P.U. 35 (2000-2001)
IN THE MATTER OF the Public
Utilities Act, (the “Act”); and
IN THE MATTER OF an Application by
Newfoundland Power Inc. (the “Applicant”) for relief from the statutory obligation to supply electrical energy pursuant to Section 54 (4) of the Act.
WHEREAS the Applicant is a corporation duly organized and existing under the laws of the Province of Newfoundland and Labrador, is a public utility within the meaning of the Act, and is also subject to the provisions of the Electrical Power Control Act, 1994; and
WHEREAS Alpine Development Alliance Corporation (the “Customer”), a corporation duly organized and existing under the laws of the Province of Newfoundland, operates a recreational downhill skiing facility near Clarenville, and has been in existence for less than two years; and
WHEREAS the Applicant’s Customer Deposit Policy as approved by the Board (the “Policy”) establishes the terms and conditions under which the Applicant may require security for the payment of charges for electrical service from its customers; and
WHEREAS the Policy provides that, for customers that are corporations that have not been in existence for more than two years, the Applicant shall require security for the payment of charges for electrical service in the amount of the estimated cost of two months service; and
WHEREAS Item 12(c) of Applicant’s Rates, Rules & Regulations, as approved by the Board, permits the Applicant to disconnect the electrical service of a customer for non-payment of electrical service charges only if the customer has a bill for any service that is not paid in full 30 days or more after issuance; and
WHEREAS the Customer has requested that the Applicant relax its requirement for security in the amount of the estimated cost of two months service, and the Applicant is prepared to relax this requirement, provided it is permitted to disconnect the electrical service of the Customer for failure to provide security or to pay electrical service charges in accordance with the terms of a letter of arrangement between the Applicant and the Customer attached hereto as Schedule A, except that the Applicant proposes to provide the Customer with a minimum of twenty-four hours notice in advance of disconnecting the Customer’s electrical service for failure to comply with the terms and conditions set out in Schedule A; and
WHEREAS the Customer submitted an affidavit, set out at Schedule B, to the Board in support of the Application, and indicating its agreement with the terms set out in Schedule A; and
WHEREAS the terms set out in Schedule A provide for a relaxation of the requirement of security for the payment of electrical service charges of the Customer upon terms that meet the Customer’s business requirements while appropriately addressing the requirements of the Applicant for reasonable security on terms that are not to the detriment of the Applicant’s other customers.
IT IS THEREFORE ORDERED
THAT:
1. Pursuant to Section 54 (4) of the Act, the Applicant is relieved from the obligation to provide electrical service to the Customer in the circumstances set out in the letter of arrangement between the Applicant and the Customer dated December 20, 2000 and attached as Schedule A and as accepted by the Customer as set out in Schedule B to this Order, except that the Applicant shall give the Customer at least twenty-four hours notice prior to disconnecting the Customer’s electrical service for failure to comply with the terms and conditions set out in Schedule A.
2. This Order shall govern the provision of electrical service by the Applicant to the Customer until such time as the Customer complies with the requirements of the Customer Deposit Policy of the Applicant as approved by the Board.
DATED at St. John=s, Newfoundland, this 8th day of February, 2001.
Robert Noseworthy,
Chair & Chief Executive Officer.
Darlene Whalen, P.Eng.,
Vice-Chairperson.
Raymond A. Pollett,
Commissioner.
William B. Crosbie, P.Eng.
Commissioner.
J. William Finn, Q.C.
Commissioner.
Don R. Powell, C.A.,
Commissioner.
G. Fred Saunders,
Commissioner.
________________________
G. Cheryl Blundon,
Director of Corporate Services and
Board Secretary.