Acts and Regulations

99-60 - Gas Distribution and Marketers’ Filing

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NEW BRUNSWICK
REGULATION 99-60
under the
Gas Distribution Act, 1999
Filed November 12, 1999
Under section 96 of the Gas Distribution Act, 1999, the Board of Commissioners of Public Utilities makes the following Regulation:
Citation
1This Regulation may be cited as the Gas Distribution and Marketers’ Filing Regulation - Gas Distribution Act, 1999.
Definition
2In this Regulation
“project” means the gas distributor’s proposed pipeline construction program in respect of which it is seeking a permit from the Board;(projet)
“small additions to pipelines” means any project to expand a pipeline where the total length of pipeline is less than one kilometre and whose estimated capital cost is less than $1,000,000.00.(petit rajout à un gazoduc)
General information
3(1)The level of detail of the information required by section 5 shall correspond to the nature and magnitude of the project but shall provide the Board with sufficient information to examine the project.
3(2)The level of detail of the information required by section 7 shall correspond to the nature and magnitude of the anticipated environmental impact of the proposed project but shall provide the Board with sufficient information to examine the environmental effects of the project.
3(3)Where any information required is not provided with the application, the application shall include the reason for not including the information in compliance with this Regulation.
3(4)Unless otherwise authorized by the Board, all market requirements, reserves and deliverability tabulations and pipeline capacities shall show gas quantities both in cubic metres at a temperature of 15º C and an absolute pressure of 101.325 kPa and in joules on a dry basis (where dry gas has a moisture content of less than 110 mg/m3).
Early public notification
4(1)In this section,
“toxic substance” means a substance which on entering the environment is of a quantity or concentration that
(a) may have an immediate or long-term adverse effect on the environment;
(b) may constitute a danger to the environment on which human life depends; or
(c) may constitute a danger to human life or health.
4(2)Unless the Board otherwise directs, an application under subsection 21(1) of the Act shall be accompanied by the information required by subsection (5).
4(3)With respect to early public notification, the application shall include evidence to show that there has been meaningful public input at a local and regional level during the planning and design phase of the project to ensure that those, including aboriginal communities, who may be affected by the project
(a) are made aware of the project as early as possible, and
(b) are given an opportunity to express their views to the gas distributor in advance of the application
in order that the concerns of the public and aboriginal communities are addressed in the application.
4(4)Prior to the filing of an application, a gas distributor shall, after first obtaining ex parte Board approval of the proposed elements of the public information program described in paragraphs (a) to (f),
(a) implement a public information program to explain the project applied for and its potential effects and to allow an opportunity for public comment, providing as a minimum a map to identify the project location and sufficient information for the potential effects of the project to be identified;
(b) provide interested persons, including aboriginal communities, adequate time to comment on the project;
(c) respond to any relevant questions that may be raised by such interested persons;
(d) provide such interested persons with information regarding Board procedures for examining the application, and the Board’s address for obtaining information and expressing concerns directly to the Board;
(e) if changes occur as a result of the comments received, notify those who made the comments and initiate a public notification program for persons affected by the project as a result of the changes; and
(f) if changes to the project are made other than for the reasons in paragraph (c), initiate a public notification program for persons who would be affected.
4(5)The application filed with the Board shall include a description of the public information program conducted under subsection (4), including, but not limited to,
(a) a description of the means and date of public notification and the date and location of meetings, if any;
(b) a summary of public comments received and concerns expressed about the project’s potentially adverse effects; and
(c) with respect to the comments and concerns described in paragraph (b), a summary of the response to the interested person, including
(i) a summary of the measures the gas distributor has taken or intends to take to resolve those concerns, or
(ii) an explanation of why the gas distributor considers no further action is required with respect to those concerns.
4(6)
(a) A gas distributor may request exemption from the requirements of subsections (4) and (5)
(i) by demonstrating that an equivalent notification process has been carried out which identified the project which is being applied for,
(ii) by demonstrating that the potential effects of the project are insignificant, or
(iii) by demonstrating that the application is a facilities application which relates to
(A) work contained within the confines of land owned or leased by the gas distributor, except where those facilities or activities
(I) relate to an increase in the storage or disposal of toxic substances,
(II) could result in increased noise emissions,
(III) could result in increased emissions of air contaminants, or
(IV) will result in local nuisance potential, including the potential for increased noise or traffic,
(B) additional acquisitions required to support the day-to-day operations of a pipeline (for example, standby plant or materials and supplies), or
(C) work performed which relates to required contingency projects such as emergency repairs.
(b) For greater certainty, the definition of land as used in clause (a)(iii)(A) does not include land upon which the gas distributor holds an easement only.
Permits for pipelines
5(1)Unless the Board otherwise directs, an application for a permit under subsection 21(1) of the Act in respect of a pipeline shall be accompanied by the information required by subsections (2) to (27).
5(2)The application shall include copies of all transportation service contracts with marketers for service on the pipeline in either executed or pro forma form.
5(3)The application shall include the gas distributor’s assessment of the likelihood that pro forma transportation service contracts entered into with marketers will become executed transportation service contracts.
5(4)Based on information in subsections (2) and (3), the application shall include a summary of the quantities of gas under transportation service to be distributed to customers, including peak hour, daily and annual volumes for each class of service offered in the gas distributor’s tariff or proposed tariff and the duration of such service.
5(5)Where the gas distributor has entered into a transportation contract with a marketer or shipper whose gas supply is from a local gas producer, the gas distributor is entitled to obtain from the local gas producer and shall provide
(a) a summary of the quantities of locally produced gas under contract to the marketer for the required service, including daily and annual volumes, remaining established reserves and the termination date of every such contract;
(b) a copy of any gas purchase contract showing gas specifications and confirming that it will meet all specified gas standards, with prices redacted;
(c) the name and location of each pool, field or area which contributes to the gas supply in paragraph (a) and details of the local gas producer’s contracted and working interest ownership therein;
(d) an estimate of the remaining established reserves of gas in each pool, field or area referred to in paragraph (c);
(e) supporting data for each reserves estimate referred to in paragraph (d);
(f) basic deliverability data for each pool, field or area referred to in paragraph (c);
(g) a schedule showing total productive capacity, constrained only by existing and anticipated surface facilities; and
(h) a schedule showing the way in which the local gas distributor plans to produce, from each pool, field or area, the quantities of gas necessary to meet the marketer’s requirements.
5(6)If a local gas producer refuses to provide the evidence required under subsection (5) to the gas distributor, the gas distributor may seek an order of the Board under paragraph 72(b) of the Act requiring the local gas producer to provide the required evidence.
5(7)Where the marketer’s or shipper’s gas supply supporting the proposed pipeline is from other than a local contractually dedicated pool, field or area, the application shall, in addition to the information provided in subsection (5), include a total corporate gas supply and demand balance for the local gas producer, on both an aggregate and an annual basis, demonstrating an adequate supply to meet the local gas producer’s commitment to the prospective marketer or shipper.
