B R I T I S H C O L U M B I A U T I L 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-99-00 SIXTH FLOOR, 900 HOWE STREET, BOX 250 VANCOUVER, B.C. V6Z 2N3 CANADA TELEPHONE: (604) 660-4700 web site: http://www.bcuc.com BC TOLL FREE: 1-800-663-1385 FACSIMILE: (604) 660-1102 IN THE MATTER OF the Utilities Commission Act, R.S.B.C. 1996, Chapter 473 and An Application by JJH Equipment Trust for an Exemption Covering the Jedney I, Jedney II and Highway Transportation and Processing Facilities BEFORE: P. Ostergaard, Chair ) L.R. Barr, Deputy Chair ) P.G. Bradley, Commissioner ) B.L. Clemenhagen, Commissioner ) October 19, 2000 K.L. Hall, Commissioner ) N.F. Nicholls, Commissioner ) O R D E R WHEREAS: A. On August 25, 2000, JJH Equipment Trust (“the Trust”) applied to the Commission under Section 88(3) of the Utilities Commission Act (“the Act”) for an exemption from Part 3 of the Act with respect to its proposed ownership of the Jedney I, Jedney II, and Highway natural gas transportation and processing facilities listed in Appendix I (“the Jedney and Highway Facilities”) in northeast British Columbia which are used by Westcoast Gas Services Inc. (“WGSI”) to provide natural gas transportation and processing services to others; and B. The Trust will acquire the Jedney and Highway Facilities from WGSI under a sale lease-back transaction pursuant to which the Trust will own the facilities and lease them to WGSI for a specified period of time. During the term of the lease WGSI will continue to operate the Jedney and Highway Facilities and use the facilities to transport and process natural gas for others; and C. On August 6, 1997, by Order No. G-90-97, and on August 28, 1998, by Order No. G-76-98, the Commission approved for WGSI an exemption from Part 3, other than Sections 24 and 25, of the Jedney and Highway Facilities and certain other facilities used by WGSI to transport or process natural gas for others; and D. Facilities which have been exempted from Part 3 of the Act may continue to be regulated under the Act on a complaint basis; and
B R IT IS H C O L U M B I A U T I L I T I E S C O M M IS S I ON O R D E R N U M B ER G-99-00 2 E. The Commission has considered the Application and is satisfied that an Order, under Section 88(3) of the Act, exempting the Trust in respect of the Jedney and Highway Facilities from the requirements under Part 3 of the Act, other than Sections 24 and 25, properly conserves the public interest; and F. On October 12, 2000, the approval of the Lieutenant Governor in Council was given to the said exemption by Order in Council No. 1397, 2000, which is attached as Appendix II; and G. Section 99 of the Act provides that the Commission may reconsider, vary, or rescind an Order made by it. NOW THEREFORE the Commission orders as follows: 1. Pursuant to Section 88(3) of the Act, the Commission approves for the Trust an exemption from Part 3 of the Act, other than Sections 24 and 25, of the Jedney and Highway Facilities, effective the date of this Order. 2. The Jedney and Highway Facilities will continue to be regulated under the Act on a complaint basis, with a complaint taking a form similar to that of an application by an interested party under the Common Carrier and Common Processor sections of Part 4 of the Act, with respect to a facility that has been declared a common carrier or common processor facility. 3. During the term of the lease, the Trust will support WGSI compliance with the operating and reporting directives of Commission Order No. G-76-98. 4. The Trust is directed to pay fees to the Commission in the amounts that the Commission determines are required to defray costs associated with the regulation of the Jedney and Highway Facilities. DATED at the City of Vancouver, in the Province of British Columbia, this 20 th day of October 2000. BY ORDER Original signed by: Peter Ostergaard Chair Attachments Order/JJH EquipTrust-Exempt Pt 3
APPENDIX I to Order No. G-99-00 Page 1 of 1 JJH EQUIPMENT TRUST Transportation and Processing Facilities in British Columbia Exempted from Part 3 Regulation 1. Jedney I area - all pipelines, plant and related facilities. 2. Jedney II area – all pipelines, plant and related facilities. 3. Highway area – all pipelines, plant and related facilities.
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