Terasen Gas files revenue requirement application for Fort Nelson

Application will ensure the continued safety and integrity of Fort Nelson gas systems

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SURREY, BC, Sept. 9 /CNW/ -Terasen Gas has filed a revenue requirement application for its Fort Nelson service area with the British Columbia Utilities Commission (BCUC), effective January 1, 2011. If approved, residential customers in Fort Nelson would see an increase of approximately five per cent, or $60, to their total annual bill, allowing Terasen Gas to undertake required capital upgrade projects in the region.

"Our application is based on our commitment to meet the needs of our customers and communities we serve, while working to ensure that Terasen Gas can continue to maintain safe, reliable and cost-effective natural gas delivery in Fort Nelson," said Scott Thomson, Executive Vice President, Finance, Regulatory and Energy Supply, Terasen Gas and FortisBC. "Our application proposes important capital upgrades to the Fort Nelson service area that will benefit our customers for many years to come."

To ensure that it can continue to meet the current and future energy needs of Fort Nelson customers, Terasen Gas is undertaking major capital projects in the region, such as a project to replace the Muskwa River pipeline crossing, as well as upgrades to the Fort Nelson odourizer station and the measurement and pressure reduction station. Between the three upgrade projects, Terasen Gas will have invested approximately $2.8 million in the Fort Nelson system between 2009 and 2011.

The delivery portion of Fort Nelson gas rates is what Terasen Gas charges to deliver natural gas to customers and is the portion that will be affected if the revenue requirement application is approved. The delivery portion of the residential gas rate in Fort Nelson makes up approximately 30 per cent of their total bill. It enables the company to recover its costs, and make investments in its business that will benefit the evolving needs of the customers and communities served.

For more information on natural gas rates, and to learn more about Terasen Gas, visit terasengas.com

Terasen Gas is mainly composed of the operations of Terasen Gas Inc. and Terasen Gas (Vancouver Island) Inc., both indirect wholly owned subsidiaries of Fortis Inc. Fortis Inc., the largest investor-owned distribution utility in Canada, serves approximately 2,100,000 gas and electric customers and has total assets exceeding $12 billion. Its regulated holdings include Terasen Gas and electric utilities in five Canadian provinces and three Caribbean countries. Fortis Inc. owns non-regulated hydroelectric generation assets across Canada and in Belize and upper New York State. It also owns hotels and commercial real estate in Canada. Fortis Inc. shares are listed on the Toronto Stock Exchange and trade under the symbol FTS. Additional information can be accessed at www.fortisinc.com or www.sedar.com

For further information:

Media Contact:

Marcus Wong
Corporate Communications Manager
Terasen Gas
Phone: [phone]
Email: [email protected]
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