Fortis BC Buys Stargas


Fortis BC and Stargas Utilities, the utility that has supplied natural gas to Silver Star for the last 21 years, announced that FortisBC will be purchasing Stargas. This announcement comes in the middle of ongoing Stargas proceedings at the BC Utilities Commission (BCUC) for the review of both the Delivery Rate and the Commodity Rate.

There are several issues that are outstanding in the BCUC proceedings but FortisBC and Stargas will be addressing them jointly.  The SSPOA who is the registered intervenor will continue to ensure that ratepayer’s interests are addressed. The SSPOA first intervened in late October 2016 when Stargas applied to vary their Delivery Rate. This was the first time in 17 years that there had been any sustained opposition to the rates charged by Stargas. Stargas was initially offering a $0.45 / GJ reduction which they revised to only $0.30/ G.J. The proceeding lasted until April 2017 when the BCUC ordered a $1.61/ GJ decrease.

The SSPOA also asked Stargas to amortize the installation costs so that Silver Star could enjoy the same $25.00 fee that FortisBC customers had as opposed to the $1,700 that Stargas was charging. That proceeding lasted from July 2017 to November 2017.

The 12 months spent as intervenors in 2016-2017 was an educational experience on natural gas rate making that showed when a community comes together change can be accomplished. This change in 2020 with FortisBC acquiring Stargas is even more satisfying” according to the SSPOA Utility Services Committee. The present BCUC proceedings will be affected by this announcement with several rate riders to be decided, but as a comparison, the FortisBC rate is 32% less than the proposed rates presently before the BCUC.

DELIVERY RATE / GJ   $5.77   $4.59    $4.596
COMMODITY RATE / GJ   $3.98   $7.87   $3.863
TOTAL per Gigajoule   $9.75   $12.46   $8.46

You can follow the Rate Proceedings by visiting the BCUC websites:

For the Delivery Rate
For the Commodity Rate