The Telegram (St. John's)

Clear as mud

- Russell Wangersky Russell Wangersky’s column appears in 36 Saltwire newspapers and websites in Atlantic Canada. He can be reached at russell.wangersky@thetelegra­m.com — Twitter: @wangersky.

You turn on your computer, and it tells you that you need new software.

The process starts, a little ball spins onscreen, and eventually, maybe hours later, the thing’s ready to go.

But what if the ball was spinning for four expensive months?

Welcome to Nalcor-world. It may be a gross oversimpli­fication, but that’s kind of what’s going on now with the power line that’s supposed to bring energy here from Labrador.

One line was supposed to be up and running in July. The new date? Late October. Because software isn’t ready yet.

Here are the questions I asked Nalcor about the software issue.

When did Nalcor/labradoris­land Link (LIL) become aware of the software problem?

What’s the name of the software?

Who is the maker?

What exactly does the software do?

Who is paying for the update? Does it require replacing the existing system?

How much will the delay add to costs — including things like lost opportunit­y to deliver recall power?

Here’s Nalcor’s answer: “As part of GE’S contract for the Labrador-island Transmissi­on Link, GE is developing software for the operation of the new High Voltage direct current (Hvdc) transmissi­on assets. … Testing and developmen­t of software is completed in phases through the commission­ing process. As we move through the commission­ing phase of the LIL, GE is continuing to develop its software as this is the normal course of software developmen­t for these type of transmissi­on projects.

“Energizati­on and ongoing dynamic commission­ing will continue over the coming months, with power expected to be delivered as scheduled to Newfoundla­nd and Labrador Hydro for its customers on the island for the upcoming winter season.”

Now, taken in isolation, that sounds as if the whole process is working as it should.

But the problem has meant the line is only carrying 45 megawatts of power (and only for eight or nine hours a day) right now instead of the planned 225.

Newfoundla­nd and Labrador Hydro had planned to bring lowcost recall power to the northeast Avalon on that line.

In testimony at PUB hearings on a proposed rate hike by Newfoundla­nd Hydro in April, the utility’s president testified that the line was “planned to be in service by mid-year.”

It didn’t happen as expected. As Hydro vice-president Ron Leblanc told the PUB on July 16, “I know there is new software that is required and that is on order, and they are expecting that late in (the third quarter).”

Here’s an exchange that followed on the issue:

“That’s what you’d been told by Nalcor. I presume, by Nalcor?” “Yes.”

“What’s the nature of the software? What’s your informatio­n or understand­ing of the nature of the software that needed to be ordered?”

“I don’t have that level of detail.” Neither do I.

When I asked again about who would carry any costs for the delay, including the lost opportunit­y to transmit power, Nalcor’s written response was, “the software developmen­t for LIL operations is all part of GE’S contract and included in their scope of work.”

GE has been a significan­t source of delay on the Labradoris­land Link for months now, with outside consultant­s arguing it’s been difficult to get GE to “focus” on the work.

Liberty Consulting, hired by the PUB, pointed out, “It bears note that General Electric corporatew­ide has experience­d significan­t legal problems and financial turmoil, with concern particular­ly focused on its power business. GE’S power unit plans to cut over 15 percent of its work force this year. Nalcor has cited a significan­t increase in its efforts to get GE ‘focused’ on its work here, qualitativ­ely noting that it believes that its contractor’s focus has increased.” GE’S troubles, Liberty points out, “presents major challenges for a project whose performanc­e has lagged and continues to do so.”

So, there’s a problem, or it’s the normal course of events and is on schedule.

Nalcor says one thing, Hydro executives, under oath, say something else. They also say they’re more than a little in the dark.

I suppose we’ll find out when the bills come in.

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