ORDER NUMBER
G-32-20
IN THE MATTER OF
the Utilities Commission Act, RSBC 1996, Chapter 473
and
British Columbia Hydro and Power Authority
Fiscal 2020 to Fiscal 2021 Revenue Requirements Application
BEFORE:
D. M. Morton, Panel Chair
A. K. Fung, QC, Commissioner
E. B. Lockhart, Commissioner
R. I. Mason, Commissioner
on February 26, 2020
ORDER
WHEREAS:
A. On February 25, 2019, the British Columbia Hydro and Power Authority (BC Hydro) filed its Fiscal 2020 to Fiscal 2021 (F2020–F2021) Revenue Requirements Application (Application) with the British Columbia Utilities Commission (BCUC) pursuant to sections 44.2, 58 to 61 and 99 of the Utilities Commission Act (UCA) requesting, among other things:
(i) approval of a reduction of the Deferral Account Rate Rider (DARR) from 5 percent to 0 percent effective April 1, 2019;
(ii) approval of an increase in rates by 6.85 percent effective April 1, 2019;
(iii) approval of an increase in rates by 0.72 percent effective April 1, 2020; and
(iv) approval of the F2020–F2021 Open Access Transmission Tariff (OATT) rates as set out in Table 9-8 of the Application effective April 1, 2019 and April 1, 2020, respectively;
B. BC Hydro requested these changes be made effective on an interim basis, pending a final BCUC decision on the Application;
C. The BCUC issued Order G-45-19 approving, on an interim basis, the requested rate increase of 6.85 percent and the reduction of the DARR to 0 percent, effective April 1, 2019, and the requested OATT rates for F2020;
D. On August 22, 2019, BC Hydro filed an evidentiary update to the Application (Evidentiary Update), adjusting its rate request effective April 1, 2020 from an increase of 0.72 percent to a decrease of 0.99 percent;
E. On January 21, 2020, BC Hydro filed a correction to the Evidentiary Update, further adjusting its rate request effective April 1, 2020 from a decrease of 0.99 percent to a decrease of 1.01 percent;
F. On February 14, 2020, BC Hydro applied for approval of interim and refundable rates reflecting the 1.01 percent decrease effective April 1, 2020 and interim approval of the requested OATT rates for F2021 (F2021 Interim Rates Application); and
G. The BCUC has considered the F2021 Interim Rates Application and determines that approval of interim rates is warranted.
NOW THEREFORE, pursuant to sections 58 to 61, 89 and 90 of the UCA, the BCUC orders as follows:
1. The requested rate decrease of 1.01 percent is approved on an interim basis effective April 1, 2020.
2. The requested OATT rates for F2021 as set out in Table E-2 of the correction to the Evidentiary Update are approved on an interim basis effective April 1, 2020.
3. The Rate Schedules and OATT rates set out in Appendix B to the F2021 Interim Rates Application are accepted for filing.
4. The rates approved by this order will remain interim and subject to refund/recovery or adjustment with interest at BC Hydro’s weighted average cost of debt until further order of the BCUC.
5. BC Hydro must provide all BC Hydro customers with notification of the interim rate changes as soon as is practicable
DATED at the City of Vancouver, in the Province of British Columbia, this 26th day of February 2020.
BY ORDER
Original signed by:
D. M. Morton
Commissioner