Click here for a PDF version of this Order.

Docket: UW08306
Order: UW09-02

IN THE MATTER of an application by the Borden-Carleton Water and Sewerage Corporation for an increase in its tariff of sewer and water rates and charges.

BEFORE THE COMMISSION

on Friday, the 8th day of May, 2009.

Maurice Rodgerson, Chair
Brian McKenna, Vice-Chair
John Broderick, Commissioner

---

Order

---

WHEREAS the Borden-Carleton Water and Sewerage Corporation (the "Utility"), by application filed on January 20, 2009, applied to the Commission for an increase in its Tariff of rates and charges for sewer and water services, effective April 1, 2009; 

AND WHEREAS by notice published in local newspapers following receipt of the said application, the Commission invited written comments on the Utility's proposed rates; 

AND WHEREAS the Commission subsequently received a significant number of written submissions in response to the public notice in which many rate payers expressed concerns over the amounts being proposed. In addition, several comments were received regarding customers' lack of prior notice of the Utility's intent to file an application for rate increases; 

AND WHEREAS in recognition of the concerns expressed by the ratepayers following the public notice, and in order to minimize the impact, the Utility, by written notification on April 29, 2009, amended its application to request that the rate increases be phased in over a three-year period; 

AND WHEREAS, specifically, the Utility's amended request proposes increases of $30.00 per unit per year for unmetered water service and $120.00 per unit per year for unmetered sewer service, including corresponding percentage increases for metered customers of both services per year; 

AND WHEREAS the Utility's amended request reflects an average first year increase for combined services which is 95% lower than initially proposed; 

AND WHEREAS the Commission has considered the submissions of the Utility and the responses to the public notice; 

AND WHEREAS the Commission, based on a thorough analysis of the application and the Utility's financial statements, has concluded that: 

• expenditures associated with infrastructure upgrades of the sanitary sewage system has increased the Utility's operating costs significantly; 

• increased expenditures associated with the ongoing operation and maintenance of the central water system and sewage treatment facility, including the requirement to comply with environmental regulations, also affect the Utility's overall operating costs; and 

• the forecast operating expenses of the Utility appear justified and reasonable in relation to the services being provided; 

AND WHEREAS the Commission notes there is no requirement that utilities notify its residents prior to submitting a rate filing; however, in consideration of the demonstrated interest in this matter, the Utility is encouraged to continue to be responsive to its ratepayers, and is also encouraged to periodically update customers of ongoing water and sewer activities; 

AND WHEREAS it appears to the Commission that the phasing in of rates over a three-year period, commencing on July 1, 2009, is a fair and reasonable approach to balancing the Utility's financial needs with the ratepayers' concerns; 

AND WHEREAS it further appears to the Commission that the Tariffs of Rates and Charges approved herein are necessary and equitable;

NOW THEREFORE, pursuant to the Island Regulatory and Appeals Commission Act and the Water and Sewerage Act;

IT IS ORDERED THAT

1. The existing Tariff for sewer and water services of the Borden-Carleton Water and Sewerage Corporation is revoked and the Tariffs appended to, and forming part of, this Order are substituted therefore; and 

2.  The appended Tariffs are approved and declared effective on July 1, 2009, July 1, 2010 and July 1, 2011 respectively, and shall remain in effect until otherwise ordered by the Commission.

DATED at Charlottetown, Prince Edward Island, this 8th day of May, 2009.

BY THE COMMISSION:

Maurice Rodgerson, Chair

Brian McKenna, Vice-Chair

John Broderick, Commissioner

---

NOTICE

Section 12 of the Island Regulatory and Appeals Commission Act reads as follows:

12. The Commission may, in its absolute discretion, review, rescind or vary any order or decision made by it or rehear any application before deciding it.

Parties to this proceeding seeking a review of the Commission's decision or order in this matter may do so by filing with the Commission, at the earliest date, a written Request for Review, which clearly states the reasons for the review and the nature of the relief sought.

