BILL 40 An Act to Amend the Electric Power Act

BILL 40

 

An Act to Amend the Electric Power Act

 

 

Her Majesty, by and with the advice and consent of the Legislative Assembly of New Brunswick, enacts as follows:

1 The Electric Power Act, chapter E-5 of the Revised Statutes, 1973, is amended by adding after section 22 the following:

22.1(1) In this section

"project company" means a person designated by resolution of the board of directors as a person with whom the Corporation may enter into a contract for the refurbishment of existing generating facilities or the construction of new generating facilities for the use of natural gas in the generation of electricity where the risks of capital funding and marketing are borne by the project company.

 

22.1(2) Notwithstanding the Crown Construction Contracts Act and the Public Purchasing Act and the regulations under either of those Acts, those Acts and regulations do not apply to

 

(a) any contract between the Corporation and a project company,

(b) any contract between a project company and a person other than the Corporation that relates to a contract between the Corporation and the project company, and

(c) the purchase of supplies or services made by or other transactions carried out by a project company in relation to an agreement between the Corporation and the project company.

 

22.1(3) Where a person is designated by resolution of the board of directors under subsection (1), a certified copy of the resolution shall be published in The Royal Gazette within thirty days of the passing of the resolution but failure to do so shall not affect the status of a project company.

 

 

EXPLANATORY NOTE

Section 1

The new section 22.1 provides that the Crown Construction Contracts Act and the Public Purchasing Act and the regulations under either of those Acts will not apply to a contract between the Corporation and a project company, a contract between a project company and a person other than the Corporation that relates to a contract between the Corporation and the project company or to the purchase of supplies or services made by or other transactions carried out by the project company. A project company is defined as a person designated by resolution of the board of directors as a person with whom the Corporation may enter into a contract for the refurbishment of existing generating facilities or the construction of new generating facilities for the use of natural gas in the generation of electricity where the risks of capital funding and marketing are borne by the project company. The Corporation is obliged to publish a certified copy of the resolution in The Royal Gazette within thirty days of the passing of the resolution but failure to do so shall not affect the status of a project company.