. 0

176,440.0

-601,735.0

561,703.0

OuE>hec -$000

56,170.3

$000

579,334.0

410,719.0

758,892.0

564,331.0

-1,040,902.0

1,272,374.0

Ontario -souo--

127,237.4

sooo

127,237.4

4,092,55if:6

·"'"'

I

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......

f

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Table n.l

Economic Cost of Current system: Electric Utilitu~s, 1979: Manitoba and Hn t ish Columbia

Manitoba British Columbia - ·-soo£J sooo ------sooo - $000 Generation Ca(!acit~ Cost

~::. 1' Gross Generation Capital Stock (Historical) (SOOO) 1,750,507 2,192,318 " :-:.."'

,, '"'~ r;;r;,g' 2. Net Current/Gross Historical

; •' ; \.~-Capital Stock, (Ratio) 1.5207 1. 5241

3. Net Gen~ration Capital Stock at 1979 Prices ($000) 2,661,996.0 3,341,311.9

\/ '-~) t,~ .c. Rate of Economic Depreciation .0284 • 0261 -

5. Economic Daprecia t ion 75,600.7 93,890.9 (~~ ~·',L·"~-... ~

6o s.o.c. of Generation Capital @10\ 266,199.6 334,131.2

I 341,800.3 341,800.3 f) 7. Total Annual Cost - Generation Capital 429,022.f 428,022.1

I Fuel r.:ost ~ ~ ,,.

•· a. Uranium @ $2.10/HWH

9. Coal @ $18.08/HWH

1 o. Coal @ $18.83/HWH 49,128 925.1 11. Heavy Fuel Oil ll $62.60/HWH -21,079 -1,319.5

I 12. Diesel Light Fuel Oil @ $111. 20/l1WH SO,G65 5,656.2 81,772 9,093.0 \'-\ f,

&

-· 'J--:1 ;,

" 13. Natural Gas @ $62.60/MWH 923 57.8 472,417 29,573.3 N ,j

14. Total Annual Cost - Fuel 6,639.1 ~-639:-f 37,346:8 37,346.8 (< Generation 0Eerating And

Maintenance Fixed Cost MW MW 15. Nuclear @ $4.10/kW

16. Coa.l @ $12.50/kW ~19.0 5,237.5 17. Oil @ $12.50/kW

9!2.5 "11, 406. 2 18. Internal Combustion @ $12.50/kW 29.1 363.8 99.1 1,238.8 19. Gas Tur.bine @ SO. 32/kW 23.8 7.6 350.4 112.1

,,:;; 20. Hydro @ 53.00/kW 3,641.1 10,923.3 6,140.7 18,422.1 i,;·

21. Total J\nnual Cost - Generation \!, Operating " Maintenance - fixed 16-,-532.2 16 _,_5 j"i:-2 '31, 179.2 31, f19:..~

Page 17: c. Zuker and Glenn P. Jenkins, in collaboration · of conclus10ns or reco!!lmendat10ns by etther the ..... hatr man or Council members. Etabli en 1963 par une Loi du Parlement, le

oi~il!•fC&*:MPd!Utt1.t~L, m;.i.iie ~~f: flj$1Jj!X .. l'illt'lf ~-~~ ftf;.,:C"~~(Jir LifL¥11.,

'· ir'

.. -.•.o·-~_..,

I v· -

L .. ' .. It

.

Table 8.1 (cont'd}

Generation OQerating an<! Maintenance - Variable Co~!_

22. Nuclear @ S2.0/HWH

23. Coal @ Sl.3/MWH

24. Oil. Diesel, Gas @ $1.2/MWH

25. Oil, Diesel, Gas @ $3.4/MWH

26. Total Annual Cost - Generation Operating ' Maintenance-Variable

Economic Cost of Power Purchased

27. From Churchill Falls at Border

28. Cost of Other Power Purchased

29. Cost of Power Purchased - Total

30. Economic Cost of Energ:i Produced and Purchased - Sub-total

Transmission - CaQital Cost

31. Gross Transmission Capital Stock {Historical) ($000}

32. Net Current/Gross Historical Capital Stock

33. Net Tl:"ansmission Capital Stock ~t 1979 Prices ($000}

' 34. l• ;< e of Economic Depreciation

35. Economic Depreciation

36. s.o.c. of Transmission Capital at

37. Total Annual Cost - Transmission

_8.5

·::·

Manitoba British Columbia '~

· -sooo · $000 ---$000 ____

$000

mwh mwh

49, 128 63.9

51,753 62.1 562,460 675.0

35 0. 1 -29,350 -99.8

IT6-:T i26:T 575.2 575.2

:;_~

.. , 102.0 20,077.0

102-:D roi:"o 20,071.0 20,077.0 0

.;!_f5, 1'99. 7 517,200.;!

........ :I

....... 160,137 1,107,SIJ9 lsJ

l. 5207 }. 5241

243,520.3 1,688,076.4

.0284 .0281

6,916.0 47,434.9

10% 24,352.0 168,807.6

Capital rr;-268:0 'jT;-268 :.9.. il6,242.5 216,242!.~

Page 18: c. Zuker and Glenn P. Jenkins, in collaboration · of conclus10ns or reco!!lmendat10ns by etther the ..... hatr man or Council members. Etabli en 1963 par une Loi du Parlement, le

f

• t

Table B.l {cont'dl

Distribution - Capital Cost

38. Gross Transmission ' Distribution Capital Stock (H1storicall (SOOO)

19. Net Current/Gross Historical Capital Stock (R~tio)

40. Net Transmission Capital Stock at 1979 Prices ,( SOOO)

41. Rate of Economic Depreciation

42. Economic Depreciation

43. s.o.c. of Distribution Capital @10\

44. Total Annual Cost - Distr-ibution Capital

7ransmission Operating ' Maintenance Annu&l Cost

45. 0 ' M Transmission Cost

Operatin~ ' Maintenance ' Admin. Cost - Distribution ' Other

46. Total 0 ' M ' A - Actual

47. ~~ss: Actual Fuel Cost

48. Less: 0 ' M Generation - Fixed

49. Less: 0 ' M Generation - Var -

50. Less: 0 ' M Transmission

51. Equal: o, M ' A Cost - Other

Capital Cost of Other Fixed Assets Other Property and E9uipment

52. Gross Capital Stock (Historic&!) ($000)

53. Net Current/Groos Historical - Ratio

54. Net Capital Stock at 1979 Prices Other Equipment ' Property ($000)

Other Fixed Assets

55. Net Capital Stock (Historical) ($000)

56. Net Current/Net Historical - Ratio

57. Net Capital Stock at 1g79 Prices -

58. Net Capital Stock at 1979 Prices -Total - All Other Fixed Assets (SOOO}

59. Rate of Ec,nomic Depreciation

60. Economic Depreciation

61. s.o.c. of Other Fixed Assets ~ lOt

62. Total Annual Cost - Othec Fixed Assets

8.5

783,284

1. 5207

1,191,140.0

.0284

80,551

1.5207

122,493.9

1. 8531

122,493.9

.0284

Manitoba 5000

33,828.4

119,114.0

I5'2";' 9 4 2 • 4

114,447.0

-3,861.8

-16,532.2

-126.1

-10,000.0

83,926.9

3,478.8

12,249.!

15,728.2

$000

152,942.4

10,000.0

83,926.9

151728 • ~

'

British Columbta sooo

1,618,682

1. 5241

2,467,033.2

.0281

751,733

1.5241

1,145,716.3

1.8662

1,1.45,716.3

.0281

69,323.6

246,701.3

Jl6,026:9

244,039.0

-9,663.4

-H, 179.2

-575.2

-8,940.0

193,681.2

32,194.6

114,571.6

146,766.2

$000

316,026.9

8,940.(!

193,681.2

146,766.2

.,_,. tb.

'

tr

Page 19: c. Zuker and Glenn P. Jenkins, in collaboration · of conclus10ns or reco!!lmendat10ns by etther the ..... hatr man or Council members. Etabli en 1963 par une Loi du Parlement, le

I I

'" l

L

Table B.l (cont'd)

Annual Opportuni'ty Cost of Other Assets

• t

63. Cash & Temporary Investments ($000)

64. Accounts Receivable ($000)

65. Inventory ($000)

66. Other Assets ($000)

67. Less: Accounts Payable & Accrd. Liab. ( $000)

68. Net Total Assets ($000)

69. s.o.c. of Other Assets @ 10%

70. Total Economic Cost of Current System

7,001.0

52,508.0

23,692.0

81,267.0

-27,462.0

137,006.0

Manitoha $000

13,700.6

$000

13,700.6

672,765.8

'" ij I·

British Columbia $000

297,845.0

157,560.0

54,231.0

41,746.0

-353,400.0

197,982.0

19,798.2

. . ~· . . . . . . " .

