s\-\ COl.. ~\ ~ ~~ ~~_Sf+~f~~ S ,~~::, 0 /~~~:-.... ROBERT J. PELLATT ('/~ ::' ", ,', ." .:: COMMISSION SECRETARY /12:8 ..~ '~~~\ «name 1» «title» «company» «address 1» «address2» «City» «PostaICode» Dear «name2»: Re: Retail Markets Downstream of the Utility Meter Guidelines On April 7, 1997, the Commission issued Guidelines with respect to utility participation in retail markets downstream of the utility meter. In response to these Guidelines, the Commission is now requesting that each utility within its jurisdiction provide it with information regarding the current non-regulated activities undertaken by the utility either directly or indirectly but using utility facilities or services. In particular, the Commission is requesting that the utility provide the following information to the Commission by July3l,1997. I. Identification of all current non-regulated business activities undertaken by the utility directly or by a related-NRB using some utility facilities or services. 2. Identification of any regulated activities which the utility currently provides but plans to provide on a non-regulated basis, either directly or through a non-regulated company, within the next three years. 3. Based on the items identified in item 2 above, a preliminary strategy for affecting the transfer of any items which the utility currently plans to move to unregulated provision within the next three years. If it is planned to use utility facilities or services in the provision of these services, either through a transition period or on a long term basis, this should be identified. In addition, the utility should provide an initial justification for why the use of utility facilities or services is acceptable, LETTER No. L-20-97 u " .. " . " --'II" -" . "" ... ~ :z SIXTH FLOOR, 900 HOWE STREET. BOX 250 VANCOUVER, B.C. CANADA V6Z 2N3 00 TELEPHONE: (604) 660-4700 BC TOLL FREE: 1-800-663-1385 FACSIMILE: (604) 660-1102 May 15, 1997 .. .12
2 4. A draft transfer pricing policy to apply to the provision of utility services and facilities to non-regulated activities. If exceptions to the policy are desired for any non-regulated activity, these exceptions should be clearly identified. 5. A draft code of conduct to apply to the provision of utility services and facilities to non-regulated activities. If exceptions to the code are desired for any non-regulated activity, these exceptions should be clearly identified. The Commission recognizes that there will be some uncertainty attached to the information provided, particularly in response to items 2 and 3. Nonetheless, this information is required to allow the Commission to ensure that ratepayers are not adversely affected by utility participation in downstream retail markets. Yours truly, obert J. Pellatt OWFlcrns RMDM/Cor/RMDM Compliance Primary
Ms. Darlene Barnett Senior Vice President Marketing and Customer Services British Columbia Hydro and Power Authority 17th Floor - 333 Dunsmuir Street Vancouver, B.C V6B 5R3 Mr. Robert Hobbs Director, Regulatory Affairs and Corporate Secretary West Kootenay Power Ltd. Box 130 Trail, B.C. VIR 4L4 Mr. D.M. Masuhara Vice-President, Legal and Regulatory Affairs and Secretary BC Gas Utility Ltd. 1111 West Georgia Street Vancouver, B.C. V6E 4M4 Mr. D.M. Masuhara Vice-President, Legal and Regulatory Affairs and Secretary Squamish Gas Co. Ltd. 1111 West Georgia Street Vancouver, B.C. V6E 4M4 Mr. John Hall President Princeton Light and Power Company, Limited Box 908 Penticton, B.C. V2A 7G 1 Mr. Marcel Reghelini Manager, Regulatory Affairs and Rates Centra Gas British Columbia Inc. P.O. Box 3777 1675 Douglas Street Victoria, B.C. V8W 3V3 Mr. c.P. Donohue Manager of Regulatory Affairs Pacific Northern Gas (N.E.) Ltd. Suite 1400 1185 West Georgia Street Vancouver, B.C. V6E 4E6 Mr. c.P. Donohue Manager of Regulatory Affairs Pacific Northern Gas Ltd. Suite 1400 1185 West Georgia Street Vancouver, B.C. V6E 4E6
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