Orders

ORDER NUMBER

G-387-21

IN THE MATTER OF

the Utilities Commission Act, RSBC 1996, Chapter 473

and

Nelson Hydro

Cost of Service Analysis and Rate Design Application

BEFORE:

R. I. Mason, Panel Chair

T. A. Loski, Commissioner

on December 21, 2021

ORDER

WHEREAS:

A.      On November 27, 2020, Nelson Hydro filed a Cost of Service Analysis (COSA) and Rate Design Application (RDA) with the British Columbia Utilities Commission (BCUC) (Application);

B.      Nelson Hydro is owned and operated by the City of Nelson and is excluded from regulation under the Utilities Commission Act (UCA) to the extent that it is serving customers within its municipal boundaries. Accordingly, the BCUC’s review of the Application pertains solely to Nelson Hydro’s non-municipal, or rural, ratepayers;

C.      In the Application, Nelson Hydro requests approval of the following:

1.       Proposed return on equity for the Rural service area at 9.25% to be used for future rate applications;

2.       Nelson Hydro’s Policies approved by City Council relating to the non-municipal portion of the utility (i.e. the Allocation Factors Policy, Generation Rates Policy, Debt Policy, and Deferral Account Policy);

3.       The COSA; and

4.       Proposed rate changes to Rural residential rates effective September 1, 2021 (to be phased-in over a three-year period with follow-up adjustments effective September 1, 2022 and September 1, 2023);

D.      By Orders G-346-20, G-117-21, G-224-21, G-278-21 and G-332-21, the BCUC established and amended a regulatory timetable for review of the Application, which included intervener registration, three rounds of BCUC and intervener information requests, and written final arguments;

E.       On December 9, 2021, pursuant to Order G-332-21, Nelson Hydro filed its written Reply Argument for the proceeding and Nelson Hydro appears to have brought forward new arguments in its Reply Argument; and

F.       The Panel considers that interveners should be provided an opportunity of a Sur-Reply and determines that an amendment to the regulatory timetable is warranted.

NOW THEREFORE the BCUC amends the regulatory timetable, attached as Appendix A to this order.

DATED at the City of Vancouver, in the Province of British Columbia, this     21^st     day of December, 2021.

BY ORDER

Original signed by:

R.I Mason

Commissioner

Attachment

Nelson Hydro

Cost of Service Analysis and Rate Design Application