$00()

19,'798.2

1,418,655~3 I'

Page 20: c. Zuker and Glenn P. Jenkins, in collaboration · of conclus10ns or reco!!lmendat10ns by etther the ..... hatr man or Council members. Etabli en 1963 par une Loi du Parlement, le

),) ,\

r

Nete; ,A!~ data are from Statistics Canada, Electric Power Sta~istici>', Volume II, Annua.l Statistics Cat. t57-202 v 1979, unl~ss otherwise indicated.

Line No.

(1)

{~)

( 3)

{4}

( 5) ... ( 6)

( 7)

( 8)

( 9) r

(11)

(12)

(13)

( 14)

(10)

(15)-(20)

(15)

(16} 1 ( 17)

(18)

(19)

( 20)

(21)

(22)-(25)

(22)

(23)

(24)

(25)

{~6)

(27)

(28)

. ·r I l ,, r ,, ;.

·~ I

Table 13 (Total Utilities), line 1.

Based on estimates for Miscellaneous Utilities provided by the National Wealth and Capital Sto:~k Section of Statistics Canada.

(1) X (2).

Source same as for (2).

(3) X (4) •

(3) X 0.10.

(5) + (6).

MWH from Table

MWH from Table

MWH from Table

MWH from Table line 21.

11 (Energy

11 (Energy

11 (Energy

11 (Energy

Generated) line 24.

Generated) line 18.

Generated) line 20.

Generated) line 19 +

MWH from Table 11 (Energy Generated) line 23.

(8) + (9) + (10) + (!1) + (12) + (13).

Costs per MW are those presentd in Chapter 2.

MW from Table 1, footnotes 1 and 2.

MW from Table 1, line 9 less nuclear capacity for Ontario and Quebec from footnotes 1 and 2.

MW from Table 1, line 10.

MW from Table 1, line 11.

MW from Table 1, line 8.

(15) + (16) + (17) + (18) + (19) + (20).

Costs per MWH are those presented in Chapter 2.

MWH from Table 2, footnote (1).

f~WH from Table 11 (Energy Generated) 1 line 18.

MWH from Table 2, line 9 ~ (22) ~ (23) +Table 2, line 10.

l<iWH from Table 2, line 11.

(22) + (23) + (24) + (25).

From Table A.2.

For Quebec: Table 5 (Electric Utilities) value of Electricity Purchased, line 4 (page 22) less Table 5 (Electric Utilities),

---·· -

line 24 (page 20) for Newfoundland For other provinces: Table 5, line 4 (page 22) •

.,

_j

Page 21: c. Zuker and Glenn P. Jenkins, in collaboration · of conclus10ns or reco!!lmendat10ns by etther the ..... hatr man or Council members. Etabli en 1963 par une Loi du Parlement, le

}'--""~,..,--.~-..,...._~."-~~,__,,_,._~.__..,,_,.'J'Oo 0 ~""'''*"'•d'W"'-'"""'-"

'

Notes to "I: able B.l ( cont 'd)

Line

(29)

(30)

(31)

(32)

(33)

(34)

(35)

(36) .. (37)

(38)

(39)

(40)

( 41)

(42)

( 4 3)

(44)

( 4 5)

(46)

( 4 7)

( 4 8)

( 4 9)

(50)

(51)

(52)

(53)

(54)

(55)

(56)

(57)

(58)

(59)

(60)

(61)

(62)

No. ,;

,,

(27) + ( 28} ~

(7) + (14) + (21) + (26) + (z9).

Table 13 (Total Utilities), line 2.

( 2) •

(31) X, (32).

( 4 ) •

( 33) X (34) •

(33) X 0.10.

(35) + {36).

Table 13 (Total Utilities), line 3.

( 2) •

(38) X (39).

( 4 ) •

(40) X (41).

{40) X 0.10.

(42) + (43).

These are unofficial estimates obtained from the utilities.

Table 14 (Total Utilities), line 4.

Table 11 (Cost of Fuel Used), line 12 (page 32).

( 21 ) •

( 26) •

( 4 5) •

(46)- (47)- (48)- (49)- (50).

Table 13 (Total Utilities), line 4.

( 2) •

(52) X (53).

Table 13 (Total Utilities), line 10.

Source same as for (2).

(55} X (56).

(54)+ (57).

( 4) •

(58) X (59).

(56) X 0.10.

( 60) + ( 61) •

--":"

r.:.·

Page 22: c. Zuker and Glenn P. Jenkins, in collaboration · of conclus10ns or reco!!lmendat10ns by etther the ..... hatr man or Council members. Etabli en 1963 par une Loi du Parlement, le

J.o • co

'' i'

G

- 1~,

Nptes to Table 8.1 (cont'd)

Lin~ No.

(~3)

(64)

(65)

{66)

(67)

(68)

( 6-9) .. (70)

Tabl~~ 13 (Total Utilities), line 12 + line 13. '.\ \ ~

Table)! 13 (Total Utilities), line 14. J/

T~bJ·.e 13 (Total Utilities), line 15.

Table 13 (Total Utilities) line 16 + line 21 + line 22 + line 23.

Table 13 (Total Utilities), line 26.

( 63} + ( 64} + ( 65) + { 66) - ( 67) •

(68) X 0 .. 10 •

(30) + (37) + {44) + (45) +(51)+ (62) + (69).

___ .,

. '

Page 23: c. Zuker and Glenn P. Jenkins, in collaboration · of conclus10ns or reco!!lmendat10ns by etther the ..... hatr man or Council members. Etabli en 1963 par une Loi du Parlement, le

Q

,I

19

Table 8~2

Estimated Economic Cost of Energy Purchased by Quebec from Churchill Falls (At The Border), 1979

Net Replacement Value of Fixed Capital - 1979 ·Dollars

1. - EnC: of Year, 1978

2. - End of Year, 1979

3. - Mid-Year, 1979

4. Economic Depreciation

s; Social Opportunity Cost of .. Capital, at 10 per cent

6. Total Cost of Capital

02eratin2, Maintenance and Administration Costs

7. Plant Operations

B. General Management

9. Major Repairs

10. Townsite Services - net cost

11. Retail Operations - net cost

12. Total OM&A Cost

13. Total Economic Cost of Energy Produced

Energy Sold

14. - to Labrador - at end of transmission network

15. - to Quebec - at border

16. Total Energy Sold

17. Proportion of Energy Sold to Quebec

18. Economic Cost of EnergY­Purchased by Quebec

r--.~----.,

($000) ($000)

1,868,356.6

1,843,627.6

1,855,992.1

29,222.0

185,599.2

214,821.2

4,674.0

1,917.0

1,246.0

2,452.0

158.0

10,447.0

225,268.2

(MWH)

2,333.0

35,220.8

37,553.8

.9379

211,279.0

\' 'I ,.

Page 24: c. Zuker and Glenn P. Jenkins, in collaboration · of conclus10ns or reco!!lmendat10ns by etther the ..... hatr man or Council members. Etabli en 1963 par une Loi du Parlement, le

IJ) • co

I· ' ~ '

;(.

- 20 -

Notes to Table B.2

.Line No.

(1)

( 2)

( 3)

{ 4)

( 5)

{ 6)

( 7·)- (12)

.. (13)

(14)-(15)

(16)

( 17)

(18)

Line (12) for 1978, from Table ·A.3.

Line (12) for 1979, front Table A.J.

0.5 [(1) + (2)].

Line (10) for 1979, from Table A.3.

(3) X 0.10.

(4) + (5).

Estimates provided by Newfoundland and Labrador Hydro •

(6} + (12).

Estimates provided by Newfoundland and Labrad0r Hydro.

(14) + (l5).

(15) ~ (16).

(13) X (17).

