ORDER NUMBER
G-259-19
IN THE MATTER OF
the Utilities Commission Act, RSBC 1996, Chapter 473
and
Creative Energy Vancouver Platforms Inc.
Application for Fuel Cost Adjustment Charge and
Fuel Cost Adjustment Charge Rate Rider Change
BEFORE:
B. A. Magnan, Commissioner
on October 25, 2019
ORDER
WHEREAS:
A. On October 11, 2019, Creative Energy Vancouver Platforms Inc. (Creative Energy) filed with the British Columbia Utilities Commission (BCUC) a Fuel Cost Adjustment Charge (FCAC) and FCAC Rate Rider application (Application), seeking approval of a FCAC of $10.70 per thousand pounds steam (/M#) and a FCAC Rate Rider of $4.40/M#, effective November 1, 2019;
B. The Application includes the forecast Fuel Charge Stabilization Account (FCSA), a 12-month fuel expense forecast of $11,746,911 and a 12-month load forecast of 1,098,514 M#;
C.
Creative Energy submits that the proposed FCAC
Rate Rider has been calculated based on a 24-month amortization of the current
balance in the FCSA and is targeted to reduce the exceedance in the FCSA to
5 percent of a 12-month total of fuel costs;
D. By Order G-213-18, dated November 8, 2018, the BCUC approved a permanent FCAC of $13.75/M#, effective October 18, 2018;
E. By Order G-52-19, dated March 8, 2019, the BCUC approved a FCAC Rate Rider of $4.80/M# on an interim and refundable basis, effective March 1, 2019;
F. By Letter L-22-19, dated May 30, 2019, the BCUC accepted Creative Energy’s proposed contracting plan to obtain natural gas supply and delivery from FortisBC Energy Inc. under bundled service Rate 7, effective November 1, 2019;
G.
In its decision and accompanying Order G-226-19,
dated September 18, 2019, the BCUC directed Creative Energy to file for
approval an updated rate rider amount using up-to-date information based on a
24-month amortization period effective March 1, 2019 and the exclusion of the
third-party regulatory costs in the FCSA; and
H. The BCUC has reviewed the Application and determines that the requested changes are warranted.
NOW THEREFORE pursuant to section 61(4) of the Utilities Commission Act, the BCUC orders the following:
1. The FCAC rate of $10.70/M# is approved, effective November 1, 2019.
2. The FCAC Rate Rider of $4.40/M# is approved, effective November 1, 2019.
3. Creative Energy is to refund customers the difference between the interim FCAC Rate Rider of $4.80/M# and the FCAC Rate Rider of $4.40/M#, calculated based on actual customer consumption between March 1, 2019 and September 30, 2019 and forecast customer consumption for October 2019.
4. Creative Energy is to inform its customers of the approved FCAC rate and Rate Rider in a timely manner by way of a customer notice.
DATED at the City of Vancouver, in the Province of British Columbia, this 25th day of October 2019.
BY ORDER
Original signed by:
B. A. Magnan
Commissioner