Page i C A N A D A PROVINCE OF QUÉBEC DISTRICT OF MONTRÉAL FILE NO. R-3986-2016 RÉGIE DE L'ÉNERGIE HYDRO-QUÉBEC DISTRIBUTION SUPPLY PLAN 2017-2026 HYDRO-QUÉBEC In its capacity as Distributor -et- Principal Petitioner WHAPMAGOOSTUI FIRST NATION (WFN) / LA PREMIÈRE NATION DE WHAPMAGOOSTUI (PNW) Petitioner for Intervention MOTION TO INTERVENE Whapmagoostui First Nation (WFN) / La Première Nation de Whapmagoostui (PNW) M e Dominique Neuman, LL. B. Attorney November 23, 2016
Page 1 1 - The Whapmagoostui First Nation (WFN) / La Première Nation de Whapmagoostui (PNW) hereby petitions the Régie de l'énergie for permission to intervene in its file no. R-3986-2016 (). I NAME AND COORDINATES OF THE PETITIONER IN INTERVENTION 2 - The name and coordinates of the Petitioner in Intervention, for purposes of communication, are the following: Whapmagoostui First Nation (WFN) / La Première Nation de Whapmagoostui (PNW) c/o M e Dominique Neuman, Attorney 1535, rue Sherbrooke Ouest / West Sherbrooke street Rez-de-chaussée, local Kwavnick (Ground Floor / Kwavnick Offices) Montréal Qc H3G 1L7 Téléphone / Phone: 514-849-4007 Courriel / Email: energie @ mlink.net
Page 2 II NATURE OF PETIOTIONER IN INTERVENTION S INTEREST AND REPRESENTATIVENESS 3 - Petitioner Whapmagoostui First Nation (WFN) / La Première Nation de Whapmagoostui (PNW) is the Cree First Nation whose territory is situated in Whapmagoostui, which is part of the Cree and Inuit autonomous electric grid of Whapmagoostui-Kuujjuarapik. Petitioner is the political authority representing the Cree First Nation in Whapmagoostui. Petitioner s origin is ancestral. Petitioner is recognized as representing the Cree First Nation of Whapmagoostui by the government of Canada and by the government of Quebec, as well as by various Conventions and agreements with these governments and their constituents and mandatories. Among others, the Whapmagoostui First Nation (WFN) / La Première Nation de Whapmagoostui (PNW) is a First Nation which the government of Canada and the government of Quebec and their constituents and mandatories (including the Régie de l énergie and Hydro-Québec) have a duty to treat with honour, to consult and to accommodate under Section 35 of the Constitution Act of 1982 as well as under customary law and common law and various Conventions and agreements. Hydro-Québec Distribution presently supplies electricity generated by a diesel thermal plant in the Cree and Inuit autonomous electric grid of Whapmagoostui-Kuujjuarapik. For the past 20 years, Hydro-Quebec, the government of Quebec and the Régie de l énergie have repeatedly recommended establishing alternative renewable means of producing electricity in the autonomous grids of Northern Quebec (including by windpower and biomass), including in Whapmagoostui-Kuujjuarapik. The Cree and Inuit autonomous electric grid of Whapmagoostui-Kuujjuarapik have also, for a long time, even been selected as the location for a test-project of such renewal electric power production. Furthermore, Mr. Matthew Mukash (representative of the Whapmagoostui First Nation (WFN) / La Première Nation de Whapmagoostui (PNW) and specifically on energy matters), in June 2014, submitted an important testimony to the Régie de l énergie, which contributed to the subsequent decision by the Régie to invite Hydro Quebec Distribution (HQD) to issue requests for proposals for renewal energy in its off-grid systems, possibly community-based (RÉGIE DE L ÉNERGIE, File no. R-3864-2014, Decision D-2015-13).