\'

.,

Page 25: c. Zuker and Glenn P. Jenkins, in collaboration · of conclus10ns or reco!!lmendat10ns by etther the ..... hatr man or Council members. Etabli en 1963 par une Loi du Parlement, le

,,--.$,1oc'-'if4'P·,•~i-....,;jot .. ~ t

I I

I

8.5

. " 1:

Table B. 3

' Estimation of the Repl1acement Value of Net Fixed Capiitatl for Churchill Falls, 19'79 {in Current Dollars)

1. Gross Fixed Capit~l Cost at Original Price~

2.. Accumulated Deprec1iation

3. Net Value of Fixed! Capital at Cost

4. Annual Depreciation

5. Gross Investment a~ Cost

6. Implicit Price Deflator for Fixed Capital, 1979=100

7. Gross Investment, .1979 Dollars

B. Gross Fixed Capita~ Stock - 1979 Dollars

9. Economic Depreci~lt ion Rate

10. Economic Depreciation - 1979 Dollars

11. Accumulated Economi1C Depreciation - 1979 [):)liars

12. Net Replacement Value of F i x. e r:J Cap i t a 1 - 1 9 7 9 Do 11 a r s

ll9ill7 1968

42,013.8 113,799.3

3,423.11 4,287.3

38,590.i7 109,512.0

3,423.[ 864.2

42,013.8 71,785.5

39.42 39.52

106,579.9 181,643.5

106,579.9 288,223.4

0 0

0 0

0 0

106,579.'9 288,221.4

1i9:69 CSOOtJI)

242,:571,.5

5,'012 .. 7

237,558.8

725.4

128,772.2

40.90

314,846.5

603,069.9

0

0

0

6.0 3, 069. 9

1970 1971

.4471470.8 602,477.0

5,747.5 6,560.0

441,723.3 595,917.0

734.8 812.5

2.04 r 899. 3 155,006.2

44.54 4.6. 58

4150,034.4 332,774.2

1,063,104.3 1,395,878.5

0 0

0 0

0 0

1,063.104.3 1,395,878.5

';i '.

~ r' ·.,.

·~

Page 26: c. Zuker and Glenn P. Jenkins, in collaboration · of conclus10ns or reco!!lmendat10ns by etther the ..... hatr man or Council members. Etabli en 1963 par une Loi du Parlement, le

-C· ~~1t!M!LJhlff?IM!fiU~Msttjrf'; !lt]"!ii!liRll.~··-•:fi ~-.11!1~ ~J~ Jtf."tt'~'tifJf;.:~Jimt.:~ -;.::1

·. , -~ "· ... _ . --~······~ .. .. .: ._ ... __ Jl .... -------·-·· _______ ,;.__. __________ . --··-·· --~~·.:: ...... ~ ...... ~ ....... :-:: ..... _:-:-_ . -===----~~L..i~~~iii

I I

Table 8.3 (cont'd)

4 Estimation of the Replacement Value of Net Fixed Capital for Churchill Falls, 1979 (ill Current Dollars)

1. Gross Fixed Capital Cost at Original Prices

2. Accumulated DP.preciation

3. Net Value of Fixed Capital at Cost

4. Annua] Depreciation

5. Gross Investment at Cost

6. Implicit Price ~fl~tor for Fixed Capital, 1979=100

7. r.{'qss Investment, 1979 Dollars •

8. Gross Fixed Capital Stock - 1979 Dollars

9. Economic Depreciation Rate

10. Economic Depreciation - 1979 Dollars

11. Accumulated Economic Depreciation - 1979 Dollars

12. Net Replacement Value of Fixed Capital - 1979 IXlllars

1972

716,242.0

8,608.0

707,634.0

2,048.0

113,765.0

48.72

233,507.8

1973 1974 ($000)

798,450.0

12,514.0

785,936.0

3,906.0

82,208.0

52.35

157,035.3

841,678.0

19,192.0

822,486.0

6,678.0

43,228.0

61.57

70,209 • .5

1975

950,032.0

29,988.0

920,044.0

10,796.0

108,354.0

71.91

150,680.0

1,629,386.3 1,786,421.6 1,856,631.1 2,007,311.1

.00286 .00489 .00793 .01136

4,660.0 8,735.6 14,723.1 22,803.1

4,660.0 13,395.6 28,118.7 50"921.8

1,624,726.3 1,773,026.0 1,828,512.4 1,956,309.3

Page 27: c. Zuker and Glenn P. Jenkins, in collaboration · of conclus10ns or reco!!lmendat10ns by etther the ..... hatr man or Council members. Etabli en 1963 par une Loi du Parlement, le

•l!Mi91GJtMSfllftlf.l~~u. ·~1itftk,...1:ttrJ~i~$Jlj}l!fw:WXV':u _··t"·;.a )J#J@,-.:~U'/4:w:~··rcrr·,,rwr .. r ., it( r·t:~

. .

I I I ( 1 i

.. ~----- --.--·--~· .•. ____ ,...._.,_.,.'<-·~-- --""'---"'"··-~···-

..

Table B.3 (cont'd)

' Estimation of the Replacement Value of Net Fixed Capital for Churchill Falls, 1979 (in Current Dollars)

1. Gross Fixed Capital Cost at Original Prices

2. Accumulated Depreciatioh

3. Net Value of Fixed Capital at Cost

4. Annual Depreciation

5. Gross Investment at Cost

6. Implicit Price Deflator for Fixed Capital, 1979=100

7. Gross Investment, 1979 Dollars

8. Gross Fixed Capital Stock - 1979 Dollars

9. Economic Depreciation Rate

10. Economic Depreciation - 1979 Dollars

11. Accumulated Economic Depreciation - 1979 IX>11ars

12. Net Replacement Value of Fixed Capital - 1979 Dollars

1976

945,521.0

43,684.0

901,837.0

13,696.0

-4,511.0

77.18

-5,844.8

1977 1978 ($000}

948,963.0

57,882.0

891,081.0

1·4,198.0

3,442.0

83.00

4,147.0

954,920.0

73,986.0

880,934.0

16,104.0

5,957.0

90.31

6,596.2

1979

959,413.0

87,891.0

871,522.0

13,905.0

4,493.0

100.0

4,493.0

2,001,466.3 2,005,613.3 2,012,209-~ ~.~;ri~7D2.5

.01449 .01496 .01686 .01449

29,001.2 30,004.0 33,925.9 29,222.0

79,923.0 109,927.0 143,852.9 173,074.9

1,921,543.3 1,895,686.3 1,868,356.6 1,843,627.6

c

l

IV w

Page 28: c. Zuker and Glenn P. Jenkins, in collaboration · of conclus10ns or reco!!lmendat10ns by etther the ..... hatr man or Council members. Etabli en 1963 par une Loi du Parlement, le

Lt) • co

- 24 -

Not.es to Table B. 3

Line No.

(1) Sources: Churchill Falls (Labrador) Corporation, Limited, Annual Reports, 1967-1974 · Newfoundland and Labrador Hydro Annual Reports, 1975-1979.

The capital costs include both expenditures for related economic and social infrastructure and interest during construction.

(2) Sources same as (1).

{3) (1) (2).

(4) (2) - (2) for previous year • .. (5) (1) - (1) for previous year~

(6) Source: Statistics Canada, National Wealth and Capital Stock Section, estimates are for Electric Power and Gas Utilities, Canad?·

(7) (5) (6).

(8) (7) + (8) for previous year.

(9) Rate is assumed to be zero before production began in 1972. Thereafter it is calculated as (4) (1), since the depreciation rate used appears to be the economic rate, given the estimated lifetime.

(10) {8} X (9).

(11) (10) + (11) for previous year .

(12) (8) - (11).

i ... ·-----· -·······--·-··----- .... ,, l ~

-

Page 29: c. Zuker and Glenn P. Jenkins, in collaboration · of conclus10ns or reco!!lmendat10ns by etther the ..... hatr man or Council members. Etabli en 1963 par une Loi du Parlement, le

;f •. it.+f*'iil'~r·J;llff~~tt rflt~nrttw- f;tE;;- ·pLJH.tiR awrx~,Ltnt::,;. ~4~Mt(; ;it_ .c Pwr:~,..,&-e!~

1'able B. 4

~-----------------

• •

Economic Cost of All-Thermal System: Electric Utilities, 1979: Quebec and Ontario

l

Generation Cost (Capital and O&Hl

1. Cost for Energy Generated (used to design all-thermal system)

2~ Cost for Energy Required at Source (adjusted for losses}

3. Energy Adjustment Factor

Fuel Inventory ' Advance Payments

~. Coal at $19.34/HWH

5. Uranium at $7.98/MWH

6. Oil at $30.29/HWH

7. Total Fuel lnv. + Adv. Payments

8. Times: Energy Adjustment Factor

9. At s.o.c. of Capital f 10\

10. Other Net Current Assets & Investments

11. At s.o.c. of Capital @ 10\

12. Total Annual Capital Cost of Other Fixed Assets Depreciation + s.o.c. of Capital f 10\

13. Total Annual Capital Cost of Distribution (Depreciation + s.o.c. l

14. Total Annual OH&A (Distribution t Other)

• 15. Annual Transmission Capital

Cost - Current System

16. Annual Transmission O'M Cost - Current System

17. Total Annual Transmission Cost -C'urrent System

18. Proportion of Current Transmission Cost for All-Thermal (if Hydro = 2x Thermal)

19. Transmission Cost -All-Thermal System

20. Total Annual Cost -All-Thermal Syst~m

MWH $000

110,592,454 3,252,020

106,375,008 3,127,988.0 3,127,988.0

0.96186

20,743,957 401,188.1

88,581,745 706,882.3

1,266,752 38,371.8

1,146,442.2

1,101,755.0

110,175.5

561,703.0

56,170.3

101,241.0

481,011.1

63,924.0

544,935.1

.51S9

MWH

98,109,916

111,36 7, 24 7

1.13513

15,237,591

81,594,755

'1,277,570

• 7872

Ontario --$000

2,864,800

$000

3,251,920.4 3,~51,920.4

294,695.0

651,126.1

38,697.6

984,518.7

1,117,556.7

425,782.0

485,173.0

67,856.~

553,029.8

lj2,578.2

169,643._2

()

