Nova Scotia Power filed a capital work order application seeking UARB approval for $648,220 to refurbish the turbine governor on Trenton Generating Station Unit 5 following an emergency outage.

M03514 · CI# 39663 - P-510 - NSPI WO - TRE5 - U&U Turbine Governor Refurbishment - $648,220

AI summary

Nova Scotia Power Incorporated submitted CI #39663 (dated July 30, 2010; signed August 25, 2010) to the Nova Scotia Utility And Review Board under s. 35, requesting approval for a $648,220 capital expenditure to refurbish the turbine governor on Trenton Unit 5 (cost centre 340), with the project estimate exceeding the original $350,000 budget authorization.
An unplanned outage in March 2010 revealed that the worm and worm wheel on the cross shaft had failed due to insufficient backlash and tooth clearance resulting from normal wear; a Siemens emergency outage report (Report No. 10-844, Draft) documented five key repair items including worm/wheel replacement, main and auxiliary governor refurbishment, reheat emergency stop valve seat lapping, main thrust bearing inspection, and oil system flush to clear brass particulate contamination.
The total project cost estimate of $648,219.99 (Exhibit N-1) comprised $121,000 in materials, $128,000 in plant labour, $314,200 in contractor labour, $24,000 in engineering and project management, and $59,020 in indirect costs (interest and administrative overhead allocations); a separate retirement cost of $350,000 was also identified.
The economic justification analysis ranked governor refurbishment (Alternative A) as the sole viable option, yielding a net present value of $3,163,190, an IRR of 67.34%, and a discounted payback of 2.7 years at a 6.55% after-tax WACC, with the primary benefit being avoidance of replacement energy costs while the unit remained offline.
Siemens' draft report recommended additional follow-up work at the earliest opportunity, including rebabbitting the #1 bearing, replacing governor bushes, installing new trip plunger sleeves, and inspecting all other bearings at the next scheduled outage.

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What was filed

Documents filed on this day

N-1 Redacted Work Order 9/2/2010 exhibits