Jun 23, 2010
TORONTO, June 23 /CNW/ - The Ontario Energy Board (OEB) has approved with conditions, Hydro One's Leave to Construct application for the Midtown Electricity Infrastructure Renewal Project in Toronto. The project is needed to strengthen the aging 115 kilovolt (kV) transmission system that serves Toronto's midtown and areas to west.
In its decision, the OEB found the project to be in the public interest in regard to its impact on price, reliability and quality of electricity service to consumers.
"This decision is an important milestone in our efforts to strengthen Hydro One's transmission system," said Laura Formusa, President and CEO, Hydro One. "The Midtown Project will allow us to ensure a reliable electricity supply to customers by replacing aging and approaching end-of-life electricity infrastructure."
The OEB Decision is the first major approval required to build the line and is conditional upon, among other things, the project receiving Ontario Environmental Assessment Act (EA) approval. Hydro One released a draft Environmental Study Report (ESR) on March 2, 2010 for review by interested parties. The review period for the ESR was extended until June 25, 2010 in order to address issues raised by stakeholders. At the conclusion of the review period, the document will be revised as appropriate, and a final ESR is expected to be submitted to the Ministry of the Environment on June 30, 2010.
Construction of the Midtown Project is scheduled to begin once approvals are received. The new facilities are planned to go into service in mid-2013. The total cost of the project will be jointly financed by Hydro One and Toronto Hydro.
Hydro One delivers electricity safely, reliably and responsibly to homes and businesses across the province of Ontario and owns and operates Ontario's 29,000 km high-voltage transmission network that delivers electricity to large industrial customers and municipal utilities, and a 123,000 km low-voltage distribution system that serves about 1.3 million end-use customers and smaller municipal utilities in the province. Hydro One is wholly owned by the Province of Ontario.
FORWARD-LOOKING STATEMENTS AND INFORMATION
Our oral and written public communications, including this document, often contain forward-looking statements that are based on current expectations, estimates, forecasts and projections about our business and the industry in which we operate and include beliefs and assumptions made by the management of our company. Such statements include, but are not limited to: expectations regarding developments in the statutory and operating framework for electricity distribution and transmission in Ontario including changes to codes, licenses, rates, rate orders, cost recovery, rates of return, rate structures and revenue requirements in both our transmission and distribution businesses and the timing of decisions from the OEB; expectations regarding our financing activities; statements regarding the pension asset transfer; statements regarding future capital expenditures and our investment plans; expectations regarding the results of or in-service dates of our projects; statements regarding future pension contributions; the estimated impact of changes in the forecast long-term Government of Canada bond yield (used in determining our regulated rate of return) on our results of operations; and statements about IFRS. Words such as "expect," "anticipate," "intend," "attempt," "may," "plan," "will", "believe," "seek," "estimate," and variations of such words and similar expressions are intended to identify such forward-looking statements. These statements are not guarantees of future performance and involve assumptions and risks and uncertainties that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed, implied or forecasted in such forward-looking statements. We do not intend, and we disclaim any obligation to update any forward-looking statements, except as required by law.
These forward-looking statements are based on a variety of factors and assumptions including, but not limited to the following: no unforeseen changes in the legislative and operating framework for Ontario's electricity market; no unfavourable decisions from the OEB and other regulatory bodies concerning outstanding rate and other applications; no unforeseen changes in rate orders or rate structures for our distribution and transmission businesses; a stable regulatory environment; and no significant event occurring outside the ordinary course of business. These assumptions are based on information currently available to us, including information obtained from third party industry analysts. Actual results may differ materially from those predicted by such forward-looking statements.
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