Page 30: c. Zuker and Glenn P. Jenkins, in collaboration · of conclus10ns or reco!!lmendat10ns by etther the ..... hatr man or Council members. Etabli en 1963 par une Loi du Parlement, le

-~,f~~~~1jt1(l@Ji'_Xt. t_j))~JiL IIB?f_-&ttJ,_._JI41t.,S !fl, APR'fP..X-!it.>itf!'l~, 8.5 . '

Table B.4 (cont'd)

Economic Cost of AU-Thermal System; Electric Utilities, 1979: Manitoba and British Columbia

I I

f .... 1

l

Generation Cost (Capital and O&M)

1. Cost for Energy Generated (used to design all-thermal system)

2. Cost for Energy Required at Source (adjusted for losses)

3. Energy Adjustment Factor

Fu2l Inventory & AdV<'~Jce Payments

4. Coal at $19.34/MWH

5. 'Jranium at $7.98/HWH

6. Oil at $30.29/MWH

7. Total Fuel Inv. + Adv •. Payments

B. Times: Energy Adjustment Factor

9. At s.o.c. of Capital @ 10\

10. Other Net Current Assets & Investments

11. At s.o.c. of Capital @ 10\

12. Total Annual Capital Cost of Other Fixed Assets Depreciation ~ s.o.c. of Capital @ 10~

13. Total Annual Capital Cost of Distribution (Depreciation .;. s.o.c.)

14. Total Annual OH&A (Distribution & Other)

15. Annual Transmission Capital Cost - Current System

16. Annual Transmission O&M Cost - Current System

17. T~tal Annual Transmission Cost -Current System

18. Proportion of Current Transmission Cost for All-Thermal (if Hydro = 2x Thermal)

19. Transmission Cost -All-Thermal System

20. Total Annual Cost -All-'1 ht•t"UI·tl <iy•.l ""'

MWII

15,616,719

19,531,389

1.25067

13,814,011

71,387

.5304

Manitoba -·- S"doo

697,680

872,567.4

267,163.0

2.162.3

269,325.3

336,837.1

137,006.0

31,268.0

10,000.0

41,268.0

$000 MWII

41,182,880

32,043,494

Q.77808

33,921,759

7,261,121

33,683.7

13,700.6

15,728.2

152,942.4

83,926.9

.5499

British Columbia ·-----sooo

1,760,070

$000

1,369,475.3 1,36~~

656,046.8

219,939.4

875,986.2

681,587.3

68,158.7

197,982.0

19,798.2

146,766.2

316,026.9

193,681.2

216,242.5

8,940.£!

225,182.5

"' ·O'l " /'e~=,d\)

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-

G'

t-··

Notes to Table lJ.4

Data are from Statistic$ Canada, Catalogue 157-202, 1979 unless otherwise indicated

Line No.

(1)

( 2)

( 3)

(4}-(6)

( 7)

(8)

( 9 )

(10)

( 11)

(12)

(13)

( 14)

(15~

(16~

(17)

(18)

(19)

(20)

MWH and costs from Table~ 2.1 and A.3.

MWH from Table A. 5, line 5. Costs calculated as: Costs from (1) x [MW from ( 2) + Mi~ from (1} ) •

r.·nm from ( 2) ;. MWH from ( 1) •

Values per MWH for each fuel are calculated using inventory and prepayments values obtained from Ontario Hydro Statistical Yearbook, 1979r page 30, and MWH from Table 11 (Energy Gener~ted), lines 18, 22, and 24, respectively. MWH of generation for all-thermal system from Table A.3.

(4) + (5) + (6).

(7) X (3).

(8) X 0.10.

Table 13 (Total Uti1itie~), lines 17 + 21 + 22 + 23 - 26: sxcept that for Ontario, inventory and prepayment vaiues from Ontario Hydro Statistical Yearbook; 1979, page 30, are subtracted.

( 10) X 0.1 0.

T~.ble A.1, line 62.

Tab.i..e A.l~ lif'IE! 44.

Table A.l,. line 51.

Table !-;.. :&. , line 37.

Tablt? A,l, line 45.

( 15) + (16).

Table A.S, line 13.

(17} X ( 18) •

( 2) + ( 9) + (11) + ( 12) + (13) + (14) + ( 19) .

___ ., ,.,., r

" n

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i ... !

I I I

8.5

Table 8.5

Supporting Estimates for Deriving Economic Cost of All-Thermal System 1979

1. "Saleable" Energy (MWH)

2. "Losses and URaccounted for" as a Proportion of Total Supply

3. Hydro Generation as a Proportion of Total Supply

4. Estimated Loss Proportion for an All-Thermal System if Losses on Hydro = 1.5 times Loss on Thermal Generation

5. Estimated Energy Generation Required for an All-Thermal System (MWH)

6. Estimated Energy Supply Required for Saleable Energy with Current System (MWH)

7. Estimated Loss Proportion for Hydro Generation at 1.5 times Thermal Generation

8. Estimated Saleable Hydro Energy (MWH)

9. OWn-Hydro Capacity (MW)

10. Churchill Falls Capacit~ Assigned to Quebec (MW)

11. Total OWn-Generation Capacity (MW)

12. Hydro as a Proportion of Total Generation Capacity

13. Proportion of Current Transmission Cost for All-Thermal System, if Cost Per MW of Hydro Equals ~wice Cost Per M\<1 of Therma 1

,

Quebec

100,525,446

.08175

.9738

.05499

106,375,008

109,475,030

.08249

971812,791

14,182.0

4,900.0

15,437.5

.9383

. 5159

Ontario

105,056,065

.06682

.3583

.05667

111,367,247

112,578,565

.08501

36,907,860

6,786.6

25,106.3

.2703

.7872

Manitoba

18,101,301

.10916

.9815

.07322

19,531,389

20,319,363

.10983

17,753,065

3,641.1

4,113.0

.8853

.5304

British Columbia

29,324,924

.12074

.8464

.08484

33,351,823

.12726

24,626,965

6,140 .. 7

7,502.7

.8185

.5499

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... 29 ...

Notes to Table s.,s .

Data are frotri Statistics Can~da v Catalogu~ 157-202, 1979 unless otherwise indicated

Line No.

{1)

( 2)

(3)

( 4)

{ 5)

( 6)

( 7)

( 8)

( 9)

This is the energy actually sold (or that could have been sold) in 1979, by the utili ties. It includes firm and secondary sales but excludes exchangesw It is calculated from Table 3 (Electric Utilities) as the sum of lines 12, 13, 16, 17, 24, 27, 28, 29, 30, 31, 32, except that for Ontario, 701,925 MWH of energy supplied to heavy water plants and ~onstruetion projE'cts are added to this total (Ontario Hydro Statistical Yearbook, 1979, p. 40). '!'his quantity C.lf energy is included as ~used in own plant~ in line 23.

(34} + (11), from Table 2 (Electric Utilities).

Table 2, line 8 +Table 3 (Electric Utilities), line 11, except that for Quebec the 35,220,760 MWH of energy purchased from Churchill Falls (Table 3 (Electric Utilities), line 12 for Newfoundland) is added to the numerator. In calculating the ratio in this mli'.'"1ner it is implicitly assumed, that for power purchased, other than that from Churchill Falls, transmission losses up to the grid of the utility are borne by the vendor, that is, for this purpose we are treating these purchases on the same basis as thermal generation by the utility.

