ORDER NUMBER
G-45-23
IN THE MATTER OF
the Utilities Commission Act, RSBC 1996, Chapter 473
and
FortisBC Energy Inc.
2023 Demand Side Management Expenditures Plan
BEFORE:
B. A. Magnan, Panel Chair
W. M. Everett KC, Commissioner
A. Pape-Salmon, Commissioner
on March 6, 2023
ORDER
WHEREAS:
A. On July 5, 2022, FortisBC Energy Inc. (FEI) filed with the British Columbia Utilities Commission (BCUC) its Application for Acceptance of Demand-Side Management (DSM) Expenditures Plan for 2023 (Application), pursuant to section 44.2 of the Utilities Commission Act (UCA), seeking acceptance of DSM total expenditures of $141.077 million for 2023;
B. FEI also sought approvals of:
1. Proposed changes to its existing funding transfer rules;
2. A new variance allowance rule on total portfolio expenditures in the final year of the DSM expenditure schedule;
3. An increase in the amount included in its rate base DSM Deferral account on a forecast basis from the currently approved $30 million to $60 million, effective for 2023; and
4. A rate base deferral account to capture the regulatory costs associated with the review of this Application.
C. By Orders G-219-22 and G-283-22, the BCUC established a written public hearing process and regulatory timetable including intervener registration, one round of information requests, and final and reply arguments;
D. The British Columbia Sustainable Energy Association (BCSEA), British Columbia Old Age Pensioners’ Organization et al. (BCOAPO), Commercial Energy Consumers Association of British Columbia (CEC), Residential Consumer Intervener Association (RCIA), Movement Of United Professionals (MoveUp), and British Columbia Hydro and Power Authority (BC Hydro) registered as interveners in the proceeding;
E. FEI filed its Final Argument on November 1, 2022. The interveners submitted their Final Arguments by November 21, 2022. FEI submitted its Reply Argument on November 30, 2022; and
F. The Panel has reviewed the evidence and arguments in the proceeding and considers the following determinations are warranted.
NOW THEREFORE, pursuant to section 44.2 of the UCA, the BCUC orders as follows:
1. The FEI DSM expenditure schedule, as outlined in Table 3-1 of the Application and setting out expenditures of $141,077 million for 2023, is accepted;
2. FEI’s requested changes to the funding transfer rules for the DSM expenditure schedule are approved, as outlined in section 3.1 of the decision accompanying this order;
3. FEI is approved to exceed total accepted expenditures by no more than 5% without prior approval from the BCUC for the final year of the 2023 DSM Expenditure Schedule only;
4. FEI is approved to increase the amount included in its rate base DSM Deferral account on a forecast basis from $30 million to $60 million, effective for 2023, as outlined in section 3.3 of the decision accompanying this order; and
5. FEI is approved to establish a rate base deferral account to capture the regulatory costs associated with the review of the Application.
DATED at the City of Vancouver, in the Province of British Columbia, this 6th day of March 2023.
BY ORDER
Original signed by:
B. A. Magnan
Commissioner