Bruce Power Major Component Replacement Project
Category: Project Assessments
Client Type: Utility
Services Provided: Assessment, Consulting
Bruce Power is Canada’s first private nuclear generator, providing 30% of Ontario’s power. The company sells its power through a contract with Ontario’s Independent Electricity System Operator (IESO).
Through an agreement with the IESO, Bruce Power is embarking on a project to extend the life of six of its eight nuclear units with a series of investments that includes a Major Component Replacement (MCR) Program. Units 1 and 2 were refurbished in the 2000s and are in full operation; however, those units’ refurbishment significantly exceeded cost and schedule targets. The MCR Program is estimated to cost $13 billion and take place over 15 years, beginning in 2020 with Unit 6 and successive outages for the remaining units phased over time.
Bruce Power is accountable to the IESO through an amended Bruce Power Refurbishment Implementation Agreement. Bruce Power has agreed to assume all responsibility for cost and schedule overruns while any savings will be apportioned with rebates going to the ratepayers.
The company is also responsible to Canada’s nuclear regulator, the Canadian Nuclear Safety Commission, as well as Ontario’s ratepayers.
Bruce Power’s agreement with the IESO allows it to pre-plan for the program, which will enable it to apply lessons learned from the refurbishment of Units 1 and 2 and other CANDU refurbishments, leading to more predictable outcomes.
As part of that process, Modus Strategic Solutions, in partnership with Burns & McDonnell, has been engaged to provide a bottom-up look at Bruce Power’s project control capabilities. The team is also providing ongoing consulting and hands-on management consulting services for the estimating, scheduling, risk and commercial management of the MCR Program.
Modus’ experts are helping Bruce Power provide confidence to its investors and regulators in its ability to meet cost, schedule and risk targets that will in turn enable it to meet critical funding requirements and regulatory deadlines for the project.