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PROVINCE OF BRITISH COLUMBIA Eighth Annual Report OF THE PUBLIC UTILITIES COMMISSION Pursuant to Section… British Columbia. Legislative Assembly 1948

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 PROVINCE OF BRITISH COLUMBIA
Eighth Annual Report
OF THE
PUBLIC UTILITIES
COMMISSION
Pursuant to Section 64 of the
"Public Utilities Act"
For the Year ended December 31st,
1946
PRINTED  BY
AUTHORITY OF THE LEGISLATIVE ASSEMBLY.
VICTORIA,  B.C. :
Printed by Dox MoDiaemid, Printer to the King's Most Excellent Majesty.
1947.  Victoria, B.C., February 28th, 1947.
To His Honour the Lieutenant-Governor in Council
of the Province of British Columbia.
May it please Your Honour:
Sir,—We have the honour to transmit herewith, in accordance with section 64 of
the " Public Utilities Act," the Eighth Annual Report of the Public Utilities Commission under that Act for the year ended December 31st, 1946.
PUBLIC UTILITIES COMMISSION,   ■
W. A. Carrothers, Chairman.
L. W. Patmore, Commissioner.
J. C. MacDonald, Commissioner.  CONTENTS.
Page.
Scope of Report  7
Legislation  -  7
Regulations   7
Operations of Public Utility Systems—
New Construction, New Operations, and Expansions  7
New Supplies of Electric Power for Lower Mainland Area  8
New Supplies of Gas for Vancouver and Victoria  9
Shortages of Materials  10
Discontinuance and Suspension of Service  10
Complaints as to Service by Public Utilities  10
Rates—
Investigation of British Columbia Electric Railway Company, Limited   10
Rate Changes filed under Section 16 of " Public Utilities Act "  12
Rate Complaints  12
Security Issues, Mortgages, and Sales—
Security Issues and Mortgages  12
Refinancing of British Columbia Electric Railway Company, Limited  13
Sales of Assets by Public Utility Systems  14
Revenue and Expenses, 1940-46  14
Tables-
No. 1.—Certificates of Public Convenience and Necessity  15
No. 2—Extensions permitted under Section 12a of " Public Utilities Act"  16
No. 3.—Particulars of Extensions by British Columbia Electric Railway Company, Limited   16
No. 4—Applications to require Public Utilities to extend Systems  17
No. 5.—Applications to discontinue or suspend Service  19
No. 6.—Complaints as to service of Public Utilities  19
No. 7.—Rate Changes consented to pursuant to Section 16 of " Public Utilities
Act"  19
No. 8.—Rate Complaints  22
No. 9.—Security Issues and Mortgages  22
No. 10.—Sales of Assets of Public Utility Systems  23
No. 11.—Comparative Statement of Revenue and Expenses  23  Eighth Annual Report of the Public Utilities
Commission under the "Public Utilities Act"
for the Calendar Year ended
December 31st, 1946.
SCOPE OF REPORT.
This report of the Public Utilities Commission is made in accordance with section
64 of the " Public Utilities Act " and covers the calendar year ended December 31st,
1946. It does not cover the work of the Commission under the " Motor Carrier Act,"
a separate report of which is being made pursuant to section 36 of that Act.
LEGISLATION.
The amendments to the " Public Utilities Act" in 1946 relate solely to milk, over
which the Milk Board has jurisdiction and not the Public Utilities Commission.
REGULATIONS MADE DURING 1946 UNDER THE
"PUBLIC UTILITIES ACT."
No new regulations or revisions were made by the Commission under the " Public
Utilities Act " during the year.
OPERATIONS OF PUBLIC UTILITY SYSTEMS.
New Construction and Operation, and Expansion
by Public Utility Systems.
New construction or operation, or expansion, of a public utility system requires
the approval or consent of the Commission under section 12 or 12a of the " Public
Utilities Act." A summary of applications for certificates of public convenience and
necessity received or decided during the year is set out in Table 1. In the case of
extensions of a more or less routine nature, such as extensions of distribution systems
to serve new customers, the Commission, pursuant to the powers set out in section 12a,
relieves the public utility from the requirement of obtaining a certificate of public
convenience and necessity. A summary of extensions permitted under section 12a is
set out in Table 2. It will be noted that the majority are extensions made by the
British Columbia Electric Railway Company, Limited. Of the 397 extensions of
electric power systems permitted to this company under section 12a, 394 were extensions of electric distribution-lines, particulars of which are set out in Table 3. The
other three were the installation of dust-recovery apparatus at the Brentwood steam
plant (near Victoria), improvements in sub-station, transmission and distribution
facilities in the Greater Vancouver area, and improvements in transmission, transformer, and distribution facilities on Vancouver Island. As noted in Table 2, the
Commission permitted a number of extensions of transportation systems under section
12a. These were in connection with temporary bus service in the municipalities of
Richmond and Burnaby pending franchise negotiations, temporary service in Stanley
Park during the Jubilee celebrations in Vancouver, and extensions of bus service in the
Municipality of Esquimalt.
A number of letters were received by the Commission from persons desiring extensions of public utility systems to serve their premises. Many of these called for merely
an explanation of the principles and terms on which the extensions should be made.
Those which were more in the nature of complaints are summarized in Table 4. H 8 BRITISH COLUMBIA.
New Supplies of Electric Power for Lower Mainland Area.
The report of the Commission for 1945 explained the need for new supplies of
electric power for the Lower Mainland area and referred to the order of June 6th, 1945,
requiring the British Columbia Electric Railway Company, Limited, to proceed without
delay with the development of an initial stage of the Bridge River project, involving a
capacity of at least 45,000 kilowatts. The company had, on March 26th, 1945, issued an
order to the Shawinigan Engineering Company, of Montreal, to prepare plans and specifications for the initial works to be carried out at the Bridge River power-site. These
were submitted to the Commission on February 25th, 1946. The approximate cost of
the development of the initial stage of the Bridge River project was estimated at
$10,920,000.    The initial works will include the following :—
(a) Construction of a diversion-dam at Site No. 7, which is immediately below
the present tunnel intake.
