Natural gas to cost more in B.C. starting January 1
Starting Jan. 1, 2019, natural gas customers in B.C. will pay more.
FortisBC says residential customers on the Mainland and Vancouver Island will pay nine per cent more a year. That will be approximately $68 more a year for the average annual usage of 90 gigajuoles (GJ).
Residential customers in Fort Nelson will see an increase of seven per cent or $51 based on the average annual usage of 125 GJ.
Blame the rupture
The utility says the increase is partly related to the rupture to the primary Enbridge pipeline that feeds the Lower Mainland and Vancouver Island. The pipeline exploded and caught fire northeast of Prince George on Oct. 9.
"We strive to deliver natural gas safely and reliably at the lowest reasonable cost," said Diane Roy, vice-president of regulatory affairs in a release.
"Keeping natural gas rates low for customers is important to us but there has been an impact to our costs associated with actions we had to take to stabilize our natural gas supply following the Enbridge pipeline rupture."
Although repairs have been completed, gas transmission through it and a secondary Enbridge pipeline will be reduced through the winter while the integrity of the system is assessed.
The British Columbia Utilities Commission (BCUC) approved the interim rates, but they are subject to a regulatory review by the BCUC.
Permanent rate decisions are expected in the first quarter of 2019, which may result in a bill adjustment for customers.
Revelstoke savings
Meanwhile, residential customers in Revelstoke who receive piped propane will see an annual reduction of 11 per cent.
That works out to $108 based on the average annual usage of 50 GJ.
Every three months, FortisBC reviews natural gas and propane cost of gas rates with the BCUC. The utility does not mark up the cost of gas.
In 2017 FortisBC had more than 1 million customers in B.C. and recorded $186 million in net earnings from its natural gas and piped propane operations.
