Dominion Water Power Regulations — 30
30 (1) Rental for water used in the production of power, (hereinafter referred to as rental ), is payable annually in arrears, commencing with the date of initial production of power from the development, or from the date fixed in the original interim licence for the completion of the initial development if power has not been produced prior to such date, whether the initial development has been completed or not and notwithstanding any extensions of time granted. (2) On or before March 1st in each year, every licensee shall submit a report to the Director in respect of his use during the previous calendar year of water for the production of power, and the Director shall determine the rental payable for such use and shall demand payment of such rental from the licensee. (3) If a rental is not paid within 60 days from the date of demand, 10 per cent of the amount of the rental shall be added thereto and the total amount shall bear interest compounded annually at eight per cent from the day of expiry of the 60-day period. (4) The rental, together with the 10 per cent added by way of penalty and interest, shall be the first lien or charge upon the water-power development, property assets, rents and revenues of a licensee, and the production of a written statement by the Minister of the sums so payable shall be prima facie evidence of such debt. (5) Where any rental remains unpaid for more than one year after demand by the Director, the rental shall again be demanded and, if not paid within 60 days after such demand, the Minister may take such action as he deems necessary. (6) The acceptance of rental in any case shall not be, or be deemed to be, a waiver of any of the terms or conditions accepted by the licensee. (7) Subject to subsection (12), the annual rental in the 20-year period immediately following the date fixed for the completion of the initial development shall be (a) an amount based upon the horsepower capacity of the initial development as fixed in the interim licence and computed at the rate fixed in the interim licence for the use of water during the life of the interim licence; or (b) an amount based upon the horsepower-year of electrical output and the annual load factor and at a rate not less than the following: (i) where the annual load factor is less than 40 per cent, $1.35 per h.p.-year, and (ii) where the annual load factor lies between 40 per cent and 50 per cent — $1.25 per h.p.-year 50 per cent and 60 per cent — $1.20 per h.p.-year 60 per cent and 70 per cent — $1.15 per h.p.-year 70 per cent and 80 per cent — $1.10 per h.p.-year 80 per cent and 90 per cent — $1.05 per h.p.-year 90 per cent and 100 per cent — $1.00 per h.p-year. (8) For the purposes of this section, (a) the output shall be taken as the total horsepower-years developed during the year on the turbine shaft; (b) the annual load factor shall be taken as the ratio of the average load to the maximum load; (c) the maximum load shall be taken as the highest rate of output carried by the plant during the year under normal operating conditions for a period of 20 minutes; (d) the annual load factor in the case of electrical plants shall be calculated as follows: (Total kilowatt-hours generated per annum × 100) (Maximum load of the year in kilowatts × 8 760) = per cent load factor; (e) in the case of plants other than electrical, the annual load factor shall be calculated by substituting horsepower-years and horsepower for kilowatt-hours and kilowatts in the above formula. (9) For the purposes of these Regulations, one horsepower-year shall be taken as the equivalent of 6 535 kilowatt-hours; and the output at the turbine shaft shall be assumed to be the equivalent of 107 1/2 per cent of the output as recorded at the generator switchboard. (10) The output and the annual load factor shall be as determined by the Director, who for this purpose may use any available data, such as switchboard records in the case of electrical plants. (11) Every licensee gene