FortisBC maintains low natural gas rates for the remainder of the year
Sep 17, 2019, 12:00 ET
SURREY, B.C., Sept. 17, 2019 /CNW/ - FortisBC has received regulatory approval from the British Columbia Utilities Commission (BCUC) to maintain the cost of natural gas and propane rates for all customers for the period of October 1 to December 31, 2019.
"With over one million natural gas customers and more than half of British Columbian homes using natural gas, it remains a popular and affordable choice," said Dennis Swanson, FortisBC's vice-president of energy supply and resource development. "We do not mark up the cost of gas, so our customers pay what we pay and since the cost remains low for us, it means we can pass these savings along to our customers."
FortisBC's natural gas is about one-third to one-half of the cost of other energy options like electricity for heating homes. With the cost of gas staying so low, those considering connecting to natural gas have a great window of opportunity to lower their energy bills.
As of October 1, 2019:
Mainland & Vancouver Island (including North and South Interior)
- There is no change to the current approved cost of natural gas rate, which remains at $1.549 per gigajoule (GJ).
- This rate has remained steady for seven consecutive quarters (since January 2018).
Fort Nelson
- There is no change to the current approved cost of natural gas rate, which remains at $1.048 per GJ.
- This rate remains steady for the second consecutive quarter.
Revelstoke
- There is no change to the current approved cost of propane rate, which remains at $9.448 per GJ.
- This rate remains steady for the second consecutive quarter.
FortisBC is regulated by the BCUC and applies for rate reviews every quarter. The next review for natural gas and propane costs will be in December 2019, taking effect at the beginning of 2020.
For more information about rates, visit: fortisbc.com/rates.
FORTISBC
FortisBC Energy Inc. is a regulated utility focused on providing safe and reliable energy, including natural gas, propane and thermal energy solutions. FortisBC Energy Inc. employs more than 1,800 British Columbians and serves approximately 1,008,400 customers in 135 B.C. communities. FortisBC Energy Inc. owns and operates approximately 49,000 kilometres of natural gas transmission and distribution pipelines. FortisBC Energy Inc. is a subsidiary of Fortis Inc., a leader in the North American regulated electric and gas utility industry. For further information, visit www.fortisinc.com.
BACKGROUNDER
Historical data for Mainland & Vancouver Island (including North and South interior)
Items on a customer's bill
Basic charge
The basic charge is a flat daily fee that partially recovers the fixed costs of our system, whether or not you are using any natural gas, as long as you are connected to the system. The basic charge is reviewed by the British Columbia Utilities Commission (BCUC) annually.
Delivery charge
The delivery charge is based on consumption and pays for the cost of safely and reliably delivering gas through our system to your home or business. This helps cover the costs of maintaining our natural gas distribution system, earn a return on the amounts invested in our business and fund improvements to meet customers' needs. Delivery charges are reviewed by the BCUC annually.
Storage and transport
Storage and transport reflects the prices we pay to other companies to store and transport gas through their infrastructure. We do not mark up these costs, and they are reviewed quarterly and set annually by the BCUC.
Cost of gas
Every three months, FortisBC reviews cost of natural gas and propane rates with the BCUC to make sure rates passed on to customers cover the cost of purchasing the gas on their behalf.
- Factors affecting the market price of natural gas and propane in North America include weather, supply and demand and economic conditions.
- Propane prices are also influenced by global oil markets.
- FortisBC does not mark up the cost of natural gas or propane. Our customers pay what we pay.
Other charges and taxes
Other charges and taxes include the B.C. carbon tax, Clean Energy Levy, goods and services tax (GST) and, in some municipalities, a municipal operating fee. These charges are set by various levels of government and collected by FortisBC on their behalf. FortisBC does not gain revenue from these charges.
SOURCE FortisBC
For further information: MEDIA CONTACT: Diana Sorace, Corporate Communications Advisor, FortisBC Energy Inc., T: 604-328-0790, diana.sorace@fortisbc.com, fortisbc.com, 24-hour media line: 1-855-322-6397
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