The loss porportion for the all-thermal system is calculated by solving the following equation for L: 1. 5 x L x Hydro Generation Proportion + L x ( 1. 0 -Hydro Generation Proportion) a Loss Proportion of Current System where L = loss proportion of thermal generation 1.5 ~ the assumed ratio of total losses for hydro

relative to thermal g.eneration, Hydro generation proportion is taken from (4), and loss proportion of current system is taken from (2) Therefore, L ~ Loss proportion of current system t

[1.5 x Hydro Generation Proportion + (1.0 -Hydro Generation Proportion)].

This is the estimated energy generation required to provide the quantity of ~saleable" energy with an all-thermal system with the loss proportion estimated in (4). It is calculated as (1) + [1.0- (4)].

This is the energy supply (generation and purchases) required to provide the quantity of saleable energy with the estimated loss proportion under the current system. lt is calculated as (1) + [1.0 - (2)].

(4) X 1.5.

This is an estimate of the amount of •saleable" hydro generated by the utility under the assumption that hydro losses equal 1.5 times thermal generation losses for Quebec. The estimate includes energy purchased from Churchill Falls. It is calculated as (6) X (3) X {1.0- (7)).

Table 1, line 8.

-

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it) ,., co

- jj r-, ,f ~-/ '

.-,Notes to Table '-s .. s (cont'd)

Line No.

(10)

(11)

(12)

(13)

-Capacity for Churchill Ftills from Newfoundland and La[)rador Hydro, Annual Report, 197,9, figure on p. 6. f 1roportion of capacity assigned to Quebec based on proportion"of energy sold from Table A.2, line 17.

T~ble 1~ line 13.

f(-:9) + (10)] [(10) + (11)]@ This proportion ignores the CC\pacity equivalent of purchases othec than from Churchill Falls.

This proportion is estimated as follows Let c = cost of transmission per MW of thermal

Then, under the assumption that cost for hydro = 2 x cost for thermal

[{2 X c X H) + {c X Th}] = TC

where H = Hydro generation capacity Th = Thermal generation capacity TC = Current total transmission costs

then [(2 X C X H) + (c X Th)] = TC A A A

where A = H + Th = total capacity

Let h c H = hydro as a proportion of total capacity A

t = Th = thermal as a proportion of total A capacity

Then [(2 X C X h) + (c X t)] = TC

A

multiplying by A TC

[ ( 2 X ( C X ~) X h) + ( C X A X t)) = 1 TC TC

Now let C = c x A TC

= cost per MW of thermal capacity x total capacity current total transmission cost ~

= proportion of total transmission cost for all-thermal capacity

Thus [ ( 2 X C X h) + ( C X t)) = 1

and c is obtained by solving this equation where h is taken from (12)

and t = (1 -h).

n·w·sv:i td I,,

- _j

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31

E·etim~,tion of ~conomic Rent on Electricity Purchased by Quebec from Churchill Falls

Estimation of Thermal Energy Generation Required to Provide Eguiv~lent Net Energy to Quebec

1. Energy Produced at Churchill Falls

2. Transmission Losses in Labrador

3. Energy Sold to Quebec at Border

4. Energy Generated at Plant for Quebec

5. Transmission Losses in Quebec at 8%

6. Net Energy Sold to Quebec at End of Transmission Network

7. Thermal Transmission Losses at 0.5 Times Hydro

8. Thermal Energy Generation Required

Economic Cost of Thermal Power

Generation Cost

9. Capital, Operating and Main­tenance Cost for Nuclear Generation @ 23.568/MWH

Fuel Inventory Cost

10. Fuel Inventory Cost @ $7.98/MWH and s.o.c. of 10%

Transmission Cost

11. Current Transmission Capital Cost Per Mile in Quebec

12. Current Transmission O&M Cost in Quebec

13. Transmission Cost in Quebec for 1780 Miles of Transmission

14. Transmission Cost for Thermal at .333 of Current Cost

15. Total cost for Thermal Generation and Transmission

MWH '

38,24~,400

649,627

35,220,760

35,870,387

2,817,661

32,403,099

1,733,644

34,136,743

$000 Mills

804,534.8

27,241.1

27.8

3.7

56,070.00

18,671.3

850,447.2

_j

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32 .J

Estimation of Economic .Rent on Electric.i,ty Purchased by quebec from Churchill Falls

Economic Cost of Churchill Falls Power

16. Economic Cost of Churchill Falls Power Sold to Quebec at BOrder

17. Transmission Cost in Quebec

18. Total Economic Cost of Churchill Falls Generation and Transmission

Economic Rent Estimates

19. Economic Rent on Churchill Falls Power Sold to Quebec

20. Distribution Losses in Quebec at 2.55%

21. Net Saleable Energy From C. F. in Quebec

22. Rent on Sales of C.F. Power Sold to Quebec Per Saleable Kw~

23. Economic Rent on Quebec Hydro Generation

24. Saleable Hydro Generated in Quebec

25. Rent Per KWH of Saleable Hydro Energy Generated in Quebec

___ ,, -

MWH $000 Mills

211,279.0

56,070.0

267,349.0

583,098.2

898,129.0

31,504,970

18.508

1,291,325.7

66,307,821

19 .. 475

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0

\ '

""

~ ~

H • 1\ ,,

i/

-·33 -

It ,r Not•s to Table a .. 6 !

. j.

Line. No.

(1)

(2)

( 3)

( 4)

( ~)

.. (6)

( 7)

( 8)

( 9)

(10)

( 11)

(12)

(13)

(14)

(15)

06)

( 17)

(18)

(19)

(20)

( 21)

(22)

(23)

( 24)

(25)

Figure obtained from Newfoundland and Labrador Hydro.

Measured as: Total transmission losses in Newfoundland from C.F. times percentage of sales to Quebec {(1) - Table A.2, line 16) x fTable A.2, line 17).

Table 3 (Electric Utilities) line 15.

(2) + (3).

8 per cent estimate obtained from Hydro Quebec ( 3) X • 08,

(3) - (5).

0~5 ratio of los~e$ for thermal ve~s~s Churchill Falls assymed because of .remoteness of Churehill Falls 0.5 [(2) + (5)).

(6) + (7).

Cost per MWH for nuclear f~om Tab~e 2¢ __ _ (8) x cost per MWH.

Cost per MWH from Table A.4, line 5 (8) x cost per MWH x 0.10.

Table A.l, line 4'7 ·· 17,291 miles (from 57-202~ Table 10).

Table A.l, line 45 ~ 17,291 miles (from 57~202, Table 10}.

1780 miles is estimsted lenyth of transmission lines in Quebec for Churchill Falls, in Bernard, Bridges Scott study 1780 X [(11) + (12)).

.333 ratio of thermal to Churchill Falls assumed because of remoteness of Churchill Falls.

{9) + (lO) + (14).

Table A.2, line 18.

( 13) •

(16) + (17).

(15)- (18).

2.55 per cent based on Ontario, from Ontario Hydro Statistical Yearbook, 1979, p. 41. Calculated as: Distribution Losses and Unaccounted for ~ Generated and Received. (3) X .0255.

(6) - (21).

(19) ~ ( 22).

Table 3.1, line 6 - ( 19) ....

Table A.5, line 8 ( 22) •

(24) 't (25).

_j

l !

l j:

'

' .. j>

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.~··

Appendix C

Descr·iption of the Procedure to Estimate the Provincial

Distribution of the Rent on Hydroelectricity Generated

by Electric Utilities on the Basis of Consumption

-' ,,

--

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·1 ?·~

1

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! ' l

,J v'!

I I I

- 35

~ 1. Input Data Requirements

The Following data was used 1n applying this procedure.

1) A Source Matrix (S) {22 X 22)

This matrix contains, columnwise, the proportions of the total

supply of electrical energy, for each of the following sectors,

supplied directly from these same sectors. The twenty-two

sectors identified are:

electric utilities 1n each province (10)

Churchill Falls as a separate utility (1)

industrial establishments (that generate electricity) 1n

each province (10)

- the U.S. ( 1 ) .

The source matrix used is presented 1n Appendix D, Table D.l.

2) A Production Matrix (P) (15 X 22)

This matrix g1ves, columnwise, for each of the 22 sectors above,

the proportions of total electrical energy produced by hydro ana

thermal generation. The 15 rows representing the generation types

are the following:

-

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II) •CO co·

,•'

[J - 36 -

- .·,lfydr~,~ generation for electric utili ties in each province

separately including Churchill Falls as a separate utility

( 11) •

- Thermal generation by electric utili ties { l·)

-Hydro generation by industrial estabiishments (l}

- Thermal generation by industrial establishments (l)

-Generation in the U.Se (1).

The production matrix used 1s presented in Appendix D, Table D.2.

