Polychlorinated Biphenyls (PCB) is the most important waste management issue in 
												the electric utility industry. This substance was commonly used in electrical 
												equipment prior to the late 1970s, when PCB production was banned. The effect 
												of this ban on Hydro and many other utilities was two-fold. The amount of PCB 
												in service declined as new PCB-free equipment was installed and inventories of 
												PCB-contaminated wastes increased as older equipment was retired.
											 
											
												During the 1980s and 1990s, Hydro implemented significant initiatives to reduce 
												risks associated with in-service equipment containing PCB. This included 
												removal from service or decontamination of all transformers which had been 
												manufactured with high concentrations of PCB. As well, all transformers filled 
												with large volumes of PCB-contaminated oil were decontaminated.
											 
											
												Some low risk older equipment such as florescent light ballasts which contain 
												small amounts of PCB are managed to prevent any releases into the environment, 
												and will remain in-service for their life. A portion of older distribution 
												equipment, currently in service, contains oil that is contaminated with low 
												level PCB. Hydro’s policy is to test this equipment for PCB contamination 
												during emergency and planned maintenance, and collect all PCB contaminants for 
												proper disposal.
											 
											
												In 2005, 11 tonnes of low-level PCB material was placed in storage at our 
												Bishop’s Falls PCB waste storage facility. Approximately 13 tonnes of low-level 
												PCB material was removed from storage during 2005 and destroyed. Therefore, as 
												of December 31, 2005, there was no low or high- level PCB material in storage
											 
											 
											 
											
											 
											
												It is recognized that some older equipment such as capacitors and fluorescent 
												light ballasts, which may contain high levels of PCB, remains in service. It is 
												estimated that there is less than one tonne of PCB contained in this equipment.
											 
											
												A portion of the older distribution transformers in service throughout the 
												system contain oil that is contaminated with PCB to a level greater than 50 
												ppm. Hydro has therefore initiated a program to reduce the amount of PCB 
												contaminated equipment in service. The multi-year program involves the 
												identification, testing, and removal from service or refurbishment of all 
												electrical equipment with a PCB level greater than 50 ppm.
											 
											
												Table 2 provides an inventory of PCB material in storage and in service at 
												Churchill Falls facilities as of December 31, 2005. At present, the total 
												amount of low and high-level PCB material in storage in the Churchill Falls PCB 
												waste storage facility is less than 1 tonne. No PCB material was sent for 
												destruction in 2005. PCB material known to be in service are ballasts and 
												capacitors; however, there is no inventory completed of this electrical 
												equipment to date.
											 
											
												 
											 
											
											
											
												Lubricating Oil
											 
											
												Hydro currently has a waste oil management system for handling and disposing of 
												various types of used oil. In the past, however, records on the amount and type 
												of oil being recycled were not always kept. Hydro has made significant progress 
												over the last couple of years in this area and now reports on an annual basis 
												the amount of used lubricating oil generated and new oil purchased for our 
												diesel generating stations to the Department of Environment and Conservation 
												(DOEC). In 2005, approximately 46,000 litres of used lubricating oil was 
												collected from our diesel stations for recycling.
											 
											
												In 2005, at CF(L)Co, approximately 34,000 litres of used lubricating oil was 
												collected and properly disposed of by a government-certified, third-party waste 
												oil contractor for heat recovery.
											 
											
											
												Insulating Oil
											 
											
												At Hydro’s central maintenance facility in Bishop’s Falls, approximately 42,000 
												litres of insulating oil was reused. Approximately 2,000 litres of this 
												insulating oil was reused following processing or cleaning by internal forces, 
												while 40,000 litres was reused following processing or cleaning by a 
												third-party contractor.
											 
											
												At CF(L)Co in 2005, approximately 192,000 litres of insulating oil was removed 
												from underground transformers and replaced with an environmentally-friendly 
												insulating oil.
											 
											
											
												Scrap Metal
											 
											
												During 2005, Hydro decommissioned 520 distribution transformers, all of which 
												were sold to a transformer manufacturer for reuse. In addition, scrap 
												aluminum/steel tower components and miscellaneous scrap were auctioned at 
												Hydro’s central maintenance facility in Bishop’s Falls for recycling.
											 
											
												During 2005, CF(L)Co, as part of the scrap metal recovery management program, 
												collected and recycled approximately 773 tonnes of scrap metal from areas that 
												were used during original construction of the Churchill Falls project.
											 
											
											
												Treated Wood
											 
											
												Hydro, as part of it transmission line network, manages approximately 26,000 
												poles of varying age. Wooden poles have an economic lifespan of about 40 years 
												and an in-service lifespan of 50 years. With proper management, maintenance and 
												refurbishment, the life can be extended by 10 years or more. In Hydro’s 
												transmission system, just over one third of all poles are 30 years or older and 
												are nearing the end of their useful life. Core samples taken from some poles in 
												1998 indicated that the preservation retention level was not adequate. As a 
												result, Hydro initiated a wood pole line management program in 2003 and it is 
												expected to continue as a long-term asset management and life extension 
												program. In 2005, Hydro treated 2,700 poles with boron rods. In 2005, 2,364 
												treated wood poles were removed from service; 47 were removed to landfills, 
												while 2,317 were recycled.
											 
											
											
												Boiler Ash
											 
											
												During 2005, all fuel ash produced at the Holyrood Thermal Generating Station 
												was disposed of in an on-site, controlled solid waste landfill. The amount of 
												total ash produced and disposed of at the landfill in 2005 was 420 tonnes.
											 
											
											
												Other
											 
											
												In 2005, CF(L)Co sent five pallets of wet cell batteries for recycling, 
												totaling approximately 9,100 kilograms.
											 
											 
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