Basic Services

Services necessary for the physical delivery of electric service, including generation, transmission and distribution. Transition charges, although temporary in scope, are basic service charges. (See definition of transition charges).

Back to Top

Commodity

A product for sale. In our literature, we are referring to Natural Gas or Electricity.

Back to Top

Distribution

The local wires, transformers, substations and equipment (facilities) used to deliver electricity from substations to customers. The distribution system "steps down" power from high-voltage transmission lines to a level that can be used in homes and businesses.

Back to Top

Distribution Charges

Basic service charges for delivering electricity from the transmission system over a distribution system to a customer's home or business.

Back to Top

Electric Generation Supplier (EGS)

A firm or company that sells to end-use customers electricity or related services using the transmission or distribution facilities of an electric distribution company.

Back to Top

Electricity Providers

The term refers collectively to the LDC, EGS, electricity supplier, marketer, aggregator and/or broker, as well as any third party acting on behalf of these entities.

Back to Top

Energy Service Company (ESCO)

A business that installs energy efficient and other demand side management measures in facilities, typically with no up front costs, and are paid based on quantified savings from utilities or end-users.

Back to Top

Firm Power

Power or power producing capacity intended to be available at all times during the period covered by a guaranteed commitment to deliver, even under adverse conditions.

Back to Top

Generation

A process which produces electricity.

Back to Top

Grid

A system of power lines and generators that are coordinated to provide electricity to customers at various points.

Back to Top

Interruptible Load

Refers to program activities that, in accordance with contractual arrangements, can interrupt consumer load at times of seasonal peak load by direct control of the utility system operator or by action of the consumer at the direct request of the system operator. It usually involves commercial and industrial consumers.

Back to Top

Kilowatt (KW)

A measure of electric energy equal to 1,000 watts. Put another way, it's the amount of electric energy required to light ten 100-watt light bulbs.

Back to Top

Kilowatt-Hour (kWh)

A measure of electricity consumption equivalent to the use of 1,000 watts of power over a period of one hour. Ten 100-watt light bulbs burning for one hour would consume one kilowatt-hour of electricity.

Back to Top

Load Forecast

An estimate of the level of future energy needs.

Back to Top

Local Distribution Company (LDC)

The utility company that provides the distribution, customer and energy services for natural gas and electricity.

Back to Top

Load Profiling

The study of consumption habits of consumers to estimate the amount of power they use at various times of the day and for which they are billed. Load profiling is an alternative to precise metering.

Back to Top

Market-Based Rates

Rates for electric power that are established in an unregulated, competitive market through competitive bidding or through negotiations between the buyer and seller, rather than set by a regulator.

Back to Top

Marketer or Broker

An entity, licensed by the Ontario Energy Board, that acts as an agent or intermediary in the sale and purchase of electric energy and does not take title to the electric energy.

Back to Top

Native Load Customers

It is the term used to make a distinction between these customers and customers outside the normal service territory to which a utility might sell power. These customer are the existing customers of a utility who are located within the utility's service territory and who have paid for the utility's system through their rates under traditional regulation.

Back to Top

Non-Firm Power

Power or power producing capacity supplied having limited or no assured availability.

Back to Top

Off-Peak

A period of time when there is a low demand for electricity on a utility's generation system.

Back to Top

Renewable Resource

An alternate energy source to oil, gas or coal used to produce electricity.

Back to Top

Retail Customers

Customers, including residences and businesses, who consume the electricity they purchase.

Back to Top

Spot Market Price

Slang used in referring to Standard Supply Service.

Back to Top

Standard Supply Service

The purchase of electricity from your local utility at a price that reflects the variable rate for electricity on the wholesale electricity market. Under Standard Supply Service you will be billed this changing rate for electricity, or your local utility may smooth out your bills by charging a reference price.

Back to Top

Stranded Costs

Costs incurred by utilities to serve their customers with the understanding that they would be recovered through electric rates. These costs become stranded, when customers leave their present utility for another supplier, and no longer pay their share of these costs - which are not yet fully recovered and are built into the utility's rate structure.