(6)  Miscellaneous works at the Seton Lake end of the tunnel.
(c) Construction of a 6-foot 4-inch diameter penstock from the tunnel to the
power-house site.
(d) Construption of the first portion of the power-house, with settings for
three machines.
(e) Installation of one 62,000-horsepower hydro-electric generating unit.
(/) Necessary low-voltage switching equipment, together with auxiliary
equipment and transformer capacity to step up voltage for transmission
to Vancouver.
(g) One 230-kilovolt transmission-line, to be carried on steel towers from
Bridge River to Vancouver.
The certificate of public convenience and necessity issued by the Commission in
connection with the project is included in Table 1.
The progress made during 1946 is outlined in a report of February 28th, 1947,
from the company to the Commission, from which the following is quoted:—
" Dealing first with the Diversion Dam, for which the construction contract was
signed on May 29, 1946, and work begun on June 5, a reasonably satisfactory rate of
progress has been maintained, the greatest difficulty being inexperienced labour. On
February 20, 313 men were employed by the contractor. Up to that date 180,000 cubic
yards of rock had been removed from the spillway channel, leaving approximately
18,000 cubic yards still to be removed to complete this portion of the work. Placing of
concrete in this spillway section was commenced on February 19. Sheet steel piling
and reinforcing steel are on hand together with a supply of the embedded members to
accommodate the sluice gates. The balance of the embedded members are being completed at the Western Bridge Company shops and will be ready for installation when
sufficient concrete has been placed to receive them.
" Work on the upstream coffer dam, approximately 70 per cent, complete, has been
carried as far as is possible until the river has been diverted from its original channel
to the new spillway. Approximately 70,000 bags of cement have been transported to
the site and approximately 19,000 cubic yards of sand and gravel are in adjacent rock
piles.
" On November 1, 1946, orders were placed for the first main generator and the
first turbine. The generator was ordered from the Canadian Westinghouse Company
and the turbine from the Pelton Water Wheel Company of San Francisco. Through
an arrangement with the Vancouver Engineering Works, the greater part of the turbine will be constructed and assembled in the Vancouver shops of the latter company. REPORT OF PUBLIC UTILITIES COMMISSION, 1946. H 9
" Preliminary drawings of both generator and turbine have just come to hand
which will permit completing the design of the generating station and calling for
tenders on the building. Tenders for the first step-up transformer bank were called
for on December 28, 1946, and for the first penstock on January 24, 1947.
"Work commenced.on preparation for construction of the transmission line on
June 3, 1946. At the end of last week the number of men employed on clearing operations, excavation and construction of tower footings was 230. Seven camps have been
established, about 45 miles of clearing completed and 5 miles of road, in addition to a
mile of pack-trail, has been constructed.
" Orders were placed on April 7, 1946, for transmission line towers and up to
February 22, a total of 59 tower bases have been completed. Excavation for an additional 33 has been completed, for which steel is on site and partially in place. In
addition, anchor bolts have been delivered for a considerable number of towers which
will sit on solid rock, and drilling for these anchor bolts is under way. Orders for
suspension insulators for the line were placed on May 13, and for the necessary conductors on July 12. Orders for hardware were placed on September 10. All of these
items are scheduled for delivery as the erection of towers progresses."
New Supplies of Gas for Vancouver and Victoria.
On December 13th, 1945, the Commission granted a certificate of public convenience
and necessity to Victoria Gas Company, Limited, authorizing an addition to its gas-
production plant. This certificate was noted in the report of the Public Utilities Commission for 1945. Gas consumption in the Victoria area had increased from 158,000,000
cubic feet in 1938-39 to 320,000,000 cubic feet in 1944, the bulk of the demand coming
from domestic and commercial users, with a relatively small demand from industrial
users. In 1941 an old water gas set of 500,000 cubic feet capacity, which had been
discarded from the Vancouver plant, was reconditioned and put into service in Victoria
owing to heavily increasing gas load and the impossibility of obtaining new plant in
war-time. This brought the total manufacturing capacity to 1,500,000 cubic feet per
day. With the increasing load it was apparent in 1945 that a new plant of enlarged
capacity would be needed as soon as obtainable. The Commission's certificate of
December 13th, 1945, authorized the installation of a new carburetted water gas-
generating set with a capacity of 1,200,000 cubic feet per day. It was expected that
the new installation would be completed before the 1946-47 winter.
Conditions in Vancouver were similar to those in Victoria. Demand for gas had
increased to the point where there was no surplus generating capacity at peak periods
even with the use of old equipment which had been reconditioned and put into service
out of necessity during the war. The total manufacturing capacity was 9,500,000
cubic feet per day. On February 13th, 1946, the Commission granted a certificate
authorizing the installation of a reverse-flow carburetted water gas manufacturing
set with a capacity of 4,500,000 cubic feet per day. There appeared to be a reasonable
probability of having the installation in operation in time to meet the 1946-47 winter
peaks if delays in obtaining and installing the unit could be avoided.
By the late summer of 1946 it was becoming apparent that the new gas-generating
capacity in Victoria and Vancouver would not be in operation in time to meet the
winter peaks, and that some temporary restriction of service would be necessary. A
report from the company dated August 29th, 1946, stated:—
" The company is experiencing grave difficulties in constructing new plant in order
to take care of expanding requirements for gas, and therefore it is likely to be extremely
difficult to meet winter peak requirements during this year if the company is required
to take on additional gas heating load. We are now having difficulties in obtaining
materials for the construction of the company's new gas plants, which are certainly H 10 BRITISH COLUMBIA.
bound to delay completion of these units until well on into the winter heating season.
