Business
FortisAlberta receives approval of 2006/07 Revenue Requirement
FortisAlberta receives approval of 2006/07 Revenue Requirement.
About this update from Fortis Inc.
[{"type":"text","content":"\n\n\n\n\nCALGARY, June 29 /CNW/ - (TSX:FTS) - FortisAlberta Inc. today announced\nit has received approval from the Alberta Energy and Utilities Board (AEUB)\nfor its 2006/07 Revenue Requirement. The decision approves a negotiated\nsettlement agreement between FortisAlberta and its customers dealing with the\nCompany's 2006/07 Distribution Revenue Requirement and the 2007 Terms and\nConditions of Service.\nThe Agreement sets the Distribution Revenue Requirement, net of\nmiscellaneous revenue, at $217 million and $228 million in 2006 and 2007\nrespectively, which translates to a one per cent reduction to base\ndistribution rates over two years.\nIn reaching this settlement, the Company has agreed for rate-making\npurposes, to a level of operating expense of approximately $114 million for\neach year and capital expenditures, before customer contributions, of\napproximately $400 million over the two years.\n\"The AEUB's decision gives us certainty for the next two years and\nthrough a streamlined regulatory process allows us to focus on executing our\nsubstantial capital program, while continuing to improve customer service,\nproductivity and the reliability of the electrical system,\" explains Philip\nHughes, President and Chief Executive Officer, FortisAlberta Inc.\nThe parties to the settlement agreement include: Alberta Association of\nMunicipal Districts and Counties, Alberta Federation of REAs, Alberta Sugar\nBeet Growers, Potato Growers of Alberta, Alberta Urban Municipalities\nAssociation, Alexis Nakota Sioux Nation, Canadian Federation of Independent\nBusiness, Care Centre Group, Central Alberta Rural Electrification Association\nLtd., Consumers Coalition of Alberta, Industrial Power Consumers Association\nof Alberta, Garneau Inc., Lehigh Cement Ltd., Montana First Nation, Office of\nthe Utilities Consumer Advocate, and Public Institutional Consumers of\nAlberta.\n\nFortisAlberta is an electric distribution company with approximately\n420,000 customers and more than 103,000 kilometres of power lines. It is a\nwholly owned indirect subsidiary of Fortis Inc. - a diversified, international\nelectric utility holding company with assets exceeding $4.3 billion and annual\nrevenues of more than $1.4 billion. The Common Shares, Series C First\nPreference Shares and Series E First Preference Shares of Fortis Inc. are\ntraded on th...