SURREY, BC, May 5 /CNW/ - FortisBC has filed a two-year revenue
requirement application with the British Columbia Utilities Commission
(BCUC) that, if approved, would increase rates for natural gas delivery
service for most residential customers in the province, effective
January 1, 2012.
"Our application carefully considers the growing and changing energy
needs of our customers and the communities we serve, and is based on
our commitment to continue to provide safe, reliable and cost-effective
natural gas delivery service across the province," said Scott Thomson,
Executive Vice President, Finance, Regulatory and Energy Supply,
"The requested costs identified in the application also support
enhancements to our asset management and system integrity programs to
support ongoing investment in the safety and integrity of our delivery
system, enabling FortisBC to continue to provide reliable natural gas
If the application is approved, the company will continue to develop
energy efficiency and conservation programs and initiatives to help
customers reduce their energy consumption and lower their monthly
utility bills. To help meet the changing needs of customers, and the
province's environmental and energy goals, FortisBC will also continue
to pursue opportunities to provide renewable energy solutions,
including biomethane, and to advance compressed and liquefied natural
gas as cleaner transportation fuel alternatives.
The delivery portion of natural gas rates is what FortisBC charges to
deliver natural gas service to customers and is the portion that will
be affected if the revenue requirement application is approved. It
enables the company to recover its costs, and make investments in its
business that will benefit the evolving needs of customers and
The cost of natural gas service varies from region to region, and if the
application is approved, residential customers in the Lower Mainland,
Fraser Valley, Interior, North and Kootenays would see their total
annual gas bill increase by 2.8 per cent, or approximately $28, in 2012
and 3 per cent, or approximately $31 in 2013, depending on consumption.
Customer Choice program participants will also see the same changes in
their delivery rates.
If the application is approved, residential customers in Whistler will
see an increase to their total annual gas bill of 4.7 per cent, or
approximately $69, in 2012 and 7.1 per cent, or approximately $115, in
2013, depending on consumption.
Residential customers in Fort Nelson would see their total annual gas
bill increase by 1.8 per cent, or approximately $20, in 2012 and 0.6
per cent, or approximately $7, in 2013, depending on consumption.
FortisBC is seeking to maintain current rates for customers on Vancouver
Island, the Sunshine Coast and in Powell River for a two-year period
starting January 1, 2012. This will help dampen the impact to rates
with the expiry of the Royalty Revenue agreement on Vancouver Island at
the end of this year. This agreement was put in place to help offset
the cost to Vancouver Island customers of bringing natural gas to the
Island 20 years ago.
Later this year, FortisBC will file an application with the BCUC
requesting a common natural gas rate structure across the province.
To learn more about FortisBC natural gas rates, watch our rates video on
FortisBC is an integrated energy solutions provider focused on providing
safe and reliable energy, including natural gas, electricity, propane
and alternative energy solutions, at the lowest reasonable cost.
FortisBC employs more than 2,000 British Columbians and serves
approximately 1.1 million customers in more than 135 B.C. communities.
FortisBC is indirectly wholly owned by Fortis Inc., the largest
investor-owned distribution utility in Canada. FortisBC owns and operates four regulated hydroelectric generating plants,
approximately 7,000 kilometres of transmission and distribution power
lines and approximately 46,000 kilometres of natural gas transmission
and distribution pipelines. FortisBC Inc., FortisBC Energy Inc.,
FortisBC Energy (Vancouver Island) Inc., and FortisBC Energy (Whistler)
Inc. do business as FortisBC. Fortis Inc. shares are listed on the
Toronto Stock Exchange and trade under the symbol FTS. Additional
information can be accessed at www.fortisinc.com or www.sedar.com.
For further information:
Corporate Communications Manager
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