At the same time there is a growing demand for gas as a house heating fuel, and if
these are to be accepted the company will be placed in an extremely precarious position
with respect to its winter peak load this year."
On August 30th, 1946, the Commission granted its consent to the withholding of
the quoting of gas space-heating rates to any additional customers and to refusing the
granting of such rates for a period of eight months. It was expected that under
normal conditions the company would then be able to protect existing gas customers
against serious disruptions of service during the winter peak. Unfortunately a severe
cold spell brought about especially heavy demands, which resulted in a short period of
low pressure and restricted service both in Vancouver and Victoria.
The new installation in Victoria was put into operation in February, 1947, and
this should ensure an adequate supply of gas for many years to come. The new plant
in Vancouver has not been completed, as of the date of this report, but is well along
toward completion, and it may be assumed that it will be in operation before the next
peak occurs. This should ensure an adequate supply of gas in Vancouver for many
years to come.
Shortages of Materials.
There has been a steadily increasing demand for public utility service during and
after the war years. During the war, expansion of plants and systems could only be
carried out in accordance with Dominion controls. Materials were not available to
provide for future demands of a purely civilian nature. The end of the war brought
increasingly insistent demands for additional service with no corresponding improvement in the availability of materials. Delays were unavoidable in meeting the new
demands.
In the case of electric utilities, shortages of transformers and wire were especially
serious. On December 3rd, 1946, the British Columbia Electric Railway Company,
Limited, had eighty-five large extensions of electric distribution-lines in an unfinished
state. This number includes only extensions requiring ten poles or more. Further,
there was a very large number of other extensions, large and small, approved and
ready for installation. To avoid complaints of discrimination, it was necessary to
follow a fair and definite policy in completing extensions, and the company advised the
Commission that it was following a policy of strict priority. West Kootenay Power
and Light Company, Limited, experienced the same problems and also established a
priority system, completing extensions as materials became available according to the
order of date of application for service.
Discontinuance and Suspension of Service.
Particulars of applications by public utilities to discontinue or suspend service
are set forth in Table 5.
Complaints as to Service by Public Utilities.
Particulars of complaints as to service provided by public utilities are set forth in
Table 6.
RATES.
Investigation of British Columbia Electric Railway Company, Limited,
and Associated and Subsidiary Companies.
By an order dated August 15th, 1939, the Commission commenced an inquiry into
the property, operations, and rates of the British Columbia Electric Railway Company,
Limited, and its associated and subsidiary companies.    Pursuant to this order and
I REPORT OF PUBLIC UTILITIES COMMISSION, 1946. H 11
supplementary instructions an appraisal of property was made by the Commission's
Chief Engineer and the financial results of operations were investigated for the Commission by the accounting firm of George A. Touche & Company. The report of the
Chief Engineer was submitted to the Commission on August 8th, 1941, and the report
of the accounting firm in October, 1941. Both reports were made available to the
public on November 1st, 1941. Public hearings were begun on August 24th, 1942, at
which these reports and the representations of interested parties were submitted.
These hearings were continued until January 12th, 1943.
In accordance with the requirements of section 15 of the " Public Utilities Act"
■ the  Commission  investigated the  properties  and  revenues  of  each  " service  unit"
separately.    The service units into which the operations as a whole were divided were :■—
Electric service—Lower Mainland.
Electric service—Vancouver Island South.
Electric service—Alberni.
Electric service—Kamloops.
Electric service—Newcastle-Nanoose.
Electric service—Comox-Nelson.
Gas service—Lower Mainland.
Gas service—Vancouver Island South.
Urban transportation—Lower Mainland.
Urban transportation—Vancouver Island South.
Interurban transportation—Lower Mainland.
Water service—Comox-Nelson.
Following the public hearings, the findings of the Commission were set out in a
report to the Lieutenant-Governor in Council dated July, 1943. Schedule A of that
report shows the appraised values of the properties of each service unit. Schedule B
comprises an analysis of the historical cost of funds for the companies as a whole.
Schedule C shows the relation of revenue to cost of service for each service unit for
each of the years 1939-1942, inclusive. The revenue was in excess of the cost of service
in 1942 in several service units. Schedule D shows the relation of revenue to cost of
service and taxes for 1942 for all services combined, the result being a deficit of
$480,246 for the year on the basis of the fair return allowable under the " Public
Utilities Act."
In November, 1943, the Commission issued a supplementary report which, because
of its bearing on the subsequent actions of the Commission, is quoted herewith, as
follows:—
" In the first report of the Public Utilities Commission on the investigation into
the rates and service of the British Columbia Electric Railway Company, Limited, it
was found that on the basis of the 1942 revenues a reduction in charges to customers
in some units of service was indicated. An inspection of the business during the past
five years indicated also that these revenues cannot be considered to be normal. Their
continuance at present levels cannot be assumed.
" It was also reported that because of the abnormal conditions at the present time
it is not opportune to make a complete revision of rate structures. Hearings with
regard to rates were postponed until a later date. It is the opinion of the Commission
that any change at the present time should be made in the simplest and most flexible
way to be easily modified as the unstable conditions of the time may require.
" It is the opinion of the Commission, however, that the revenues of the company
are such as to justify some relief to the customers of the company, particularly in the
electric service. The question arises as to the manner of giving such relief. A percentage alteration in those charges which appear most out of line was suggested in our H 12 BRITISH COLUMBIA.
first report.   We find that the application of this method would likely involve some delay
as its adoption is based to some extent on the full findings of the report.
" In view of this, believing the customers to be entitled to some immediate relief,
we recommend that this be given through the omission of billing of customers for a
definite period. This method has the advantage of giving consideration to the unstable
character of the situation at the present time, due to war conditions. Such a method
would give immediate relief and allow further time for the consideration of the first
report of the Commission in the future, as it would not necessarily involve the full
acceptance of that report. This method would be essentially temporary in character,
and would leave the Commission free to make such further orders in the future as are ■
deemed desirable in the circumstances.