3} A Diagonal Domestic Demand Matrix (D) (22 X 22)

Each diagonal element in this matrix contains the final dom-

estic demand in MW.h for that sector. For the 10 provincial

electric utilities final domestic demand is measured as the demand

by ultimate customers within the province (excluding sales to

industrial establishments which generate electricity). For

Churchill Falls, which is taken as a supplying sector only,

demand is set at zero. For industrial establishments domestic

demand is measured as the sum of demand by ultimate customers

within the province, own use by the establishments, and sales to

other establishments which generate electricity within the

province (referred to as inter-industrial establishment sales by

Statistics Canada). Demand for the u.s. sector is set at zero.

The elements of the diagonal demand matrix used are presented in

Appendix D, Table D.3.

_j

r

I I r 1( l' l r

I l l l l !

I l !

J,

l

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; £ ~,

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- 37 ~

4f"'~.,A ·"coo~uTfi,m ··v:e:¢tor of direct exports to the u.s. for each of the

22 se·.ctors {E) ( ~2 X 1) •

Exports f.rom the u.s. sector are set at zero. The elements of

this export vector that wero used are presented in Appendix D,

Table D. 4.

5) A diagonal matrix containing estrmates of hydro rent per kil-

owatt hour of saleable hydro for the electric utilities in each

province, including Churchill Falls as a separate sector (R}

(15 X 15).

The last four diagonal elements, corresponding to thermal

generation by electric utilities, hydro and thermal generation by

ifidustrial establishments, and generation in the u.s. are set at

zero.

The estimates for rent per kilowatthour of saleable hydro used

for Quebec, Churchill Falls, Ontario, Manitoba and B.C. were

those developed in Chapter 4. For util~ties in Newfoundland

(excluding Churchill Falls), Nova Scotia and New Brunswick the

values used were the average of the estimates for Quebec and

Manitoba derived in Chapter 4. The value for Saskatchewan was set

at the average of the values derived for Manitoba and B.C. and the

'" .:;· ~ .... ,. .. ~..._.,,.,"--'"~"···-~----~, ... ,.._ ·-··~"'""+"+ ·-·······---·-

J

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.. k

-' 38· -

values are· likely not highly acctJrate estimates of the rent per ,., .

kilowatthour for these provinces, it should be. recalled that the

hydro energy generated by the utilities in these other provinces

amounted to only about 7 per cent of the total hydro energy

generated by the utilities in all provinces.

The values used for rent per kilowatthour of saleable hydro ~n

the R matrix are shown in Appendix D, Table D.5.

2. Notation:

s = the Source matrix ( 22 X 22)

p = the Production matrix ( 15 X 22)

D = the diagonal Domestic Demand matrix (22 X 22)

E = the column vector of direct Exports (22 X 1)

R = the diagonal matrix of Hydro Rent per Kilowatthour of

Saleable Hydro (15 X 15)

TO = a 15 X ~2 matrix where each element is the value of hydro

rent trans.ferred from the generation type (row) to the final

demanders of each column sector.

-

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-lq ""'. co"""'

- 39 -

'*i:'~'\) :•l _ , n ._ " T~ '= a .column vector of length 15 where each element is the value

of hydro rent transferred from the generation type (row) to

u.s. consumers.

U - a 22 X 22 matrix where each element is the proportion of

electricity which is supplied ultimately from each (row}

sector to final demanders of each (column) sector.

In the preliminary analysis, only the direct transfers of elec-

tricity between sectors were taken into account in determining

the value of hydro rents transferred from producers to users.

In that case (case 1):

TD1 = RPSD

is a matrix of dimension 15 X 22 which g1ves the estimates

of the transfers of hydro rent from the 11 (rows)

provincial utilities (including Churchill Falls) to the

domestic customers of the 22 (column) sectors.

TEl = RPSE

is a column vector of length 15 which gives the transfers of

hydro rent from the 11 utilities to u.s. customers.

In order to estimate the ultimate transfers, i.e., taking in

account the quantities of electricity transferred indirectly

__ ., _j

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·~co co .

..

between the s:ecto~s ~· the ufmatrix must be used .instead of the s " II

~at~iXi so that in this ca~e (cas~ 2): . ,.,

TDz - RPUD

'l'E2 - RPUE

It should be noted that in either case, in order to determine

the total transfer of rent from provincial util). ties to users in

each of the provinces in the TD matrix, that the columns in this

matrix representing the utility sector and industrial establish-

ment sector for each province must be ~dded. The TD matrix thus

can be reduced to 10 non~zero columns (since the columns for

Churchill Falls and the U.S. will contain zeroes as demand for

these sectors was set at zero) and 11 rows (since the rent per

kilowatthour for the 4 rows in the R matrix which do not

represent hydro generation by provincial utilities was set equal

to zero).

The reduced matrix derived in this way from the TD2 matrix is

presented in Appendix D, Table D~8. Also shown in the column

headed by "Exports" of this table are the values of ultimate

transfers of hydro rent from each provincial utility to u.s.

consumers from column vector TE2 •

--"

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.. 1 ,,

i . \ \

®l~@~~eitl:-''1alYl '(tiJtp$rts" .of this ·table are the values of ultimate . n

transfers of hydro ''rent. from each provincial uti~ity to u.s.

consumers from column vector TE2.

3. The Procedure for Estimating the U Matrix of Ultimate

Transfers

We now describe the procedure (and its rationale) for

determining the U matrix.

The U matrix is determined entirely from the source matrix, s.

At each stage, ].

i, of this iterative procedure a matrix M , of the

same dimension as S is created which is split into two matrices,

both of the same dimension as S - a DIRi matrix of direct trans­

fers at stage i, and an INDi matrix of 1ndirect transfers at

stage i.

The indirect matrix at stage i, INDi is then operated on with

the S matrix (actually it 1s premultiplied by the s matrix) to

. h i+l . h determ1ne t e M matr1x at t e next stage.

The U matrix is calculated as the sum of the DIRi matrices for

all the stages. The procedure is such that the Mi matrices will

converge to zero. This is because the splitting of the Mi

matrices results in i . which contains elements which an IND matrlX

are less than or equal to the corresponding elements in the Mi

matrix. Thus premultiplication of the INDi matrix by S (whose i+l

columns sum to unity), will produce a matrix M whose elements i

are less than or equal to those of M •

r ' .,

---··

..

. t

I

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- 42 -

JLe~t the ope.ration f.br sp·r:'itting ·of the M.i matri.x to. derive the

., DIRi matrix be de.noted by ~I and the operation for splitting of

the Mi matrix to derive the INDi matrix be denoted by J!J1

• Then

mathematically the procedure can be represented as follows:

2) DIRi

3) INDi

i+l 4) M

-

=

~>n<Ml >

flJ (Mi) I

. " - S.IND~

5) U = ~ DIRi 1

The nature of, and rationale for, the ~D and ~I operations will

now be described.

The operations ~D and ~I to split the M1 (=S) matrix at the first

stage is slightly diffet·~nt t.han these operations at all

1 subsequent stages. In the first stage the M or S matrix is split

as follows. The DIR1

or direct matrix is simply constructed as

the diagonal elements of S~ This is because WE know, looking &t

any column of s, that the base proportion of supply ~rom any

sector to itself is the diagonal element.

l I I l I I

I l \ l

I l I

l

• y

f f' I,

:~,

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'i

- 43 - t \1

-::r?~~!h"' ::cte:n>:tf;r~is~t the -i'Nb1 matrix of indirect transfeL.;S atc>~the first {. - ,·

s:~aqe is· simply constructed as the.- off-diagonal or indirect

transfers, of the S matrix.

In the next stage, the M2 matrix is constructed by premulti­

plying IND1 matrix by S. The effect of this multiplication is to 1

allocate the proportions in each column of IND amongst the

supplying sectors according to the direct supply proportions of

each supplying sector as represented in the direct supply

matrix s.

The M2 (and all subsequent Mi) matrix is then split into DIR2

2 and IND as follows. We know that if the elements sd (in row s and

column d) of M2 and IND1 (recall that M2 = S.IND1 ) are both

positive then supplying sector s must be a direct supplying sector

to demanding sector d at that stage. In contrast~ if an element

sd of matrix M2 is positive, while the corresponding sd element of

I l .

ND 1s zero, that sector s must be an indirect supplying sector

to demanding sector d at that stage.

Tnus the operation ~D to derive the direct matrix DIR1+l from

. Mi+l d INDi . - 11 matr1ces an · 1s as ~o ows:

DIRi+l · sd

= Mi+l if INDi Mi+l ) 0 sd ' sd x sd

= 0, otherwise.

