Orders

ORDER NUMBER

G-5-18

IN THE MATTER OF

the Utilities Commission Act, RSBC 1996, Chapter 473

and

FortisBC Energy Inc.

2016 Rate Design Application

BEFORE:

K. A. Keilty, Commissioner/Panel Chair

W. M. Everett QC, Commissioner

D. J. Enns, Commissioner

on January 9, 2018

ORDER

WHEREAS:

A.      On December 19, 2016, FortisBC Energy Inc. (FEI) filed its 2016 Rate Design Application with the British Columbia Utilities Commission (Commission) and on February 2, 2017, FEI provided a supplemental filing which included a review of the rate design for the Fort Nelson service area (together, the Application);

B.      On June 28, 2017, the British Columbia Old Age Pensioners’ Organization et al. (BCOAPO) provided notice (Exhibit C3-4) of their intent to file intervener evidence to bring forward rate design-related propositions and issues relating to FEI’s service to low and fixed income British Columbians;

C.      On July 18, 2017, the Commission issued Order G-109-17 with reasons attached establishing further regulatory process that included a deadline for BCOAPO’s evidence of Tuesday, December 5, 2017, followed by submissions from registered interveners and FEI on further regulatory process;

D.      On December 5, 2017, BCOAPO filed a letter as Exhibit C3-8 stating that due to the denial of a recent Leave to Appeal with the Court of Appeal for British Columbia it would no longer be prudent to file intervener evidence;

E.       Commercial Energy Consumers Association of British Columbia (CEC) and FEI provided submissions on further regulatory process on December 8 and 13, 2017 respectively;

F.       Order G-109-17 also established that, following a streamlined review process (SRP) and written arguments, a decision would be issued with determinations on the two key topics below:

                                i.            The Cost of Service Allocation studies included in the Application; and

                              ii.            The revenue to cost ratio, the margin to cost ratio and the range of reasonableness;

G.      On September 25, 2017, the interveners filed their final arguments on the two key topics. In its Reply Argument dated October 2, 2017, FEI argued that the Catalyst Paper Corporation’s issues were not within the limited scope of the two key topics;

H.      On January 9, 2018, the Commission issued Order G-4-18 with reasons regarding the two key topics. Order G-4-18 included a determination that Catalyst Paper’s issues were not within the limited scope of the two key topics; and

I.        The Panel has considered the parties’ input and the Order issued on January 9, 2018 and has made determinations regarding further regulatory process.

NOW THEREFORE the Commission orders as follows:

1.       The regulatory timetable for the review of the Application is established as set out in Appendix A to this order.

2.       FEI is directed to file any updates to the Application by February 6, 2018. The electronic versions of the updates should include both a blacklined version and a clean version.

3.       The scope of Information Request No. 3 is limited to updates to the Application and the issues previously raised by Catalyst Paper.

DATED at the City of Vancouver, in the Province of British Columbia, this      9^th         day of January 2018.

BY ORDER

Original signed by:

K. A. Keilty

Commissioner

Attachment

FortisBC Energy Inc.

2016 Rate Design Application