British Columbia Utilities Commission

The cost of gas includes the Core Market Administration Expense (CMAE) required to manage FortisBC Energy Inc.’s (FEI) and FortisBC Energy (Vancouver Island) Inc.’s (FEVI) natural gas and propane supply functions. These management activities are carried out by FEI’s Gas Supply group, which is an area within the Energy Supply and Resource Development department. The gas supply function encompasses most elements of the gas supply procurement function including planning, contracting and daily management and acquisition of gas supply resources, ensuring that there are reliable, secure and cost effective supplies of gas for core customers.