Page 3 In accordance with the above, Hydro Québec s Strategic Plan 2016-2020 provides, among others, for the following: Undertake projects to convert off-grid systems to cleaner and less costly energy sources; and Launch, within the framework of the Plan Nord, a request for proposals (RFPs) for the replacement of Whapmagoostui/ Kuujjuarapik communities obsolete fossil fuel power plant. (HYDRO-QUÉBEC, Plan stratégique2016-2020, pages 9 and 24). The Whapmagoostui First Nation (WFN) / La Première Nation de Whapmagoostui (PNW) has been involved for several years in the preparation of a community-based renewable energy supply project in the autonomous grid of electric grid of Whapmagoostui-Kuujjuarapik. The Whapmagoostui First Nation (WFN) owns 85% of a corporation named Nimschu Iskudow Inc. (NI) which, since 2011, has been tirelessly working on the development of a Project known as the Whapmagoostui-Kuujjuarapik Hybrid Power Plant Project (WKHPPP). NI has spent approximately $5 million dollars on WKHPPP s technical aspects, environmental studies and other required components, which largely contributed to Hydro Québec s decision, in its Strategic Plan 2016-2020, to announce request for proposals (RFPs) for the replacement of the Whapmagoostui/ Kuujjuarapik community s obsolete fossil fuel power plant, more particularly given the advanced WKHPPP s development stage. Despite all of above however, HQD has filed, in its present Supply Plan 2017-2026 (submitted to the Régie de l énergie in the present file R-3986-2016), a document in which it is stated that the RFP for the off-grid distribution network of Whapmagoostui-Kuujjuarapik is now delayed until 2018 and will be regrouped with several other Nunavik s off grid networks; (HYDRO-QUÉBEC DISTRIBUTION, File R-3986-2016, Document HQD-2, Doc. 1). The WFN is being totally ignored by HQD in its Supply Plan 2017-2026 and no consideration whatsoever is made to all the past and present efforts deployed regarding the development of WKHPPP. Whapmagoostui-Kuujjuarapik should be considered as a unique and distinct community given that Inuit and Crees cohabit and live peacefully together and that HQD s power generation station and distribution network is used commonly by this joint community and both should benefit from a specific RFP. The intention of HQD, in its Supply Plan submitted in the present file, to postpone the RFP to 2018 even regarding Whapmagoostui-Kuujjuarapik and to regroup it with several other Nunavik s off grid networks jeopardize the WKHPPP for the following reasons: HQD s decision disregards completely the unique situation of Whapmagoostui-Kuujjuarapik as a joint Cree-Inuit community having mutual interest into the distribution network which is common to both communities.
Page 4 The postponement of HQD s RFP to 2018 means that the poor quality of services provided by HQD will continue for many years to come and will most likely extend well beyond 2020. The possibility for NI to succeed in securing a power purchase agreement, in the context of call for proposals regrouping several Nunavik s off grid network, is illusory given the improbable possibility for a Cree entity to be even considered in a process favouring greatly Inuit organizations and that would be mostly aimed as serving only Inuit communities. HQD also disclosed, in its Supply plan 2017-2026 submitted in the present file, that an additional 1800 KW fossil fuel generator has been recently installed in Whapmagoostui- Kuujjuarapik s generation station (which represent more than 50% of the installed power) and that the installation of this additional generator has not even solved issues regarding the poor quality of services provided in the autonomous electric grid of Whapmagoostui-Kuujjuarapik. Hydro-Québec s huge investment in such additional diesel generator is not compatible with the present advanced development stage of the Whapmagoostui-Kuujjuarapik renewable energy project. Should the delays in the Whapmagoostui-Kuujjuarapik renewable energy project and its regrouping with other autonomous grids, proposed by Hydro-Québec in its 2017-2026 Supply Plan, be accepted by the Régie de l énergie, it is anticipated that it would take a decade before the commissioning of a renewable power plant in Whapmagoostui-Kuujjuarapik, while, in the mean time, more that $150 million dollars would be spent on fossil fuel and would deprive our community from much needed employment and business opportunities, without even resolving the poor quality of electric service in that community. It is imperative for the Whapmagoostui First Nation (WFN) / La Première Nation de Whapmagoostui (PNW) to voice its concerns concerning the quality of services offered by HQD in Whapmagoostui and to denounce the regrettable recommendation made in HQD s Supply Plan 2017-2026 to delay the Whapmagoostui-Kuujjuarapik renewable energy project and regroup it with requests for proposal aimed at a group of other autonomous grids. An intervention within the context of the Energy Board hearing R-3986-2016 is the appropriate forum to defend the interest of the Whapmagoostui First Nation (WFN) / La Première Nation de Whapmagoostui (PNW) and its population.