"Apart from the effect of this in reducing the revenues of the company, it would,
to some extent, be a recognition of the inconvenience experienced by the public at the
present time due to inferiority of service, necessitated by shortage of materials and
equipment, and war restrictions in general.
" With regard to the period for non-billing of customers to be established, it is
recommended that on the basis of the excess of earnings over cost in the various areas,
this be one month in the Lower Mainland area and two months in all other areas served
by the company, the details and application to be embodied in an order of the
Commission."
Free billing periods were ordered by the Commission in 1943, 1944, and 1945.
By 1946 the war was ended and the abnormal conditions which were the justification
for the unusual method of regulation by the free billing procedure were disappearing.
While revenues remained high, indications were that cost of service was increasing
very rapidly, and that the relationship of revenue to cost of service would not justify
a free billing period in 1946.    Free billing was therefore discontinued.
Annual reports have been received from the companies, by means of which the
original investigation data can be brought up to date, year by year. On April 16th,
1946, the Commission made an order providing for audits of these reports and assigned
the Chief Engineer and retained the accounting firm of George A. Touche & Company
to audit the reports for 1943, 1944, and 1945. The reports of Touche & Company were
received on January 7th and 16th, 1947, and the report of the Chief Engineer on
February 12th, 1947. Analyses of the reports, as audited, were immediately commenced
in order to compare revenues with cost of service, with a view to determining future
policy.
Rate Changes filed pursuant to Section 16 of " Public Utilities Act."
A complete statement of all rate changes filed during 1946 is shown in Table 7.
Most of the changes are adjustments made to meet special circumstances and affecting
a relatively small number of consumers. There has been no general increase in utility
rates comparable to the general rise in prices of most commodities, although a few cities
and small utilities found it necessary to make some increases. On the other hand, there
have been a number of substantial reductions by telephone and electric utilities.
Rate Complaints.
The rate complaints dealt with during the year are summarized in Table 8.
SECURITY ISSUES, MORTGAGES, AND SALES.
Security Issues and Mortgages.
Section 21 of the " Public Utilities Act " requires that no public utility shall issue
any stocks or shares or any bonds, debentures, securities, or other evidence of indebted- REPORT OF PUBLIC UTILITIES COMMISSION, 1946. H 13
ness payable in more than one year from the date thereof unless it has first obtained
approval by the Commission of the proposed issue. Applications made under this
section in 1946 and summaries of the findings of the Commission thereon are set out in
Table 9.
It will be noted from Table 9 that a very substantial refunding plan by the British
Columbia Electric Railway Company, Limited, and associated companies has been
authorized.    Details of this refunding are set out in the following paragraphs.
Refinancing of British Columbia Electric Railway Company, Limited,
and Associated and Subsidiary Companies.
By an order dated November 12th, 1946, and approved by Order in Council, No.
2718, the Commission approved a plan of refinancing of British Columbia Electric
Railway Company, Limited, and associated and subsidiary companies. Under the plan,
British Columbia Electric Power and Gas Company, Limited, a company subject to the
" Public Utilities Act," was made the financing company in place of British Columbia
Power Corporation, Limited, a company not subject to that Act. The subsidiaries of
British Columbia Electric Power and Gas Company, Limited, transferred the title to
their property and assets to that company to enable it to give a first mortgage on such
assets as well as on the gas properties already owned by it. To provide further security
for the new bond issue of British Columbia Electric Power and Gas Company, Limited,
British Columbia Power Corporation, Limited, transferred to that company $5,000,000
of bonds and all the preferred and deferred ordinary stock of British Columbia Electric
Railway Company, Limited. With the above-mentioned security, British Columbia
Electric Power and Gas Company, Limited, after changing its name to British Columbia
Electric Company, Limited, issued $33,000,000 of bonds to the public, bearing interest
at 3% per cent. The Commission's approval specified that the bonds must be sold at
a price of not less than $98 per $100.
The intercorporate relationships of the British Columbia Electric group of companies were  simplified  by the  elimination  of  $19,160,000  of bonds  of subsidiaries
previously held by British Columbia Power Corporation, Limited.    Of the bonds of the
group of companies in the hands of the public, the following were redeemed:—
British Columbia Power Corporation 41/4-per cent. Series
A  $10,800,000
British Columbia Power Corporation 41/4-per cent. 1939
Series       4,210,000
British  Columbia  Power  Corporation  4-per cent.  1945
Series     10,000,000
Vancouver Power 41/4-per cent, debenture stock,£l,500,000,
say       7,290,000
$32,300,000
The annual saving in interest before tax, as a result of the refinancing, is estimated
at $224,675. In addition, it is anticipated that the financial reorganization will enable
the group of companies to obtain funds in the future, through public financing by
British Columbia Electric Company, Limited, at a cheaper rate of interest than would
otherwise be possible.
The change in the relationship of the group of companies to the investing public
is, briefly, that £1,500,000 of first mortgage bonds of Vancouver Power Company,
Limited, and $25,010,000 of collateral bonds of British Columbia Power Corporation,
Limited, are replaced by $33,000,000 of first mortgage bonds of British  Columbia H 14 BRITISH COLUMBIA.
Electric Company, Limited. The relationship of the investing public to the group of
companies is unchanged in connection with the following securities which are still
outstanding in the hands of the public, namely:—
£2,788,170 of debenture stock of British Columbia Electric Railway Company,
Limited.
£1,440,000 of preference stock of British Columbia Electric Railway Company,
Limited.
$5,000,000 of preference shares of British Columbia Electric Power and Gas
Company, Limited  (now British Columbia Electric Company, Limited).
$59,250,000 of shares of British Columbia Power Corporation, Limited.
