Pop Singer Jewel Gives Star Power to Energy Project

WORK, MONEY AND ENTERPRISE IN BRITISH COLUMBIA

Portland General Electric CEO Peggy Fowler tours a power plant near Clatskanie, Ore. The city of Portland is considering a bid for Enron’s biggest utility company. World Briefs, C6 / STEVEN NEHL, BLOOMBERG

SECTION C BUSINESSBC CORPORATE PSYCHOPATHS C3 B.C. WAGES DON’T MEASURE UP C4

EDITOR STEWART MUIR 604-605-2520 • THURSDAY, AUGUST 29, 2002 • E-mail [email protected] FAME NOT SO FLEETING Softwood: U.S. wants radical change

Most timber is tied up in long- petitive market looks like. I know FORESTRY I America’s lumber lobby wants more than 50 per cent term tenures held by forest com- what has been in previous U.S. panies. They pay a stumpage rate government proposals. of B.C. timber to be ‘sold competitively,’ Gordon Hamilton writes determined by the government. “I think there is a great deal of The U.S. proposal, floated ten- flexibility on what the compo- ritish Columbia can’t domestic log sales and reform of tatively at informal talks this week nents of an open and competitive expect to make a soft- the timber tenures held by major with B.C. officials, is being viewed market can be. But I would be wood deal with the logging companies are all still on here as a way to circumvent the surprised if the U.S. government B American government the table as far as the U.S. indus- U.S. lobby. The American indus- proposed anything that was not a without undertaking radical try is concerned, said John Ragos- try sees it as a way to deal with robust and competitive market. changes in they way public- ta, legal counsel for the Coalition Canada’s provinces one-by-one. “You are going to have to have He told us that one day everybody owned timber is sold, an Ameri- for Fair Lumber Imports. It is not likely to depart too far over 50 per cent of the timber would be famous for 15 minutes, can lumber industry lobbyist said Currently, B.C. restricts log from the American industry agen- sold competitively,” Ragosta said. but did he know his own fame Wednesday. exports and sells only six per cent da, Ragosta said. “How do I know? would still be a big draw 15 years Log exports, an open market for of public timber competitively. I know what an open and com- See U.S MUST C4 after his death? The Andy Warhol Retrospective, which ended a 12- week run at the Museum of Con- temporary Art earlier this month, boosted Los Angeles’ economy by $55.8 million US, city officials said. Warhol died in 1987. Pop singer Jewel CNE TOPS OPRAH Canadian Internet surfers seemed to be fascinated by enter- gives star power tainers, fairs and diseases this week. Here’s the Sympatico.ca Top 10 list for the week ending August 25: to energy project 1. Canadian National Exhibition 2. Oprah 3. Elton John ENTERPRISE I Firm enlists singer to help bring 4. Hepatitis A 5. Futons a northern ghost town’s dormant hydro 6. Victoria’s Secret 7. Lisa Marie Presley dam back to life, Derrick Penner writes 8. Michael Jackson 9. Toronto Film Festival 10. Water Parks First in a series ANYOX bout 160 kilometres BATHROOM BREAKS up Observatory Employees at the Jim Beam Inlet from Prince bourbon distillery in Clermont, Ky., A Rupert, the emer- are getting sour over restrictions on ald-thatched hillsides rise bathroom breaks. Workers on the steeply into thick clouds and bottling line are limited to four the rain is relentless, even in 1 August. the utility under its green and breaks per 8 ⁄2 hour shift, only one of which can be unscheduled. Extra “There’s no shortage of alternative energy program. trips to the bathroom can result in water,” proclaims Jeff Wolrige, Hydro aims to meet 10 per reprimands. Workers with six viola- a glint in his eye. cent of all new demand for tions can be fired. His company, Anyox Hydro- electricity with environmen- electric Ltd., recently signed tally sensitive power. folk-pop chanteuse Jewel on “We can’t keep up with run- as a partner in its bid to wring away consumption,” Wolrige PETER LEGGE’S a buzzing stream of electrici- said, noting that outside of BUSINESS TIPS ty out of that rain and send it B.C. much of the electricity # 36 Maintain balance in your life. south, where there is an insa- consumed is produced by You don’t want to be so rich that tiable demand for it. burning non-renewable fossil nobody will live with you. Equally, The company owns a dor- fuels. it’s hard to enjoy a great family life mant hydro dam at the town- “We need sustainable alter- if you’re always worrying about site that is its namesake and natives and that’s where there where the rent money will come plans to submit a bid to B.C. are a lot of opportunities in from. Balance between family and Hydro in October to sell elec- the Northwest.” work is the key. tricity from the old facility to Brenda Goehring, manager of green and renewable ener- Peter Legge is the chairman of the Vancouver gy for B.C. Hydro, said the util- Board of Trade ity will accept proposals for new projects in October. It B.C. SNAPSHOT wants to purchase up to 800 gigawatt hours of power, Reining inflation enough to supply about B.C's economic growth might be 80,000 homes. lagging behind the mighty engines of From behind the wheel of industry in Alberta and Ontario, but British Columbians can take heart in the company’s crew boat, My one thing: their cost of living isn't Lady, John Turpin suggests to climbing as quickly as it is in those guests that it doesn’t always provinces either. rain here. Percentage growth in consumer “It’s too bad it’s not a little price index between July 2001 bit clearer, guys,” said the and July 2002: chief of operations for Anyox 4 % Hydroelectric. “This is one of 3 % the most beautiful stretches of 2 % REUTERS FILES water in the world, when you can see it.” 1 % STUART DAVIS/VANCOUVER SUN Pop star Jewel has an

