ORDER NUMBER
F-14-24
IN THE MATTER OF
the Utilities Commission Act, RSBC 1996, Chapter 473
and
British Columbia Hydro and Power Authority
Transmission Service Rate Design Application
Participant Cost Award Application
BEFORE:
T. A. Loski, Panel Chair
C. M. Brewer, Commissioner
A. C. Dennier, Commissioner
on February 21, 2024
ORDER
WHEREAS:
A. On March 16, 2023, pursuant to sections 58 to 60 of the Utilities Commission Act, British Columbia Hydro and Power Authority (BC Hydro) filed with the British Columbia Utilities Commission (BCUC) a Transmission Service Rate Design Application (Application), which includes a proposal to transition Rate Schedule (RS) 1823 (Stepped Rate) and RS 1827 customers to a new, flat-rate structure (RS 1830 or Proposed Flat Rate) with a lower energy charge and higher demand charge over a three-year transition period;
B. By Orders G-77-23, G-165-23, G-205-23 and G-277-23, the BCUC established the regulatory timetable for the review of the Application, which included intervener registration, two rounds of information requests, submissions on further process, a deadline for letters of comment, and final and reply arguments;
C. By Decision and Order G-353-23 dated December 15, 2023, the BCUC, among other things, approved the Proposed Flat Rate, effective April 1, 2024;
D. On January 26, 2024, the Association of Major Power Customers (AMPC) filed a Participant Cost Award (PCA) application requesting an award of $35,357.84 with respect to its participation in the proceeding;
E. By letter dated February 9, 2024, BC Hydro provided its comments on AMPC’s PCA application, stating that it has no objection to AMPC receiving the specific PCA amount that they have requested; and
F. The BCUC has reviewed AMPC’s PCA application in accordance with the criteria and rates set out in the Rules of Practice and Procedure for Participant Cost Awards, attached to BCUC Order G-72-23, and determines that the following cost award should be approved.
NOW THEREFORE pursuant to section 118(1) of the Utilities Commission Act, and for the reasons set out in
Appendix A to this order, the BCUC orders as follows:
1. Funding is awarded to AMPC in the amount of $33,815.28, inclusive of applicable taxes, for its participation in the BC Hydro Transmission Service Rate Design proceeding.
2. BC Hydro is directed to reimburse AMPC for the awarded amount in a timely manner.
DATED at the City of Vancouver, in the Province of British Columbia, this 21st day of February 2024.
BY ORDER
Original signed by:
T. A. Loski
Commissioner
Attachment
British Columbia Hydro and Power Authority
Transmission Service Rate Design Application
Participant Cost Award Application
REASONS FOR DECISION
1.0 Background
On March 16, 2023, pursuant to sections 58 to 60 of the Utilities Commission Act, British Columbia Hydro and Power Authority (BC Hydro) filed with the British Columbia Utilities Commission (BCUC) a Transmission Service Rate Design Application (Application), which includes a proposal to transition Rate Schedule (RS) 1823 (Stepped Rate) and RS 1827 customers to a new, flat-rate structure (RS 1830 or Proposed Flat Rate) with a lower energy charge and higher demand charge over a three-year transition period.
The BCUC established the regulatory timetable for the review of the Application, which included intervener registration, two rounds of information requests, submissions on further process, a deadline for letters of comment, and final and reply arguments.[1]
By Decision and Order G-353-23 dated December 15, 2023, the BCUC, among other things, approved the Proposed Flat Rate, effective April 1, 2024.
The BCUC received applications for participant cost awards (PCA) from six interveners with respect to their participation in the proceeding. By Order F-8-24, the BCUC approved cost awards for five of the PCA applications. This decision addresses the remaining PCA application with respect to the Association of Major Power Customers (AMPC).
2.0 AMPC PCA Application
On January 26, 2024, AMPC filed a PCA application requesting an award of $35,357.84 with respect to its participation in the BC Hydro Transmission Service Rate Design proceeding.
On February 9, 2024, BC Hydro provided its comments with respect to AMPC’s PCA application, stating that it believes AMPC is eligible for a cost award and has no objection to AMPC receiving the specific PCA amount that they have requested.
AMPC did not provide any reply comments.
Panel Determination
Having considered the criteria in the BCUC PCA rules,[2] the Panel finds that AMPC is eligible for PCA funding and contributed to a better understanding of the issues in the proceeding.
AMPC requests a cost award of $7,182.56 for its Expert Advisor claiming 26.5 hours at an hourly rate of $271.04 for a consultant with 20+ years of experience, inclusive of applicable taxes. However, the hourly rate of $271.04 exceeds the maximum allowable hourly rate in Attachment A to the PCA rules of $235 at 7+ years of related experience. AMPC did not seek prior approval or explain in its PCA why the claimed hourly rate beyond the professional fee limit is warranted for the Application. The Panel is not persuaded that the higher hourly rate of $271.04 is necessary for the services required to address the issues in the proceeding. Further, the Panel notes that AMPC’s supporting invoices display a total of 24 hours spent by the Expert Advisor on the proceeding, as opposed to the 26.5 hours being claimed. Therefore, the Panel finds it appropriate to reduce AMPC’s cost award to reflect the maximum hourly rate set out in the PCA rules, as well as the total of 24 hours spent by the Expert Advisor supported by invoices, and awards $33,815.28 to AMPC, inclusive of applicable taxes.