Orders

ORDER NUMBER

G-151-20

IN THE MATTER OF

the Utilities Commission Act, RSBC 1996, Chapter 473

and

Creative Energy Vancouver Platforms Inc.

COVID-19 Deferral Account Application

BEFORE:

A. K. Fung, QC, Panel Chair

E. B. Lockhart, Commissioner

on June 12, 2020

ORDER

WHEREAS:

A.      On May 29, 2020, Creative Energy Vancouver Platforms Inc. (Creative Energy) filed an application with the British Columbia Utilities Commission (BCUC) requesting approval, pursuant to sections 59 to 61 of the Utilities Commission Act (UCA), of the following for each of its Core Steam (Core) and Northeast False Creek (NEFC) systems (Application);

(i)      Waive the application of the Core tariff (section 5) and of the NEFC Customer Service Agreement (section 12) in respect of the charging of the late payment charge on amounts invoiced for February 2020 through to amounts to be invoiced for July 2020;

(ii)    Establish a new COVID-19 Deferral Account for the Core system, bearing interest monthly at Creative Energy’s weighted average cost of debt, and to record to this account:

a.       Any incremental, unplanned expenses related to the COVID-19 pandemic that Creative Energy has incurred related to continuing safe and reliable operations, including any incremental financing costs;

b.      Any unrecoverable revenues (bad debt) resulting from customers that do not pay their bills due to the impacts of COVID-19 on their financial circumstances; and

c.       Any direct revenue loss resulting from the loss of load from customers due to the impacts of COVID-19 on their operational and financial circumstances;

(iii)   Establish a new COVID-19 Deferral Account for the NEFC system, bearing interest monthly at Creative Energy’s weighted average cost of debt, and to record to this account:

a.       Any unrecoverable revenues (bad debt) resulting from customers that do not pay their bills due the impacts of COVID-19 on their financial circumstances.

B.      Creative Energy requested that the BCUC approve the Application on an interim basis without notice, pursuant to section 91 of the UCA, with any process for review and approval of the Application on a final basis to follow;

C.      On June 4, 2020, the BCUC issued information requests to Creative Energy regarding the Application and Creative Energy filed its responses on June 10, 2020; and

D.      The BCUC has reviewed the Application and evidence of Creative Energy and finds that interim approval is warranted. The BCUC considers that the establishment of a public hearing process and regulatory timetable is also warranted.

NOW THEREFORE, pursuant to sections 59 to 61 and 91 of the UCA, the BCUC orders as follows:

1.       Creative Energy is granted approval on an interim and refundable basis to:

(i)      Waive the application of the Core tariff (section 5) and of the NEFC Customer Service Agreement (section 12) in respect of the charging of the late payment charge on amounts invoiced for February 2020 through to amounts to be invoiced for July 2020;

(ii)    Establish a new COVID-19 Deferral Account for the Core system, bearing interest monthly at Creative Energy’s weighted average cost of debt, and to record to this account:

a.       Any incremental, unplanned expenses related to the COVID-19 pandemic that Creative Energy has incurred related to continuing safe and reliable operations, including any incremental financing costs;

b.      Any unrecoverable revenues (bad debt) resulting from customers that do not pay their bills due to the impacts of COVID-19 on their financial circumstances; and

c.       Any direct revenue loss resulting from the loss of load from customers due to the impacts of COVID-19 on their operational and financial circumstances; and

(iii)   Establish a new COVID-19 Deferral Account for the NEFC system, bearing interest monthly at Creative Energy’s weighted average cost of debt, and to record to this account:

a.       Any unrecoverable revenues (bad debt) resulting from customers that do not pay their bills due the impacts of COVID-19 on their financial circumstances.

2.       Creative Energy must provide notice of the Application and a copy of this Order to all of its Core system and NEFC customers and to registered interveners in the Creative Energy 2019-2020 Core and NEFC Revenue Requirements Application by no later than Friday June 19, 2020. Creative Energy is also directed to publish notice of this Application on its website and any social media platforms in use by no later than Friday, June 19, 2020.

3.       A public hearing process is established, as set out in the regulatory timetable attached as Appendix A to this Order.

DATED at the City of Vancouver, in the Province of British Columbia, this               12^th                day of June 2020.

BY ORDER

Original signed by:

A. K. Fung, QC

Commissioner

Attachment

Creative Energy Vancouver Platforms Inc.

COVID-19 Deferral Account Application