Sections 13.(1), 13(2), 13(3), and 13(4) of the Act provide as follows: 

13.(1)    An appeal lies from a decision or order of the Commission to the Court of Appeal upon a question of law or jurisdiction.

(2) The appeal shall be made by filing a notice of appeal in the Court of Appeal within twenty days after the decision or order appealed from and the rules of court respecting appeals apply with the necessary changes. 

(3) The Commission shall be deemed to be a party to the appeal. 

(4) No costs shall be payable by any party to an appeal under this section unless the Court of Appeal, in its discretion, for special reasons, so orders.

---

Approved:   Island Regulatory and Appeals Commission
Effective:    July 1, 2009
Order Authorizing Tariff: IRAC/UW08306/UW09-02

 

 

 

Borden-Carleton
Water and Sewerage Corporation

---

WATER & SEWER
TARIFF

---

 

THIS TARIFF SPECIFIES THE RATES AND CHARGES
APPLICABLE TO SERVICES PROVIDED BY THE
BORDEN-CARLETON WATER AND SEWERAGE CORPORATION
 

RULES AND REGULATIONS GOVERNING THE TYPES
OF SERVICES AND MANNER IN WHICH SUCH
SERVICES ARE PROVIDED ARE CONTAINED IN THE
PRINCE EDWARD ISLAND MUNICIPAL WATER AND SEWERAGE
UTILITIES GENERAL RULES AND REGULATIONS

 

EFFECTIVE: July 1, 2009

 

---

Metered Rates

Application:

The following rates and charges apply to metered services provided customers by the Borden-Carleton Water and Sewerage Corporation.

Water & Sewer Service:

Demand Charge			+	Commodity Charge
Meter Size	Monthly	Quarterly		$0.43 per cubic meter - OR - $1.93 per 1,000 Imperial gallons
5/8 inch	$29.43	$88.30
3/4 inch	$43.06	$129.17
1 inch	$70.30	$210.89
1 1/2 inch	$138.41	$415.22
2 inch	$220.14	$660.41

Water Service:

Demand Charge			+	Commodity Charge
Meter Size	Monthly	Quarterly		$0.21 per cubic meter - OR - $0.95 per 1,000 Imperial gallons
5/8 inch	$14.02	$42.07
3/4 inch	$20.54	$61.63
1 inch	$33.59	$100.77
1 1/2 inch	$66.20	$198.61
2 inch	$105.34	$316.02

Sewer Service:

Demand Charge			+	Commodity Charge
Meter Size	Monthly	Quarterly		$0.22 per cubic meter - OR - $0.98 per 1,000 Imperial gallons
5/8 inch	$15.41	$46.23
3/4 inch	$22.51	$67.54
1 inch	$36.71	$110.12
1 1/2 inch	$72.20	$216.61
2 inch	$114.80	$344.39

Minimum Bill:

The minimum bill is the demand charge.

---

Unmetered Rates

Application:

The following rates and charges apply to unmetered services provided customers served or capable of being served by the Borden-Carleton Water and Sewerage Corporation.

Flat Rates:

No water service line to exceed 3/4 inch.

Single-Family Dwellings
Water & Sewer Service:	Monthly	Quarterly	Annually
	$39.09	$117.27	$469.08
Water Service:
	$18.72	$56.15	$224.60
Sewer Service:
	$20.37	$61.12	$244.48

Special Flat Rates:

The Utility may approve the use of special flat rates where it is considered expedient due to the inadvisability of installing a meter due to exposure, etc., such as residential construction, temporary water fountains and similar devices. This type of service is to be provided only on an intermittent basis and is not to cover heavy consumption use.

Rates for Water Supplied from Fire Hydrants:

When the use of any fire hydrant is desired for supplying water for flushing sewers, drains or any other purpose, other than for fire protection, the Utility may grant a permit under such terms, conditions and rates as it may see fit, including arrangements regarding supervision of the opening and closing of the hydrant.

---

Municipal Services Rates

Fire Protection Charge:

The Borden-Carleton Water and Sewerage Corporation shall charge the Community of Borden-Carleton annually for water system facilities provided for fire protection services, the amount of $30,000.

---