Sales of Assets of Public Utility Systems.
Transfers of property by public utilities to the British Columbia Power Commission
do not require the approval of the Public Utilities Commission and are therefore not
recorded. The transfers dealt with by the Commission under section 23 of the " Public
Utilities Act" are shown in Table 10.
Table 10 shows a transfer of the title of assets to British Columbia Electric Power
and Gas Company, Limited, by its subsidiaries. This was done in connection with
a financing plan which is explained elsewhere in this report.
It will be noted that a change from private to municipal operation has taken place
at Kimberley, Lake Cowichan, and Maple Ridge, the privately operated utility systems
having been acquired by purchase by the municipalities.
REVENUE AND EXPENSES, 1940-46.
A statement of revenue and expenses of the Public Utilities Commission under the
" Public Utilities Act " and the " Motor Carrier Act " is set out in Table 11. The
figures shown are for the calendar year and not the fiscal year, and figures for previous
years have been included for comparative purposes. Revenue under the " Motor
Carrier Act " has been compiled from monthly reports made by the Superintendent of
Motor Carriers. Revenue under the " Public Utilities Act " represents fees on applications granted during the year, even though the fees may not have been transferred from
Suspense Account to Revenue Account until the following year. The fees in connection
with the refinancing of the British Columbia Electric Railway Company, Limited, and
its associated and subsidiary companies, amounting to $55,642.50, were responsible for
an abnormally large revenue under the " Public Utilities Act " for 1946. REPORT OF PUBLIC UTILITIES COMMISSION, 1946.                      H 15
Table 1.—
Applications for C
REC1
TABLES.
; and Necessity
ERTIFICATES OF PUBLIC CONVENIENCE
5IVED OR DECIDED  IN  1946.
Class of
Service.
Applicant.
Date of
Application.
Particulars.
Result.
Transportation...
Electric power
British Columbia Electric
Railway Co., Ltd.
Dec.  12, 1945
Sept. 26, 1946
Oct. 28, 1946
Apr. 24, 1946
Feb. 25, 1946
May 31, 1946
June   5,   1946
Aug.   3,   1946
Sept. 18, 1946
June 21, 1946
July 30, 1946
June 21, 1946
Mar. 30, 1946
Sept. 25, 1946
Oct. 22,  1945
June 21, 1946
Dec. 20, 1946
Oct.  19, 1946
Sept. 26, 1946
Feb.   4,   1946
Revision    of    Mt.    Tolmie    bus
route,  City of Victoria
Approval   of   bus   franchise   in
North Vancouver
Approval   of   bus   franchise   in
Richmond
Ferry  service  on   Howe   Sound
previously operated by Howe
Sound Transport
Initial   stage   of   Bridge   River
power-development, providing
for 62,000 horse-power
Expansion   of  transmission,
transforming,  and  distribution facilities in Lower Fraser
Valley
Construction   of   approximately
47.2    miles   of    new    electric
distribution-lines   on   Vancouver Island
Enlargement   of   generating
plant at Burns Lake
Installation    of   electric    power
system  at   Clinton,   replacing
those   previously   operated  by
F.   T.   Boyd   and   Bruce   Mc-
Tavish
Installation   of   electric   power
system  at  Houston
Installation   of   electric   power
system at Lone Butte
Operation   of   electric   power
system    at   Kimberley   previously    operated    by    Consolidated   Mining   and   Smelting
Co. of Canada, Ltd.
Installation    of    electric    power
system at Masset
Operation   and  extension   of
electric power system at Yale
Operation   of   water   system   at
Shawnigan  Lake  with  larger
capacity
Operation   of   water   system   at
Kimberley previously operated
by   Consolidated   Mining   and
Smelting Co. of Canada, Ltd.
Installation of waterworks system near Kinnaird
Operation of water systems at
Lake   Cowichan   previously
operated   by   Stanley   Gordon
and Peter Olson
Operation   of  water   system   at
Campbell   River   previously
operated   by   Campbell   River
Hotel and  Resort  Co.,  Ltd.
Installation   of  new   gas-manufacturing plant at Vancouver
with capacity of 4,500,000 cu.
ft.  per day
Granted;   Jan. 11, 1946.
Granted ; Sept. 30,1946.
Granted; Nov. 1, 1946.
Granted; May 17, 1946.
Granted ; Mar. 25, 1946.
Granted ;  June 6, 1946.
Granted ; July 9,  1946.
Granted ; Aug. 7, 1946.
Granted; Oct. 21, 1946.
Granted ; Aug. 23, 1946.
Granted ; Aug. 23, 1946.
Granted ;   July 24, 1946.
Granted ;   Apr. 9, 1946.
Granted ;   Dec. 18, 1946.
Granted; Oct. 30, 1946.
Granted ;   July 24, 1946.
Granted ;  Jan. 27, 1947.
Granted ; Nov. 28, 1946.
Granted;   Oct. 11, 1946.
Granted;  Feb. 13,1946.
British Columbia Electric
Railway Co., Ltd., and
Bridge   River   Power
Co., Ltd.
British Columbia Electric
Railway Co., Ltd.
Burns Lake Electric	
Clinton Power and Light
Co., Ltd.
Kimberley,   City  of	
Miller, G	
Gas	
Kimberley, City of	
Lake Cowichan,
Village of
Willows Hotel Co.,  Ltd.
British Columbia Electric
Power   and   Gas   Co.,
Ltd.
- H 16
BRITISH COLUMBIA.
Table 2.—Extensions dealt with under Section 12a of the
" Public Utilities Act " during 1946.
Class of Service.
Public Utility.
Number of
Extensions.
6
British Columbia Electric Railway Co., Ltd., and associated
companies	
397
4
2
1
1
Gas	
British Columbia Electric Power and Gas Co., Ltd., and Vic-
1
General Utility Co., Ltd  .