B.C. Alta Ont. Que. N.B. N.S. See PROPOSED POWER C5 0 Jeff Wolrige (left) and John Turpin are hoping to turn Anyox Creek into power source. interest in power project.

Source: Statistics Canada

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Photos by STUART DAVIS/VANCOUVER SUN John Turpin walks through abandoned Anyox power generating plant. Turpin and partner Jeff Wolrige are electricity entrepreneurs, whose interest was sparked by California energy crisis. A scene from Proposed power projects ‘The Land That Time Forgot’ include old Kitsault site The only residents of Anyox today are bears and True Grit employees From C1 ference and we’re putting our own development and management and resources behind it.” owns Southview Property Manage- Beyond the business prospects of the Wolrige expects it to cost $1.5 mil- Jewel, who is busy touring, is ment. Turpin, who now lives in Vic- Anyox project, it tickles the sense of lion to $2 million per-megawatt of aware of the project’s concept, Car- toria, is an ICBC claim centre man- adventure of both Jeff Wolrige and John generating capacity to build the roll said. She added that while the ager. Turpin. They are friends dating back to development, roughly $39 million to company would have become They have had contact with a half- their rugby-playing days at Point Grey something over $60 million to gener- involved no matter where the project dozen potential investors over the high school in the 1970s. ate between 26 and 40 megawatts of was located, Anyox feels a bit homey last couple of years and Wolrige said “Sometimes I feel like we’re in that electricity. for the Alaska-born Jewel. every one has helped them advance movie, The Land That Time Forgot,” Wol- Anyox itself, the site of a copper “Jewel does like that it’s in the the project by pointing out missing rige quipped. mine smelter from 1900 until 1935, had north,” Carroll said. “She has a kin- bits of information or weak spots in The forests of Observatory Inlet a population of 2,500 at its height. A ship [with the region].” their presentation. appear un-logged, but have not escaped concrete dam holds back a reservoir She said her daughter’s involve- the scars of industry. Bony spikes of dead that is slightly bigger than the Capi- ment doesn’t really affect the busi- trees poke out of the green of new forest, lano reservoir but not quite as large ness aspect of the project. When it Anyox evidence of Anyox’s presence. Locals call as the Seymour. comes to raising capital, a celebrity them “smelter kill,” victims of noxious Anyox Creek, which the company endorsement doesn’t necessarily Alaska smelter gases that spewed out of the cop- Canal Nass River believes to be fish-barren, tumbles a help. Carroll added that one of the Observatory per furnaces and choked off all the vege- Kincolith couple hundred metres down steep singer’s contributions would be the Portland Canal tation on the hillsides close to town. slopes to a waterfall that spills into education of her audiences about Chatham At Alice Arm, Wolrige and Turpin have Granby Bay. Wolrige has an engi- environmentally sensitive energy. become fast friends with Vince and Vic- Sound Portland Inlet Terrace neering estimate that says it could Anderson said there is a lot of ki Brown, owners of the Alice Arm cost less than $2 million to repair the “green” capital available for such Lodge, a rustic but cosy stopover for dam, which was breached in three energy projects, and since Sept. 11, Prince sport anglers and longtime residents of spots to prevent it from over-spilling. many of the people who hold it want Rupert the area. Skeena River To generate power, the company to keep their funds in North Ameri- Porcher Kitimat Anyox Hydroelectric now owns the would also have to build a 4.3-kilo- ca. Island property where the dam and its old pow- metre pipe down the mountain to Wolrige liked the “environmental erhouse are and much of the old town- pour water into a yet-to-be built pow- conscience and strong sense of busi- site once stood, following the ownership erhouse that must contain water-dri- ness ethics,” that Jewel’s name chain from Cominco which purchased ven turbines and generators to pro- brings to the venture. “You can’t the site from Grandby Consolidated Min- duce between 16 megawatts and 25 really ask for more.” Area ing and Smelting. Shown megawatts of electricity. One The Jewel connection also helps HecateBanks Strait Wolrige explained that his father, Alan megawatt is considered enough keep it a private development. Wol- Island Wolrige — a Vancouver accountant — energy to power 1,000 homes. rige said the company put some B.C. Alice Arm resident Vince Brown is and a business partner, lawyer Peter From the powerhouse, Wolrige thought into going public on the providing expertise about the area. Richards, bought the title from Cominco said they want to string a 30-kilome- TSX Venture Exchange. The princi- in 1985 because they still believed it was tre underwater power line to tie into pals, however, didn’t want to risk a valuable mineral resource. B.C. Hydro’s grid at Kitsault, another being pushed aside and wind up with In the