LETTER No. L-9-97 SIXTH FLOOR, 900 HOWE STREET, BOX 250 VANCOUVER, B.C. CANADA V6Z 2N3 TELEPHONE: (604) 660-4700 ROBERT J. PELLATT BC TOLL FREE: 1-800-663-1385 COMMISSION SECRETARY FACSIMILE: (604) 660-1102 VIA FACSIMILE February 28, 1997 Ms. Darlene M. Barnett Senior Vice-President Marketing and Customer Services British Columbia Hydro and Power Authority 17th Floor, 333 Dunsmuir Street Vancouver, B.C. V6B 5R3 Dear Ms. Barnett: Re: British Columbia Hydro and Power Authority Supplementary Agreement for the City of New Westminster The Commission has reviewed your request for interim approval of an agreement in principle between B.C. Hydro and the City of New Westminster ("the City") which would allow for a discount to the current rate being charged to the City. The Commission finds that B.C. Hydro has not provided it with sufficient justification to allow the Commission to approve the agreement in principle effective March 1, 1997. In order for the Commission to reconsider this decision, the Commission would need to review the analysis that B.C. Hydro undertook prior to entering into the agreement with the City showing that the discount is in the best interests of B.C. Hydro's other customers. In particular, the Commission requires a more complete evaluation of the net costs to B.C. Hydro's other customers from any loss of sales to this customer over the next few years. Yours truly, DWE/cms BCH/CoriNewWestminster Agrmt
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