TORONTO, Oct. 10 /CNW/ - Today the Ontario Energy Board issued a Decision
and Order related to applications by Terrace Bay Superior Wires Inc. (Terrace
Bay) to amend its 2007 distribution rates and to sell its distribution system.
The Decision and Order also relates to applications by Hydro One Networks Inc.
(Hydro One) to amend its distribution licence and distribution rate order.
On July 18, 2007, the Board approved an application by Terrace Bay to
cease charging its customers the Retail Transmission Service (RTS) Line and
Connection charges because Hydro One had stopped charging Terrace Bay these
charges. As part of the same application, Terrace Bay and Hydro One also
applied to refund RTS Line and Connection charges collected since May 1, 2002
to Terrace Bay's ratepayers. The Board deferred the matter of the refund at
that time and deals with it in today's Decision and Order.
Terrace Bay also applied for leave to sell its distribution system to
Hydro One and requested its electricity distribution licence be cancelled.
Hydro One filed an application to amend its distribution licence to include
the service area currently served by Terrace Bay and to amend its distribution
rate order. In the application, Hydro One proposed maintaining the
distribution rates and other charges currently approved by the Board for
Terrace Bay customers.
In its Decision and Order, the Board approved the refund (including
interest) and ordered Hydro One to refund ratepayers in the area currently
served by Terrace Bay, the amount of the over-collection of the RTS Line and
Connection charge. The refund applies to all Terrace Bay customers of record
as of the date of the sale, as well as to any former ratepayers who ceased
being customers from January 1, 2004 forward, for whom forwarding addresses
are available. The refund is to be returned by way of a billing credit or
cheque by no later than December 31, 2007.
The Board also approved disposing of any RTS Line and Connection charges
Terrace Bay over-collected between March 8, 2007 when Hydro One stopped
charging Terrace Bay the RTS Line and Connection charges, and July 19, 2007
when the Board approved Terrace Bay's application to stop charging it. The
over-collection is to be disposed of through the normal Board process to deal
with balances in variance accounts.
The Board also approved the application by Terrace Bay to sell its
distribution system to Hydro One, finding that the proposed transaction is in
the public interest. Once the Board receives notification that the proposed
transaction has closed, the Board will cancel Terrace Bay's electricity
distribution licence, and amend Hydro One's distribution licence and
distribution rate order.
The Ontario Energy Board regulates the province's electricity and natural
gas sectors in the public interest. It envisions a viable and efficient energy
sector with informed consumers served by responsive regulatory processes that
are effective, fair and transparent.
For more information on the Board, please visit our Web site at
www.oeb.gov.on.ca or contact the Consumer Relations Centre at 416-314-2455 or
toll-free at 1-877-632-2727.
For further information:
For further information: Vanda Wall, Ontario Energy Board, (416)