meantime, Wolrige and Turpin, mining town on Alice Arm that was a badly diluted position as share- both avid sport anglers, have trolled the abandoned in the early 1980s. holders. coast in search of salmon for years and From Alice Arm, Wolrige and They are electricity entrepreneurs, came to love the Northwest. When elec- Turpin want to take Anyox Hydro- after all, and watching the California tricity prices started to climb though, it electric’s interests up to the head of energy crisis of 2000 and 2001 is put a buzz under their ball caps. the Kitsault River, where another what really drew them into the mar- “We love the country and love getting abandoned storage dam holds back a ket. up here, and it seemed to be a great much smaller reservoir above anoth- “That’s what really sort of started opportunity to do something worth- er steep falls that they believe might to pique my interest,” Wolrige said. while,” Wolrige said. generate as much as 15 megawatts of “I really got excited about it when They both break into broad smiles power. they were paying $75 US a megawatt recounting Anyox stories from the past, Again, they think the Kitsault pro- hour in California. I know we can about how a gold strike in its early devel- ject will produce power cleanly bring this plant into production and opment paid for construction of the without impacting fish below the operate quite nicely at the $50 Cdn town, and the legend of Hidden Creek as dam or wildlife above it, which is [per mwh] range.” a hiding spot for local natives from Hai- what attracted the attention of Jew- The base price offered by B.C. da raiding parties. el, in the form of the management Hydro when it opened its green and At Anyox today, the only residents are company headed by her mother, alternative energy initiative in 2001 bears and a few employees of a compa- Lenedra Carroll. was $49. ny called True Grit, which is carving The company has become a “They’ve put in place what is a fair away at the barren black mountain of minority partner in the development rate structure,” Wolrige said. “All of slag. Its fine black grit is used in grip of Anyox Hydroelectric and will help a sudden, [Anyox] was in the bounds paint, shingles and to stone-wash denim arrange capital financing if it goes of being economical.” for clothing. ahead to construction. Wolrige said Wolrige and Turpin are in the There are a few old shells of concrete they were introduced to the compa- process of completing the company’s and brick buildings on land. The old cok- ny’s vice-president, Sean Ebnet, ear- application to B.C. Land and Water ing plant on the northern point of Gran- lier this year by the proponent of for a preliminary water licence, the by Bay, complete with its old smokestack. another power project. first step in entering the B.C. Hydro To the south, the old powerhouse sits at Ebnet said the Anyox project process. the mouth of Anyox Creek, its once sharp addressed a lot of things they look The application only costs $5,000, profile quickly fading into a pile of brick. for. It would be clean energy, using but to get it entails studies to analyse Inside, the generators and turbines lay existing resources and support jobs fisheries potential, wildlife impacts, splayed open, rotted and cut away by rust and economic stimulus in an area extremely detailed hydrology tests to and time. that is in need of it. gauge stream flows at all times of the The bones of Anyox — a rusting steel “Green power, we feel, is vital to day throughout the entire year, vessel here, the remnants of a stone wall the planet,” said Colleen Anderson, archeological surveys and socio-eco- there and long lines of spiral steel band- CEO of Carroll’s company. She nomic impact. ing left over from wooden-stave water added that the company’s involve- The company has pulled a barge lines — are shrouded in the growing for- ment is a statement that people have into Granby Bay to serve as a base est. to make deliberate, sustainable, camp, which Wolrige said cost about Curiously, the cemetery is among the choices for the way they operate in $200,000 itself, and all the work done most intact parts of the community that the world. to date is approaching $1 million, remains that survived the great fire. Carroll said if people don’t do so, much of it personal investment. And Trees sprout up from some of the graves, “we’ll be up a creek without a creek. there is no room in the budget for but the headstones of others still stand To participate in this project sets an salaries, Turpin noted. dignified in the gloom of the forest. example that we want to make a dif- “The money we’re spending right “We’d move here in a second,” Turpin now is risk money,” Wolrige said. said. Both he and Turpin have had suc- Curiously, the Anyox Cemetery is among the most intact parts of the “Our wives won’t let us though,” Wol- Friday: An examination of cessful careers before taking on elec- community. As ‘Anyox’ means hidden, it certainly applies to the rige lamented. B.C. Hydro’s green energy initiative tricity. Wolrige has done property cemetery as it continues to be swallowed by the West Coast rainforest. — Derrick Penner