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FortisBC gas rates are going up in the new year and the average household can expect to pay close to $11 more a month.
On Tuesday, the company confirmed that it has received approval from the British Columbia Utilities Commission (BCUC) to increase gas rates by 11.1%.
The increase goes into effect on Jan.1.
Fortis said that will work out to around $10.95 more per month based on a monthly consumption of about 7.5 gigajoules (GJ).
However, individual bills will vary based on use.
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The upgrades are due to pipeline upgrades across the province, gas metering upgrades and investment in maintenance and upgrades to Fortis’ gas delivery system.
“These rate changes support critical upgrades to keep the gas system safe and reliable, as well as increased funding for energy-efficiency rebate programs that help customers lower their bills over time,” Fortis said in a statement.
The energy provider said it regularly reviews its delivery and storage and transport rates each year. Gas rates are reviewed each quarter.
The last increase was scheduled for Oct. 1, however, there was no increase.
“There is no mark up on the cost of gas; customers pay what FortisBC pays,” the statement said.
“To help reduce costs for its customers, FortisBC purchases gas in the summer when prices are lower and stores it so that lower-cost gas is available to customers in winter months when they need it.”
Any surplus gas is sold back to the market to offset costs, Fortis said.