Fortis One Step Closer to Common Rates

At the end of June the BCUC agreed to reconsider the Foris application to amalgamate its various rate territoroes into one provincial pool of customers. Thatwould mean that all customers would pay the same rates for delivery and gas supply and would pay very marginally different rates for midstream, aka pipeline and peaking costs. Of […]

Read More

Is weather the difference?

The chart below shows a temperature chart that covers last year compared to this year. In a nutshell it tells us that last year it was much warmer than average almost everywhere, but especially in the East, where  most gas consumption happens.   This year it's been normal in the East and West but cooler […]

Read More

Drilling down or sideways?

Natural gas prices have come up sharply this spring. In part, reduced storage and cooler weather are blamed, while others point to "market bias", but certainly drilling activity has an impact, at least in the minds of the folks trading gas at NYMEX. The graphs below show the picture but close examination reveals slightly deeper […]

Read More

A moment of truth?

Can anyone ever prove a market is "fixed" or biased? It's a tough one. Every once in a while though, we get a glimmer at the background when there is a slip up of some sort. The graphic below shows minute by minute tracking of natural gas trading on NYMEX. Note the sudden drop. What […]

Read More

Is the tank dry?

The storage chart shows the aggregate of natural gas in underground storage caverns. The red line is this year and the grey band is that range for the past seven years. We entered the gas year (Nov-Oct) at a level above the previous maximum and, because of a warm November and December, stayed above that […]

Read More

Fortis Vancouver Island Rate Amalgamation

Friday April 26, 2013  Fortis BC applied for a reconsideration of the rejected application this spring to amalgamate their various service territories into one postage stamp rate territory and  actually amalgamate the various regional cost centers into one cost center.  Postage stamp rates are called that because they are rates that are the same everywhere, […]

Read More

Prince Rupert Gas Pipeline Awarded

On January 9, 2013, TransCanada announced it had been selected by Progress Energy Canada to design, build, own and operate a proposed $5 billion natural gas pipeline from the North Montney basin near Fort St. John to the proposed Pacific Northwest LNG export facility in Port Edward near Price Rupert, BC. The estimated in-service date […]

Read More

FortisBC Buys Kelowna Electric Utility

The BCUC has approved the FortisBC and City of Kelowna asset purchase agreement which transfers ownership of the City-owned electrical utility assets to FortisBC for a purchase price of about $55 million. The approval is subject to a specific rate base calculation and the introduction of a short-term deferral account to allocate resulting customer benefit. 

Read More