Bay d’Espoir Penstock Life Extension

Strategic Approaches to Life Extension and Cost Management

Client

Newfoundland and Labrador Hydro

Project Location

Bay d’Espoir, NL, Canada

Timeframe

2021-2023

Project Overview

Newfoundland and Labrador Hydro faced critical decisions regarding the long-term maintenance and reliability of their extensive penstock infrastructure (Penstocks 1, 2, and 3). Historical issues like weld failures and ruptures necessitated a strategy that ensured asset integrity and reliability, all while delivering exceptional value to ratepayers.

Collaboration and Expertise

Kleinschmidt undertook an extensive review and further study of four proposed life extension options for these penstocks. Our team collaborated with industry experts Chant, for constructability and cost estimating, and Skarborn, for welding expertise, to enhance our in-house capabilities. We delivered a detailed decision support package including cost-benefit analyses, risk assessments, and project execution strategies.

Client Benefits: Delivering Cost-Efficiency and Enhanced Reliability

Optimal Strategy for Life Extension: Detailed assessments and analyses provided Newfoundland and Labrador Hydro with a clear path forward for extending the life of their penstocks, particularly Penstock 1, identified as the most critical due to its history of issues.

Regulatory Approval and Stakeholder Confidence: The thorough justifications prepared by Kleinschmidt facilitated a smooth regulatory approval process. The proposed strategies received favorable reviews from the Public Utilities Board (PUB), with only minor feedback that was quickly resolved.

Cost Efficiency and Risk Management: The collaborative approach with Chant and Skarborn allowed for constructable technical solutions that minimized future risks. The recommendation to refurbish Penstock 1 proved to be the least costly, while offering high reliability and technical feasibility.

Longevity and Reliability

The project outcomes have provided Newfoundland and Labrador Hydro with a detailed and optimal strategy for the life extension of their penstocks, based on thorough risk assessments, cost-benefit analysis, and carefully crafted execution plans. This strategic approach not only preserves the infrastructure but also ensures its integrity and reliability for the future, demonstrating Kleinschmidt’s commitment to delivering tailored, impactful solutions to our clients.

Innovative Construction Plans:

Detailed construction execution plans were prepared, aligning with AACE Class 3 standards and incorporating comprehensive health, safety, environmental, and QA/QC planning.

Strategic Collaboration:

The integration of expert advice from Chant and Skarborn ensured that the life extension strategy was robust, cost-effective, and technically sound.

Reduced Construction Impact:

Proposed enhancements would enable the use of pre-coated penstock segments, significantly reducing the need for extensive field welding and thereby cutting down on field work and associated costs.

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