Orders

ORDER NUMBER

G-163-18

IN THE MATTER OF

the Utilities Commission Act, RSBC 1996, Chapter 473

and

Pacific Northern Gas Ltd.

Application for Approval of Letter Agreement between

Pacific Northern Gas Ltd. and Triton LNG Limited Partnership

BEFORE:

B. A. Magnan, Commissioner

on August 30, 2018

ORDER

WHEREAS:

A.      On April 9, 2018, Pacific Northern Gas Ltd. (PNG) filed with the British Columbia Utilities Commission (BCUC), pursuant to sections 59 to 61 of the Utilities Commission Act, a request for approval of a letter agreement entered into between PNG and Triton LNG Limited Partnership (Triton) on March 29, 2018 (Letter Agreement) and to establish an interest-bearing deferral account to capture any option fees received from Triton (Application);

B.      The Letter Agreement, attached as Appendix A to the Application, sets out the terms and conditions under which PNG will provide Triton with an option on firm and interruptible transportation service for a proposed small modular liquefied natural gas (LNG) or methanol export project to be located at Ridley Island, BC. The option is for a minimum of 20 MMcf/day of firm transportation service, increasing to approximately 50 MMcf/day of firm transportation service at Triton’s election, should Triton elect to reserve additional capacity on terms to be determined by PNG;

C.      By Order G-93-18 dated May 15, 2018, the BCUC established a regulatory timetable for the review of the Application, including one round of BCUC information requests (IRs), an opportunity for members of the public to file letters of comment, and PNG responses to letters of comment;

D.      On June 8, 2018, the BCUC received a letter of comment from Western LNG LLC (WLNG) stating it opposes the Application on public interest grounds. In consideration of WLNG’s letter of comment and subsequent response from PNG on June 15, 2018, the BCUC issued Order G-116-18 which amended the regulatory timetable to provide for, among other things, intervener registration and intervener IRs;

E.       By Order G-134-18 dated July 19, 2018, the BCUC amended the regulatory timetable to include the filing of intervener evidence, IRs on intervener evidence, the filing of rebuttal evidence by PNG, IRs on PNG’s rebuttal evidence, and written final and reply arguments;

F.       By letter dated August 23, 2018, PNG notified the BCUC that it will not be submitting rebuttal evidence;

G.      On August 24, 2018, the BCUC issued Panel IR No. 1 to PNG and requested a response from PNG by August 29, 2018;

H.      By letter dated August 27, 2018, PNG requested an extension of an additional two days to file its responses to the BCUC Panel IRs, as well as an extension of an additional eight days to the written final and reply arguments;

I.        On August 28, 2018, WLNG responded to PNG’s request, stating that PNG’s proposed dates were in conflict with WLNG’s other work commitments. Accordingly, WLNG proposed two alternatives: (i) maintain the existing regulatory timetable for written arguments, or (ii) further extend the deadline for intervener written final arguments to September 27, 2018;

J.        By letter dated August 29, 2018, PNG filed a revised extension request which included a proposed deadline of September 27, 2018 for intervener written final arguments, as put forth by WLNG;

K.      British Columbia Old Age Pensioners Organization et al. subsequently filed a letter on August 29, 2018 supporting PNG’s revised extension request; and

L.       The BCUC has reviewed the submissions from PNG and the interveners and considers that amending the regulatory timetable is warranted.

NOW THEREFORE pursuant to sections 59 to 61 of the Utilities Commission Act, the amended regulatory timetable for the review of the Application is established, as set out in Appendix A to this order.

DATED at the City of Vancouver, in the Province of British Columbia, this               30^th               day of August 2018.

BY ORDER

Original signed by

B. A. Magnan

Commissioner

Attachment

Pacific Northern Gas Ltd.

Application for Approval of Letter Agreement between

Pacific Northern Gas Ltd. and Triton LNG Limited Partnership