LETTER NO. L-81-06 SIXTH FLOOR, 900 HOWE STREET, BOX 250 ROBERT J. PELLATT VANCOUVER, B.C. CANADA V6Z 2N3 COMMISSION SECRETARY TELEPHONE: (604) 660-4700 Commission.Secretary@bcuc.com BC TOLL FREE: 1-800-663-1385 web site: http://www.bcuc.com FACSIMILE: (604) 660-1102 Log No. 17263 VIA E-MAIL December 15, 2006 regulatory.affairs@terasengas.com Mr. Scott Thomson Vice President, Finance and Regulatory Affairs and CFO Terasen Gas (Vancouver Island) Inc. 16705 Fraser Highway Surrey, BC V3S 2X7 Dear Mr. Thomson: Re: Terasen Gas (Vancouver Island) Inc. (“TGVI”) Fourth Quarter 2006 Gas Cost Report On October 23, 2006, TGVI filed a Settlement Update to its 2006-2007 Revenue Requirements Application Negotiated Settlement Agreement. The filed document includes 2007 proposed rates for all its sales and transportation rate class customers. On December 7, 2006 TGVI” filed its 2006 Fourth Quarter Gas Cost Report for information. By this letter, the Commission acknowledges receipt of the 2006 Fourth Quarter Gas Cost Report, and accepts it for informational purposes, rather than a recommendation that there be changes to the 2007 rate proposal of TGVI as filed as part of the 2006 Settlement Update proceeding currently before the Commission. Yours truly, Original signed by Robert J. Pellatt JBW/cms TGVI/Cor/L-81-06_Fourth Qrtr 2006 GasCostRpt
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