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The Alberta Utilities Commission (AUC) has the jurisdiction to regulate investor-owned water utilities, and can set their rates and terms and conditions of service. In setting rates, the AUC must maintain a balance between the interests of the water utility and its customers.
The AUC and its predecessor, the Alberta Energy and Utilities Board (EUB), have always responded to complaints regarding the rates, terms and conditions and service of investor-owned water utilities and established rates for certain water utilities when it has been necessary.
Establishing rates involves a full regulatory process which is often costly and difficult for small water utilities due to their small customer base and lack of staff and expertise required for a complex rate hearing. To make the rate application process easier for Alberta’s investor owned water utilities and their customers, the AUC approved Rule 011, Rate Application Process for Water Utilities on January 2nd, 2008. The Rule 011 process allows all parties of an application to use the expertise of AUC staff, reducing the need for outside consultants and legal counsel. The objective is to lessen the cost and expedite the rate approval process.
As part of the Rule 011, process, AUC Staff will hold a public information meeting for customers of the utility to explain the process. An opportunity will be given to customers to organize and if they desire, they can choose representatives to attend meetings on behalf of all customers. If a customer group is formed, staff will meet with the group to obtain information
AUC Staff will prepare a recommendation on the application and will present it in a meeting with both the utility and customer group. If acceptable to the utility and its customers, it will be filed as a Staff-facilitated agreement. If either the utility or the customer group does not agree with the recommendation, an objection may be filed with the Commission and further regulatory process may take place.
For further information please contact:
Cameron Taylor
(403) 592-4423
Cameron.Taylor@auc.ab.ca