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IN THE MATTER OF the Com A 1980, c. 60, as amended H L .v . an N. R.J.
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LIST OF APPEARAN K.E. GUSTAFSON M.H HAN N J.M. GALBR J. POLLOCK D. N R. GAINES HAWK AW D. m D. W. B. Audiotron Ltd. rt
12, 1983 - B.C.U.C. Proposed Service in the Hemlock August II, 1982 2 Letter N 23, 1982 - Mr. A. Tariff- B.C.U.C. 3 Summary Powerline Costs 4 Publication of Notice of In March 2, 1983 .5 Letter April 8, 1983 and Hemlock Valley Electrical 6 Letter 18, 1983- Hem Limited- B.C.U.C. 7 Letter May 13, 1983- Hem Limited and of - B.c.u.c. 9 Lease Between Dueck Motors L Recreations Ltd. of 10 Unaudited Financial - Hemlock Services Lim -May 31, 1982 11 Estimated Consumption 12 Letter December 22, 1980 - Hem lock E al - B.C.U.C.- Increased Fuel Costs 13
INTRODUCTION fol on an application Hem filed on 2-82 issued The new Authority the authority of Certificate of BACKGROUND Hemlock is a subsidiary Hemlock underground Hemlock Hemlock properties; and to serving subsidiaries of Hemlock Ltd., a B.C. The recreation first a was on in rates as a Power Convenience and residential customers and the a notice of Ltd. land in the fiem VaHey of use. to consumers to lifts and a area; to use on res . for a sewer are is owned Allan
2 Hem lock opera tlng under Necessity C-23-80 issued in to rates and terms of Order a an rates. order was su 1ft, 1982 issued followi latter Order put reduced rates for completion of the rates hearing to to commence Apri127, 1983, was ISSUES The questions at issue in the of a tariff service and will and n lock providing a utility in a area materially the downturn the uti.Iity the reliability of service through utility still difficult times, of Pu and the to under 1980 followed by Hem lock the Hydro. Order G-82-82 provided to in a public of rates any or to are to matters proper costs of accounts and and economy. improve Hydro. The ls
3 the efforts of the new m to decision will with m of rates A to lity for base of $590,000 to the utility on rate order to A rna jor concern the prospectus of the hearing. It is c as was indicated by Mr. hearing, that the purchasers of the to electric develo at its own costs 11 • The utility company at rates 11 as as B.C. Hydro Power Hem lock Valley Resort area responsibilities" 4 of Insurance). It is also apparent other statements in the prospectus property could expect for" by the Developer from its own resources" Ail of foregoing compound rates for service. While it !able, a good of the practice is not the matters to the on the a rate % ust in an intervenor in in area had convenience installed power was to be a the Utilities Commission until its own lines into the over power supply and distribution with Superintendent of a of would completed and paid 6 Prospectus). and reasonable could expect to which rates be set, as a test
4 in us. This is N Commission a the to day to day break even on costs contingencies accrue the Commission will rate !0%. This treatment to consumers us. first cost this of the intertie to B.C. Hydro. Commission in Certificate of Public original proposal envi a cost Commission will utilize this application. The .5 year to ze a major capital circumstances of Hem lock the treatment. Therefore the $139,894.44 to $99,840.18, a redu this loan fully of to rates the cost of the lity to In order reserve for the amount of costs m nance at same to of the costs connection was and N C-.5-82. The over a 5 iod in rate of over to utility plant but in unique it an appropr The rates will at will
5 cost issue relates to the costs. The in only costs are The proposed consumers, rise with and commercial consumers are demand rate of $5.00/kW of 1 0.02¢/kW .h. not measure the dedu of 1980 commercial consumption. This not Mr. Hadade only 1982. $45,000. That, itself, is not commercial mid-day. The this however, because contribution by that sector. Because of utility and commercial it is important rate treatment must concerned. of cert these costs to be current rates. through current rates 1 and with a demand and a flat rate for but rather to measure in July 1981 of at $35,000 to the meters at proposed will ensure a close corporate the Hemlock and be seen to to all