1
1
Total	
414
Table 3.—Extension of Electric Distribution-lines of British Columbia Electric
Railway Company, Limited, during 1946, permitted under Section 12a of the
" Public Utilities Act."
Municipality or
District.
Number of Extensions.
Domestic
and
Farm.
Commercial
and
Industrial.
Total.
Number of
Customers
to be
served.
Total Cost
of
Extensions
(estimated).
Total
Distance of
Extensions
(Feet).
Burnaby and North Burnaby.
Chilliwack and Chilliwhack..
Coquitlam*	
Delta	
Dewdney	
Esquimalt	
Coldstream	
Highlands	
loco	
Kamloops, North and East...
Kent	
Langley f	
Malahat	
Maple Ridge	
Matsqui	
Metchosin	
Mission	
New Westminster	
Nicomen .,	
North Saanich	
North Vancouver	
Pitt Meadows	
Port Coquitlam	
Richmond	
Saanich	
Shawnigan	
Sooke	
Sumas	
Surrey!	
Vancouver	
West Vancouver	
Yale	
Totals	
18
12
8
6
4
7
2
1
1
5
3
49
1
14
20
5
4
10
14
13
8
19
78
11
2
1
19
13
8
6
4
7
2
1
1
5
3
49
1
14
38
8
14
1
5
8
20
5
4
11
15
13
8
19
78
11
2
1
389
394
100
149
65
41
41
15
6
10
1
138
7
447
3
98
264
26
63
1
17
17
104
56
11
55
26
61
34
51
371
276
43
1
$32
63
25
13
15
3
1
13
3:
137,
81,
81
17
20
3;
10
5
30
18
3
19
10:
14:
14:
22.
109
27
3.
,818.02
,098.30
,011.10
,175.85
,691.45
,931.59
,900.58
,579.96
473.55
.253.79
,409.55
,976.39
783.94
,167.85
,700.85
,504.91
,765.95
.109.05
,505.60
.561.79
,673.16
,932.60
.657.30
,749.30
,796.58
,911.98
,542.33
,230.70
,302.73
,732.90
,168.00
757.60
2,598
$766,875.25
30,797
110,955
50,707
26,653
34,413
.10,090
9,260
27,050
740
17,200
7,910
342,015
1,900
60,776
186,268
42,390
37,719
2,640
23,275
14,510
37,413
49,688
5,190
26,635
30,850
45,310
41,352
54,026
222,384
28,053
3,113
2,100
1,583,382
* Includes 2 extensions, serving 51 consumers, which extend into Port Coquitlam; shown under " Coquitlam "
and not under " Port Coquitlam."
t Includes 2 extensions, serving 70 consumers, which extend into Matsqui; shown under " Langley " and not
under " Matsqui."
t Includes 2 extensions, serving 25 consumers, which extend into Langley; shown under " Surrey " and not
under " Langley." REPORT OF PUBLIC UTILITIES COMMISSION, 1946.
H 17
OS
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BRITISH COLUMBIA.
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is REPORT OF PUBLIC UTILITIES COMMISSION, 1946.
H 19
Table 5.—Applications to discontinue or suspend Service, 1946.
Applicant.
Date of
Application.
Particulars.
Disposition.
Boyd,
F. T	
Oct.   3,   1946
Oct.   3,   1946
Discontinuance of electric service
at Clinton on installation of new
system by Clinton Power and
Light Co.,  Ltd.
Discontinuance of electric service
at Clinton on installation of new
system by Clinton Power and
Light Co., Ltd.
McTa
necessity cancelled  Oct.  21,  1946.
necessity cancelled  Oct.  21,  1946.
Table 6.—Complaints as to Service of Public Utilities, 1946.
Public Utility.
Complainant.
Date of
Complaint.
Particulars.
Disposition.
Stuart, J. M	
May   1,   1946
trie   Railway   Co.,
Thirteenth Ave. W., Van
pany  to   install   corrective
Ltd.
couver
devices.
Hollingsworth, 0.
Dec.  10,  1946
Voltage fluctuations at Deep
Cove,  V.I.
Larger transformer installed ; cause of complaint
rectified.
Bradner,   E.   M.,
and others
May   4,   1946
Board   of   Health   and   en
gineer   of   Water   Rights
Branch   arranged.    Com
pany   directed   to   investi
gate   feasibility   of   settle
ment-tanks   as   a   solution.
Feb.   5,   1946
Company required to resume
service    after    reading    of
vice  disconnected  without
due cause
meter and payment of bill.
Mar. 19, 1946
Temporary arrangements
made to correct complaint
gated    Fruitlands,
Ltd.
pending major rehabilitation   of  system.
General  Utility Co.,
Department   of
Mar.   6,   1946
Complaint that leaky mains
Condition  improved  follow
Ltd.
Public Works
of   company   responsible
for   flooded   basement   of
Court-house   at   Princeton
ing remedial measures by
both  parties.
Okanagan   Telephone
Paine, Dr. G. C.
Mar.   S,   1946
Refusal   of  company  to  list
Listing arranged as desired.
Co.
residence   under   P.B.X.
number
July   8,   1946
More rigid control of sprinkling   put   into   effect   and
Works Co., Ltd.
others
work   commenced   on   in
stallation   of   new   storage-
tanks and pipe.
Table 7.—Rate Changes consented to pursuant to Section 16
of the " Public Utilities Act," 1946.
(a)  Transportation Systems.
Name of Public Utility.
Route affected.
Effect of Change.
Date filed.
Date effective.
Howe Sound Transport	
Ferry across Howe Sound	
Seat reservation system put
into effect
Increase in street-car fares..
Increased   rates  for  trucks,
live stock, and freight
Mar. 13, 1946
July   26, 1946
June 20, 1946,
following
public hearing at Vancouver
Mar.  13, 1946.