5(8)The aggregate gas supply and demand balance referred to in subsection (7) shall consist of
(a) supply broken down as
(i) remaining established reserves submitted in the application,
(ii) remaining established reserves contractually dedicated to other marketers or shippers, and
(iii) undedicated remaining established reserves available for spot sales, short-term sales or other requirements; and
(b) demand broken down as
(i) market requirements for the submitted reserves,
(ii) market requirements of other dedicated reserves, and
(iii) other requirements contracted at the time of the application, such as fuel and long- and short-term commitments not supported by dedicated reserves.
5(9)The annual gas supply and demand balance referred to in subsection (7) shall consist of
(a) productive capacity forecasts for
(i) the remaining established reserves submitted in the application,
(ii) any remaining established reserves contractually dedicated to other markets, and
(iii) any undedicated remaining established reserves available for spot sales, short-term sales and other requirements; and
(b) forecasts of
(i) market requirements for the submitted reserves,
(ii) market requirements of other dedicated reserves, and
(iii) other requirements contracted at the time of the application, such as fuel and long- and short-term commitments not supported by dedicated reserves.
5(10)The gas distributor shall file, for each marketer-shipper, the status of all provincial, National Energy Board or United States Federal Energy Regulatory Commission approvals pertaining to:
(a) the removal of gas from the province or country of origin;
(b) transportation service on a high-pressure pipeline, a transmission line or a FERC-regulated pipeline;
(c) tariffs and rates;
(d) upstream facilities; and
(e) contractual arrangements other than those referred to in subsection (2) for the shipment of gas.
5(11)The gas distributor shall file evidence that there are adequate New Brunswick markets to support the long-term utilization of the project, including
(a) details of the markets to be served during the term of the transportation service agreements entered into between the gas distributor and the prospective marketer-shippers, including estimates of the fuel requirements, if any, for the pipeline and assumed load factors;
(b) an assessment of the potential competition to gas supplies delivered via the pipeline system from other energy sources in New Brunswick;
(c) details of the upstream transportation arrangements not included in the responses to paragraph 5(b); and
(d) evidence that the market to be served will be an enduring market sufficient to justify the pipeline.
5(12)The gas distributor shall file evidence that the project and facilities are designed in accordance with all applicable regulations and that the pipeline and facilities provide for the safety of the public and pipeline employees and the protection of the environment.
5(13)With respect to engineering matters, the gas distributor shall file
(a) a description of the location, a technical description, preliminary drawings, a description of the area where the pipeline will be located, and a map having a scale of not less than 1:10,000 for a linear pipeline and 1:1,000 for distribution and service lines;
(b) a general description of the control and communication system and its capabilities;
(c) the hourly, daily, seasonal, and annual capabilities of the existing and the proposed pipeline, versus the current and the forecasted requirements, indicating any contracted interruptible quantities;
(d) the flow formulae or flow calculations used to determine the daily or hourly (as appropriate) capabilities of the proposed facilities and the underlying assumptions and parameters, including a description of the gas properties;
(e) estimates of the length of pipe for each diameter, material, wall thickness and grade, based on
(i) the present land use along the route or in the area to be served, and
(ii) expected future development along the route or in the area to be served;
(f) a description and justification for the selection of pipeline materials, having regard to the location, expected operating stresses and design temperatures;
(g) a description of the types of protective coatings to be applied;
(h) a construction schedule; and
(i) a list of the applicable regulations, standards, codes and specifications to be used in the design, construction and operation of the facilities, indicating the date of issue.
5(14)Where the proposed pipeline is to be located in unstable or metastable soil, the application shall include
(a) an assessment of the geotechnical and geological hazards and geothermal regimes which may be encountered during construction and operation of the facilities; and
(b) an assessment of the special designs and measures required to safeguard the pipeline.
5(15)Where the proposed pipeline includes pressure-regulating facilities, the application shall contain
(a) a description of the regulating equipment proposed, including the type, size and capacity of the equipment; an explanation of the failure mode of the regulating equipment and the type, size, capacity and action of protective devices installed to prevent overpressure in the event of the failure of the primary equipment;
(b) the maximum daily throughput; and
(c) the maximum inlet and outlet pressures.
5(16)Where the proposed pipeline includes measurement facilities, the application shall contain
(a) a preliminary description of the gas measurement equipment indicating the size, type, number of meters, nominal capacity range and expected accuracy; and
(b) the minimum and maximum gas delivery pressures and volumes assumed for preliminary design purposes.
5(17)Where the proposed pipeline includes odorant injection facilities, the application shall contain
(a) complete information including material safety data sheets for the odorant proposed, the minimum and maximum concentration to be attained and the manner in which it will be metered and measured; and
(b) a preliminary description of the odorant equipment, indicating the size, type and capacity of the equipment proposed.
5(18)Where the proposed pipeline utilizes gas storage facilities, the application shall contain
(a) a general description of the equipment to be used in conjunction with the proposed facilities;
(b) the storage capacity, the system capacity and the calculations supporting the design and the gas distributor’s share of such storage and system capacity;
(c) the projected peak day, seasonal and annual demand and the gas distributor’s share of those demands;
(d) a description of the interconnections between the gas distributor’s pipeline and the storage facilities; and
(e) the gas distributor’s proposed plan for utilizing the storage facilities both in normal operations and in an emergency.
5(19)Where the project involves directional drilling, or trenchless construction methods, other than conventional boring or jacking of road or utility crossings, or installation of service lines, the application shall contain
(a) a geotechnical assessment of the crossing site;
(b) with respect to the drilling guidance system
(i) the expected accuracy of the down-hole guidance system,
(ii) a description of external factors which could affect the accuracy of the proposed guidance system,
(iii) the maximum distance from the target that the pilot hole could exit, and
(iv) the contingency measures to be employed in the event that inaccuracies with the guidance system are detected;
(c) information which demonstrates the ability to complete the proposed directionally drilled crossing in a timely fashion, including, but not limited to,
(i) the maximum allowable stress that will be exerted on the pipe as a result of the proposed radius of curvature and the distance the pipe is to be pulled and the methods used to measure and control these stresses,
(ii) the contingency plans to be employed in the event that pipe damage or collapse is experienced during the pipeline pull, and
(iii) the amount of time required to replace the pipe in the event of pipe damage or collapse;
(d) an assessment of the potential for adverse noise or vibrations to be generated during drilling operations;
(e) the type, composition and toxicity of drilling fluid to be used;
(f) with respect to drilling fluid handling and containment, a discussion of the potential for loss of drilling fluid containment due to the following situations:
(i) inaccuracies with the drilling guidance system,
(ii) abandoned pilot holes,
(iii) inadvertent returns to the surface through unconsolidated beds, and
(iv) mud displacement during the pipe pull section;
(g) a description of the proposed method of drilling fluid disposal; and
(h) in the case of a water crossing, evidence that the gas distributor has complied, or is in the process of complying, with the Watercourse Alteration Regulation under the Clean Water Act.
