Message: D08-1113

From: BoardSec
To: Shelly-Anne Connell
Cc:
Sent: 2008-01-22 at 10:06 AM
Received: 2008-01-22 at 10:06 AM
Subject: FW: Amendments to the Transactional Service Methodology EB-2007-0932

Attachments: noa_enbridge_trans_services_20080104.pdf (28.4 KB)
EGD Cover Letter TS Changes to EB-2005-0244.pdf (486.6 KB)





______________________

John Pickernell

Assistant Board Secretary

Ontario Energy Board

416-440-7605

Fax: 416-440-7656

Website: www.oeb.gov.on.ca <http://www.oeb.gov.on.ca/>

Official Correspondence: BoardSec@oeb.gov.on.ca



Address:

P.O. Box 2319

2300 Yonge Street 27th Floor

Toronto, ON

M4P 1E4

______________________





________________________________

From: Robert Bourke [mailto:Robert.Bourke@enbridge.com]
Sent: January 21, 2008 5:43 PM
To: phyllis349@hotmail.com; clyde.spencer@bell.ca
Cc: BoardSec
Subject: Amendments to the Transactional Service Methodology EB-2007-0932






Dear Ms. Spencer: Re: Transactional Service Methodology EB-2007-0932

This application asks the Ontario Energy Board (or "OEB") to allow Enbridge Gas Distribution Inc. (or the "Company") to alter the way it offers the limited and temporary use of its assets to third parties in order to generate revenue which is shared with all customers.

The phrase "limited and temporary use of its assets" refers to a duration which is usually less than 2 or 3 days and the "assets" in question generally refers to underground gas storage assets and pipeline transmission capacity which is not required by the Company for use in its normal operational activities during those next 2 or 3 days.

The "third parties" referred to are typically gas shippers, gas suppliers and some of the Company's largest and most sophisticated commercial/industrial customers who would normally consume gas in volumes that would be thousands of times greater than an individual homeowner, and would typically purchase their gas directly from a broker or gas producer.

The operation of the gas markets are such that contracts for gas supply are normally arranged with a typical volume of gas to be provided on each and every day of the year. However, on some days a shipper or customer may require a higher or lower volume of gas than it had contracted for which would require a secondary market to provide for a short term, immediate supply of gas or a place to 'park' a volume of gas that is not immediately required. The "revenue" which is generated by this short term supply or parking of a volume of gas is referred to as a transactional service revenue.

As these services are not a part of Enbridge's typical day-to-day activity under its monopoly service offerings, the OEB has approved the offering of these transactional service activities on the basis of the sharing of the revenue, net of costs, generated by these activities with ALL customers or ratepayers on an incentive-sharing basis. This application asks the OEB to allow the Company to revise some of the procedural steps that were previously required in the hope that the relaxed operational process could produce additional opportunity to generate additional business and, therefore, additional revenue for the benefit of all ratepayers.

As the Company has stated in the cover letter attached above, it "believes that these changes (i.e. the changes requested in this application) will benefit all stakeholders, including ratepayers (who receive most of the net Transactional Services revenue)..."

I hope this answers your questions.

Robert Bourke
EGDI - Manager Regulatory Proceedings
(416) 495-5616 at VPC
(416) 482-4526 at 2300 Yonge St. office (OEB)
(416) 495-6072 Fax.

"Phyllis Spencer" <phyllis349@hotmail.com>

01/19/2008 01:13 PM

To

<Boardsec@oeb.gov.on.ca>, <Patrick.hoey@enbridge.com>


cc

"Greg Spencer" <themidnightrambler@hotmail.com>


Subject

amendments to the transactional service














Dear Kirsten Walli board secretary and Pat Hoey Regulatory affairs at Enbridge,

Would either of you people be able to explain to me in laymans terms what this application is about and will it affect Enbridge's customers. Iam emailing this request because my son and I have just become new customers of Enbridge gas utility in Peterborough, Ontario. After reading the notice in the London Free Press, Saturday January 19th 2008 edition on page B4 noted as filing number EB-2007-0932 I still have no idea whether or not my gas service or costs will be affected by this application. Would you please email me with an explanation of the application.

Sincerely


Clyde Spencer
Email: phyllis349@hotmail.com <mailto:phyllis349@hotmail.com>
or clyde.spencer@bell.ca <mailto:clyde.spencer@bell.ca>