Applying Infill Principles to Utility Customer Connections Policy. LAS Connections 2012

Transcription

1 Applying Infill Principles to Utility Customer Connections Policy LAS Connections 2012 Neil Freeman Vice President, Business Development December 6, 2012

2 Horizon Utilities and its municipal Ec Dev partners Serving 237,000 customers in Hamilton and St. Catharines $470 million in assets one of Ontario s largest local utilities Municipally-owned 100% and generating full shareholder returns Extensive involvement in our communities Collaborative relationship with our economic development partners 2

3 Bottom-line performer and industry leader Canadian Electricity Association Company of the Year 2011 and 2012 Hamilton-Niagara s Top Employers 2012 ISO Environmental Management System accreditation 2011 ISO Social Responsibility through third-party review 2011 Global Reporting Initiative A+ sustainable development 2010 & 2011 Ontario Energy Association Company of the Year 2009 Annual report has had a triple bottom line focus since 2008 OPG-EDA Performance Excellence Award (2006) 3

4 Living in a hot, flat and crowded world Leading thinkers aligned on new urbanism 4

5 Brownfield development one notable success Canada s largest LEED Platinum building Main St. W., Hamilton 5

6 Brownfield / infill redevelopment multiple challenges Industrial Commercial Residential 6

7 Municipal official plans Hamilton & St. Catharines Both have well-developed municipal plans 7

8 Sustainability plans Hamilton and St. Catharines Like many municipalities, both have well-developed sustainability strategies 8

9 Provincially mandated smart growth All municipal official plans must now follow smart growth principles, including reduced energy use Energy mapping relevant for all LDCs & municipalities 9

10 Ontario s greenbelt plan & smart growth plan New legislation shapes where the growth can occur Limits in greenbelt and encourages urban development 10

11 Greenfield development Both a residential and commercial issue in Ontario 11

12 Urban redevelopment, infill and intensification Many social and economic benefits 12

13 Urban intensification thru brownfield redevelopment Province has guidelines Hamilton is a leader in Canada St. Catharines has ambitious goals 13

14 Horizon s brownfield customer attraction program Focus initially on vacant industrial buildings best chance of early success but start work on vacant industrial lands Work with economic development departments to highlight electrical connection cost advantages Bring along Horizon Utilities CDM incentives Develop best practices and experience that will also be advantageous for residential infill and downtown renewal, particularly commercial development and multi-residential development 14

15 Properties by business park and transformer station Business Park Hamilton Bayfront 19 St. Catharines Transformer Station Capacity (MVA) Beach / Birmingham / Elgin / Kenilworth 112 East Hamilton 10 Lake 40 Eastchester 26 Bunting 10 (part) Flamborough 0 Dundas Glendale 4 Glendale 35 Mountain 11 Nebo 1 0 Ontario 0 Carlton 23 (part) Port Weller 3 Bunting 10 (part) Martindale 1 Carlton 23 (part) Not Available 2 Stoney Creek 30 Winona 53 Vansickle 11 Vansickle 51 West Hamilton 3 Newton 31 Total: Catalogued vacant commercial buildings in Hamilton and St. Catharines to support a customer attraction program Work in conjunction with municipal economic development departments to provide data and encourage brownfield investments 15

16 Catalogue of customer-owned equipment Catalogue of customer assets left behind for each vacant building Transformers, switchgear, and other large assets Also lists supply voltage, redundant supply and station capacity serving each building 16

17 Brownfield customer connection database 17 Intended to allow easy access for Ec Dev departments to assist prospective businesses in lowering costs Database includes 15 variables, including the customer-owned inplant equipment left behind Many financial benefits for new owners/tenants compared to greenfield developments

18 New brownfield customer connection philosophy Customer connection cost recovery process is governed by the OEB s Distribution System Code or DSC Two drivers for cost recovery in new connections system expansion and system enhancement costs General philosophy behind the Horizon brownfield customer attraction program is that little or no expansion costs are required to connect customers that locate in brownfield areas Customer connection will be based on direct expansion costs, not a portion of the pooled expansion costs for all new customers System enhancement will no longer be charged in connection cost recovery agreements 18

19 Brownfield redevelopment s community benefit Supports local investment, jobs and growth Reduces urban sprawl and preserves farmland Supports community heritage Protects environmentally significant lands Improves a community s quality of life 19