5(20)The gas distributor shall provide a brief description of any required facilities to be constructed by others to accommodate the proposed facilities.
5(21)Where the application involves the conversion of an oil pipeline to gas service, the application shall include an assessment by a professional engineer outlining the suitability of the pipeline for the new service.
5(22)The application shall include a brief description of the gas distributor’s plans to comply with requirements outlined in the Gas Pipeline Regulation - Gas Distribution Act, 1999, including the requirement to have operation and maintenance manuals, emergency response manuals and a schedule indicating when these requirements will be met.
5(23)To enable the Board to examine whether the estimated costs of the proposed facilities are reasonable where, upon completion, the actual costs of the project will be considered in determining rates and tariffs, the gas distributor shall provide
(a) an estimate of the capital cost of the project, classified in accordance with the following categories using the Gas Distribution Uniform Accounting Regulation - Gas Distribution Act, 1999:
(i) pipeline,
(ii) measuring and regulating,
(iii) other facilities,
(iv) system operation and engineering,
(v) allowance for funds used during construction including rates used, and
(vi) overhead capitalized, including rates and method of calculation,
showing separately a breakdown of the main elements of costs such as materials, installation, and land and land rights;
(b) an estimate of the capital cost of each major facility, showing separately a breakdown of the main elements of cost such as materials, installation, land and land rights, system operation and engineering, and allowance for funds used during construction; and
(c) an assessment of the risk of cost variances from the estimates given in paragraph (b).
5(24)Evidence of the gas distributor’s ability to finance the proposed facilities shall be included in the application.
5(25)With respect to both existing pipeline and the aggregate of existing and proposed pipeline, the application shall include
(a) for the five fiscal years after the year in which the facilities are forecast to be completed
(i) pro forma statements of rate base and cost of service (revenue requirement) by main elements,
(ii) the proposed method and rates of depreciation by pipeline account, if different from those approved by the Board,
(iii) average unit transportation costs, showing the derivation thereof,
(iv) forecast of revenues and billing determinants by rate schedule and income statements derived from these forecasts, and
(v) where not already filed with the Board, a copy of all relevant tariffs, transportation contracts or operating agreements; and
(b) in addition to the requirements of paragraph (a), for proposed facilities that are either major expansions of existing facilities or new high-pressure pipelines traversing new routes or major new areas for distribution and service lines
(i) pro forma balance sheets as at the end of the fiscal year in which the proposed facilities are forecast to be completed and pro forma financial statements for the end of each of the following five fiscal years,
(ii) supporting details on the proposed return on rate base, and provision for income taxes for the five fiscal years referred to in paragraph (a), and
(iii) a summary of throughput for the five fiscal years referred to in paragraph (a).
5(26)The application shall contain information pertaining to the financial position and structure of the gas distributor, and the proposed methods of financing, including
(a) audited financial statements for the most recent fiscal year, together with a general description of the gas distributor’s financial structure;
(b) a concise description of any restrictive provisions concerning future financing, capital structure changes, interest coverage or dividends that would affect the financing of the proposed facilities;
(c) a description of any changes that have occurred after the date of the audit report on the financial statements referred to in paragraph (a) which would affect the financial position of the gas distributor; and
(d) a description of the intended method of financing the proposed facilities, including evidence of financing, if available.
5(27)The application shall set out the name, address and full New Brunswick telephone number, fax number and e-mail address of the gas distributor and the names and similar coordinates of the principal officers.
Small additions to pipelines
6(1)Unless the Board otherwise directs, an application for a permit under subsection 21(1) of the Act in respect of a small addition to a pipeline shall be accompanied by the information required by subsections (2) to (14).
6(2)For each new application or class application over $500,000, the application shall include the purpose and justification for the proposed facilities and, where applicable,
(a) an economic evaluation of the project and its alternatives; and
(b) transportation service agreements related to additional throughput.
6(3)The new application shall include evidence that the pipeline and facilities are necessary and a cost-effective method of providing the required service, that the pipeline and facilities are designed in accordance with all applicable regulations and that the pipeline and facilities provide for the safety of the public, pipeline employees and the environment.
6(4)For each project the application shall include
(a) the project number or descriptor, the location and a technical description, which shall include plan layouts and preliminary drawings;
(b) where applicable, a construction schedule;
(c) a list of the applicable regulations, standards, codes and specifications to be used, indicating the date of issue;
(d) a description of any new or modified building;
(e) the estimated project cost; and
(f) an estimate of the capital costs classified in accordance with the following categories:
(i) pipelines,
(ii) compression,
(iii) measuring and regulating,
(iv) other facilities,
(v) system operation and engineering,
(vi) allowance for funds used during construction, including rates used, and
(vii) overhead capitalized,
showing separately a breakdown of the main elements of costs, such as materials, installation and land, and land rights.
6(5)Where the application includes facilities required to replace existing pipe, to accommodate a change of service, or to upgrade existing facilities, the application shall contain
(a) a description of the mechanical properties and condition of the existing pipe;
(b) the results of any programs, surveys, or studies which indicate the present condition of the pipe; and
(c) the future plans for any redundant pipe.
6(6)Where the proposed pipeline includes major pressure-regulating facilities, the application shall contain
(a) a description of the regulating equipment proposed, including the type, size and capacity of the equipment; an explanation of the failure mode of the regulating equipment and the type, size, capacity and action of protective devices installed to prevent overpressure in the event of the failure of the primary equipment;
(b) the maximum daily throughput; and
(c) the maximum inlet and outlet pressures.
6(7)Where the proposed pipeline includes additional measurement facilities, the application shall contain
(a) the size, type, number of meters, nominal capacity range and expected accuracy of all gas measurement equipment; and
(b) the minimum and maximum gas delivery pressures and volumes, and the average annual volumes forecast over the design period.
6(8)Where the proposed pipeline includes odorant injection facilities, the application shall contain
(a) complete information, including material safety data sheets, for the odorant proposed, the minimum and maximum concentration to be attained and the manner in which it will be metered and measured; and
(b) a preliminary description of the odorant equipment, indicating the size, type and capacity of the equipment proposed.
6(9)Where the proposed pipeline utilizes gas storage facilities, the application shall contain
(a) a general description of the equipment to be used in conjunction with the proposed facilities;
(b) the storage capacity, the system capacity and the calculations supporting the design and the gas distributor’s share of such storage and system capacity;
(c) the projected peak day, seasonal and annual demand and the gas distributor’s share of these demands;
(d) a description of the interconnections between the gas distributor’s pipeline and the storage facilities; and
(e) the gas distributor’s proposed plan for utilizing the storage facilities both in normal operations and in an emergency.
