ORDER NUMBER
F-37-23
IN THE MATTER OF
the Utilities Commission Act, RSBC 1996, Chapter 473
and
British Columbia Utilities Commission
Generic Cost of Capital Proceeding – Stage 1
Participant Assistance/Cost Award Application
BEFORE:
A. K. Fung, KC, Panel Chair
K. A. Keilty, Commissioner
T. A. Loski, Commissioner
on October 26, 2023
ORDER
WHEREAS:
A. By Order G-66-21 dated March 8, 2021, pursuant to section 82 of the Utilities Commission Act (UCA), the British Columbia Utilities Commission (BCUC) established a Generic Cost of Capital (GCOC) proceeding;
B. By Orders G-66-21, G-156-21, G-183-21, G-205-21, G-231-21, G-281-21, G-288-21, G-106-22, G-217-22A, and G-327-22A, the BCUC established a regulatory timetable and scope for the GCOC proceeding;
C. The GCOC proceeding is being conducted in two stages. Stage 1 of the GCOC proceeding determined the deemed capital structure and allowed return on equity of FortisBC Energy Inc. (FEI) and FortisBC Inc. (FBC) (collectively, FortisBC). Stage 2 will determine matters related to the Benchmark Utility and establish the cost of capital for other utilities in British Columbia;
D. By Order G-236-23 and accompanying decision dated September 5, 2023, the BCUC completed Stage 1 of the GCOC proceeding, which determined the deemed capital structure and allowed return on equity for FEI and FBC;
E. The following participants filed Participant Cost Award (PACA) applications with the BCUC with respect to their participation in Stage 1 of the GCOC proceeding:
Date (2023) |
Participant |
Application |
February 28 |
Commercial Energy Consumers Association of British Columbia (the CEC) |
$134,192.45 |
March 10 |
Industrial Customers Group (ICG) |
$77,543.16 |
March 28 |
Movement of United Professionals (MoveUP) |
$10,235.90 |
August 15 |
British Columbia Old Age Pensioners’ Organization, et al. (BCOAPO) |
$125,810.96 |
September 20 |
Residential Consumer Intervener Association (RCIA) |
$106,028.45 |
F. By letter dated October 6, 2023, FortisBC provided its comments on the PACA applications, noting variances in the time and total amounts claimed by the participants, but deferring further analysis of the amounts to the BCUC. FortisBC also submits that the most fair and appropriate basis to allocate the cost awards granted be at 50 percent to each of FEI and FBC; and
G. The BCUC has reviewed the PACA applications in accordance with the criteria and rates set out in the PACA Guidelines attached to BCUC Order G-97-17 and makes the following determinations.
NOW THEREFORE pursuant to section 118(1) of the Utilities Commission Act, the BCUC orders as follows:
1. PACA funding is awarded to the following participants in the listed amounts for their participation in the proceeding:
Award |
|
the CEC |
$134,192.45 |
ICG |
$77,543.16 |
MoveUP |
$10,235.90 |
BCOAPO |
$125,810.96 |
RCIA |
$106,028.45 |
2. FEI and FBC are directed to reimburse the above-noted participants for the awarded amounts in a timely manner and to allocate the costs to each utility on a 50/50 basis.
DATED at the City of Vancouver, in the Province of British Columbia, this 26th day of October 2023.
BY ORDER
Original signed by:
A. K. Fung, KC
Commissioner