Orders

IN THE MATTER OF

the Utilities Commission Act, R.S.B.C. 1996, Chapter 473

and

An Application by the FortisBC Energy Utilities

(comprising FortisBC Energy Inc., FortisBC Energy (Whistler) Inc., and FortisBC Energy (Vancouver Island) Inc.)

for Approval of Common Rates, Amalgamation and Rate Design

BEFORE:               A.A. Rhodes, Panel Chair/Commissioner

                                C.A. Brown, Commissioner         

                                D.A. Cote, Commissioner                                             April 17, 2012

                                L. O’Hara, Commissioner

                                R.D. Revel, Commissioner

O  R  D  E  R

WHEREAS:

A.      On April 11, 2012, the FortisBC Energy Utilities (FEU or the Companies) filed an Application with the British Columbia Utilities Commission (Commission) seeking, among other things:

•         A Commission determination and report pursuant to section 53 of the Utilities Commission Act (the Act)  that the amalgamation of the FEU is beneficial in the public interest,

•         referral of the Commission report to the Lieutenant Governor in Council in support of an Order for approval to amalgamate effective January 1, 2014; and

•         The necessary approvals pursuant to sections 59 to 61 of the Act to adopt common or “postage stamp” rates and uniform services across all areas served by the FEU following amalgamation;

B.      The FEU propose a Preliminary Timetable attached as Appendix “A” that includes a Workshop to review the Application be held on Monday, April 30, 2012, commencing at 9:00 a.m., at the Commission Hearing Room on the 12^th Floor, 1125 Howe Street, Vancouver, BC;

C.      The Companies also propose that a Procedural Conference be held on Friday, June 15, 2012, at the Commission Hearing Room on the 12^th Floor, 1125 Howe Street, Vancouver, BC, commencing at 9:00 a.m.;

D.      The FEU propose that the issue of the appropriate hearing process be addressed at the Procedural Conference;

E.       The FEU propose a Draft Regulatory Timetable, attached as Appendix “B” including a second round of Information Requests and timetables for a Written Hearing, for discussion at the Procedural Conference; and

F.       The Commission considers that establishing a preliminary Regulatory Timetable, including a Workshop to review the Application and a Procedural Conference to determine the appropriate regulatory process for the remaining review of the Application is warranted.

NOW THEREFORE the Commission orders as follows:

1.       A Workshop to review the Application will be held on Monday, April 30, 2012, commencing at 9:00 a.m. in the Commission Hearing Room on the 12^th Floor, 1125 Howe Street, Vancouver, BC.

2.       A preliminary Regulatory Timetable as set out in Appendix “A” to this Order is established.

3.       A Procedural Conference will be held on Friday, June 15, 2012, commencing at 9:00 a.m. in the Commission Hearing Room on the 12^th Floor, 1125 Howe Street, Vancouver, BC.

4.       The Procedural Conference will address matters such as:

a.       identification of principle issues arising from or related to the Application;

b.      process options for review of the Application, including; 

‐ written hearing

‐ oral public hearing

‐ or, as appropriate, some combination of the above

c.       timetable (information requests, responses, intervener evidence, rebuttal evidence etc.), and, in particular, the draft timetable attached as Appendix “B” to this Order;

d.      location(s) of the proceedings;

e.      other matters that will assist the Commission to efficiently review all aspects of the Application.

After the Procedural Conference, the Commission will issue a further Procedural Order and Regulatory Timetable for its review of the Application.

5.       The FEU will publish, as soon as possible, in display-ad format, the Notice attached as Appendix “C” to this Order, in the Vancouver Sun, the Province, and such other appropriate local news publications as may properly provide adequate notice to customers served in the affected service areas.

6.       The FEU will provide a Bill Insert, in the format of the draft attached as Appendix “D” to this Order, and with all required information on the estimated total bill impact and the date the impact will be realized added, to all residential and commercial customers at the earliest opportunity.

7.       The Application, together with any supporting materials, will be made available for inspection at four FortisBC Energy Utilities offices: 16705 Fraser Highway, Surrey, BC, V4N 0E8; 320 Garbally Road, Victoria, BC, V8T 2K1; 1975 Springfield Road, Kelowna, BC, V1Y 7V7; 3901 Nahanni Drive, Fort Nelson, BC, V0C 1R0, and at the British Columbia Utilities Commission, Sixth Floor, 900 Howe Street, Vancouver, BC, V6Z 2N3 and will also be available on the FortisBC Energy Utilities website at www.fortisbc.com and on the BCUC website at www.bcuc.com.

8.       Interveners or Interested Parties should register with the Commission, in writing or by electronic submission, by June 14, 2012, but should note the earlier deadline for Intervener Information Requests contained in the Preliminary Regulatory Timetable attached as Appendix “A.”  Interveners should specifically state the nature of their interest in the Application and identify generally the nature of the issues that they may intend to pursue during the proceeding and the nature and extent of their anticipated involvement in the review process.

DATED at the City of Vancouver, in the Province of British Columbia, this            17^th          day of April 2012.

                                                                                                                                BY ORDER

                                                                                                                                Original signed by:

A.A. Rhodes

Panel Chair/Commissioner

Attachments

An Application by the FortisBC Energy Utilities

(comprising FortisBC Energy Inc., FortisBC Energy (Whistler) Inc., and FortisBC Energy (Vancouver Island) Inc.)

for Approval of Common Rates, Amalgamation and Rate Design

PRELIMINARY REGULATORY timetable

An Application by the FortisBC Energy Utilities

(comprising FortisBC Energy Inc., FortisBC Energy (Whistler) Inc., and FortisBC Energy (Vancouver Island) Inc.)

for Approval of Common Rates, Amalgamation and Rate Design

DRAFT REGULATORY TIMETABLE

for Discussion at the Procedural Conference

FortisBC Energy Utilities Intend to Amalgamate Natural Gas Service in BC

and Implement common rates

On April 11, 2012, the FortisBC Energy Utilities applied to the British Columbia Utilities Commission to amalgamate their natural gas utilities across the province and to implement common rates and services across their service areas starting January 1, 2014.  Currently, FortisBC Energy Utilities is made up of three separate natural gas companies, operating in six service areas.  The companies have their own services, service agreements (tariffs) and rates.  If approved, the application would combine the three companies into one, under a single tariff, with common rates for the various regions.

This Application has different implications for customers in each service area.  If approved, customers in the Vancouver Island and Whistler service areas will see rate decreases, while customers in the Lower Mainland, Columbia, Inland, and Fort Nelson service areas will see an overall rate increase.

Public Review Process

The Commission is initiating a review of FortisBC Energy Utilities’ Application.  To view the timetable for this hearing and the Application go to www.bcuc.com select “Current Applications” under “Quick Links” and scroll to “FEU Common Rates, Amalgamation and Rate Design.”

How to Get Involved

If you wish to participate actively in the review process, you may register as an Intervener or an Interested Party with the Commission Secretary in writing, using the contact information at the end of this notice.  All submissions and/or correspondence received from active participants or the general public relating to the Application will be placed on the public record and posted to the Commission’s website.

If you wish to attend the Public Workshop or the Procedural Conference please register with the Commission Secretary using the contact information at the end of this Notice.

View the Application

The Application and all supporting documentation are available on the Commission’s website on the Current Applications page (www.bcuc.com) and on the FortisBC website (www.fortisbc.com).

If you would like to review the material in hard copy, it is available at the locations below:

For More Information or to Register

For more information please contact Ms. Alanna Gillis, Acting Commission Secretary using the Commission contact information above.