6(10)Where the project involves directional drilling, or trenchless construction methods, other than conventional boring or jacking of road or utility crossings, or installation of service lines, the application shall include
(a) a geotechnical assessment of the crossing site;
(b) with respect to the drilling guidance system
(i) the expected accuracy of the down-hole guidance system,
(ii) a description of external factors which could affect the accuracy of the proposed guidance system,
(iii) the maximum distance from the target that the pilot hole could exit, and
(iv) the contingency measures to be employed in the event that inaccuracies with the guidance system are detected;
(c) information which demonstrates the ability to complete the proposed directionally drilled crossing in a timely fashion, including, but not limited to,
(i) the maximum allowable stress that will be exerted on the pipe as a result of the proposed radius of curvature and the distance the pipe is to be pulled and the methods used to measure and control these stresses,
(ii) the contingency plans to be employed in the event that pipe damage or collapse is experienced during the pipeline pull, and
(iii) the amount of time required to replace the pipe in the event of pipe damage or collapse;
(d) an assessment of the potential for adverse noise or vibrations to be generated during drilling operations;
(e) the type, composition and toxicity of drilling fluid to be used;
(f) with respect to drilling fluid handling and containment, a discussion of the potential for loss of drilling fluid containment due to the following situations:
(i) inaccuracies with the drilling guidance system,
(ii) abandoned pilot holes,
(iii) inadvertent returns to the surface through unconsolidated beds, and
(iv) mud displacement during the pipe pull section;
(g) a description of the proposed method of drilling fluid disposal; and
(h) in the case of a water crossing, evidence that the gas distributor has complied, or is in the process of complying, with the Watercourse Alteration Regulation under the Clean Water Act.
6(11)Where the application involves the conversion of an oil pipeline to gas service, the application shall include an assessment by a professional engineer outlining the suitability of the pipeline for the new service.
6(12)The application shall include a brief description of the gas distributor’s plans to comply with requirements of the Gas Pipeline Regulation - Gas Distribution Act, 1999, including the requirement to have operation and maintenance manuals, emergency response manuals and a schedule indicating when these requirements will be met.
6(13)The application shall contain information on the gas distributor’s ability to finance the proposed additional facilities, including, with respect to the total estimated cost of the proposed facilities, the method of financing and the estimated impact on rates for the first full year that the facilities are in service.
6(14)The application shall set out the name, address and full New Brunswick telephone number, fax number and e-mail address of the gas distributor and the names and similar coordinates of the principal officers.
Environmental and land information
7(1)In this section,
“environmental effect” means, in respect of a project,
(a) any change that the project may cause in the environment; and
(b) any change to the project that may be caused by the environment;
“environmentally significant area” means an environmentally significant area identified in the data base of environmentally significant areas administered by the Minister of Environment on behalf of the Nature Trust of New Brunswick Inc.;
“sensitive feature” includes an environmentally significant area, wetland, erodable soil or aquatic habitat and any other area deemed by the Board to be a sensitive feature.
7(2)Where a gas distributor applies for a permit
(a) for a pipeline that will affect a sensitive feature, or where the Board so directs, an application for a permit under subsection 18(1) of the Act or an application to discontinue the operation of a pipeline under subsection 30(1) of the Act shall be accompanied by the information required by subsections (4) to (21) and a copy of the environmental protection plan required under subsection 19(1) of the Gas Pipeline Regulation or, if an environmental protection plan has not been completed, a copy of the proposed environmental protection plan; or
(b) for a pipeline that will not affect a sensitive feature and where the Board has made no direction under paragraph (a) for a permit under subsection 18(1) of the Act, the application shall include a copy of the environmental protection plan required as part of the Operations and Maintenance Manual referred to in section 26 of the Gas Pipeline Regulation - Gas Distribution Act, 1999 or, if an environmental protection plan has not been completed, a copy of the proposed environmental protection plan.
7(3)The information required under subsection (4) to (21) may be provided in the form of a class environmental assessment, where all sensitive features that will be affected by the pipeline can be assessed and all environmental effects can be mitigated in the same manner.
7(4)With respect to the environment and lands information, the application shall contain evidence to show that all environmental issues have been addressed and that the gas distributor is committed to resolving those issues during construction and operation of the pipeline and to ensuring that throughout project development the environment and landowners’ rights will be considered and protected.
7(5)The evidence referred to in subsection (4) shall include a description of the project and its construction schedule, including
(a) an identification of the environmental issues;
(b) a summary of those aspects of the project which could reasonably be expected to affect sensitive features;
(c) a discussion of the proposed mitigation measures to address any environmental issues identified in paragraph (a);
(d) an identification of any knowledge gaps related to the environmental issues; and
(e) a discussion of the steps proposed to address the knowledge gaps.
7(6)The project description referred to in subsection (5) shall include
(a) with respect to the location of land and land rights for the pipeline
(i) the description of the project location and its termini,
(ii) the names of federal, provincial and municipal authorities and any other appropriate organizations contacted to ascertain location feasibility, and
(iii) a statement setting out the constraints or approvals noted by the authorities and organizations indicated in subparagraph (ii); and
(b) with respect to the location of land or land rights for facilities other than line pipe to be added to existing systems
(i) the description of the location and purpose of the proposed facilities,
(ii) the site plan of the proposed facility, showing
(A) the dimensions of the proposed site, including the location of the gas distributor’s existing easement, and
(B) the proposed layout of the required facilities within the site, and
(iii) the present zoning and designation of the preferred site and the zoning, designation and current land use of the surrounding properties.
7(7)The application shall include a description of the environment as it exists prior to the commencement of construction work and which may be affected by the project in sufficient detail to permit identification of potentially adverse environmental effects, both short term and long term, which are expected to be caused by the project.
7(8)The application shall include
(a) an identification of the project’s probable environment interactions, an analysis of the likelihood of occurrence of these, an evaluation of their potentially adverse effects and a detailed analysis of the application of mitigative measures to avoid or minimize these effects, and a description of any federal, provincial or municipal approvals that must be obtained and their status;
(b) a description of the social and economic trends in the study area and an analysis of the likely effects of the project; and
(c) a description of any cumulative environmental effects that may result from the project, in combination with past, existing and future projects and activities which interact with the project, based on
(i) a list of all such other interacting projects and activities,
(ii) a description of the interactions between the proposed project and other projects and activities, and
(iii) a description of the interactions among project components.
7(9)The application shall include a description of the mitigation measures that are technically and economically feasible to be used to ensure that the potentially adverse environmental effects are minimized, including a description of the condition to which the gas distributor intends to restore and maintain the right-of-way once construction has been completed.
7(10)Where environmental information and recommendations have been provided to the gas distributor by a consultant and used in the application, the application shall include a statement by the gas distributor with respect to the acceptance of and intended adherence to those recommendations.
7(11)The application shall include for construction a description of the gas distributor’s actual or proposed environmental management program, including identification of environmental effects, environmental monitoring programs, follow-up programs, environmental contingency plans and an environmental protection plan and its plans for environmental education of its own and its contractors’ personnel.