Back to Top

Tariff

A document that lists the rates, terms and conditions of a utility's services that a regulated utility files with its public utilities commission for official approval.

Back to Top

Transmission Charges

Basic service charges for the cost of transporting electricity over high voltage wires from the generator to the distribution system of an LDC.

Back to Top

Unbundling

In a regulated environment, the generation, transmission and distribution of electric power to the customer is provided as a single package. In unbundling, these services are separated into individually priced components.

Back to Top

Watt

The unit of power measurement for electricity.

Back to Top

Natural Gas Terms

Affiliated Gas Users

An Applicant for distribution services which is related to other Gas Users through the ownership of shares to which are attached more than fifty percent of the voting rights attached to all outstanding securities of each Gas User.

Back to Top

Annual Contract Demand (ACD)

The volume of gas obtained by summing the Contract Demand applicable on each day of a contract year.

Back to Top

Annual Turnover Volume (ATV)

The sum of the contracted volumes injected into and withdrawn from storage by an applicant within a contract year.

Back to Top

Annual Volume Deficiency

The difference between the Annual Minimum Volume and the volume actually taken in a contract year, if such volume is less than the Annual Minimum Volume.

Back to Top

Applicant

The party who makes application to the Company for one or more of the services of the Company and such term includes any party receiving one or more of the services of the Company.

Back to Top

Authorized Volume

The Contract Demand, less, in respect to a T-Service arrangement under the Large Volume Service Rates, the amount by which the Applicant's Mean Daily Volume exceeds the volume of gas delivered to the Company (the "Daily Delivered Volume"), plus two percent (2%) and less the volume by which the Applicant has been ordered to curtail or discontinue the use of gas.

Back to Top

Backstopping

A service whereby alternative supplies of gas may be available in the event that an Applicant's supply of gas is not available for delivery to the Company.

Back to Top

Billing Month

A period of approximately thirty (30) days following which the Company renders a bill to an applicant. The billing month is determined by the Company's monthly Reading and Billing Schedule such that there are four (4) winter and eight (8) summer billing months per year.

Back to Top

Board

Ontario Energy Board.

Back to Top

Bundled Service

A service in which the demand for natural gas at a Terminal Location is met by the Company utilizing whatever resources or combination of resources (pipeline capacity, load balancing, etc.) are available to the Company.

Back to Top

Buy/Sell Arrangement

An arrangement, the terms of which are provided for in one or more agreements to which one or more of an end user of gas (being a party that buys from the Company gas delivered to a Terminal Location), an affiliate of an end user and a marketer, broker or agent of an end user is a party and the Company is a party, and pursuant to which the Company agrees to buy from the end user or its affiliate a supply of gas and to sell to the end user gas delivered to a Terminal Location served from the gas distribution network.

Back to Top

Buy/Sell Price

A price specified in the Company's Rate Schedules which the Company will pay for each cubic metre of gas, based on a specified energy content, purchased pursuant to a Buy/Sell Arrangement in which the purchase takes place in Ontario.

Back to Top

Commodity Charge

A charge per unit volume of gas actually taken by the Applicant, as distinguished from a demand charge which is based on the maximum daily volume an Applicant has the right to take.

Back to Top

Contract Demand

A contractually specified volume of gas applicable to service under a particular Rate Schedule which is the maximum volume of gas the Company is required to deliver to an Applicant on a daily basis under a Service Contract.

Back to Top

Cubic Metre (m3)

That volume of gas which at a temperature of 15 degrees Celsius and at an absolute pressure of 101.325 kilopascals (kPa) occupies one cubic metre (10³m³) means 1,000 cubic metres.

Back to Top

Curtailment

An interruption in an Applicant's gas supply at a Terminal Location resulting from compliance with a request or an order by the Company to discontinue or curtail the use of gas.

Back to Top

Curtailment Delivered Supply

An additional volume of gas, in excess of the Applicant's MDV and determined by mutual agreement between the Applicant and the Company, which is Nominated and delivered by or on behalf of the Applicant to a point of interconnection with the Company's distribution system on a day of Curtailment.

