2016 Demand Side Management Deferral and Variance Account Clearing Bill Adjustment

Information for our Energy Marketer Customers

Enbridge Gas Inc. (Enbridge Gas) recently received approval from the Ontario Energy Board (OEB) to dispose of its 2016 Demand Side Management (DSM) deferral and variance account balances (EB-2018-0300/EB-2018-0301). Clearing these balances will result in a one-time delivery adjustment being applied to July 2019 bills for all Union Gas (Union) North and Union South rate zone customers who received in-franchise contract rate delivery services in 2016 and all Enbridge Gas Distribution (EGD) rate zone customers who received in-franchise contract rate delivery services in 2018.

The 2016 DSM deferral and variance account adjustment includes the actual cost of delivering the 2016 DSM programs (versus the forecast cost built into 2016 rates), revenue recovery attributable to consumption reduction due to DSM conservation measures (Lost Revenue Adjustment Mechanism), as well as incentives Enbridge Gas earns when meeting OEB-approved DSM targets. The proposed adjustment does not include any gas cost-related deferrals that are managed under the QRAM process or other non-commodity deferral balances.

Enbridge Gas is refunding approximately $1.44 million to in-franchise contract rate class customers in the EGD rate zone, refunding approximately $2.66 million to Union North rate zone in-franchise contract rate class customers and recovering approximately $2.84 million from Union South rate zone in-franchise contract rate class customers related to 2016 balances in the DSM deferral and variance accounts.

How to Estimate the 2016 DSM Delivery Adjustment

EGD Rate Zone Customers

To estimate your customers' 2016 DSM delivery adjustment, multiply the proposed rate adjustment that applies to your customers' service (shown below) by the actual volume of natural gas they consumed in 2018.

  Approved Unit Rate for 2016 DSM Delivery Adjustment (cents/m3)
Rate 110 (0.0042)
Rate 115 (0.1454)
Rate 135 (0.3558)
Rate 145 (1.0849)
Rate 170 0.0177
Rate 200 (0.0038)
  Approved CD Unit Rate for 2016 DSM Delivery Adjustment
(cents/m3)
Rate 125 (0.3600)
Rate 300 (8.7126)

Union North Rate Zone Customers

To estimate your customers' 2016 DSM delivery adjustment, multiply the proposed rate adjustment that applies to your customers' service (shown below) by the actual volume of natural gas they consumed in 2016.

Rate Class Approved Unit Rate for 2016 DSM Delivery Adjustment (cents/m3)
Rate 20 (0.1900)
Rate 100 (0.1162)
Rate 25 0.0000

Union South Rate Zone Customers

Rate Class Approved Unit Rate for 2016 DSM Delivery Adjustment (cents/m3)
Rate M4 0.2579
Rate M5 0.3662
Rate M7 0.2338
Rate M9 0.0000
Rate M10 0.0000
Rate T1 (0.0411)
Rate T2 (0.0003)
Rate T3 0.0000

Customers will be receiving direct emails in early July indicating their estimated adjustments. For more information, find the full application (EB-2018-0300/EB-2018-0301) posted on our website.

2017/2018 Demand Side Management Deferral and Variance Account Balances and Clearance

The OEB audit process for the 2017 and 2018 DSM programs is in progress. Once completed, Enbridge Gas will apply to the OEB to dispose of the 2017 and 2018 DSM Deferral and Variance Account balances. Further information will be provided when these respective applications are filed.

Enbridge Gas Inc. Receives Ontario Energy Board Approval for Rate Changes Effective Jul. 1, 2019

Enbridge Gas Inc. recently received approval from the Ontario Energy Board (OEB) for rate changes effective Jul. 1, 2019. These changes were proposed to the OEB earlier this month as part of the Quarterly Rate Adjustment Mechanism (QRAM) and approved as filed (EB-2019-0155).

July 2019 QRAM

QRAM is the mechanism Enbridge Gas uses to review and adjust our rates for changes in natural gas prices. This is done every three months to reflect ongoing changes in the market price of natural gas and to adjust for the difference between the forecasted price of natural gas and actual price from prior periods.

Starting Jul. 1, 2019, a $1 community expansion charge will be added to the fixed customer charge/monthly service charge to support natural gas expansion projects in rural and Indigenous communities across Ontario. Rate M4 firm only and Rate M7 customers will see this as an annual one-time adjustment occurring on their December bill in lieu of a monthly service charge increase. All funds collected through this community expansion charge will be forwarded to the Independent Electricity System Operator (IESO) which is administering the program funding.

Information for EGD Rate Zone Customers

Utility Sales

  Current Gas Supply Commodity Charge (cents/m3) New Approved Gas Supply Commodity Charge   (cents/m3) Change (cents/m3)
Rate 100 10.7122 10.3987 (0.3135)
Rate 110 10.6561 10.3426 (0.3135)
Rate 115 10.6561 10.3426 (0.3135)
Rate 135 10.6631 10.3496 (0.3135)
Rate 145 10.6597 10.3463 (0.3134)
Rate 170 10.6561 10.3426 (0.3135)
  Current Cost Adjustment - Gas Supply Component (cents/m3) New Approved Cost Adjustment - Gas Supply Component (cents/m3) Change (cents/m3)
Rate 100 1.2169 1.2364 0.0195
Rate 110 1.6862 1.4653 (0.2209)
Rate 115 1.7481 1.4946 (0.2535)
Rate 135 1.7481 1.4946 (0.2535)
Rate 145 1.3643 1.3287 (0.0356)
Rate 170 1.3958 1.3330 (0.0628)

Transportation Charges

  Current Transportation Charge (cents/m3) New Approved Transportation Charge (cents/m3) Change (cents/m3)
Transportation to Enbridge 4.1979 4.0925 (0.1054)
Transportation from Dawn 0.8347 0.8347 0.0000

Delivery Rates

The following changes to bundled delivery rates reflect quarterly updates to gas costs in delivery rates (unaccounted for gas). This can be found on the "Delivery" line of the invoice.

