P.U.
6 (2000-2001)
IN THE MATTER OF the
PUBLIC UTILITIES ACT,
R.S.N. 1990, c. P-47, as amended
("the Act")
AND
IN
THE MATTER OF
the application by
Newfoundland
Power Inc. (“the Applicant”)
for
approval of the balance of the weather
normalization
reserve as of December 31, 1999
pursuant
to Sections 69(3) and 78 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 by Order No. 1 (1974),
the Board ordered the Applicant to provide a reserve out of its revenue to
normalize for the average degree days and to combine the balance in this
reserve with the balance in the Hydro Production Equalization Reserve
established pursuant to Order No. 32 (1968); and
WHEREAS the Board, by previous
Orders, approved the Applicant=s weather normalization reserves up to and including
December 31, 1998, at which time there was a Negative Balance in the reserve
of $5,022,022; and
WHEREAS the Applicant has
reported to the Board that its combined weather normalization reserve as at
December 31, 1999 is a Negative Balance of $7,361,747; and
WHEREAS the Board is satisfied
from the Application and Affidavit that the reserve at December 31, 1999,
properly reflects the effect that degree days and hydro equalization have had
on the operation of the Applicant from January 1, 1999 to December 31, 1999.
IT IS THEREFORE ORDERED
THAT:
1. The Applicant=s weather normalization
reserve of a Negative Balance of $7,361,747 as at December 31, 1999, be and the
same is hereby approved.