Sept.   1, 1946.
North Vancouver, City of..
Ferry    between    Vancouver
and North Vancouver
July     1, 1946. H 20
BRITISH COLUMBIA.
Table 7.—Rate Changes consented to pursuant to Section 16
of the " Public Utilities Act," 1946—Continued.
(b)   Telephone and Telegraph Systems.
Name of Public Utility.
Area affected.
Effect of Change.
Date filed.
Date effective.
North-West Telephone Co.
May   31, 1946
July     1, 1946.
July     1, 1946.
Vancouver to Prince Rupert,
Substitution  of land circuit
May   31, 1946
Quesnel, and Hazelton
for radio link
Vancouver Island South
Reduction of ship-to-shore
rates, involving estimated
reduction in revenue of
$1,000 per year
Nov.  19, 1946
Nov. 21, 1946.
Okanagan Telephone Co....
Area between Kelowna and
Vernon
Revision of foreign-exchange
tariff, resulting in increased long-d i s t a n c e
charges to certain users
Aug. 12, 1946
Aug. 12, 1946.
(c)  Electric Power Systems.
May     2, 1946
May
2  1946.
and Improvement Co.
Iished and  new  rates for
street-lighting,   etc.,   pre
scribed
British Columbia Electric
Parksville - Qualicum - Dash-
Rate established for 3-phase
Jan.     5, 1946
Dec.
16, 1945.
Railway Co., Ltd.
wood     area,     Vancouver
Island
power service
Vancouver and Lower Main
New   lower   rates   for   elec
May   16, 1946
June
1, 1946.
land
tric steel-making and iron-
ore reducing furnaces
Provincial Mental Hospital,
Rate    reduction,     involving
May   28, 1946
Apr.
1, 1946.
Essondale
loss of revenue of approximately $3,995 per year
Vancouver and Lower Main
Temporary flat rates, where
July   23, 1946
July
1, 1946.
land
meters not obtainable
Vancouver Island 	
Temporary flat rates, where
Sept.    7, 1946
1, 1946.
meters not obtainable
Oct.    10, 1946
1  1946.
tinued for residential con
sumers
Victoria and vicinity 	
Rate revision for large com
Oct.   11, 1946
Oct.
1, 1946.
mercial    users,    involving
reduction of $1,154 in an
nual revenue
Nov
Canadian   Food   Products,
Ltd.
Canadian Utilities, Ltd	
Fort St. John 	
General reduction 	
July     9, 1946
1, 1946.
General   revision,   involving
reduction in domestic rates
Aug. 12, 1946
Aug.
Northland Utilities (B.C.),
Dawson    Creek   and    Pouce
General   rate  reduction,   in
Feb.   11, 1946
Feb.,
1946.
Ltd.
Coupe
volving  reduction  of  revenue     of     approximately
$5,000 per year
Jan    18  1946
June
1  1945
and Light Co., Ltd.
rate established REPORT OF PUBLIC UTILITIES COMMISSION, 1946.
H 21
Table 7.—Rate Changes consented to pursuant to Section 16
of the " Public Utilities Act," 1946—Continued.
(d)   Waterivorks Systems.
Name of Public Utility.
Area affected.
Effect of Change.
Date filed.
Date effective.
Irrigation   rates   for   April,
1946, remitted
May     1, 1946
Apr.,        1946.
and Improvement Co.
Increase in rates of approximately 10 per cent.
June 25, 1946
July     1, 1946.
Connection  charges and security deposits established
Sept. 25, 1946
Oct.     1, 1946.
Creston, Village of	
Area adjacent to Creston
Increase of connection charge
from $3 to $10
Mar.     8, 1946
Mar.    8, 1946.
Reduced rate to cemetery
July   22, 1946
July   15, 1946.
Waterworks Co., Ltd.
Kamloops Fruitland Irri
Rural  area  served  by  com
Increase of 50 per cent,  in
Feb.   23, 1946
Mar.    1, 1946.
gation and Power Co.,
pany near Kamloops
rates,    with    consent    of
Ltd.
users,   to   provide   funds
for  rehabilitation  of  system
Quesnel   Light   &   Water
Area adjacent to Quesnel	
Revision   to   eliminate   dis
May     1, 1946
May     1, 1946.
Co., Ltd.
crimination   affecting   six
customers
Trail, City of	
May     7, 1946
May     7, 1946.
from $5 to $15
Victoria, City of	
Area adjacent to Victoria....
Rules   established   to   state
conditions on which mains
will be extended
Mar. 21, 1946
Mar.  21, 1946.
Rules    established   to   state
Apr.  11, 1946
Apr.  11, 1946.
conditions on which mains
will be extended
(e)  Gas Systems.
British Columbia Electric
Victoria and Vancouver and
Suspension    of    gas    space-
Aug. 30, 1946
Aug.
30, 1946.
Power and Gas Co., Ltd.
district
heating    rates    for    eight
months   because   of   temporary   shortage   of   gas-
production capacity
Elimination  of  security  deposits    for    domestic    ac
Oct.   21, 1946
Oct.
1, 1946.
counts
Vancouver and district	
Elimination  of  security  deposits    for    domestic    accounts
Oct.     8, 1946
Oct.
1, 1946. H 22
BRITISH COLUMBIA.
Table 8
.—Rate Complaints, 1946.
Public Utility.
Complainant.
Date of
Complaint.
Particulars.
Disposition.
British Columbia Electric
Cato, J. L	
Jan.    5, 1946
Complaint that free bill
Free   billing   found   to   have
Railway Co., Ltd.
ing given in wrong
month
been given correctly.
Gregory, H. A	
Dec. 12, 1945
Refund of part of revenue deficit payment on
connection of new customers to extension
Company's tariff found to
have been properly applied.
Pearse, T..
Dec.    1, 1945
charge for water
fied, and adjustment made.
