Order P.911218- Petroleum - Atlantic Speedy Propane Limited

IN THE MATTER of an application filed under Section 32 of the Petroleum Products Act, supra, by Atlantic Speedy Propane Limited for decreases in its propane pricing schedule.

WHEREAS further to Order No. P.911114 of the Public Utilities Commission, Atlantic Speedy Propane Limited ("Atlantic") filed an application under the Petroleum Products Act, supra, to the Island Regulatory and Appeals Commission (the "Commission") on 17 December 1991 requesting approval of decreases in the price of propane to its customers amounting to 1.0 cents per litre;

AND WHEREAS a declaration made in the supporting Affidavit of Anne-Marie van de Brand-Gammon, Comptroller of Atlantic, dated 13 December 1991 indicated that propane acquisition costs would decrease on 18 December 1991 by 1.5 cents per litre, but that the Company was seeking only a 1.0 cent per litre reduction in order to recover revenue lost as a result of the Public Utilities Commission approving only a 1.5 cents increase rather than the 2.5 cents per litre increase applied for in its application of 6 November 1991;

AND WHEREAS supporting information by way of copy of a letter dated 13 December 1991 to Atlantic from Mr. Robert Johnston of Irving Oil Limited ("Irving"), its supplier, confirmed that Irving would in fact decrease the price of propane to Atlantic on 18 December 1991 by 1.5 cents per litre;

AND WHEREAS the Commission had sought further information of Atlantic by way of the Public Utilities Commission Order No. P.911114 and the covering letter which was responded to in part in a letter dated 4 December 1991 from Counsel to Atlantic, Mr. Eugene P. Rossiter;

AND WHEREAS this new application and all related data filed were given consideration by the Commission this date;

THE COMMISSION HEREBY ORDERS THAT the propane prices to be charged by Atlantic Speedy Propane Limited, effective 12:01 a.m., Saturday, 21 December 1991, be decreased by 1.0 cent per litre in accordance with Appendix "A" appended to this Interim Order, until otherwise ordered by the Commission.

AND THE COMMISSION FURTHER ORDERS THAT an in camera hearing be held, at which hearing Atlantic Speedy Propane Limited will be required to have a qualified representative available for the purpose of 1) providing information to the Commission respecting the structure of and the various categories contained in its pricing schedule and 2) giving evidence with respect to why the Company has not applied to pass on to its customers the additional 0.5 cent per litre decrease in propane acquisition costs which become effective 18 December 1991. A general review of the propane acquisition cost component versus the non-acquisition cost component of propane pricing will also form part of this hearing.

Domestic Propane Rates
Cylinder Exchange System
	Price Per Cylinder (Based on 89.1 litres per cylinder)	Equivalent Per Litre
1 to 15 Cylinders a year	$41.94	$0.4707
16 to 50 Cylinders a year	$38.63	$0.4336
More than 50 Cylinders a year	$37.94	$0.4258

Bulk Delivery System		(10 week delivery schedule) P.E.I.
At each delivery -	First 36 litres	$0.4830
	Next 36 litres	$0.4478
	All the rest	$0.3950
	*Minimum charge at any delivery is $15.00*

Special Home Heating Rates		Price Per Litre
a) Total Home Heat		$0.3634
b) Partial Home Heat (auxiliary and space heating)		$0.3887

Industrial and Warehouse Heating
10,000 litres and over		$0.3195

Gas Rates for Portable Cylinders
Size	Weight	Price Per Cylinder
2 LB & smaller	1.0 KG	$2.65
5 LB	2.3 KG	$3.50
10 LB	4.5 KG	$5.80
20 LB	9.0 KG	$9.80
25 LB	11.3 KG	$11.90
30 LB	13.6 KG	$14.70
33 LB	15.0 KG	$16.05
40 LB	18.1 KG	$19.30

Commercial and Industrial Rates
Bulk Rates		Price Per Litre
Annual Consumption
First 4,500 litres		$0.4129
4,500 to 22,800 litres		$0.3865
22,801 to 34,000 litres		$0.3821
34,001 to 60,000 litres		$0.3755
Over 60,000 litres		$0.3711

Swimming Pools	Price Per Litre
Up to 2,300 litres	$0.3909	Rental on 420's is $25.00 per cyl. per year
Over 2,300 litres	$0.3821	Rental on 420's is $25.00 per cyl. per year

Laundromats
Annual Consumption
Up to 45,000 litres	$0.3777
Over 45,000 litres	$0.3711

Dispensing Unit Gas Prices (Excluding Irving Oil Dispenser Operator)
Annual Consumption
Up to 45,500 litres	$0.3733	Yearly rentals on unit - See Policy Instruction #30
Over 45,500 litres	$0.3689	Yearly rentals on unit - See Policy Instruction #30

Carburetion Cylinder Rates
Customer's Own Cylinders	$0.4276
*Plus $2.50 monthly rental per cylinder on company owned cylinders*

Installation Charges
Flat fee installation charge exist to cover certain domestic installations.
Commercial installations are charged based on time & materials. Time includes shop and travel time.

Services Labour Rates (Policy #53)
$36.00 per hour, commercial effective March 19, 1991.
$29.50 per hour, domestic effective March 19, 1991.

Mileage Fee (Policy #52)
a) Minimum fee for up to 8 km	$2.80
b) Standard fee for over 8 km	$0.35 per km
c) Maximum fee for over 70 km	$25.00

Yearly Rental on Cylinders and Tanks
Seasonal Tanks & Emergency Standby Units
100 lb	cylinder	$10.00 each
200 lb	cylinder	$15.00 each
420 lb	cylinder	$25.00 each
334 gallons	tank	$40.00 each
500 gallons	tank	$75.00 each
1,000 gallons	tank	$125.00 each
1,750 & 1,800 gallons	tank	$175.00 each
2,000 gallons	tank	$175.00 each

Propane Motor Fuel Pricing - December 1991
A) Motor fuel propane prices for fleet owners only with their own dispensing units of not less than 2,000 USWG capacity or 7,570 litres

Litres
From 0 to 22,750 litres	$0.3656 + tax
From 22,751 to 45,500 litres	$0.3612 + tax
From 45,501 to 68,250 litres	$0.3568 + tax
From 68,251 to 113,750 litres	$0.3524 + tax
From 113,751 litres and over	$0.3480 + tax

B) Individual retail prices (non-fleet users)
Per litre	$0.4052 + tax

C) Irving Oil dispenser operators
Per litre	$0.3713 + $0.1050/litre for rent

D) Provincial motive fuel taxes
Motive fuel tax per litre	P.E.I. $0.1170	(Effective October 1, 1991)