SIXTH FLOOR, 900 HOWE STREET, BOX 250 TELEPHONE: (604) 660-4700 VANCOUVER, B.C. V6Z 2N3 BC TOLL FREE: 1-800-663-1385 CANADA FACSIMILE: (604) 660-1102 AN ORDER IN THE MATTER OF the Utilities Commission Act, S.B.C. 1980, c. 60, as amended and An Application by Centra Gas British Columbia Inc. for Pass-Through of Propane Prices at Whistler, B.C. BEFORE: M.K. Jaccard, Chairperson; and ) L.R. Barr, Deputy Chairperson ) October 6, 1994 ORDER WHEREAS: A. On September 27, 1994 Centra Gas British Columbia Inc. - Whistler District ("Centra Gas") applied to the Commission for approval to pass-through an increase of $0.842/GJ or 9.5 percent in the cost of propane to all customers in the Resort Municipality of Whistler, B.C., effective October 1, 1994. The propane supply contracts covering the period October 1, 1994 to March 31, 1995 were approved by Commission Order No. E-17-94; and B. On September 29, 1994 Centra Gas provided the Commission with additional information to the application and confirmed that a levelized increase of $0.578/GJ would be necessary to eliminate any forecasted net surplus in all deferral accounts from October 1, 1994 to December 1996, and that such an increase would minimize the risk that rates would have to be adjusted downward effective January 1, 1995; and C. The Commission has reviewed the application and finds that a moderate levelized increase in the price of propane for 1994, 1995 and 1996 should be approved. NOW THEREFORE the Commission orders as follows: 1. The Commission approves for Centra Gas the application to pass through to all customers an increase in the cost of propane of $0.578/GJ effective October 1, 1994, pursuant to Section 67(4) of the Utilities Commission Act.
2 G-70-94 2. The Commission approves the setting up of a cost of gas deferral account to record the difference between the increased cost of gas and the amount that is recovered from customers by the $0.578/GJ pass-through. 3. The Commission approves the continuation of a deferral account to record the variance between the actual and forecast costs of trucking propane from the main plant to the south plant. 4. Centra Gas is to file, by December 1, 1994, a revenue requirements application or a financial forecast for the years 1995 and 1996 for the Whistler District. 5. Centra Gas is to provide sufficient details of the propane price increase approved by Order No. E-17-94 and to provide customers with a copy of this Order, inclusive of Appendix A, attached hereto. 6. Centra Gas is to file an amended Gas Tariff Rate Schedule reflecting the increased rates approved by this Order. DATED at the City of Vancouver, in the Province of British Columbia, this day of October, 1994. BY ORDER Lorna R. Barr Deputy Chairperson Attachment BCUC/Orders/CG-PassThruPrices-Whistler
SIXTH FLOOR, 900 HOWE STREET, BOX 250 TELEPHONE: (604) 660-4700 VANCOUVER, B.C. V6Z 2N3 BC TOLL FREE: 1-800-663-1385 CANADA FACSIMILE: (604) 660-1102 Appendix A October 11, 1994 To All Customers of Centra Gas British Columbia Inc. Whistler District On September 27, 1994 Centra Gas British Columbia Inc. - Whistler District ("Centra Gas - Whistler") applied to pass-through increased propane prices to its customers effective October 1, 1994. The propane price increase was to be effective for the period October 1, 1994 to March 31, 1995 and represented an increase in rates of $0.842/GJ or 9.5 percent. Rather than increase rates by $0.84/GJ for a three month period and followed by an expected decline on January 1, 1995, Centra Gas - Whistler sought to pass through a levelized increase of $0.578/GJ with the deficiency placed in a cost of gas deferral account. The Commission has reviewed the Centra Gas - Whistler Application and has ordered that an increase of $0.578/GJ, or 6.5 percent over existing rates is to become effective October 1, 1994. Commission Order No. G-70-94 is made pursuant to Section 67(4) of the Utilities Commission Act which reads as follows: "67(4) A public utility may file with the commission a new schedule ofrates that the utility considers to be made necessary by a rise in the price, over which the utility has no effective control, required to be paid by the public utility for its gas supplies, other energy supplied to it, or expenses and taxes, and the new schedule may be put into effect by the public utility on receiving the approval of the commission, but if within 60 days after the date the commission approves the new schedule the commission either on complaint of a person whose interests are affected or on its own motion directs an inquiry into the new schedule of rates having regard to the fixing of a rate that is not unjust or unreasonable, the commission may after the inquiry rescind or vary the increase and order a refund or customer credit by the utility of all or part of the money received by way of increase, or may confirm the increase or part of it." If you have any questions concerning this matter please contact the undersigned either in writing or by telephone (660-4700 or 1-800-663-1385 B.c. toll-free). Yours truly, obert J. Pellatt, Commission Secretary
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