From: "Tom Hackney" <thackney@island.net>
Subject: GSX Hearing Day 6
Date: March 4, 2003

GSX Hearing Day 6

Day 6 began with the resumption of GSX PL's witness panel 3, dealing with
sub-sea cables, VIGP and load forecasting. It ended up fielding a lot of
economic questions, as people probed the comparative costs of VIGP/GSX
versus subsea cable renewal.

Tim Howard began by asking why BC Hydro, in its estimates of the subsea
cable option, includes upgrading costs for the Centra Gas pipeline that
would be paid for by Centra, not BC Hydro.

On a procedural matter, Don Davies (GSX PL) and Chris Jones (BC) objected to
the inclusion as evidence of the multi-attribute cost-benefit analysis by
Dr. Jaccard of GSX/CCGT versus renewed cables and alternative energies.
Davies and Jones claimed the consideration of alternative energies had been
declared irrelevant. GSXCCC argued that the studies compared the cable
option to GSX, which is clearly allowed. The Panel ruled to include the
studies, subject to further written argument as to weight and relevance.

Steve Miller probed hard into the various numbers and details BC Hydro has
provided over the years as to what the cable alternative consists of and
what it would cost in levelized dollar terms. Once more, he obtained a
considerable number of undertakings from the applicant to provide more
information. Once more, he pointed out the incompleteness of the applicant's
record to justify considering GSX as the lowest cost option. BC Hydro
admitted that GSX/VIGP versus cables (with, presumably,  more gas generation
at Kelly Lake) cost out about the same. The advantage (in their view) lies
in the relative ease of expansion of gas infrastructure on VI with GSX.

Don Skerik, Jim Campbell and Kevin Maher (for McLennan) also cross-examined
on these and related issues.

For the second time in a couple of days, Justice Bryan Williams raised the
question of the Columbia River downstream benefits.

Panel 3 was excused at the end of the day. Panel 4 will come Tuesday -- a
panel of one, on Greenhouse gas offsets (John Duffy). This panel will
probably go by quickly,  so Panel 5 will probably be up Tuesday, too,
addressing Engineering Matters, Environmental and Socio-Economic Assessment.

Tom Hackney
BC Chapter - Sierra Club of Canada
and GSX Concerned Citizens Coalition
(250) 381-4463; fax (250) 381-4407
thackney@island.net