Orders

IN THE MATTER OF

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

and

An Application by Pacific Northern Gas Ltd.

for Approval of a Proposed Gas Storage Contract with Tenaska Marketing Canada

and the Acceptance of an Amended 2013-2014 Annual Contracting Plan

BEFORE:               L.F. Kelsey, Commissioner

                                N.E. MacMurchy, Commissioner                               September 19, 2013

                                D.M. Morton, Commissioner

O  R  D  E  R

WHEREAS:

A.      On May 31, 2013, Pacific Northern Gas Ltd. (PNG) filed an Annual Contracting Plan for the November 1, 2013 to October 31, 2014 year (Original 2013-2014 ACP);

B.      On July 4, 2013, the British Columbia Utilities Commission (Commission) issued Letter L-41-13 accepting the Original 2013-2014 ACP with respect to the PNG-West, Fort St. John and Dawson Creek Service Areas;

C.      On August 29, 2013, PNG filed an amended Annual Contracting Plan for the 2013-2014 year (Amended ACP) and a proposed gas storage contract with Tenaska Marketing Canada (Proposed Storage Agreement);

D.      In the filing, PNG requested that the details of the Amended ACP and the Proposed Storage Agreement be held confidential;

E.       On September 13, 2013, PNG submitted a response to a Commission staff information request dated September 11, 2013;

F.       The Commission has reviewed the Amended ACP, the Proposed Storage Contract and the responses to staff information requests, and is satisfied that the Amended ACP and the Proposed Storage Contract are in the public interest and that the details of the Amended ACP and the Proposed Storage Contract should be held confidential.

NOW THEREFORE pursuant to section 71 of the Utilities Commission Act and the Commission’s Rules for Natural Gas Energy Supply Contracts:

1.       The Commission accepts the Amended ACP and approves the Proposed Storage Agreement.

2.       The information in the Amended ACP and the terms and details of the Proposed Storage Agreement will be held confidential.

3.       PNG is directed to include in its 2014-2015 Annual Contracting Plan an analysis of the performance of the Proposed Storage Agreement and related transportation and gas purchase arrangements for the 2013 winter and an updated evaluation of the value of the Proposed Storage Agreement for the remaining term of the Proposed Storage Agreement.

DATED at the City of Vancouver, in the Province of British Columbia, this            19^th          day of September 2013.

                                                                                                                                BY ORDER

                                                                                                                                Original signed by:

                                                                                                                                D.M. Morton

                                                                                                                                Commissioner