Back to Top

Customer Charge

A monthly fixed charge that reflects being connected to the gas distribution system and is not related to volume consumed.

Back to Top

Daily Capacity Repurchase Quantity

A contractually agreed upon quantity representing an estimate of the Applicant's average daily gas usage during the five highest demand days during a year.

Back to Top

Daily Delivered Volume

The volume of gas recognized by the Company as having been delivered by an Applicant to the Company on a day. This volume will be the sum of:
a. the volume of gas delivered under Intra-Alberta transportation arrangements, if any, plus;
b. the volume of gas delivered under FT transportation arrangements, if any, plus;
c. the FST portion, if any, of an Applicant's Mean Daily Volume, multiplied by the ratio of the Applicant's actual deliveries under FST transportation arrangements to the Applicant's pro rata share of the total FST volume tendered to the Company by TCPL on that day.

Back to Top

Daily Gas Quantity

The volume of natural gas taken on a day at a Terminal Location as measured by daily metering equipment or, where the Company does not own and maintain daily metering equipment at a Terminal Location, the volume of gas taken within a billing period divided by the number of days in the billing period.

Back to Top

Delivery Charge

A component of the rate schedule through which the Company recovers its operating 
costs.

Back to Top

Demand Charge

A fixed monthly charge which is applied to the Contract Demand specified in a Service Contract. It represents the charges for reserved capacity in the distribution system.

Back to Top

Demand Overrun

The amount of gas taken at a Terminal Location exceeding the Contract Demand.

Back to Top

Direct Purchase

Natural gas supply purchase arrangements transacted directly between two or more parties, who are producers, brokers, or agents or end users, at negotiated prices.

Back to Top

Disconnect and Reconnect Charges

The charges levied by the Company for disconnecting or reconnecting an Applicant from or to the Company's distribution system.

Back to Top

Diversion

Delivery of gas on a day to a delivery point different from the normal delivery point specified in a Service Contract.

Back to Top

Firm Service

A service for a continuous supply of gas without curtailment, except under extraordinary circumstances.

Back to Top

Firm Service Tendered (FST)

A transportation service offered by TransCanada PipeLines Limited (TCPL) for the transport of gas volumes from Western Canada to Ontario. This service provides for firm transportation of a total annual volume, but daily and seasonal transportation may vary at the discretion of TCPL. This service may be available to be used by Applicants in conjunction with Ontario Buy/Sell and Ontario T-service arrangements, or by the Company in conjunction with Western Buy/Sell or T-service arrangements.

Back to Top

Firm Transportation (FT)

Firm Transportation service offered by TCPL for the transport of gas volumes from Western Canada to Ontario. This service may be available to be used by Applicants in conjunction with Ontario Buy/Sell and Ontario T-service arrangements, or by the Company in conjunction with Western Buy/Sell or T-service arrangements.

Back to Top

Force Majeure

A contract clause intended to excuse one or more parties from their obligations under a contract, in situations where performance is frustrated by unusual or severe circumstances beyond their control such as flood, fire, war, or prolonged labour strike.

Back to Top

Gas

Natural Gas.

Back to Top

Gas Purchase Agreement

A written agreement pursuant to which the Company agrees to purchase gas from an Applicant as part of a Buy/Sell Arrangement.

Back to Top

Gas Distribution Network

The physical facilities owned by the Company and utilized to contain, move and measure natural gas.

Back to Top

Gas Supply Charge

A charge for the gas commodity purchased by the applicant.

Back to Top

Gas Supply Load Balancing Charge

A charge in the rate schedules where the Company recovers the cost of transportation of gas.

Back to Top

General Service Rates

The Rate Schedules applicable to those Bundled Services for which a specific contract between the Company and the Applicant is not generally required. The General Service Rates include Rates 1, 6, and 9 of the Company.

Back to Top

Gigajoule (GJ)

See Joule.

Back to Top

Imperial Conversion Factors

Back to Top

Interruptible Service>

Gas service which is subject to curtailment for either capacity and/or supply reasons, at the option of the Company.

