Order No. P.960104-1

IN THE MATTER of the Petroleum Products Act, R.S.P.E.I. 1988, Cap. P-5.1;

- and -

IN THE MATTER of an application filed under the Petroleum Products Act, supra, by Irving Oil Limited for amendments to its propane pricing schedule.

Thursday, the 4th day of January, A.D., 1996

BEFORE

Linda Webber, Chairman
Anne McPhee, Commissioner


Decision and Order


Further to the Commission's Order No. P.950704, Darlene O’Neill, Pricing Representative of Irving Oil Limited, filed with the Island Regulatory and Appeals Commission (the "Commission") on 22 December 1995 an application to increase certain product prices contained in Irving’s propane pricing schedule.

This application was supported by weekly prices of propane as published by Oil Buyers Guide for a two-year period commencing January, 1994.

On 29 December 1995 the Company provided additional information requested by Commission Staff with respect to the above-noted application.

The Commission considered this Application and additional supporting documentation at its meeting on 4 January 1996, and granted approval to the requested price increases in certain of the categories contained therein, effective 8 January 1996.

THE COMMISSION HEREBY ORDERS THAT the propane prices charged by Irving Oil Limited, effective 12:01 a.m., Monday, 8 January 1996, be in accordance with Appendix "A" to this Order, until otherwise ordered by the Commission.

AND THE COMMISSION FURTHER ORDERS THAT the Applicant file with the Commission on or before 25 January 1996 a copy of each of the invoices for the next purchase of propane after 15 September 1995, 15 October 1995 and 15 December 1995.

DATED at CHARLOTTETOWN this 4th day of January, A.D., 1996.

BY THE COMMISSION:

Chairman

Commissioner


 APPENDIX "A"

IRVING OIL LIMITED

SCHEDULE OF PROPANE GAS RATES - METRIC

PROVINCE OF PRINCE EDWARD ISLAND

EFFECTIVE: 8 January 1996

 

Price per Cylinder Equivalent per Litre
  (Based on 89.1 litres per cylinder)  
1 to 15 cylinders a year $45.04 $0.5055
16 to 50 cylinders a year 41.73 0.4684
More than 50 cylinders a year 41.04 0.4606

Gas rates for portable cylinders

Size Weight  

Price per Lb.

2 LB 1.0 KG   $1.36
5 LB 2.3 KG  

0.75

10 LB 4.5 KG   0.62
20 LB 9.0 KG   0.53
25 LB 11.3 KG   0.51
30 LB 13.6 KG   0.52
33 LB 15.0 KG   0.52
40 LB 18.1 KG   0.52

                                                                                                                      Price per Litre

Carburetion cylinders

Customer's own cylinders                                                                                 $0.4624

***Plus $2.50 monthly rental per cylinder on company-owned cylinders***

Domestic Propane Rates

Bulk delivery system (ADS) (10 week delivery)

At each delivery -

First 36 litres                                                                              $0.5178

Next 36 litres                                                                               0.4826

All the rest                                                                                  0.4298

***Minimum charge at any delivery is $15.00***

Domestic home heating (all zones)

a) Total home heat                                                                               $0.3982

b) Partial home heat (auxiliary or space heating)                                          0.4235

Commercial and Industrial Rates

Bulk delivery

Annual consumption

First 4,500 litres                                                                                     0.4477

4,501 to 22,800 litres                                                                              0.4213

22,801 to 34,000 litres                                                                            0.4169

34,001 to 60,000 litres                                                                            0.4103

Over 60,000 litres                                                                                  0.4059

Industrial and warehouse heating

10,000 litres and over                                                                             0.3543

Swimming Pools

Annual consumption

First 2,300 litres                                                                                    0.4257

Over 2,300 litres                                                                                   0.4169

***Rental on 420's is $25.00 per cylinder per year***

Laundromats

Annual Consumption

First 45,000 litres                                                                                  0.4125

Over 45,000 litres                                                                                 0.4059

Dispensing Units                                                                                                 0.4061

Service Rates

Installation charges

All installations will be charged on the basis of time and materials used.

Time will be figured on the inclusion of travel time and shop time where applicable.

Service labour rates

Commercial - $53.00 per hour

Domestic - $43.00 per hour

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

100 lb. cylinder   $10.00 each
200 lb. cylinder  

15.00 each

420 lb. cylinder   25.00 each
334 gallon tank   40.00 each
500 gallon tank   75.00 each
1,000 gallon tank   125.00 each
1,750 gallon tank   175.00 each
2,000 gallon tank   175.00 each

Propane Motive Fuel Pricing

A) Motive fuel propane prices for fleet owners only with their own dispensing units of not less than 2,000 USWG capacity or 7,570 litres

No. of Litres   Price per Litre
From 0 to 22,750 litres   $0.3704 + tax
From 22,75l to 45,500 litres   0.3660 + tax
From 45,501 to 68,250 litres   0.3616 + tax
From 68,251 to 113,750 litres   0.3572 + tax
113,751 litres and over   0.3528 + tax

B) Individual retail prices (Non-fleet users)                                                           0.4100 + tax

Provincial Motive Fuel Taxes

Current motive fuel tax per litre                                                                                 $0.120

Cylinder Exchange Centres

                                                                                                        Wholesale             Retail

                        to Dealer        to Consumer

Filled 9.09 kg cylinder (propane only/G.S.T. not included)        $9.00             $13.32