BRITISH COL UMBIA UTILITIES COM MISSION ORDER NUMBER G -104-04 SIXTH FLOOR, 900 HOWE STREET, BOX 250 TELEPHONE: (604) 660-4700 VANCOUVER, B.C. V6Z 2N3 CANADA BC TOLL FREE: 1-800-663-1385 web site: http://www.bcuc.com FACSIMILE: (604) 660-1102 IN THE MATTER OF the Utilities Commission Act, R.S.B.C. 1996, Chapter 473 and An Application by Canadian Forest Products Ltd. for an Exemption from the Utilities Commission Act (Steam Sales) BEFORE: L.F. Kelsey, Commissioner K.L. Hall, Commissioner November 25, 2004 O R D E R WHEREAS: A. Canadian Forest Products Ltd. (“CFP”) owns and operates pulp and paper mills in Prince George, British Columbia (the “Pulp Mills”), from which steam has and will continue to be supplied to an adjacent chemical production facility (the “Chemical Facility”); and B. On August 29, 2003, the ownership and operation of the Chemical Facility was transferred from CFP to Chemtrade Pulp Chemicals Limited Partnership (“Chemtrade”); and C. Steam is provided to the Chemical Facility pursuant to an arms-length agreement negotiated between CFP and Chemtrade; and D. CFP produces steam at the Pulp Mills for use in the Pulp Mills. The steam provided from the Pulp Mills to the Chemical Facility is in excess of that required by CFP for use in industrial processes in the Pulp Mills; and E. On May 11, 2004, CFP applied to the Commission pursuant to Section 88 of the Utilities Commission Act, R.S.B.C. 1996, c. 473 (the “Act”) for an Order exempting CFP, and its successors and assigns, from certain provisions of the Act in respect of the Pulp Mills and the provision of steam from the Pulp Mills to the Chemical Facility (the “Application”); and . . ./2
2 F. The Commission has considered the Application and is satisfied that an Order exempting CFP from certain sections of the Act properly serves the public convenience and necessity; and G. On November 18, 2004, the approval of the Lieutenant Governor in Council was given to the said exemption by Order in Council No. 1096, 2004 attached to this Order as Appendix A. NOW THEREFORE the Commission orders that CFP, its successors and assigns, are exempt from Section 71 and Part 3 of the Act (except Section 22), in respect of the Pulp Mills and the provision of steam to the Chemical Facility from the Pulp Mills. DATED at the City of Vancouver, in the Province of British Columbia, this 7 Attachment Orders/Canfor Exemption UCA Steam Sales BRITISH COLUMBIA UTILITIES COMMISSION ORDER NUMBER G-104-04 th day of December 2004. BY ORDER Original signed by: L.F. Kelsey Commissioner
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