Site C construction progressing on schedule and on budget
December 21st, 2016
BC Hydro submits Site C Annual Progress Report to BCUC
VANCOUVER – BC Hydro has submitted a copy of its Site C Annual Progress Report to the British Columbia Utilities Commission (BCUC). The first annual report on Site C construction provides information on construction progress for the period July 2015 to September 2016.
Key highlights of the annual report include:
- Construction of the Site C project is on track for both schedule and budget.
- Project expenditures totalled $1.3 billion, as of September 30, 2016.
- Key accomplishments during the first year of Site C construction included:
- The 329-metre Peace River Construction Bridge was completed on time and on budget in March.
- The 1,600-person worker accommodation lodge was completed on time and on budget in August 2016. Construction of the lodge was done with an exemplary safety record, with almost 1.4 million hours of work without a single lost-time injury.
- Significant site preparation work took place at the dam site, including clearing 900 hectares of land and excavating 2.5 million cubic metres of material.
- Public road improvements to 240 Road and 269 Road reached substantial completion in fall 2016.
- Main civil works contractor Peace River Hydro Partners mobilized to the dam site in March 2016 and started physical work in early June.
- Site C employment increased from 392 workers in August 2015 to 1,750 workers in September 2016. Workers from British Columbia made up 80 per cent of the total workforce in September 2016.
- The project received dozens of key permits and authorizations during its first year. This included federal authorizations for the construction and operation of the dam and reservoir under the Navigation Protection Act and Fisheries Act, and the provincial Water Licence for construction and operation and multiple Leaves to Commence Construction for the project.
- BC Hydro reached several agreements with communities and First Nations during the year. This included reaching a Community Measures Agreement with the City of Fort St. John. BC Hydro reached agreements, or terms for agreements, with a number of Aboriginal groups, including Dene Tha’ First Nation and McLeod Lake Indian Band.
- BC Hydro awarded four major contracts within the budget established for each contract, including North Bank Site Preparation, Worker Accommodation, Main Civil Works and Turbines & Generators.
- BC Hydro commissioned an independent review of Site C processes and practices by Ernst & Young/BTY Group. The review found that the Site C project is clearly defined and well-planned, and has the appropriate processes and risk mitigation in place to meet major project milestones and financial targets.
- The timing of Site C construction has reduced risks to the project during its first year. The project is being financed at historically low interest rates, low commodity prices are helping to keep the costs of materials down, and there are skilled workers available due to a slowdown in the natural resource sector. The project has also benefited from robust market participation in its competitive procurement processes.
BC Hydro provides the BCUC with a copy of its quarterly and annual reports on project progress, accomplishments, risks and costs.