Page 5 III SUBJECTS THAT WILL BE EXAMINED AND DISCUSSED BY THE PETITIONER IN INTERVENTION AND DECISION SOUGHT FROM THE RÉGIE 4 - The Whapmagoostui First Nation (WFN) / La Première Nation de Whapmagoostui (PNW) will examine and discuss Hydro-Québec Distribution s 2017-2026 Supply Plan for autonomous grids and, among others, challenge its recommendation to delay the Whapmagoostui-Kuujjuarapik renewable energy project and its regrouping with other autonomous grids. For all the reasons expressed in Section 3 of the present Motion to Intervene, the Whapmagoostui First Nation (WFN) / La Première Nation de Whapmagoostui (PNW) will recommend the Régie de l énergie to refuse such delay and regrouping and, instead, to request Hydro-Québec Distribution to go ahead with the Whapmagoostui- Kuujjuarapik renewable energy project, given its advanced development stage. The Whapmagoostui First Nation (WFN) / La Première Nation de Whapmagoostui (PNW) will also challenge the conditions and limitations set by Hydro-Québec Distribution in its requests for proposals for energy supply in autonomous grids whereas its price would purely be based on the energy provided and would not include a payment for capacity, such condition limiting the possibilities for community-based suppliers to submit economically viable projects and also failing to properly resolve the issue of the present poor quality of service in these autonomous grids. Furthermore, the Whapmagoostui First Nation (WFN) / La Première Nation de Whapmagoostui (PNW) will challenge the wisdom of Hydro-Québec Distribution s further investments in increasing the capacity of its means of diesel production of electricity in the community, while the Whapmagoostui-Kuujjuarapik renewable energy project is placed on hold. The Whapmagoostui First Nation (WFN) / La Première Nation de Whapmagoostui (PNW) will examine and discuss the present poor quality of electric service in the community and the means to correct that situation. The Whapmagoostui First Nation (WFN) / La Première Nation de Whapmagoostui (PNW) will also recommend that the electric consumption of the Whapmagoostui-Kuujjuarapik arena be included in Hydro-Québec Distribution s forecast of the electric demand in that community and that appropriate means of deserving that demand be implemented including by the Whapmagoostui-Kuujjuarapik renewable energy project. The Whapmagoostui First Nation (WFN) / La Première Nation de Whapmagoostui (PNW) will recommend that the community s interruptible electric load be properly considered and also that the Supply Plan also considers the availability of the community-owned electric generator at the arena to assist Hydro-Québec Distribution in serving the peak demand in the community.
Page 6 IV MANNER IN WHICH THE PETITIONER IN INTERVENTION WILL PRESENT ITS PROOF AND ARGUMENTS 5 - The Whapmagoostui First Nation (WFN) / La Première Nation de Whapmagoostui (PNW) will submit written information requests to Hydro-Québec Distribution. It will also file a written proof on the above subjects, which will also be presented verbally at the hearing. The Whapmagoostui First Nation (WFN) / La Première Nation de Whapmagoostui (PNW) will take part in certain parts of the hearing. Arguments will also be presented. V BUDGET 6 - The Whapmagoostui First Nation (WFN) / La Première Nation de Whapmagoostui (PNW) will, at a later stage, request the refund of its costs in the present file. For that purpose, a budget is herewith submitted. WHEREFORE, MAY IT PLEASE THE RÉGIE TO: GRANT the present Motion to intervene of the Whapmagoostui First Nation (WFN) / La Première Nation de Whapmagoostui (PNW) in the present file. Montréal, November 23, 2016 Dominique Neuman Attorney for the Whapmagoostui First Nation (WFN) / La Première Nation de Whapmagoostui (PNW)