Bulletin – Common Proceeding – IT costs – MSAs
The AUC announced Proceeding 20514, a common matter to examine the costs for information technology (“IT”) services common to ATCO Electric Ltd. and ATCO Pipelines Ltd. (the “ATCO Utilities”). The AUC advised that parties registered in Proceedings 3577 and 20272 will be registered in Proceeding 20514. All other parties must file a statement of intention to participate by no later than 2:00 pm on July 6, 2015.
The ATCO Utilities had previously sourced their IT services from ATCO I-Tek, an unregulated affiliate, which was later sold to Wipro Solutions Canada Limited (“Wipro”) in a share transaction. Subsequent to the sale, Wipro and the ATCO Utilities entered into a 10 year MSA.
The AUC announced that it required the proceeding to examine the future implications for regulated distribution utilities currently subject to performance-based regulation. Accordingly, the AUC directed the ATCO Utilities to re-file IT cost related information from Proceedings 3577 and 20272, being the general rate applications for both ATCO Gas and Pipelines Ltd., and ATCO Electric Ltd., respectively, by June 25, 2015. The AUC also directed the ATCO Utilities to re-file any proposed placeholders for IT costs in the general rate applications.
Interested parties may file written submissions in respect of any proposed modifications or additions to the issues list, as well as comments on process, by 4:00 pm on July 13, 2015.