Okanagan Telephone Co....
O'Neill, J. A. W....
Oct.  14, 1946
Complaint as to overtiming on long-distance
calls
Investigation did not disclose
any defects in company's
methods.
Affleck, B	
Jan.    5, 1946
and Light Co., Ltd.
rates
made inadvertently on
general rate revision in
1945. Old rate reinstated
and adjustment made.
Tjibbes, T	
July 13, 1946
commercial    rate   for
domestic  rate and  adjust
bunk-house on farm at
ment of bill made.
Grand Forks
Table 9.—Applications by Public Utilities for Approval of Security Issues
and Mortgages received or decided in 1946.
Applicant.
Nature and Amount
of Issue.
Purpose.
Date of
Application.
Disposition.
British  Columbia Electric
750,000 Class A shares
Satisfaction of debts owing to
Oct.   24, 1946
Granted ; Nov.  12,
Power and Gas Co., Ltd.
and 750,000 Class B
shares
British   Columbia   Power
Corporation,   Ltd.,   in   connection with financial reorganization incidental to new
bond issue
1946.
British Columbia Electric
$33,000,000 of 3 ^-per
Refunding...:	
Oct. 24, 1946
Granted ; Nov.   12,
Power and Gas Co., Ltd.
cent, first mortgage
bonds
1946.
British  Columbia Electric
Extension of maturity
Maturity date made to coincide
Oct. 24, 1946
Granted;  Oct.    31,
Railway Co., Ltd.
date of  4-per-cent.
general    mortgage
bonds
with   that   of   other   bonds
for which British Columbia
Electric Railway Co.'s bonds
are held as security
1946.
Clinton  Power  and  Light
500   shares   of   par
Purchase   and   installation   of
Oct.    9, 1946
Granted;  Oct.    21,
Co., Ltd.
value of $50 each
electric    power    system    at
Clinton
1946.
Sea Bus Lines, Ltd	
10,000   shares   of  par
Acquisition    of   ferry   across
Apr. 24, 1946
Granted ; May 17,
value of $1 each
Howe Sound
1946.
White Rock Water Works
$30,000 of first mort
Additions to waterworks sys
Apr. 26, 1946
Granted; June 17,
Co., Ltd.
gage   4-per-cent.
bonds.
tem at White Rock
1946. REPORT OF PUBLIC UTILITIES COMMISSION, 1946.
H 23
Table 10.—Applications for Approval of Sales of Assets of Public Utility
Systems received or decided in 1946.
Applicant.
Transferee.
Property sold or
transferred.
Date of
Application.
Disposition.
Bridge  River  Power  Co.,
British Columbia Elec
Oct. 24, 1946
Nov.  12,
Ltd.
tric Power and Gas
Co., Ltd.
1946.
British Columbia Electric Power and Gas
Oct. 24, 1946
Granted
1946.
Nov.  12,
Co., Ltd.
Campbell River Hotel and
Willows Hotel Co., Ltd.
Waterworks system  at Camp
Oct.    8, 1946
Granted
Oct.    11,
Resort Co., Ltd.
bell River
1946.
June   5, 1946
July   24,
Smelting Co. of Canada,
works systems at Kimberley
1946.
Ltd.
Gordon, Stanley, estate of..
Village of Lake Cow
Waterworks   system   at   Lake
Nov.   1, 1946
Granted
Nov.  15,
ichan
Cowichan
1946.
Howe Sound Transport
Sea Bus Lines, Ltd	
Assets   connected   with   ferry
Apr. 24, 1946
Granted
May  17,
(Ballantine and Frith)
across Howe Sound
1946.
Nylen, Eric	
G. Miller	
Electric power system at Yale...
Oct.  11, 1946
Granted
1946.
Dec.   18,
Olson, Peter	
Village of Lake Cow
Waterworks   system   at   Lake
Nov.   2, 1946
Granted
Nov.  15,
ichan
Cowichan
1946.
District  of   Maple
Sept.  7, 1946
Sept. 12,
Ridge
Ridge Municipality
1946.
British Columbia Electric Power and Gas
Oct. 24, 1946
Granted
1946.
Nov.  12,
Co., Ltd.
Co., Ltd.
British Columbia Electric Power and Gas
Oct. 24, 1946
Granted
1946.
Nov.  12,
Co., Ltd.
British Columbia Electric Power and Gas
Oct. 24, 1946
Granted
1946.
Nov.  12,
Co., Ltd.
British Columbia Electric Power and Gas
Oct. 24, 1946
Granted
1946.
Nov.  12,
Canada, Ltd.
Co., Ltd.
West Kootenay Power and
The Consolidated Min
Corra   Linn,   Upper   Bonning-
July 11, 1946
Not    proceeded
Light Co., Ltd.
ing    and    Smelting
ton, and South Slocan power
with
by    appli-
Co. of Canada, Ltd.
plants
cant.
Table 11.—Comparative Statement
Act " and " Motor
of Revenue and Expenses (" Public Utilities
Carrier Act "), 1940 to 1946.
Revenue.
Expenses.
-
" Motor
Carrier
Act."
" Public
Utilities
Act."
1940      ....          	
$149,038.19
171,170.06
175,945.67
173,714.09
183,524.00
211,777.09
328,080.08
$69,229.50
67,952.13
68,956.02
63,274.33
70,555.02
78,002.08
111,984.66
$45,388.62
1941                    	
43,935.09
1942      ....           ,	
42,481.88
1943                        	
40,724.35
1944                                   	
44,613.41
1945                         	
47,649.45
1946                                     	
48,715.34
$1,392,249.18
$529,953.74
$313,508.14
Net revenue over expense, 1940 to 1946, $548,787.30.
VICTORIA, B.C. :
Printed by Don McDiarmid, Printer to the King's Most Excellent Majesty.
1947.
465-847-5175 

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