Media centre details
FortisBC receives approval to adjust natural gas rates for Fort Nelson
Dec 9, 2016
SURREY, BC – FortisBC has received approval from the BC Utilities Commission (BCUC) to modify rates for Fort Nelson natural gas customers, effective January 1, 2017.
The Fort Nelson gas cost recovery rate will increase by $0.792 per gigajoule (GJ), in addition to an increase to delivery rates. Customers see the gas cost recovery rate and delivery rate shown together on their bills as the “charge for gas used.” For the average residential customer using 135 GJ of natural gas per year, this works out to an increase of approximately $166 per year, or an increase of 24 per cent.
Natural gas prices have risen since spring 2016. Higher-than-expected North American demand, combined with a slowdown in natural gas production, has led to an increase in prices during the past few months. The cost of gas is the market price of natural gas itself. FortisBC does not mark up the cost of gas – customers pay what we pay. We review the cost of natural gas every three months with the BCUC.
FortisBC has also received approval for 2017 delivery rates for the Fort Nelson service area. The approved increase to Fort Nelson delivery rates for 2017 is approximately 7 per cent. The primary reason for the increase to Fort Nelson delivery rates is a forecasted decrease in customer demand. Fort Nelson’s delivery rates still remain lower than other areas of the province.
Delivery rates are what FortisBC charges to deliver natural gas service to customers. They enable the utility to recover costs and make investments in infrastructure, ensuring ongoing system integrity and reliability. Delivery rates are set by the BCUC annually.
Below are the residential customer rate changes. Rates will be effective January 1, 2017.
|Gas cost recovery rate||Delivery rate(s)||Total bill change|
|Increase of $0.792 per GJ|
Increases for the following:
Minimum Daily Charge (includes the first 2 GJs) - $0.0398
Next 28 GJ in any month - $0.402 per GJ
Excess of 30 GJ in any month - $0.396 per GJ
|Increase of approximately $166 per year or an increase of 24 per cent;|
FortisBC is committed to helping customers conserve energy and get the most out of their energy dollar by providing both financial incentives and advice on energy efficient technologies and practices. Customers can calculate how their energy use may be affecting their natural gas bill by using the FortisBC energy calculator.
We also offer an Equal Payment Plan (EPP) for customers seeking an easier way to budget for their gas use. Once enrolled in EPP, a customer’s gas usage is estimated for the next year based on the past 12 months of gas consumption. Taxes and fees are added to this calculation and then divided into 12 installment amounts. Learn more about EPP.
Customers with questions about their bill or those seeking payment solutions can call us at 1-888-224-2710.
Manager, Corporate Communications, FortisBC
24-hour media line: 1-855-322-6397
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 almost 1,800 British Columbians and serves approximately 982,000 customers in 125 B.C. communities. FortisBC Energy Inc. is indirectly wholly owned by Fortis Inc., the largest investor-owned distribution utility in Canada. FortisBC Energy Inc. owns and operates approximately 48,200 kilometres of natural gas transmission and distribution pipelines. Fortis Inc. shares are listed on the TSX and NYSE and trade under the symbol FTS. Additional information can be accessed at fortisinc.com or sedar.com.