direct testimony of the capital expenditures, reliability, and - nyseg

12.07.2015 Views
Case 09-E-____; Case 09-G-____ (NYSEG)DIRECT TESTIMONY OF THE CAPITAL EXPENDITURES,RELIABILITY, AND OPERATIONS PANEL123456789101112131415161718192021severe weather related outages due to high winds far exceeded the 2000-2007yearly average numbers of days with severe weather due to high winds reportedacross New York State as calculated by the National Oceanic and AtmosphericAdministration (NOAA). Inflationary effects have increased the cost of labor,vehicles, and materials over time. Finally, as NYSEG continuously improves itsstorm restoration efforts in response to the Commission's requirements, there is acorresponding increase in costs.Q. Can you describe more fully the recommendations by Staff and the impact ofthose recommendations on storm costs?A. The Company continues to implement Staff recommendations to improve stormresponse. These recommendations have included increased priority and staffingfor downed wires, more formalized damage assessment, and more proactiveacquisition and deployment of additional crews. These initiatives should, overtime, improve the quality of storm response. They will also contribute to theincreased cost of storm response.Rural Electric CooperativesQ. What steps did NYSEG take in cooperation with the Cooperatives to address theMerger Conditions as set forth in Appendix 2, Item 3 of the Abbreviated MergerOrders (as affirmed in the Long Merger Order) in Case 07-M-0906?A. On October 7, 2008, NYSEG established a task force to investigate the ruralcooperative issues (the "Task Force").63

Case 09-E-____; Case 09-G-____ (NYSEG)DIRECT TESTIMONY OF THE CAPITAL EXPENDITURES,RELIABILITY, AND OPERATIONS PANEL123456789101112131415161718192021Q. Did NYSEG conduct a transmission study, to be completed no later than 90 daysafter the closing of the Iberdrola acquisition of Energy East, to determine the ageand capacity of all facilities providing service to the substations owned andcontrolled by the Cooperatives and the Village of Sherburne?A. Yes. The Transmission Study was completed on December 8, 2008.Q. Was a meeting held by NYSEG, within 30 days after completion of thetransmission study?A. Yes. A conference call meeting was held on January 7, 2009. Task Forcemembers and Staff members were in attendance.Q. Did the Task Force jointly establish communications protocols no later than 90days after the closing of the Iberdrola acquisition of Energy East?A. The Task Force jointly established communications protocols. NYSEGimplemented these protocols on November 17, 2008.Q. Were capital improvements that could be made to enhance system reliability withrespect to the systems used to serve the Cooperatives and the Village ofSherburne identified by the Task Force?A. The Task Force identified several capital projects to enhance NYSEG facilitysystem reliability serving the Cooperatives. After having been reviewed by theTask Force, these projects are now being included for consideration in this rateproceeding. One example of such a project is the rebuilding 5.36 miles of 46 kVline between NYSEG South New Berlin and New Berlin substation.64

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