7(12)The application shall include evidence that the gas distributor has developed, or is in the process of developing, an environmental management system that meets or will meet the requirement of the International Organization for Standardization “ISO” 14000 or a similar standard.
7(13)The application shall include a description of the gas distributor’s program for the environmental education of appropriate personnel, to ensure they are aware of their role in the protection of the environment.
7(14)The application shall include a statement of the gas distributor’s policies which are directed at promoting sound environmental management by measures such as the training and employment of local residents, the use of local suppliers, and consultative networks with local residents, governments and service and interest groups.
7(15)The application shall include, with respect to waste management for the project,
(a) a general description of wastes associated with the project, including any toxic substance to be used during the construction and operation of the pipeline;
(b) a general assessment of the probable effects upon humans, animals and the environment of any accidental release of any toxic substance;
(c) the general procedures to be used in the handling, storage, use or disposal of any toxic substance and a statement of the qualifications or selection criteria for any company which the gas distributor employs or intends to employ to store or dispose of such substances; and
(d) the procedures to be used for the clean-up of any accidental release of any toxic substance, including procedures for calling 1-800-565-1633 to report emergencies.
7(16)The application shall include a description of
(a) the proposed control structure of the gas distributor, including the identification of authorities responsible for assessing enhancement and mitigative measures and for ensuring that obligations with respect to those measures are met;
(b) the policy and procedures for the implementation of environmental inspection during construction and operation of the pipeline;
(c) the on-site inspection procedures and staff responsibilities;
(d) the training and experience requirements for the gas distributor’s staff who will be undertaking environmental inspection responsibilities; and
(e) the rationale for the training and experience standards set with respect to the qualifications of the environmental inspector.
7(17)The gas distributor shall provide a copy of any references used in support of the environmental impact assessment, if requested to do so by the Board.
7(18)The application shall include a description of the gas distributor’s plans to carry out additional environmental and siting studies, including, but not limited to,
(a) the purpose of the additional studies;
(b) the proposed scheduling for the studies and the rationale for this scheduling;
(c) the methodology proposed for the studies;
(d) the educational and experience qualifications of the party responsible for completing each study; and
(e) the range of potentially adverse environmental effects which may be identified by these studies, and the associated mitigative measures that the gas distributor proposes to undertake in the event that these adverse effects are identified.
7(19)The application shall include a list of non-government and government agencies or organizations contacted to discuss environmental matters related to project development, together with a brief outline of the topics discussed.
7(20)An application under subsection 30(1) of the Act to discontinue the operation of a pipeline which results in facilities being permanently removed from service shall include, in addition to the other information required, a description of
(a) the methods to be used for site assessment, which shall be consistent with applicable engineering codes or government-approved guidelines;
(b) the methods to be used for the clean-up of any contaminants found on site;
(c) the methods to be used for the disposal of all equipment and all wastes, including specific disposal sites; and
(d) the methods to be used to restore the land to a condition similar to the surrounding environment and consistent with previous use.
7(21)The gas distributor, in meeting the requirements of this section, shall comply with any guideline or standard for preparing an environmental assessment provided by the Minister of Environment.
2000, c.26, s.144; 2006, c.16, s.76
Licences for pipelines
8(1)An application for a licence or a provisional licence shall provide evidence of a professional engineer that the pipeline can be safely operated.
8(2)Unless the Board otherwise directs, an application for a licence shall include a statement by a professional engineer which shall
(a) identify the permit under which the work was carried out;
(b) identify and confirm the standards, specifications and procedures in accordance with which the facilities have been designed, constructed and tested;
(c) provide the location, the description, the piping specifications, maximum operating pressure and a schematic of the pressure-tested facilities;
(d) provide the results of the hourly pressure and temperature readings over the test period, the date of the test, and the test medium and reconcile any significant pressure deviations; and
(e) state that all control and safety devices have been inspected and tested for functionality.
Rates or tariffs
9(1)In this Section,
“13-point average” means an average computed from an initial month’s opening balance and the following twelve month-end balances;
“24-point average” means an average for the twelve-month period, computed from the average for each of the months of the opening and closing balances for that month;
“adjustments” includes
(a) adjustments to the base year data to delete abnormal or non-recurring items, or to annualize the effect of new recurring events for which data is available for only part of the year;
(b) normalization adjustments to reflect changes in revenues or costs that are known and measurable and will become effective within the test year;
(c) forecast differences between the test year amount for a cost component and the actual base year amount for that component; and
(d) adjustments to reflect rulings of the Board under section 4 of the Act that are applicable to the gas distributor;
“base year” means a period of twelve consecutive months of the most recently available actual experience ending on the last day of a fiscal year;
“current year” means the fiscal year preceding the test year, including actual costs and revenues plus forecasts to the end of the year;
“previous base year” means the base year used in the previous toll adjustment proceeding or settlement;
“previous test year” means the twelve-month period, usually the fiscal year, for which existing rates were set;
“recorded amounts” means the amounts recorded in the appropriate account under the Regulation;
“Regulation” means the Gas Distribution Uniform Accounting Regulation - Gas Distribution Act, 1999;
“test year” means the fiscal year when the new rates applied for would be in effect.
9(2)Unless the Board otherwise directs, an application for an order fixing rates or tariffs under section 4 of the Act in respect of a pipeline shall be accompanied by the information required by subsections (3) to (47).
9(3)The application shall contain evidence which permits a complete understanding of the revenue requirement which the gas distributor is seeking to recover in the gas distributor’s rates.
9(4)The application shall include a summary of the gas distributor’s total cost of service, showing the recorded amounts for the base year, the total adjustments and the projected current and test year amounts for the following cost components:
(a) operation and maintenance;
(b) depreciation and amortization;
(c) income taxes;
(d) taxes other than income taxes;
(e) miscellaneous revenues;
(f) return on rate base; and
(g) other.
9(5)The application shall include an analysis of each cost component of the cost of service, showing, by principal element, the total recorded amounts for the base year and the current year, and the current and test year projections, giving explanations for adjustments from the base year as well as variances between previous forecasts of the base year and the base-year actual amounts recorded.
9(6)The application shall include schedules for the base, current and test-year income tax provisions, with cross-references to supporting schedules as applicable, to show the derivation of income after tax, carrying charges on deferrals, effective income tax rate, capital cost allowance, disallowable expenses, interest portion of allowance for funds used during construction, capital losses carried forward, Large Corporation Tax and other items as appropriate.
9(7)The application shall include a breakdown of total regular wages and salaries for the base, current and test years into the following categories:
(a) base wages and salaries;
(b) general increase;
(c) merit increase;
(d) promotions and progressions;
(e) management incentive compensation;
(f) severance payments;
(g) vacancy adjustment; and
(h) other remunerations and allowances (specify).
9(8)The application shall include, for changes in wages and salaries from those approved for the previous test year,
(a) details of negotiated or awarded adjustments;
(b) details of comparable adjustments within the industry or relevant organizations;
(c) schedules showing the calculation of the amounts representing salary changes from the base to current and test years; and
(d) schedules showing the annualization of salary changes for the base and current years to the test year.
