B R I T I S H C O LU M B I A U T IL I T I E S C O M M I S S I O N O R D ER a N U M B E R G-66-98 SIXTH FLOOR, 900 HOWE STREET, BOX 250 TELEPHONE: (604) 660-4700 VANCOUVER, B.C. V6Z 2N3 BC TOLL FREE: 1-800-663-1385 CANADA FACSIMILE: (604) 660-1102 IN THE MATTER OF the Utilities Commission Act, R.S.B.C. 1996, Chapter 473 and An Application by British Columbia Hydro and Power Authority for Approval of Amendments to Real Time Pricing Rate Schedule 1848 BEFORE: P. Ostergaard, Chair ) L.R. Barr, Deputy Chair ) July 23, 1998 K.L. Hall, Commissioner ) O R D E R WHEREAS: A. The Commission, by Order No. G-114-97, approved for British Columbia Hydro and Power Authority (ÒB.C.ÊHydroÓ) its revised Rate ScheduleÊ1848 Application effective NovemberÊ18, 1997. The Rate Schedule defined a Real Time Pricing (ÒRTPÓ) energy price tied directly to an electricity price index published by Dow Jones for transactions at the Mid-Columbia (ÒMid-CÓ) trading hub; and B. On JuneÊ1, 1998, Dow Jones ceased reporting an average transaction price and began reporting two distinct indices reflecting different degrees of firmness in the delivery obligation; and C. On JuneÊ12, 1998, B.C.ÊHydro applied to the Commission for approval to make its Rate ScheduleÊ1848 energy rate interim, effective JuneÊ1, 1998, and to have the interim rate tied directly to the Dow Jones Mid-C Firm Electricity Index; and D. On JuneÊ18, 1998 the Commission, by Order No.ÊG-55-98, declared the energy rate under Rate ScheduleÊ1848 to be interim effective JuneÊ1, 1998, denied B.C.ÊHydroÕs request that the energy rate be tied directly to the Dow Jones Mid-C Firm Electricity Index, and established a Workshop to be held Tuesday, JulyÊ7, 1998; and E. The JulyÊ7, 1998 Workshop produced a proposal for revising the index options contained in Rate ScheduleÊ1848 to allow customers the choice of three pricing options. Comments in support of the three pricing options were received from a number of parties; and . . ./2
B R IT I S H C O LU M B I A U T I L IT IE S C O M M IS S I O N O R D E R N U M B E R G-66-98 2 F. The Commission has reviewed the proposal and finds that amendments and permanent changes to Rate ScheduleÊ1848 are necessary and in the public interest. NOW THEREFORE the Commission orders as follows: 1. The Commission approves for B.C.ÊHydro permanent rates for Rate SchedulesÊ1848 and 1288 to allow customers to choose one of the following three indices to be used in determining their daily RTP prices, effective AugustÊ1, 1998: ¥ the Dow Jones Mid-C Firm Electricity Price Index for High Load Hours and Low Load Hours; ¥ the Dow Jones Mid-C Non-Firm Electricity Price Index for High Load Hours and Low Load Hours; or ¥ the mid-point of the Mid-C One-Day Preschedule Price range. 2. Where the current Electric Tariff specifies the Dow Jones Mid-C Non-Firm Electricity Price Index as the default option, this will be changed to the Dow Jones Mid-C Firm Electricity Price Index. Rules respecting the election of pricing options and customersÕ right to switch between the available indices will remain unchanged from those contained in the existing Rate ScheduleÊ1848 Tariff. 3. For the months of June and July 1998, the interim rates charged are declared to be permanent, and those customers who have not elected to have their energy price tied to the mid-point of the Dow Jones Mid-C One-Day Preschedule Price range will continue to be charged using the Dow Jones Mid-C Non-Firm Electricity Price Index. 4. B.C.ÊHydro is to conduct a Workshop on Thursday, NovemberÊ12, 1998, to be held in the Commission Hearing Room commencing at 9:00Êa.m., to review the RTP program. B.C.ÊHydro is to invite all known participants and be ready to address, at a minimum, the following subjects, with supporting data where appropriate: ¥ the appropriateness of continuing to use the Mid-C indices as the most representative proxy for the Canada-U.S. border price; ¥ the appropriateness of the three-month restriction on customers switching between the Firm and Non-Firm price indices;
3 ¥ the possibility of permitting customers to use one index for peak periods, and another for off-peak periods; ¥ the appropriateness of adjusting RTP prices to reflect transportation costs between the Canada-U.S. border and the Mid-C hub; and ¥ criticism of pricing and operational obstacles to the effective utilization of block energy purchases. DATED at the City of Vancouver, in the Province of British Columbia, this ÊÊÊÊÊÊÊ24thÊÊÊÊÊÊÊÊday of July, 1998. Order/BCH-RTP Schedule 1848B R IT I S H C O LU M B I A U T IL I T IE S C O M M I S S I O N O R D ER N U M B E R G-66-98 BY ORDER Original signed by: Lorna R. Barr Deputy Chair
You are being directed to the most recent version of the statute which may not be the version considered at the time of the judgment.