Orders

BRITISH COL UMBIA UTILITIES COM MISSION ORDER NUMBER G -108-07 SIXTH FLOOR, 900 HOWE STREET, BOX 250 TELEPHONE: (604) 660-4700 VANCOUVER, B.C. V6Z 2N3 CANADA BC TOLL FREE: 1-800-663-1385 web site: http://www.bcuc.com FACSIMILE: (604) 660-1102 IN THE MATTER OF the Utilities Commission Act, R.S.B.C. 1996, Chapter 473 and An Application by FortisBC Inc. for a Certificate of Public Convenience and Necessity Distribution Substation Automation Project BEFORE: L.A. O’Hara, Panel Chair and Commissioner P.E. Vivian, Commissioner September 18, 2007 O R D E R WHEREAS: A. On August 28, 2007 FortisBC Inc. (“FortisBC”) applied (the “Application”) to the British Columbia Utilities Commission (“Commission”), pursuant to Sections 45 and 46 of the Utilities Commission Act, for a Certificate of Public Convenience and Necessity (“CPCN”) for the Distribution Substation Automation Project (“the Project”); and B. FortisBC states that the Project is estimated to cost $ 6.38 million and is required to enable improved substation data collection, remote equipment operation, improved distribution reliability, and enhanced power system planning and safety; and C. The Project consists of installing automated control and data acquisition systems in 28 existing substations. All equipment design and operation is consistent with the equipment currently being installed in new substations in the FortisBC service territory; and D. The Project is scheduled to commence in 2007 and to be completed by the end of 2011; and E. The Commission considers that a written public hearing is required for the regulatory review of the Application. NOW THEREFORE the Commission orders as follows: 1. The Commission establishes a written public hearing process for the review of the Application, and sets down the Regulatory Timetable for the proceeding that is attached as Appendix A. 2. FortisBC shall provide notification that the Application will be reviewed by a written public hearing process, by email or facsimile, to all Intervenors and Interested Parties registered in the following proceedings as soon as it is possible to do so. . . ./2

2 • FortisBC - 2008 Revenue Requirements, 2007-2008 Capital Expenditure Plan and 2007 Update; and • FortisBC - 2006 FortisBC Inc., and Princeton Light and Power Company, Limited Application to Transfer Shares and Assets of PLP to FortisBC and to Wind-up PLP. FortisBC shall also notify: • British Columbia Hydro and Power Authority; and • British Columbia Transmission Corporation. 3. Intervenors or Interested Parties should register with the Commission, in writing or electronic submission, by Friday, October 19, 2007. DATED at the City of Vancouver, in the Province of British Columbia, this 18 Attachments Orders/G-108-07/FBC_CPCN Distribution Substation Automation Project BRITISH COLUMBIA UTILITIES COMMISSION ORDER NUMBER G-108-07 th day of September 2007. BY ORDER Original signed by: L.A. O’Hara Panel Chair and Commissioner

FORTISBC INC. Certificate of Public Convenience and Necessity Application for the Distribution Substation Automation Project REGULATORY TIMETABLE ACTION BCUC Information Requests No. 1 to FortisBC Intervenor Registration Intervenor Participant Assistance Budgets FortisBC Responses to BCUC Information Requests No. 1 Intervenor Information Requests No. 1 to FortisBC FortisBC Responses to Intervenor Information Requests No. 1 FortisBC Final Submission Intervenor Final Submissions FortisBC Reply Submission APPENDIX A to Order No. G-108-07 Page 1 of 1 DATE (2007) Thursday, October 4 Friday, October 5 Thursday, October 11 Friday, October 12 Wednesday, October 24 Friday, November 2 Friday, November 16 Friday, November 23 Friday, November 30

APPENDIX B to Order No. G-108-07 Page 1 of 2 SIXTH FLOOR, 900 HOWE STREET, BOX 250 TELEPHONE: (604) 660-4700 VANCOUVER, B.C. V6Z 2N3 CANADA BC TOLL FREE: 1-800-663-1385 FACSIMILE: (604) 660-1102 web site: http://www.bcuc.com FORTISBC INC. Certificate of Public Convenience and Necessity Application for the Distribution Substation Automation Project NOTICE OF WRITTEN PUBLIC HEARING THE APPLICATION On August 28, 2007 FortisBC Inc. (“FortisBC”) applied to the British Columbia Utilities Commission (“Commission”), pursuant to Sections 45 and 46 of the Utilities Commission Act, for a Certificate of Public Convenience and Necessity for the Distribution Substation Automation Project (“the Project”). FortisBC states that the Project is estimated to cost $ 6.38 million and is required to enable improved substation data collection, remote equipment operation, improved distribution reliability, and enhanced power system planning and safety. The Project consists of installing automated control and data acquisition systems in 28 existing substations. All equipment design and operation is consistent with the equipment currently being installed in new substations in the FortisBC service territory. The Project is scheduled to commence in 2007 and to be completed by the end of 2011. The Commission has established a Written Public Hearing process and regulatory timetable for the review of the Application, all as set out in Commission Order No. G-108-07. PUBLIC INSPECTION OF THE DOCUMENTS The Application and supporting materials will be available for inspection at the following locations: FortisBC Inc. British Columbia Utilities Commission Head Office Sixth Floor, 900 Howe Street Fifth Floor 1628 Dickson Avenue Vancouver, BC V6Z 2N3 Kelowna, B.C. V1Y 9X1 Telephone: 1-800-663-1385 http://www.fortisbc.com http://www.bcuc.com FortisBC Inc. Trail Office 1290 Esplanade Trail, B.C. V1R 4L4

APPENDIX B to Order No. G-108-07 Page 2 of 2 REGISTERING TO PARTICIPATE Persons who expect to actively participate in the FortisBC proceeding should register as Intervenors with the Commission, in writing, by Friday, October 5, 2007. Intervenors are requested to identify their interest in the Application. Intervenors will receive copies of the Application, all correspondence and filed documentation in accordance with the Commission’s Document Filing Protocols. Persons not expecting to actively participate, but who have an interest in the FortisBC proceeding should register as Interested Parties with the Commission, in writing, by the same date. Interested Parties will receive a copy of the Application’s Executive Summary. All submissions and correspondence received from participants relating to the Application will be placed on the public record and posted to the Commission’s web site at http://www.bcuc.com. The Commission Panel in a proceeding may award costs for participation, pursuant to the Participant Assistance/Cost Award Guidelines, under Section 118 of the Act. The Guidelines are available at http://www.bcuc.com/Guidelines.aspx. Participants intending to apply for participant assistance must file a budget by Thursday, October 11, 2007. FURTHER INFORMATION For further information, please contact the Commission Secretary, Ms. Erica Hamilton or Mr. Brian Williston, Director, Engineering and Energy Markets as follows: Commission Secretary Mr. Brian Williston Telephone: (604) 660-4700 Email: brian.williston@bcuc.com Facsimile: (604) 660-1102 Telephone: (604) 660-4700 E-mail: Commission.Secretary@bcuc.com BC Toll Free: 1-800-663-1385