ORDER NUMBER
G-121-24
IN THE MATTER OF
the Utilities Commission Act, RSBC 1996, Chapter 473
and
Kyuquot Power Ltd.
Request to Vary 2024 Revenue Requirements Order G-53-24
Directive 4 Scope and Filing Date
BEFORE:
B. A. Magnan, Commissioner
on April 25, 2024
ORDER
WHEREAS:
A. On March 13, 2024, Kyuquot Power Ltd. (KPL) filed an application with the British Columbia Utilities Commission (BCUC), requesting a change in scope and an extension to the filing deadline of Directive 4 of Order G-53-24 (Reconsideration Application);
B. On February 29, 2024, by Decision and Order G-53-24, the BCUC issued its final decision on the KPL 2024 Revenue Requirements. Directive 4 of that order directed KPL to file for BCUC review, within 15 days of the date of the order, the agreement for the funds advanced from an affiliated company (Intercompany Advance) undertaken in fiscal 2020/21;
C. In the Reconsideration Application, KPL requests that the BCUC change the scope of Directive 4 to allow for KPL to file an application for a revised deemed interest on notional debt and that the filing deadline be extended to July 3, 2024. KPL also requests that the deemed interest rate on notional debt be set at 5.00 percent for the approved interim rates under Order G-53-24;
D. By Order G-88-24 dated March 27, 2024, the BCUC established a regulatory timetable for the review of the Reconsideration Application and directed KPL to, among other things, provide public notice of the proceeding to all registered interveners in the underlying KPL 2024 Revenue Requirements proceeding and to file supplementary information (Supplementary Information);
E. On April 8, 2024, KPL filed the Supplementary Information requested by the BCUC in Order G-88-24. In the Supplementary Information, KPL explained, among other things, the rationale for the requested July 3, 2024 deadline, but stated, also, that it would be regulatorily efficient for the deadline to be based on the date the BCUC renders its final decision on Stage 2 of the BCUC’s current generic cost of capital proceeding such that KPL would have approximately 45 days from the date of that decision to prepare its application;
F. The BCUC did not receive any letters of comment by the April 11, 2024 deadline; and
G. The BCUC has reviewed the evidence filed in the proceeding and makes the following determination.
NOW THEREFORE pursuant to section 99 of the Utilities Commission Act, the BCUC orders the following:
1. Directive 4 of Order G-53-24 is varied to read as follows:
KPL is directed to apply to the BCUC for a revised deemed interest on notional debt for permanent rates within 45 days of the date of the BCUC’s final decision on Stage 2 of the BCUC’s current generic cost of capital proceeding.
2. KPL is approved to charge the rates approved by Order G-53-24 including a deemed interest rate on notional debt of 5.00 percent, effective May 28, 2024, on an interim and refundable basis, pending the outcome of Stage 2 of the BCUC’s current generic cost of capital proceeding.
DATED at the City of Vancouver, in the Province of British Columbia, this 25th day of April 2024.
BY ORDER
Original signed by:
B. A. Magnan
Commissioner