ORDER NUMBER
G-314-24
IN THE MATTER OF
the Utilities Commission Act, RSBC 1996, Chapter 473
and
FortisBC Energy Inc. and FortisBC Inc.
2025 to 2027 Rate Setting Framework
FortisBC Inc. Application for Approval of 2025 Rates on an Interim Basis, effective January 1, 2025
BEFORE:
T. A. Loski, Panel Chair
A. K. Fung, KC, Commissioner
W. E. Royle, Commissioner
on November 27, 2024
ORDER
WHEREAS:
A. On April 8, 2024, FortisBC Energy Inc. (FEI) and FortisBC Inc. (FBC) (collectively, FortisBC) applied to the British Columbia Utilities Commission (BCUC), pursuant to sections 59 to 61 of the Utilities Commission Act (UCA), seeking approval of a rate setting framework (Rate Framework) for FortisBC for the upcoming three years from 2025 to 2027 (Initial Application);
B. On May 31, 2024, FortisBC filed supplemental information relating to the impacts of the energy transition and climate change on the proposed Rate Framework as requested by the BCUC (Supplemental Information);
C. By Orders G-165-24 and G-255-24, respectively, the BCUC set the scope and regulatory timetable for the review of the Initial Application and Supplemental Information (together, the Application);
D. On November 5, 2024, FBC applied to the BCUC, pursuant to sections 59 to 61 and 89 of the UCA, for approval of a 2025 rate increase of 5.65 percent, on an interim and refundable/recoverable basis (with interest at the average prime rate of FBC’s principal bank applied to any refundable amounts), effective January 1, 2025 (Interim Rates Application). FBC submits that the requested rate increase is based on its proposals in the Application and the best information available at the time of the Interim Rates Application, and that FBC intends to file its annual review materials to set permanent rates for 2025 (2025 Annual Review of Rates Application) after the BCUC renders its final decision on the Application; and
E. The BCUC has reviewed the Interim Rates Application and makes the following determinations.
NOW THEREFORE pursuant to sections 59 to 61 and 89 of the UCA, the BCUC orders as follows:
1. FBC’s application for a 5.65 percent general rate increase, on an interim and refundable/recoverable basis, effective January 1, 2025, is approved.
2. FBC is directed to refund/recover the difference between the interim rates and permanent rates, as determined by the BCUC following its final determinations on the Application and the 2025 Annual Review of Rates Application, with interest calculated on any refundable/recoverable amounts at the average prime rate of FBC’s principal bank for its most recent year.
3. FBC is directed to file with the BCUC, on or before December 15, 2024, amended tariff pages reflecting the interim rates approved in accordance with the terms of this order.
DATED at the City of Vancouver, in the Province of British Columbia, this 27th day of November 2024.
BY ORDER
Electronically signed by Tom Loski
T. A. Loski
Commissioner