9(9)The application shall include, with respect to the gas distributor’s employees,
(a) schedules to show how the amount of staff change from the base year to the current and test years was estimated;
(b) supporting data and schedules to show how the vacancy adjustment rate was estimated for the test year; and
(c) the actual number of vacant positions in each of the years after start-up until year five, and thereafter in each of the previous five years.
9(10)The application shall, for any deferral account with an amount proposed to be recovered in the test year, include a schedule showing the derivation and monthly accumulation of balances and the calculation of any carrying charges, indicating which amounts are actual and which are estimated.
9(11)The application shall include a reconciliation of adjustments to gross pipeline-in-service affecting depreciation, with the adjustments to the capital cost allowance for the base, current and test years.
9(12)The application shall include details of changes in the future tax liabilities or assets for the base, current, and test years.
9(13)The application shall include evidence to ensure complete documentation of the cost of the gas distributor’s investment in the gas distributor’s pipeline on which the gas distributor expects to earn a return.
9(14)The application shall include a summary of the gas distributor’s proposed rate base, showing the recorded amounts at the end of the base year, the total adjustments and the derivation of the projected 13-point or 24-point average amounts for the current and test years for each of the applicable pipeline accounts listed in the Regulation, and working capital and other proposed rate base items such as deferred charges.
9(15)The application shall include supporting schedules for each rate base item, excluding cash working capital, showing the balance in each account at the beginning and end of the base year, details and explanations of adjustments to the recorded amounts and the projected current and test-year 13-point or 24-point average amounts, with the adjustments representing proposed additions or deletions to pipeline or pipeline materials and operating supplies, supported by sufficient data to demonstrate reasonably that their inclusion thereof in the rate base is justified.
9(16)The application shall include schedules of pipeline additions or retirements in each year, from year end of the previous base year to year end of the test year, with sufficient information to justify the inclusion or deletion of such items in or from the rate base.
9(17)For additions listed under subsection (16) the application shall include, for each project,
(a) the project number or descriptor,
(b) a description of the project,
(c) Board authorization,
(d) the original estimate provided to the Board in the application submitted under Part 2 of the Act and the final or updated cost to completion, with an explanation for variances between the original estimate and the final or updated costs to completion if the variation exceeds the greater of $100,000 or ten per cent,
(e) the original forecast in the previous test year and actual or updated forecast in-service dates, with an explanation for variances in the in-service dates of more than three months for material items, and
(f) the approximate group depreciation and capital cost allowance rates.
9(18)For retirements listed under subsection (16), the application shall include, for each project,
(a) the gas distributor’s project number or descriptor,
(b) a description of the project,
(c) Board authorization, if applicable,
(d) retirement date,
(e) book cost,
(f) salvage value,
(g) removal cost, and
(h) accumulated depreciation to the date of removal.
9(19)For an extraordinary retirement, the application shall include an explanation of the circumstances.
9(20)The application shall include a calculation for the base year of the impact on the 13-point or 24-point average rate base and cost of service of variances in actual versus approved costs and in-service dates for pipeline additions and retirements.
9(21)For allowance for funds used during construction and overhead, the application shall include the method used to calculate the portion transferred to pipeline in service in the test year.
9(22)The application shall include details of any amount recorded in account 100 of the Regulation in respect of any pipeline that will not be used in pipeline operations during the test year, setting out a brief description of the pipeline, including its location, the original cost, and the accumulated depreciation and net book value and indicating reasons why the pipeline is not used.
9(23)If any changes in depreciation rates are being proposed, the application shall include a list of group depreciation rates applied in the test year, together with a detailed explanation of any adjustment from the base year.
9(24)The application shall include evidence to establish the gas distributor’s financial status.
9(25)The application shall include balance sheets as of the beginning and end of the base year and projected balance sheets as of the end of the current year and the beginning and end of the test year, setting out the recorded amounts and the projected amounts respectively for the accounts listed in the Regulation.
9(26)The application shall include statements of income, retained earnings and operating revenues for the base, current and test years, setting out the recorded amounts and the projected amounts respectively for the accounts listed in the Regulation.
9(27)The application shall include a statement of changes in financial position projected for the base, current and test years.
9(28)The application shall include copies of the gas distributor’s annual reports or audited financial statements to shareholders for the latest fiscal year and, where the gas distributor is controlled by an affiliated company, the annual reports to shareholders or audited financial statements of that affiliated company for its latest fiscal year.
9(29)Where applicable, the application shall include a copy of the financial statements of the gas distributor’s regulated business for the same period as the base year, disaggregated from the gas distributor’s published financial statements and accompanied, where necessary, by a reconciliation with the base-year financial statements, plus an explanation of any differences and a statement regarding consistency of application of accounting principles affecting the regulated business in the two sets of financial statements, together with a special-purpose auditor’s report with respect to the disaggregation.
9(30)The application shall establish the gas distributor’s sources of capital invested in rate base, construction work in progress and gas pipeline under construction, and the justification for the cost rates which the gas distributor is seeking to include in the gas distributor’s cost of service.
9(31)The application shall include a summary schedule for the current and test years, based on 13-point or 24-point averages, showing the gas distributor’s projected outstanding common equity and rates of return thereon, projected outstanding balances and related projected weighted average cost for each other class of capital, and derivation of the overall rates of return.
9(32)The application shall include an analysis of the weighted average cost of debt capital for the test year, showing the projected cost of each debt issue, including borrowings from financial institutions, and a supporting schedule containing the following information for each debt issue:
(a) title;
(b) date of issuance and date of maturity;
(c) nominal interest rate;
(d) principal amount of issue;
(e) net proceeds and a general description of their use;
(f) dates and amounts of sinking-fund and interest payments;
(g) method of amortization of debt discount, premium and expense;
(h) projected gains or losses in the test year on repurchase or redemption;
(i) projected gains or losses in the test year due to fluctuations in exchange rates;
(j) a concise description of any provisions restricting or otherwise relating to future financing, capital structures, interest coverages or dividends;
(k) a concise description of any convertibility feature;
(l) a copy of any prospectus not previously filed; and
(m) any other information necessary to provide a comprehensive description of the issue.
9(33)The application shall include, for any unfunded debt,
(a) a description of the gas distributor’s plans to finance it, including details of the timing, size and type of each issue; and
(b) evidence supporting the projected cost rate in the gas distributor’s financing plan, the projected short-term debt rate and the spread, as against the chartered banks’ prime rate, implied in the gas distributor’s projected unfunded debt rate.
9(34)The application shall include independent forecasts for the test year of yields on ten- and thirty-year long-term Government of Canada bonds and treasury bills, with a detailed discussion of the degree of reliance the gas distributor has placed on them in making the gas distributor’s forecasts.
