BC Hydro Large General Service Rate Design Consultation

Outcome
In January 2011, a new conservation rate was implemented for BC Hydro’s Large General Service (LGS) customers. This rate provides an increased financial incentive for this group to conserve electricity.

In addition, the LGS rate class was divided into two separate classes – each with a new and separate rate structure:

• A Medium General Service (MGS) class for accounts with an annual peak demand between 35 and 150 kilowatts (kW)
• A new LGS class for accounts with an annual peak demand equal to or greater than 150 kW or accounts with an annual energy use of more than 550,000 kilowatt hours (kWh)

Background
BC Hydro restructured its LGS rate in an effort to encourage additional conservation and efficient growth. Direction for these goals was driven by the B.C. government in the 2007 BC Energy Plan and by the amended Utilities Commission Act. The old LGS class included approximately 25,000 diverse customer accounts ranging from small retail stores to sawmills, and includes municipalities, regional districts, school districts and health authorities. The LGS class used almost 30% of BC Hydro’s domestic load in British Columbia.

The LGS rate is the latest in a series of conservation rate structures to be implemented across BC Hydro’s rate classes to help meet growing energy demand and achieve conservation targets. Large industrial customers moved to a conservation rate in 2006 and residential customers followed in 2008.

Public Materials
Kirk & Co. produced a discussion guide and feedback form for a series of customer and stakeholder engagement sessions. Working with the project team, Kirk & Co. took complicated rate designs and developed easy-to-understand information for the discussion guide. Kirk & Co. implemented and facilitated a province-wide consultation program with a variety of customers in BC Hydro’s LGS rate class.

Key Milestones
Key milestones include:

• Completion of Large General Service Rate Design Consultation
• Implementation of LGS conservation rate

Website
BC Hydro Large General Service Conservation Rate