Your Transportation Agreement
If you decide to buy natural gas from a marketer, you must sign a natural gas Transportation Agreement with FortisBC, and declare who your gas supplier is by signing a Notice of Appointment of Shipper Agent.
Your Transportation Agreement sets out the rates and terms under which FortisBC will transport your gas. It also specifies what FortisBC may charge you for gas if your supplier doesn’t provide enough gas for your account.
A Declaration of Supplier appoints a marketer as your agent in conducting gas-related business with FortisBC. Should you wish to end your relationship with a marketer, you must notify FortisBC as per the terms set out in the Transportation Agreement.
If you have a concern or issue with your marketer, you’ll need to contact and work with them directly. You may also contact a FortisBC account manager.
Transportation rate schedules
If you are classified under one of these rate schedules, as a transportation customer, you will have two contracts: one with your gas marketer for the gas commodity and one with us for gas delivery.
- Schedule 22: large volume customers using more than 12,000 gigajoules per month and are able to switch to an alternate source
- Schedule 23: commercial, institutional, multi-family or others with an annual consumption of 2,000 gigajoules or more
- Schedule 25: commercial, institutional, multi-family or others with an annual consumption of 6,000 gigajoules or more.
- Schedule 27: large volume customers using less than 12,000 gigajoules per month and are able to switch to an alternate source
Transportation Agreement term length
The length of your agreement depends on the month when you switch from FortisBC to a transportation marketer, with a minimum term of 12 months. The Transportation Agreement end date is always October 31. If you sign an agreement before or after November 1, the agreement will extend until October 31 following the 12-month anniversary of the agreement. For example:
- A Transportation Agreement signed on November 1 will end 12 months later, on October 31 of the following year.
- A Transportation Agreement signed on September 1 will end 14 months later, on October 31 of the following year.
- A Transportation Agreement signed on January 1 will end 22 months later, on October 31 of the following year.
At least two months’ notice is required before the end of the agreement to cancel the agreement. Otherwise, it will automatically roll over.
Signing a Transportation Agreement
- Find a transportation gas marketer
Review the details of marketers’ offers, including the price of gas per gigajoule and the length of the contract.
- Review the relevant FortisBC transportation natural gas rate schedule
Note: the following documents, included in the rate schedules, will need to be signed:
- Appendix A: Notice of Appointment of Shipper Agent
- Schedule A: Shipper Agent Agreement (your marketer will sign this document with FortisBC)
- Sign a Transportation Agreement
Before you sign an agreement with a transportation gas marketer, you may want to talk with several marketers and ask them several questions to determine which marketer can best serve your needs. Answers to the following questions can help you make an informed decision:
- How long is the term of the contract?
- Is the price fixed over the term of your contract or can it vary?
- How reliable is the supply—could it be interrupted for any reason?
- Will you only be billed for the gas you actually consume?
- What are the financial obligations and potential additional charges?
- Does the contract you sign with the natural gas marketer commit your company to other services and energy supply arrangements such as electricity or telecom?
- What are the termination rights, terms and conditions?
- Will you be buying gas from the marketer or is the marketer acting on behalf of a gas supplier?
Once you've signed with a transportation marketer
- You or your marketer should notify FortisBC that you have chosen to purchase your gas from a marketer. The marketer should provide you with a form outlining information such as the company details, signing authority, selected rates and confirmation that you wish to change rates. This form can be sent directly from you or from your marketer, and should be faxed or emailed to us.
- FortisBC will prepare contracts for you to sign. Your contract documents will contain detailed instructions.
- After you confirm the phone line has been installed, FortisBC will advise applicable billing departments that you are no longer buying your commodity from us, effective the first day of the following month (or later if indicated on the contract).
- FortisBC will install an automatic meter reader (AMR) and complete any meter upgrades that are required, and program the AMR to download your consumption data to our central computer. This may not be done immediately, especially at the start of a new contract year; however, that will not delay the start of your new contract.
- The meter will be manually read on the last day of the existing rate, and all charges up to that date will be charged at the same rate you are currently being billed. Once you are on the new rate, the transportation (delivery) costs will be invoiced directly from FortisBC, and commodity costs will be billed directly from the marketer. This means you will receive two bills. See what your bill from FortisBC will look like as a Transportation Services Customer.