9(35)The application shall include, where available, the gas distributor’s most recent bond rating reports issued by the Canadian Bond Rating Service, the Dominion Bond Rating Service, Standard & Poor’s and Moody’s for purposes of assessing the gas distributor’s debt.
9(36)The application shall include an analysis of the weighted average cost of preferred share capital for the test year, showing the projected cost of each issue, and a supporting schedule containing the following information for each issue:
(a) title;
(b) date of issuance;
(c) dividend rate;
(d) number of shares issued;
(e) par or stated value of issue;
(f) net proceeds;
(g) a general description of the use of the net proceeds;
(h) method of amortization of preferred share expense;
(i) projected gains or losses in the test year on repurchase or redemption;
(j) full description of any convertibility feature;
(k) full description of any redemption or retraction provision;
(l) a copy of any prospectus not previously filed; and
(m) any other information necessary to provide a comprehensive description of the issue.
9(37)The application shall include a schedule in tabular form, providing the following information for each issue of common shares in the last five fiscal years:
(a) date of issuance;
(b) number of shares issued;
(c) gross proceeds;
(d) net proceeds;
(e) amount and method of amortization of common share expense;
(f) a general description of the use of the net proceeds; and
(g) a copy of the prospectus for the issue, if not previously filed with the Board.
9(38)The application shall include a schedule in tabular form, providing the following information with respect to common equity of the gas distributor for each of the last five fiscal years:
(a) average number of shares outstanding;
(b) average book value per share;
(c) earnings per share;
(d) dividend per share;
(e) dividends as a percentage of earnings;
(f) average market price;
(g) market-to-book ratio;
(h) price-earnings ratio;
(i) price-dividend ratio;
(j) rate of return on average common equity;
(k) times interest earned, indicating the method of calculation; and
(l) average percent of debt, preferred equity and common equity.
9(39)Where an application is to establish or change capital structure, the application shall include a detailed discussion of business risks, including market, supply, operating and physical and regulatory and political risks.
9(40)If a significant part of the gas distributor’s capital is obtained from an affiliated company, the application shall include information with respect to the debt, preferred share and common share capital of that affiliated company and
(a) a copy of the latest prospectus issued by the affiliated company;
(b) a chart showing the relationship between the gas distributor and the affiliated company in terms of share ownership and financial obligations; and
(c) information in respect of the affiliated company as listed in paragraphs 9(41)(a) to (f).
9(41)The application shall contain, where applicable, a thorough discussion of the extent to which the consolidated capital structure is relevant to the determination of a deemed capital structure for the regulated business operations of the gas distributor, including the following information in support of the discussion:
(a) a listing and description of non-regulated business operations as well as a discussion of the relative business risks of the regulated business operations as opposed to the non-regulated business operations;
(b) a discussion of the appropriate accounting treatment for non-regulated operations (for example, consolidated as opposed to equity accounting) for financial reporting purposes, including documentation from the accounting literature which supports the choice of accounting for non-regulated investments;
(c) the allocation of equity and debt among regulated and non-regulated operations;
(d) the manner in which new debt issues are allocated between regulated and non-regulated operations;
(e) the weighted average cost of capital for the regulated operations as opposed to the weighted average cost of capital for the gas distributor on a consolidated basis; and
(f) the gas distributor’s code of conduct with respect to non-regulated activities.
9(42)In order to establish the incremental cost of transactions in foreign currencies which the gas distributor is seeking to include in the cost of service, the application shall include a description of the method used to derive any foreign exchange rate used for the current and test years.
9(43)The application shall include evidence that the rates are designed to recover the cost of service.
9(44)The application shall include a concise description of the gas distributor’s pipeline and operations, including a system map.
9(45)The application shall contain summaries or copies of any agreements not previously filed with the Board and of any substantive changes in such agreements previously filed with the Board that have been entered into by the gas distributor for the test year pertaining to transportation by the gas distributor in the Province, including any throughput, deficiency, storage, exchange, delivery pressure, processing or shipper-owner agreements, if applicable.
9(46)The application shall include the requested tariff revisions, together with comparative schedules showing proposed changes to existing rates and tariffs and copies of existing tariffs where deemed appropriate.
9(47)The application shall contain details of the gas distributor’s proposed rate design with explanations of any changes in the rate design from that previously approved by the Board, including
(a) a brief description of the classes or types of service offered;
(b) any rate zones or areas, illustrated by map;
(c) an allocation of the gas distributor’s test-year cost of service or portions thereof to zones or areas, customers and classes or types of service, parent or subsidiary companies, where applicable, and the details and bases for such allocations;
(d) details of any cost allocation units employed in deriving the proposed rates for the test year; and
(e) an analysis of the gas distributor’s projected cost of service for the test year, including an allocation of each cost component to major pipeline functions and a classification of the functionalized cost components between fixed and variable costs and the basis for the cost classification.
9(48)The application shall contain details of throughput and projected throughput for each class or type of service, including seller of last resort and miscellaneous services, for the base, current and test years, together with full explanations of adjustments, and including
(a) distances and volumes for individual receipt and delivery points;
(b) tendered or demand volumes for individual receipt points or delivery areas; and
(c) average monthly heating values of volumes as measured or calculated at receipt and delivery points, and the basis of the calorific measurements.
9(49)The application shall contain all other information necessary to provide a comprehensive description of the proposed tariffs and rates, including details of any relevant agreements and competitive and cost factors.
9(50)The application shall include a comparative schedule of test-year revenues for each class or type of service
(a) under existing rates; and
(b) under proposed rates.
Surveillance reports
10(1)Unless the Board otherwise directs, a gas distributor shall file the information required by subsections (2) to (7).
10(2)A gas distributor shall file a quarterly surveillance report in the standardized format given in Schedules 1 to 6 of this Regulation.
10(3)Subject to subsection (2) a gas distributor shall file its surveillance report
(a) for the first three quarters of each year, no later than forty-five days after the quarter, and
(b) for the year-end report, no later than sixty days after the quarter.
10(4)A surveillance report does not need to be filed when the rates of a gas distributor are interim.
10(5)All variances on Schedules 1, 2 and 4 above $25,000.00-dollar limits are to be accompanied with an explanation for such variances.
10(6)All variances on Schedules 3 and 5 greater than ten per cent are to be accompanied with explanations for those variances.
10(7)In the year-end report, information on the following performance measures is to be included:
(a) total revenue requirement per throughput-km,
(b) operating expenses (excluding income taxes) per throughput-km,
(c) operating expenses (excluding income taxes) per gross plant,
(d) administrative and general expenses per employee,
(e) administrative and general expenses per throughput-km,
(f) net plant per throughput-km,
(g) throughput-km per employee,
(h) fuel and power costs per throughput-km,
(i) average salary per employee, and
(j) employee benefits per employee.
10(8)With respect to the performance measures in paragraphs (7)(a) and (c), a gas distributor may provide a breakdown of operating expenses into those expenses over which the gas distributor considers it has little influence during the reporting period and those expenses over which management has discretion during the reporting period.