  Change (cents/m3)
Rate 100 (0.0005)
Rate 110 (0.0056)
Rate 115 (0.0055)
Rate 135 (0.0054)
Rate 145 (0.0058)
Rate 170 (0.0056)

Load Balancing Charges

  Change
(cents/m3)
Rate 100 (0.0275)
Rate 110 (0.0062)
Rate 115 (0.0018)
Rate 135 0.0000
Rate 145 (0.0133)
Rate 170 (0.0059)

General Service Rate 6 will also be changing effective Jul. 1, 2019. Customers can find current information on these rates on our website or in the notice included with their July bill.

Information for Union North Rate Zone Customers

Delivery Rates

The following changes to bundled delivery rates reflect quarterly updates to gas costs in delivery rates (compressor fuel, unaccounted for gas, and carrying costs of gas in inventory). This can be found on the "Delivery" line of the invoice.

  Approved Delivery Rate Change   (cents/m3)
Rate 20 (0.0023)
Rate 100 0.0000

Rate 01 and Rate 10 Customers

Rate 01 and Rate 10 will also be changing effective Jul. 1, 2019. Customers can find current information on these rates on our website or in the notice included with their July bill.

Information for Union South Rate Zone Customers

Utility Sales

  Current Utility Sales   (cents/m3) New Approved Utility Sales (cents/m3) Change (cents/m3)
Gas Commodity Rate 13.4213 12.9301 (0.4912)
Gas - Price Adjustment 3.7024 3.3656 (0.3368)

Delivery Rates

The following changes to bundled delivery rates reflect quarterly updates to gas costs in delivery rates (compressor fuel, unaccounted for gas, and carrying costs of gas in inventory). This can be found on the "Delivery" line of the invoice.

  Approved Delivery Rate Change (cents/m3)
Rate M4 (0.0077)
Rate M5A (0.0074)
Rate M7 (0.0082)
Rate M9 (0.0069)
Rate M10 (0.0098)

Rate M1 and Rate M2 Customers

Rate M1 and Rate M2 will also be changing effective Jul. 1, 2019. Customers can find current information on these rates on our website or in the notice included with their July bill.

Balancing Transaction Fees

Balancing transaction fees will be updated effective Jul. 1, 2019. For current rates, please see the Balancing Transaction Fee Schedule.

Full details of this application (EB-2019-0155) can be found on our website.

Important Billing and Payment Information
(for contract rate customers in the Union Gas rate zones)

The following information is only for accounts in the Union Gas rate zones.

Union Gas and Enbridge Gas Distribution combined to form Enbridge Gas Inc. Our transition to Enbridge Gas requires an update to our banking information and may result in changes to the way you make your payments.

Below are new payment instructions for contract rate accounts in the Union Gas rate zones. These changes do not apply to any accounts that have historically been serviced by Enbridge Gas Distribution. We ask you make these changes as soon as possible. If you have any questions about these instructions please contact your account manager.

Updated Payment Instructions:

Wire Transfer
(Electronic Fund Transfer - EFT)

Electronic Data Interchange - EDI (Payments through Online Banking) Payments made by Cheque

A change is required.

Beneficiary Name: Enbridge Gas Inc.
Account Number: 5427321
Financial Institution: 004
Branch Transit: 80609
Designation Number: 0805
SWIFT Code: TDOMCATTTOR
CC/Routing - Wire: 000480609
Bank Name and Address:
The Toronto- Dominion Bank
340-5 Ave SW
Calgary, AB TWP 0L3
Canada

Please continue to send remittance advice to ugladvice@enbridge.com.

Include:

  • The name on your Enbridge account(s)
  • The Billing Account Number starting with BA
  • Total payment amount
  • Payment allocation details if paying more than one account

A change is required.

Set up ENBRIDGE GAS INC. (LARGE ACCT) with your Canadian financial institution using the Billing Account Number starting with BA found on your invoice (e.g. Enter BA000).

A change is required.

Change the beneficiary name to Enbridge Gas Inc.

Mailing Address:
Payment Processing
Enbridge Gas Inc.
P.O. BOX 2001
CHATHAM, ON N7M 5M1
CANADA

Courier Address:
Payment Processing
Enbridge Gas Inc.
50 KEIL DRIVE, NORTH
CHATHAM, ON N7M 5M1
CANADA

Current payment information and instructions can always be found on our website.

Vendor Set Up:

If you require more information for your company’s accounts payable process, please forward the relevant form to ugladvice@enbridge.com. All invoices are required to be paid on time.

Customers with Existing Enbridge Gas Distribution accounts:

No changes are required to your banking and payment directions for accounts previously serviced by Enbridge Gas Distribution. In order to ensure your payments continue to be credited to the correct accounts, continue to pay each invoice (historical Union Gas/historical EGD) separately.

If you have any questions about this edition of Factsline, please contact Rob DiMaria.