NorskeCanada bows out of Hydro bid process
Aaron Bichard
Duncan Cowichan News Leader
21 August 2004
NorskeCanada has pulled its bid from BC Hydro's Vancouver Island call
for tenders process, leaving six groups vying for a contract to
provide cost-efficient electricity.
The pulp-and-paper companys spokesperson Lyn Brown said the business
decision was made from a consumer perspective rather than as a
potential provider.
"We made the decision to step aside in the process early in the game
because weve seen who some of the other bidders are and are confident
there will be a successful proposal," Brown said. "We entered the
process because we were concerned as energy customers."
NorskeCanada is Vancouver Island's biggest electricity consumer,
pulling approximately one quarter of the total load. The company pays
more than $170 million per year in hydro fees.
Brown said although the company isn't pursuing energy generation
anymore, it's actively seeking ways to use less power.
"Were a big customer and a big energy user," Brown said. "Were also big
believers in energy efficiency. A key part of rebalancing the energy
supply requirements on the Island is coming up with energy efficient
ways to operate."
EPCOR Power Development Corporation was also batting around the idea
of a Duncan-based 45-megawatt peaking plant but decided to go with its
Ladysmith site proposal after the Tansor Road location was sold to
another developer.
BC Hydro opened the bidding process for private companies to generate
Vancouver Island energy after a B.C. Utilities Commission September
decision that the companys $370-million Duke Point power generation
plant wasnt the most economically efficient.
One or more 25-year electricity purchase agreements are expected to be
awarded by the end of October.