10(9)For any of the performance measures in subsection (7), the gas distributor may provide explanations for its data if it considers that necessary.
10(10)In addition to the performance measures filed under subsection (7), a gas distributor may file additional performance measures that the gas distributor considers may be useful to the Board.
10(11)The Board may publish the data filed pursuant to this section from time to time.
10(12)The gas distributor shall file in the year-end report, where available, five years of time-series data, in nominal dollars, on the performance measures identified in subsection (7) and on the actual and approved rates of return on common equity and the actual and approved rates of return on rate base.
10(13)The gas distributor shall file the quarterly surveillance reports with the Board in electronic format or on diskette, together with the usual number of paper copies.
Marketers’ certificates
11(1)Unless the Board otherwise orders, an application for a Marketer’s Certificate under subsection 61(1) of the Act shall be accompanied by the information required by subsections (2) to (11) and (14) to (16).
11(2)The application shall contain the full and legal name of the proposed certificate holder and its business address, telephone number, fax number, e-mail address and web site, if any.
11(3)The application shall set out the full name of the primary contact for the proposed certificate holder, with his or her business address, telephone number, fax number and e-mail address and position held with the proposed certificate holder.
11(4)The application shall describe the business classification of the proposed certificate holder as among sole proprietorship, partnership, joint venture, corporation or other form of enterprise.
11(5)The application shall describe
(a) the full legal name of the proposed certificate holder’s organization the New Brunswick or other provincial or Canadian Corporation Number and Business Registration Number;
(b) the date of formation or incorporation;
(c) the proposed certificate holder’s full business address, phone number, fax number and e-mail address; and
(d) the proposed certificate holder’s full business address, phone number, fax number and e-mail address in New Brunswick, if different from the information requested in paragraph (c).
11(6)The application shall describe the history of the proposed certificate holder, affiliate or associate as a gas marketer and shall provide:
(a) the names, addresses, telephone numbers, fax numbers and e-mail addresses of any affiliates or associates who are natural gas marketers and the jurisdictions in which they are authorized by law to engage in natural gas marketing; and
(b) the types of licence, permit, certificate or other form of authorization that the proposed certificate holder or its affiliates or associates hold in the other jurisdictions and their registration number or numbers there, if any.
11(7)The application shall describe whether the proposed certificate holder currently acts as an agent for providing gas on behalf of low-volume consumers elsewhere in Canada.
11(8)The application shall indicate whether the proposed certificate holder has an arrangement with a gas distributor to supply gas on behalf of low-volume customers.
11(9)The application shall include
(a) the most recent two years of audited financial statements of the proposed certificate holder, or, if it was incorporated within the previous twelve months and audited statements are not available, pro forma financial statements signed by a director of the proposed certificate holder;
(b) if the proposed certificate holder is publicly held, a copy of its most recent prospectus; and
(c) if the proposed certificate holder is a sole proprietorship or a partnership, and if audited statements are unavailable, a statement of assets and liabilities for the last two years signed by the proprietor or by at least one partner.
11(10)The application shall provide full and precise information on the following matters:
(a) whether the proposed certificate holder or an affiliate or associate who is a marketer has ever been declared bankrupt or is at present a party to bankruptcy or insolvency proceedings and
(b) where the proposed certificate holder or an affiliate or associate is an undischarged bankrupt, a copy of the assignment in bankruptcy or receiving order and a list of creditors, or
(c) where an individual is a discharged bankrupt, proof of discharge;
(d) whether there are any unpaid judgments against the proposed certificate holder or a marketing affiliate or associate and if so, a copy of each judgment and a statement of the amount outstanding and the repayment arrangements, if any;
(e) whether the proposed certificate holder or any marketing affiliate or associate has ever been convicted of an offence or whether any charges are now pending -- and for greater certainty, “conviction” includes where a conditional discharge or an absolute discharge has been ordered -- and a statement of the full particulars of the case; and
(f) whether the proposed certificate holder or a marketing affiliate or associate has ever had a permit, licence or authorization or registration of any kind referred, suspended, revoked or cancelled and a statement of particulars of the event.
11(11)The application shall contain the following information about each sole proprietor, partner, officer or director of a proposed certificate holder:
(a) whether this person has ever been a proprietor, partner, officer or director of a business that marketed or sold gas in another jurisdiction; and if so, the company name, jurisdiction or location and registration number, identifier and date issued;
(b) whether this person has ever been registered or licensed under other acts or legislation; and if so, the act or legislation and the date of licence or registration;
(c) whether the person has been a proprietor, partner, officer or director of a business that had a registration or licence of any kind revoked or cancelled; and if so, particulars;
(d) whether the person now or has been involved in personal bankruptcy proceedings; and if so, the assignment or discharge papers;
(e) whether the person is now or has been an officer, director or majority shareholder of a corporation which has been declared bankrupt or is presently party to bankruptcy proceedings; and if so, full particulars and documents;
(f) whether there are any unpaid judgments against the person; and if so, a copy of each judgment and a statement of the amount outstanding and repayment arrangements, if any; and
(g) whether the person has ever been convicted of an offence under any law or there are any charges now pending; and if so, particulars or a separate signed statement; and for greater certainty, “convicted of an offence” includes where a conditional discharge has been ordered.
11(12)It shall be a condition precedent of any certificate that the Board may issue to a proposed certificate holder that the Board may obtain any additional information about the proposed certificate holder from federal, provincial, state or municipal governments, licensing bodies, law enforcement agencies, sheriff’s officers, credit bureaus, professional and industry associations and former and current employers, so long as such information is relevant to the certificate or certificate holder-marketer only.
11(13)It shall be a condition precedent of any certificate that Board may issue to a proposed certificate holder that the Board may conduct a credit review of the proposed certificate holder or its key employees in accordance with standard business practices, in order to determine whether the proposed certificate holder can be expected to be financially responsible in the conduct of its business as a marketer.
11(14)The application shall contain a written consent to the Board collecting the information described in paragraphs (11) and (12) and a written acknowledgement that the information will be used to determine whether the proposed certificate holder is qualified for the certificate for which it is applying.
11(15)The application shall contain a written acknowledgement that the proposed certificate holder has read any rules for marketers made by the Board under paragraph 66(1)(b) of the Act and understands that violation of these rules may be grounds for revocation of any certificate issued.
11(16)The application shall contain a written authorization to all law enforcement agencies to release records of any criminal conviction for which a pardon has not been granted, records of discharge and records of outstanding criminal charges and written and sealed release of all such agencies, its members and employees from any and all actions, claims and demands for damages, loss or injury which may result from the disclosure of information provided by such agencies.
11(17)The application shall in the case of a corporation or partnership be signed by two officers or partners, and in a case of a sole proprietorship, by the sole proprietor and not by a solicitor or agent.
Schedule 1
Schedule 2
Schedule 3
Schedule 4
Schedule 5
Schedule 6
N.B. This Regulation is consolidated to June 22, 2006.