ORDER NUMBER
G-359-22
IN THE MATTER OF
the Utilities Commission Act, RSBC 1996, Chapter 473
and
Resort Gas Ltd.
Proceeding to Set Delivery Rates for Resort Gas Ltd.
BEFORE:
T. A. Loski, Panel Chair
E. B. Lockhart, Commissioner
on December 12, 2022
ORDER
WHEREAS:
A. By Order G-286-21, the British Columbia Utilities Commission (BCUC) initiated a proceeding to set delivery rates for Resort Gas Ltd. (Resort Gas), to set the existing delivery rates as interim and recoverable or refundable, and to establish a regulatory timetable for the review of permanent delivery rates, all effective January 1, 2022;
B. On December 31, 2021, Resort Gas filed with the BCUC a revenue requirements application (RRA) pursuant to Order G-286-21 and requested no change to its existing delivery rates, effective January 1, 2022 (Application);
C. By Orders G-19-22, G-36-22, and G-224-22, the BCUC established a further regulatory timetable for the review of the Application, which included the filing of supplemental information and two rounds of BCUC Information Requests (IR) to Resort Gas. This was followed by one round of Panel IRs, and the opportunity for Resort Gas to file a final argument;
D. By Order G-301-22, the BCUC set Resort Gas’ existing basic and delivery rates as interim and recoverable or refundable, effective January 1, 2023, subject to any further determinations made by the BCUC; and
E. The BCUC has reviewed the Application and Resort Gas’ responses to IRs and determines that setting permanent rates for 2022 for Resort Gas is warranted.
NOW THEREFORE pursuant to sections 58 to 61 of the Utilities Commission Act and for the reasons provided in the decision issued concurrently with this order, the BCUC orders as follows:
1. Resort Gas is directed to increase its delivery rates on a permanent basis, effective January 1, 2022, as follows:
• Rate Group 1 and 2 Residential and Small Commercial: an increase of $0.6117/Gigajoule (GJ) from $2.8175/GJ to $3.4292/GJ; and
• Rate Group 3 Large Commercial: an increase of $0.7203/GJ from $3.3175/GJ to $4.0378/GJ.
2. Resort Gas is directed to recover the difference between the revenue collected under 2022 interim rates and the approved permanent rates by way of bill adjustments over a period not to exceed 12 months, accruing interest at the average prime rate of Resort Gas’ principal bank for its most recent year until fully recovered.
3. Resort Gas is directed to file a compliance filing with the BCUC within 30 days of this order that includes a schedule with the anticipated timing and amounts of the bill adjustments set out in directive 2 of this order with interest applied.
4. Resort Gas is directed to set the 2023 interim delivery rates at the 2022 permanent delivery rates on a recoverable or refundable basis, effective January 1, 2023.
5. Resort Gas is directed to file a 2023 RRA for permanent rates for 2023, by March 31, 2023.
6. Resort Gas is directed to update references from Sun Peaks Utilities Co. Ltd. to Resort Gas in the final tariff pages, as appropriate, and to submit the following updated tariff pages, that reflect the determinations outlined in this order and the decision issued concurrently, to the BCUC for endorsement within 30 days of this order:
• Final tariff pages effective January 1, 2022, updated for the 2022 permanent delivery rate increases; and
• Interim tariff pages effective January 1, 2023, updated for the 2023 interim delivery rates.
7. Resort Gas is directed to comply with all other directives contained in the decision issued concurrently with this order.
DATED at the City of Vancouver, in the Province of British Columbia, this 12th day of December 2022.
BY ORDER
Original signed by:
T. A. Loski
Commissioner