ORDER NUMBER
G-291-20A
IN THE MATTER OF
the Utilities Commission Act, RSBC 1996, Chapter 473
and
Application for Reconsideration and Variance of Order G-227-20 Directive 14
in the matter of the Creative Energy Vancouver Platforms Inc.
2019-2020 Revenue Requirements Application for the
Core Steam System and Northeast False Creek Service Areas
BEFORE:
K. A. Keilty, Commissioner
on November 12, 2020
ORDER
WHEREAS:
A. On December 19, 2019, Creative Energy Vancouver Platforms Inc. (Creative Energy) filed with the British Columbia Utilities Commission (BCUC) its 2019-2020 Revenue Requirements Application (RRA) for the core steam system (Core Steam System) and Northeast False Creek (NEFC) service areas (2019-2020 RRA Application);
B. On September 2, 2020, the BCUC issued Order G-227-20 and the accompanying decision in the matter of the 2019-2020 RRA Application (RRA Decision). In the RRA Decision, the BCUC issued, among other things, Directive 14, which states, “Creative Energy is directed to file a two-year RRA for the Core Steam System by November 1, 2020, which must include: a) Information detailing how other BC and Canadian regulated utilities treat pension remeasurement gains and losses for ratemaking purposes, as set out in Section 2 of the Decision”;
C. By letter dated September 21, 2020, Creative Energy requested, among other things, an extension to file its next RRA for the Core Steam System from November 1, 2020 to December 1, 2020 and stated that management expects to file a one-year RRA for 2021. On September 30, 2020, the BCUC approved the extension request and reminded Creative Energy that it must file a two-year RRA for the Core Steam System, not a one-year RRA, in order to comply with Order G-227-20;
D. On October 8, 2020, Creative Energy filed an application for reconsideration and variance of Directive 14 of Order G-227-20 to allow the filing of a one-year RRA for 2021 for the Core Steam System (Reconsideration Application);
E. In the Reconsideration Application, Creative Energy submits that a second RRA test period would not support regulatory efficiency in its next RRA to be filed by December 2020 due to the following circumstances: 1. Uncertainty regarding the timing of revenue requirement impacts from the Creative Energy development project; 2. Need to build intelligence of the expected cost of future required maintenance plans to address aging infrastructure; and 3. Uncertainty regarding the duration of the COVID-19 pandemic and its overall and persistent impact on customers, utility operations and regional and national economies;
F. The BCUC has reviewed the Reconsideration Application and finds that approval is warranted.
NOW THEREFORE pursuant to section 99 of the Utilities Commission Act, the BCUC orders that Directive 14 of Order G-227-20 is varied to state: “Creative Energy is directed to file a one-year RRA for the Core Steam System by December 1, 2020, which must include: a) Information detailing how other BC and Canadian regulated utilities treat pension remeasurement gains and losses for ratemaking purposes, as set out in Section 2 of the Decision”.
DATED at the City of Vancouver, in the Province of British Columbia, this 17th day of November 2020.
BY ORDER
Original signed by:
K. A. Keilty
Commissioner