As a result, an average residential customer using approximately 1,000kWh per month may see an increase of about C$3.77 monthly. The rate increase is required due to ongoing investment in infrastructure and increasing power purchases driven by customer growth and increased demand for electricity, said FortisBC.
The approval of the 2009 rate increase also includes a three-year extension of the Performance Based Regulation (PBR) mechanism, which allows for a streamlined regulatory process, reduced regulatory costs and a shared savings component to encourage further operational efficiency.
The company said that, the mechanism includes a negotiation component between FortisBC and its stakeholder representatives, assisted by the British Columbia Utilities Commission (BCUC).
John Walker, president and CEO of FortisBC, said: “At FortisBC, we are continuing our investment program. This involves upgrades to existing hydroelectric facilities and the overall electrical system, and investment in infrastructure where necessary.”
FortisBC is a regulated electric utility based in Kelowna, British Columbia. Focused on the safe delivery of reliable and cost-effective electricity, it serves approximately 155,000 customers directly and indirectly through wholesale utilities in the southern interior of B.C, claims the company.
