IN THE MATTER OF
the Utilities Commission Act, R.S.B.C. 1996, Chapter 473
and
Application by British Columbia Hydro and Power Authority
Amendment #4 to the
Transmission Service Rates Customer Baseline Load F2010 and F2011 Application
BEFORE: L.F. Kelsey, Commissioner
N.E. MacMurchy, Commissioner December 1, 2011
R.D. Revel, Commissioner
O R D E R
WHEREAS:
A. On October 4, 2010, British Columbia Hydro and Power Authority (BC Hydro) filed, pursuant to sections 58 to 61, 89 and 90 of the Utilities Commission Act (the Act) and section 15 of the Administrative Tribunals Act, an application (the F10/F11 CBL Application) with the British Columbia Utilities Commission (Commission) for approval of Adjusted F2010 customer baseline loads (CBLs), on a final and permanent basis effective April 1, 2009, and Interim F2011 CBLs, on an interim basis effective April 1, 2010, for Transmission Service Rate (TSR) customers billed on BC Hydro’s Rate Schedule (RS) 1823. BC Hydro also sought approval to bill certain TSR customers on RS 1823 Energy Charge A;
B. BC Hydro also requested that the Adjusted F2010 CBLs remain interim for two customers identified in Appendix A of the F10/F11 CBL Application pending the resolution of certain matters concerning the CBL determination for those customers;
C. BC Hydro stated that per section 6.2.1 of the CBL Guidelines, BC Hydro has submitted all Adjusted F2010 CBL and Interim F2011 CBL determinations to the customer for review and comment prior to filing the F10/F11 CBL Application;
D. On November 25, 2010, the Commission issued Order G-176-10, and Letter L-94-10, directing BC Hydro to inform each TSR customer of the Adjusted F2010 CBL and Interim F2011 CBL proposed for them by BC Hydro. TSR customers were requested to provide the Commission with comments on BC Hydro’s proposed CBLs by December 17, 2010. If a customer had not responded to the Commission by that date, Letter L‑94‑10 advised that the Commission would conclude that the customer agreed with the CBLs proposed by BC Hydro;
E. On December 17, 2010, the Commission received comment from one TSR customer concerning the F2011 CBL proposed by BC Hydro: Prince Rupert Port Authority (PRPA);
F. On January 10, 2011, BC Hydro filed amendments to the F10/F11 CBL Application resulting from comments it received from certain TSR customers. The amendments included revisions to Adjusted F2010 CBLs for three customers: Tembec Industries Inc. - Skookumchuk (Tembec), West Fraser Mills Ltd. - Quesnel Sawmill (West Fraser), and Terminal Systems Inc. (TSI). BC Hydro also proposed that three customers remain on their Adjusted F2010 CBLs, on an interim basis, pending review by BC Hydro of further information from the customers and a further submission to the Commission: Gibraltar Mines Ltd. - McLeese Lake (Gibraltar), Howe Sound Pulp and Paper Ltd. Partnership - Port Melon (Howe Sound), and Neucel Specialty Cellulose Ltd. (Neucel);
G. On October 15, 2010, BC Hydro applied to the Commission for reconsideration and variance of Order G‑139‑10 regarding the Interim F2010 CBL of a customer: Buckeye Canada (Buckeye). The application for reconsideration and variance was denied by Commission Order G‑4‑11 on January 14, 2011;
H. On March 3, 2011, BC Hydro filed a further amendment to the F10/F11 CBL Application resulting from Commission Order G-4‑11, and to update the F2010 CBL Statement for Northgate Minerals Corporation;
I. On March 11, 2011, Commission Order G‑44‑11 Directive 1 approved the CBLs and transfers to RS 1823 Energy Charge A in the column identified as “Adjusted F2010 CBL for Final Approval” contained in Appendix A of the March 3, 2011 application on a final and permanent basis. Directive 2 approved the CBLs and transfers to RS 1823A in the column identified as “Interim F2011 CBL for Interim Approval” contained in Appendix A of the March 3, 2011 application on an interim basis until such time as they are approved on a permanent basis by the Commission. Directive 3 stated that these Directives do not apply to Gibraltar, Howe Sound and Neucel, which are to remain on their Adjusted F2010 CBLs on an interim basis and will be considered subsequent to the Order;
J. On September 7, 2011, BC Hydro filed Adjusted F2010 CBLs for final approval and Interim F2011 CBLs for interim approval for Gibraltar, Howe Sound and Neucel which reflect the revisions of the CBLs resulting from discussions and agreements with the customers. The filing included agreements from Gibraltar and Howe Sound to their F2010 CBLs but not from Neucel;
K. On October 6, 2011, the Commission issued a letter to Neucel requesting Neucel inform the Commission by October 21, 2011 as to whether it disputes its Adjusted F2010 CBL or Interim F2011 CBL; and
L. On October 21, 2011, Neucel informed the Commission that it intends to dispute its proposed Adjusted F2010 CBL as proposed by BC Hydro but that it and BC Hydro are still in discussions.
NOW THEREFORE the Commission orders as follows:
1. The CBLs for Gibraltar and Howe Sound in the column identified as “Adjusted F2010 CBL for Final Approval” contained in Appendix A of the September 7, 2011 application are approved on a final and permanent basis.
2. The CBLs for Gibraltar and Howe Sound in the column identified as “Interim F2011 CBL for Interim Approval” contained in Appendix A of the September 7, 2011 application are approved on an interim basis until such time as they are approved on a permanent basis by the Commission.
DATED at the City of Vancouver, in the Province of British Columbia, this First day of December 2011.
BY ORDER
Original signed by:
L.F. Kelsey
Commissioner