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ENMAX Energy Application for True-Up of the 2017-2020 Regulated Rate Option Interim Rates, AUC Decision 25881-D01-2020

Link to Decision Summarized

Rates – Regulate Rate Option

In this decision, the AUC approved the application from ENMAX Energy Corporation (“EEC”) to true-up its 2017-2020 regulated rate option (“RRO”) non-energy interim rates. EEC further applied to true-up its 2015-2016 RRO non-energy tariff final rates rider.

Introduction and Background

EEC filed this application pursuant to AUC directions from decisions 21646-D01-2016 and 21646-D02-2020. These decisions approved EEC’s 2016 final rates and its 2017 interim rates, effective January 1, 2017, until July 31, 2020. Decision 21646-D02-2016 also included approval of a rate rider to refund the difference between EEC’s approved interim and final rates for January 2015 to October 2016.

This application aimed to true-up the difference between EEC’s revenues from January 1, 2017, to July 31, 2020. This true-up was to be based on the interim rates, and the revenues EEC would have collected during the same period if it had been using the approved final rates.

EEC calculated the differences between its revenues using interim rates and final approved rates, from January 1, 2017, to July 31, 2020. EEC also filed information showing the differences between the true-up amount refunded to customer sites and the amount that was approved for refund on a forecast basis, through the 2015-2016 rider.

EEC proposed to collect or refund the true-up over the period from January 1, 2021, to June 30, 2021, as a rate rider that would be included as part of its RRO non-energy tariff. It proposed to collect $0.0040 per day per site through a residential service rate rider and to refund $0.1170 per day per site through a commercial service rate rider, from January 1, 2021 to June 30, 2021.

AUC Findings

The AUC found that EEC correctly calculated the true-up amounts for the RRO non-energy tariff and approved the amounts as submitted by EEC. The AUC approved the collection and refund of the true-up amount over one month as the true-up amounts per customer were relatively small, and this would result in regulatory efficiency. The AUC approved the rider period of December 1, 2020, to December 31, 2020, and the associated rider amounts as a collection of $0.7192 per residential site in December and a refund of $21.11 for commercial sites.

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