Back to Top

Intra-Alberta Service

Firm transportation service on the Nova pipeline system under which volumes are delivered to an Intra-Alberta point of acceptance.

Back to Top

Joule (J)

The amount of work done when the point of application of a force of one newton is displaced a distance of one metre in the direction of the force. One megajoule (MJ) means 1,000,000 joules; one gigajoule (GJ) means 1,000,000,000 joules.

Back to Top

Large Volume Service Rates

The Rate Schedules applicable for Bundled Service exceeding 340,000 cubic metres of gas per year and for which a specific contract between the Company and the Applicant is required. The Large Volume Service Rates include Rates 100, 110, 115, 135, 145, 170, and 200.

Back to Top

Load-Balancing

The balancing of the gas supply to meet demand. Storage and other peak supply sources, curtailment of interruptible services, and diversions from one delivery point to another may be used by the Company.

Back to Top

Make-up Volume

A volume of gas nominated and delivered, pursuant to mutually agreed arrangements, by an Applicant to the Company for the purpose of reducing or eliminating a net debit balance in the Applicant's Banked Gas Account.

Back to Top

Mean Daily Volume

The volume of gas which an Applicant who delivers gas to the Company, under a Buy/Sell or Bundled T-Service arrangement, agrees to deliver to the Company each day in the term of the arrangement. The Mean Daily Volume may be composed of volumes transported under Intra-Alberta, and/or FT, and/or FST transportation arrangements.

Back to Top

Metric Conversion Factors

Back to Top

Natural Gas

Natural and/or residue gas comprised primarily of methane.

Back to Top

Nominated Volume

The volume of gas which an Applicant has advised the Company it will deliver to the Company in a day.

Back to Top

Nominate, Nomination

The procedure of advising the Company of the volume which the Applicant will be delivering on a daily basis to the Company.

Back to Top

Nominations

Statements by Applicants of the volume of gas they expect to deliver to the Company in a day.

Back to Top

Ontario Energy Board

An agency of the Ontario Government which, amongst other things, approves the Company's terms and conditions as well as its Rate Schedules.

Back to Top

Overrun Gas

That amount of gas taken at a Terminal Location exceeding the Authorized Volume.

Back to Top

Point of Acceptance

The point at which the Company accepts delivery of a supply of natural gas for transportation to, or purchase from, the Applicant.

Back to Top

Rate Schedule

A numbered rate of the Company as fixed or approved by the Board and in effect from time to time.

Back to Top

Removal Permit

A permit issued by a producing Province and authorized by the Government of such Province that allows the removal of gas from the Province.

Back to Top

Required Orders

Such orders or other evidence of authorization necessary to carry into effect a Direct Purchase arrangement.

Back to Top

Sales Service

A service of the Company in which the Company acquires and sells to the Applicant the Applicant's natural gas requirements.

Back to Top

Service Contract

An agreement between the Company and the Applicant which describes the responsibilities of each party in respect to the arrangements for the Company to provide Sales Service or Transportation Service to one or more Terminal Locations.

Back to Top

Supply Overrun

Overrun gas where the Authorized Volume is less than or equal to the Contract Demand.

Back to Top

T-Service

Transportation Service.

Back to Top

Terminal Location

The building or other facility of the Applicant at or in which natural gas will be used by the Applicant.

Back to Top

Transportation Service

A service in which the Company does not own the gas to be delivered to an Applicant at a Terminal Location.

Back to Top

Unbundled Service

A service in which the demand for natural gas at a Terminal Location is met by the level of separate services (transportation, load balancing/storage) contracted to be available to the Applicant.

Back to Top

Western Canada Buy Price

The price per cubic metre which the Company would pay for gas (with a heating value of 37.80 megajoules/cubic metre) under its Gas Purchase Agreements which provide for the purchase of gas from a customer who delivers gas to the Company in Western Canada and where such deliveries are effected at the interconnection (at or nearest to Burstall, Saskatchewan) of the facilities of NOVA Corporation of Alberta and TransCanada PipeLines Limited.

Back to Top