--··

Page 48: c. Zuker and Glenn P. Jenkins, in collaboration · of conclus10ns or reco!!lmendat10ns by etther the ..... hatr man or Council members. Etabli en 1963 par une Loi du Parlement, le

(\ ~' ("\

..

I I

..

. . ,. \"' d . . h . d. t . INDi+l f And .tbe oper.atlOn ;,..1 to er1,v~ t e 1n 1rect rna rl.x . rom

matrices Mi+l and INDi is as follows:

0, otherwise •

Since all elements of Mi+l and INDi are greater than or equal to

zero, it follows that

The U matrix is then calculated as the sum of the DIR1 matrices

at all stages i. The procedure was stopped when all elements of

an Mi matrix were less than some arbitrarily chosen small critical

value or 10 stages had proceeded, whichever came sooner. Given

the critical value of .00001 the procedure stopped at the seventh

stage- The U matrix obtained is shown in Appendix B, Table B.6.

4. Assessing the Procedure

This procedure will now be assessed in two ways by ~xam1n1ng

some of the results. The first way is a comparison of the

ultimate flows matrix (U) with the direct flows, or source

matrix (S). For example consider the case of New Brunswick

discussed in the text of Chapter 5. The major entries for

utilities in New 9runswick (column 5) in the S and U Matrices are

compared below.

-

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...... ~ -L ;

Utilities - Ch.F.

N.S.

N.B.

Que.

Ind. Est. - N.B.

Que.

u .. s. -

,,

!!'!"' 4S ~

.012360

.690628

.293883

.001196

.001930

u

..092552

.011384

• 6918·05

.196600

.000480

.004700

.001948

The main effect is that the ultimate supply percentage from

Churchill Falls is about 9 per cent compared to zero in the direct

transfer matrix. A second effect, corresponding to the first, is

that the ultimate supply percentage from utilities in Quebec falls

to 19.7 per cent from 29.4 per cent in the direct transfer matrix.

A third effect is that the percentage supplied from industrial

establishments in New Brunswick falls from 0.12 per cent to

.05 per cent mainly because New Brunswick utilities provide

directly about 60 per cent of the electricity supplied to indus-

trial establishments in the province (see column 15 for industrial

establishments in New Brunswick in the S matrix, Table D.l).

Correspondingly, the percentage supplied by utilities in Ne\J

Brunswick to themselves rises in the U matrix. This percentage

rises also, while the percentage supplied from utilities in Nova

Scotia falls, because New Brunswick utilities supply about 8 per

cent of the total supply of electricity to Nova Scotian utilities

(see column 4 for electric utilities in Nova Scotia in the s

matrix, Table D.l)~

__ ,, - _j

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...

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- 46

. · tt'hu:S:· in., this ca.$e th.e ~'"esults obtained for the U matrix can be '"" ,, .. l,

rationalized. Similarly other columns in the U matrix can be

rationalized by the pattern of direct flows in the S matrix.

A second method of assessing the procedure is a comparison of

the total ultimate supply of hydro electricity for the utilities

required to meet all the domestic demands of the 21 domestic

sectors and exports. These results are shown in Appendix D,

Table D.7 (they are calculated as the column sums of matrix BUD

plus column vector BUE) where they are compared to the actual

quantities of hydroelectricity generated by the utilities.

Since the results obtained using the procedure are demand-

driven, that is they are determined by the demand values in D and

E, there is no guarantee that the quantities of hydroelectricity

estimated to be required to meet these demands, given the 0

matrix, will not exceed the actual amounts generated. In fact we

should expect the estimated amounts required to be less than the

amounts actually generated by a percentage roughly equal to that

lost in transmission and distribution.

This is in fact what the comparison in Table D.7 reveals, so

that on the basis of this assessment also, the results appear

very reasonable •

--···

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I • I

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i

I I i

1

"I

l I

' . ~ I !

-;,:::-

, .. '!It! .n~h ~~'~h±,s>~regarcf, it should be noted that the proportions used for

the progu'ction matrix, P, l\Jere based on the ac.tual generation

proportions. That is, no account was taken of the fact, that on

average, because of greater losses in transmission on hydro gener-

ation, the proportion of hydro generation which ~s saleabl.e would

be lower on average than in the case of thermal generationp As a

result of this simplifying assumption used in the procedure-that

the percentages of energy lost in transmission from hydro and

thermal generation are the same - the quantities of hydro electri-

city requir-ed to meet final demand are overestimated relative to

thermal generation. As a result the hydro rents estimated using

the procedtH"'·e are some\-\.~hat higher than the estimates obtained for

Churchill Palls and the four provinces in Chapter 4, where

differential losses between hydro and thermal were taken into

account (see Table D.8 where the degree of overestimation is

shown).

---~· _j

Page 52: c. Zuker and Glenn P. Jenkins, in collaboration · of conclus10ns or reco!!lmendat10ns by etther the ..... hatr man or Council members. Etabli en 1963 par une Loi du Parlement, le

,1

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·'"'

Appendix D

Supplementary Tables to Chapter 5

j• ----

?I .. ,,

l

1, I t j

i i t t I' i·

r r I ! l

l'~ l 1. ~.·

r

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I • I r i .

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'1\d .. ll· D. 1

ttl u GJ ........... ~+I

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ttl..-i :J.O 'OI':l C:..,J HIJ)

[&J

u.s.

FRO!!~ N f ld. 1 Ch.F. 2

P.E.I. J N.S. 4 N.B. 5 Que. 6 Ont. 7 Man. 8

Sask. 9 A1 ta. 10

B.C. 11

Nfld.

1

·' i D«t 71 .ll~6olel o1J J ),;)QQ

.0))000

.o-ooooo

.003000 .IIJODOOO .uooouo .oooooo .0[))000 .o:uooo

Nfld. P.E.I.

N.S. N.n . Oue . Ont. Man.

Sask. /\1ta..

B.C.

12 .DJl!80 13 .. OJlJOD 14 .OOO!JOO 15 -.033000 16 .O))J·OO 17 .oooooo 18 .oooooo 19 .. oooauo 20 ... oounoo 21 oiW~l~OD 2 2 .0~1l~l00

Ch.l'.

2

.oooooo 1

.oo:Hl'OO

.OO~O:):JI

.0000001

.. oaoooo, .D(())Ol:.l .oooooo .oooooo •. o.o~ooo .OOJOOO

.OOJO:l .. i>

.. O~JOOJ

.. oooooo

.OODGOO .OD30:Jl .OOOO(tD .oooooo .ooooo~

.. oooooo

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~· c l\1 a,."\ •

4

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.• 000:.>0() .~O:JJ)J)

.{)00000

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.OJJ)JJ

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.OOOJaJ

.OOOJJ) .OOlC.C.':J .0!)0)03 .,OJ~)))

.OOJOOUG

.oooooo

.. OOOJJ3

.0010)00

.OOOJDO

.OOOJJJ

Electnc I ti1~t:i.•'S

N.D.

5

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.000000 .oooooo .llllb!l .690bl! .l9) 8 ts)

.J)JOJO

.oooooo

.oooouo

.JI!JOO'DO ,;:JJ:l030

Qlll' •

6

.. uoo.ooo

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.J:lllJO

.JOJOUO

.aooour, .• e.r, Jl ~· .J:.tUOO .uooooo .. uooouo .J~lOOD

.. JOlOOO

7

.\HJJOOO

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.0)3000

.D!lOOOO

.Ui'tJl'IS

.ll 11,2~

.. Dl6l0l

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.0)0000

:-tun.

8

.ooaooo

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.. DOJDOl

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.. OOJOCiJ

.00..1000

.DDll~t

.91e.lllt

.o Jl ", ..

.OOJDDJ

.OOJJOJ

.3)0UOO .J0)003 L!))JOOO .OOJOO)

.J)DOlO .JOJOOO .O,!lOOO .OOJ!lO)

.000000 .JOJOOD .ODlOOO .OOJOOO

.D~Ii9h .JDlOOO .J~JOOO .OOJ003

.))~033 .Jlllll .OJOOOO .OOJ!l3l

.000000 .OODOOO .00~811 .OOJOOD

.uooouo .uooouc .oaoooo .oo1c1' ~oooooo .aoJooo .al3ooo .ooJoo~ ~oooooo .oooooo .oooooo .ooaooo .03DOOD .JOlOUO .J3300v ~OOJOOl .J)l930 .lOlO~l .0)1721 .OOJDl5

9

.. oooooo

.oooooo

.O!»IUOO

.oooooo

.OOOOOID

.00000\0 .ooaaoo .12~391

.IITJOS.l

.000300

.. aooooo

.OOD)OO

.0000100

.oooooo

.oooooo

.OOJilOO

.oo·oooo

.,.,~vOOOO

.ooasso

.oooooo

.OOOl·OO

.oaoooo

/\ltl.l. E.C.

