FortisBC customers in the Cariboo can expect a decrease in their gas bills beginning April 1, 2016 because the company has received approval from the BC Utilities Commission (BCUC) to decrease the cost of gas.
“North American natural gas prices over the winter have been lower than expected due to a continued strong production and reduced demand from warmer than normal weather,” said Cynthia Des Brisay, vice president of energy supply and resource development with FortisBC.
“As a result, the market is experiencing high natural gas storage levels for this time of year, which has further dampened the expected cost of gas over the summer period. These factors have resulted in savings that FortisBC is passing on to customers.”
“Propane prices, on the other hand, are higher due to stronger crude oil prices, increased propane exports and reduced storage levels,” added Des Brisay.
FortisBC customers in the Lower Mainland, Vancouver Island, Whistler, Fraser Valley, Interior, North and the Kootenays will see a decrease to their cost of gas rate of $0.578 per gigajoule (GJ), meaning the cost of gas rate will change from $1.719/GJ to $1.141/GJ.
These changes will result in a decrease of approximately $52 per year for residential customers, based on the average use of 90 GJ per year.
Fortis said customer Choice program participants will not be affected by changes to the cost of gas rate and customers in Fort Nelson will not see any changes to their cost of gas rates.
And in Revelstoke, the company said customers will see an increase to their cost of propane rate of $0.887 per GJ.
For residential customers, this means the cost of propane rate will change from $5.998/GJ to $6.885/GJ, resulting in an increase of approximately $44 per year for residential customers, based on the average use of 50 GJ per year.