Review of the Newfoundland and Labrador electricity system /

The Focus of the Review In January 2014 the Government of Newfoundland and Labrador announced an independent review “to look at the current electricity system in Newfoundland and Labrador – how it operates, is managed and regulated as the province moves from an isolated system to an interconnected system.”. [...] Since the EPCA, possibly the most significant legislative change in the electricity sector has been the introduction of the Energy Corporation Act, which ultimately resulted in the creation of Nalcor to “take a lead role in the province’s participation in the development of our energy resources.”4 This Energy Corporation was to be the parent company of NLH, CFLCo, and new entities established to m [...] The first phase of Lower Churchill development is the 824 MW Muskrat Falls project which is under construction and includes the Muskrat Falls generating station, the Labrador Transmission Assets, the Labrador- Island transmission link to deliver the project’s energy to the Island and the Maritime transmission link to allow surplus energy to be sold to Eastern Canada and beyond. [...] Review of Electricity Sector Legislation The Electrical Power Control Act, 1994 (EPCA) sets the electricity policy of the province with respect to electricity rates, criteria for the production, transmission and distribution of electricity, and gives the Board of Commissioners of Public Utilities (PUB) the authority to implement these policies, but with provisions for direction from the government [...] The EPCA also specifies that “all sources and facilities for the production, transmission and distribution of power in the province should be managed and operated in a manner (i) that would result in the most efficient production, transmission and distribution of power, (ii) that would result in consumers in the province having equitable access to an adequate supply of power, and (iii) that would