10 11 .oooooo .. oooooo .oooooo .oooooo .003000 .oooooo " .DODOOO .O!»OOOl .oooooo .oooooo .oooooo .oooooo .oooooo .oooooo .oooooo .oooooo .000125 .oooooo .9191191 .01120.0 .oOSOJZ .l.lS1S

Total Supply (000' s MWH) 5,398 38,246 512 6,672 12,981 124,541 116,870 21,421 10, 3,66

.003000

.oooooo

.003000

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.003000

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.OlSl91

45,063

Sollrce: Statistics Canada, Electric Power Statisth:s, Volume II, Annual Statistics, 1979, Tables 3 and 7. Note that from these tables, it is possible to derive exactly the interprovincial flows of electn.r:ity between utilities and industrial establishments on a. province-to-province basis. The:se flows can be determined by multiplying the proportions in the columns of the S matrix by the t.0ta1 supply shown beneath the columns.

. I

Page 54: c. Zuker and Glenn P. Jenkins, in collaboration · of conclus10ns or reco!!lmendat10ns by etther the ..... hatr man or Council members. Etabli en 1963 par une Loi du Parlement, le

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"" ~

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~ 52

~ ··-:::

D'i;agon~l Elements· of Diagonal Matrix of Domestic Final Demands (D)

Electric·· Utilities

Nf1d. Che Falls P.E.I. N.S. N.B. Que. Ont. Man. Sask. Alta. B.C.

1 2 3 4 s 6 7 8 9

10 11

(MWH)

5,117,018 0

453,339 4,950,568 5,696,964

80,734,901 85,536,526 11,137,323

7,802,438 17,308,537 24,982,758

Industrial E stab 1 i s hme n.t (MWH)

r.-;~-;.d. 12 1,869,437 PoE.I. 13 0 N.S • 14 1,210,263 NeB. 15 1,650,886 Que. 16 18,982,907 Ont. 17 10,569,227 Man. 18 676,947 Sask. 19 620,660 Alta. 2··-. . 2,001,638 B.C. 21

.~ 12,262,781 u.s. 2:t 0

Source Statistics Canada, Electric Power Statistics, Volume II, Annual Statistics, Catalogue No. 57-202 1979, Table 3. For electric utilities •. elements are: taken from line 33; for industrial establishments, elements are equal to the sum of lines 2 3 , 3 3 and 3 6 •

..

.. _,_,__,_..._..,..,.__. ____ .._,,.._. ____ ,...,........ ....... ~--..... ·~·-,.,· ~-,, ...... ~.~~·---· ~

:~1 .:::·.:;~- -

"~-r

~

I l i

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Table D.4

Column Vector of Exports (E)

Electric Utilities

Nfld. Ch .. Falls P .. E.I. N.S. N.B. Que. Ont. Man. Sask. Alta .. B.C.

(MWH)

1 0 2 0 3 0 4 0 5 3,596,848 6 7,662,939 7 11,891,946 8 4,080,308 9 0

10 0 11 2,4281,627

0

53

Innustrial Establishment

Nfld. 12 P.E .. I. 13 N.S. 14 N.B .. 15 Que. 16 Ont. 17 Man. 18 Sask. 19 Alta. 20 B.C .. 21 u.s. 22

Source Statistics Canada, Catalogue No. 57-202, line 19.

l. --·---"

(MWH)

0 0 0

292,730 0

301,304 0 0 0

1,123,704 0

1979, Table 3,

. .....

r ...

! l j

I }

I (

' "' r

I I

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Table D. 5

Diagonal Elements of Diagonal Matrix of Rent per Kilowatt Hour of Saleable Hydro (R)

Electric Utilties ( $/K"wH) Electric Utilities ($/KWH)

- Hydro - Nfld. 1 .024430 - Hydro - Sask. 9 .031322 - Ch. Falls 2 .018508 - Alta. 10 .033259 - P.E.I. 3 o.o - B.C. 11 .033259 - N.S. 4 .024450 - Thermal 12 0 - N.B. 5 .024430 Industrial Establishments - Que • 6 .019475 - Hydro 13 0 - Ont. 7 .020398 -

1rhermal 14 0 - Man. . 8 .029385 UoS. 15 0

Source Chapter 3 and text of Appendix c.

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--57

Table D .. 7

Comt,arison of Estimated Saleable Hydro and Actual Hydro Gene~ration by Provincial Utilities, 1979

Nfld.

Churchill Falls

P.E.I.

N.S.

N.B.

Que.

Ont ..

M.an.

Sasko

Alta.

B.C.

Estimated Actuall (MWH)

2,827,155 3,424,189

34,698,939 38,246,4002

0 0

1,067,837 1,136,057

2,830,614 3,071,677

68,248,799 74,649,405

37,417,516 40,411,091

17,755,699 20,443,109

2,049,440 2,330,730

1,267,705 1,415,187

25,992,456 29,747,291

Percentage Loss : (Actual-Estimated)

Estimated (per cent)

17 ll 4

9.3

6.0

7.8

8.6

7.4

13.1

12.1

10.4

12.6

1 Source Statistics Canada, Electric Power Statistics, Volume II, Annual Statistics, Catalogue No. 57-202, 1979, Table 2, line 8.

2 Unofficial estimate obtained from Newfoundland and Labrador Hydro.

-__ ,, - I

Page 62: c. Zuker and Glenn P. Jenkins, in collaboration · of conclus10ns or reco!!lmendat10ns by etther the ..... hatr man or Council members. Etabli en 1963 par une Loi du Parlement, le

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rable 1>.11

... ... ...

8.5 8

lsti111ated Transfers of Hydro Rents, FrOfl E1ectrtc Utilities to Users, by Province and the u.s., 1979

($000)

Users In:

Hf N.S. H. "an. Sa

lfld. 68,539.3 0.1 0.1 1.1 519.1 2.5 0.0 o.o o.o

:h. Falls 45,881.3 547.5 175.8 ll,453.3 503,518,8 25,610.3

o.o

3.6

o.o

0.3

o.o o.o

o.o o.o

o.o

69,062.2

507,790.9

o.o P.E.I.

li.S.

!1. B.

:>nt.

!tan.

Saak.

l\1ta.

B.C.

Total

o.o 0.0 o.o o.o o.o o.o

o.o

0.2

o.o 17.7 25,490.3 370.3 o.o

3.2

o.o 0.0 o.o

o.o 1,968.0

o.o 1,221.0

o.o 1.3

0.0 0,1

o.o

o.o

o.o

o.o

2,788.5 41,166.5 0.0 o.o o.o

1,730.1 25,541.8 1,122,175.8 57,112.8 8.1 0.7 o.o

1.0 26.2 1,149.0 673,31a.a 95.3 e.; o.o

0.1 1.7 73.5 43,122.7 325,285.1 29,711.7 8.1

0.0 o.o o.o

0.3

o.o

131.4 3,363.4 60,284.4 16.5

o.o 0.0 o.o o.o 41,369.2

o.o

o.o

25,878.3

45;926.4

o.o 1,207,790.3

o.o 674,601.1

0.1 398,203.1

O.J 63,816.3

723.4 42,092.6

o.o o.o o.o o.o o.o O.Ci o.o o.o 2,603.8 785,871.6 789,.t75. 4

114,420.6 3,755.7 30,786.7 78,560.9 1,627,439.7 799,l9B.7 328,775.5 9o,oo~.e 43,997.6 786,595.4 3,goJ,6JS.6

,. !If

5.3

54,417.6

o.o

208 .• 9

23,225.4

'In tal

69,067.5

642,208.5

o.o 26,087.2

69, 151.8

121,355.0 1,329,.145.3 1,291,325.7

88,641.1 763,242.2 1521~33.1

123,546.0 521~ 751.1 !.21,671~~

376.4

70.0

64,192.7

42,162.6

864,463.7

487,856.0 4,391,492.6

".~

819,019.1 5.$

------------------------------------------------------------------------------------·--------------------------------------~---- I 1 The rent on Churchill Falls production estiMated in Chapter 3 ($563.1 -illion), was only for the electricity purchased by Quebec. The corresponding estb•ate fro• this table is $596.3 million, whlch is equal to the esti111ate:d total rent on Churchill Falla' production ($642.2 ~illion} less the a111ount of rent transferred to users in L~brador ($45.9 Million).

F /(