6 will maintain the minimum of component a flat rate of 11 per for after July 1, approx $139,000 from schedules are lower of commencement of of revenue. Hemlock is amounts. rate structure are other matters the between the utility The it is more customer an underground costs on matter a accounts, it not been be enforced new customers or commercial customers of utility similarly be accrue on existing and new security account rate of with it out in the tariff to be filed as a of B.C. Hydro s may would provide a measure if costs were a rate per and have as its to each class of customer will a revenue of customers. As new rate at H an amount of revenue comment. first to and the structures a $150.00 on new ace aunts. This must for the to two matters should be set the event an one or more seem
7 Our concern in has the tariff at same time, to area utility wlll have to approv a1 of the Com mi its investment the structures. with connection would DATED at the of 8th of July, 1983. with to will the as resources Hem should with the utLiity c a manner of rate of
BRITISH COLUMBIA UTILITIES COMMISSION ORDER NUMBER G-47-83 PROVINCE OF BRITISH COLUMBIA BRITISH COLUMBIA UTILITIES COMMISSION IN THE MATTER OF the Utilities Commission Act, S.B.C. 1980, c. 60, as amended and IN THE MATTER OF an Application by Hemlock Valley Electrical Services Ltd. BEFORE: J.D.V. Newlands, Deputy Chairman; N. Martin, July 8, 1983 Commissioner; and R.J. Ludgate, Commissioner 0 R D E R WHEREAS Hemlock Valley Electrical Services Ltd. ("Hemlock") applied November 13, 1982 for amended Tariff Rate Schedules reflecting the introduction of electric power purchased from B.C. Hydro as a replacement for diesel generated power; and WHEREAS the purchased electric power is transmitted through a new intertie transmission line constructed by Hemlock under Certificate C-5-82; and WHEREAS the Commission issued Order No. G-82-82 authorizing interim reduced rates to become effective on and after the date on which B.C. Hydro commenced the supply of electric power; and WHEREAS the interim reduced rates were authorized subject to refund with interest pending a public hearing of Hemlock's Application; and WHEREAS the Application was heard in public at the Commission hearing room June 7, 1983, and the Commission has considered the evidence adduced. . .. /2 TWENTY FIRS< FLOOR, \117 WEST HAS11NGS VANCOUVErl V6E CANADk TELEPHONE 1004) 689·\S:!t TELEX
BRITISH COLUMBIA UTILITIES COMMISSION ORDER NUMBER G-47-83 2 NOW THEREFORE the Con®ission hereby orders Hemlock Valley Electrical Services Ltd. as follows: 1. Hemlock will prepare and file with the Commission a Tariff Rate Schedule which will maintain a minimum monthly charge of $15.00 but will have as its major component a flat rate for consumption of electricity on and after July 1, 1983 of 11.5 cents/kWh to each class of customer. 2. Hemlock is directed to determine the amount of overcollection from its customers since December 17, 1982 and to provide refunds, with appropriate interest, to such customers. DATED at the City of Vancouver, in the Province of British Columbia, this ~day of July, 1983. BY 0A-J~ Chairman
Commission Adjusted Revenue ,038.88) 138,932.36 2 Commercial 3 $344 15.88 $(50,204.87) $294,21 4 I 1.1 1) 5 20,000.00 6 Corporation tax 1,350.00 7 Depree 8 Insurance 9,000.00 9,000.00 9 Adm. &: M 1 038.46 1 038.46 10 1 16,000 II Supplies l 1,300.00 12 fees 3 !4 -'-"'-,~--L5 TOTAL $132, 16 17 18 TOTAL $ll 1) 19 3 yr. @ .44 ( l 5 __ ,_,_ _ ,_ _ 18 21 TOTAL N $(91 '1 2.01 ( 15 + 18 + 20) * cost is $342
(1) (3) 500 10.70 Next 300 ll Next 1000 l2.84 1 11.10 (I) (3) 9.1 1 $5.00/kW $5.00 11.16 12.01 The $15.00 minimum than v. mills/kW .h and rem in * II * 1l 1.1 11 11 11. (4) (4) (5) = 1-w % ----~-- --,-~-~---11.50 w 11.50 4.2 buys about 130 kW .h which is Exhibit $0.0386/l<.W .h or loan is
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