BCUC Issues Final Report on the Regulation of Hydrogen Energy Services
In November 2022, the BCUC established the Hydrogen Inquiry to examine its role in regulating hydrogen as an energy resource, following the release of the BC government’s BC Hydrogen Strategy and the emergence of hydrogen energy services throughout the province.
VANCOUVER, British Columbia, Nov. 23, 2023 (GLOBE NEWSWIRE) -- Today, the British Columbia Utilities Commission (BCUC) issued its Final Report with key findings and recommendations to the BC government, for its Inquiry into the Regulation of Hydrogen Energy Services (Hydrogen Inquiry).
In November 2022, the BCUC established the Hydrogen Inquiry to examine its role in regulating hydrogen as an energy resource, following the release of the BC government’s BC Hydrogen Strategy and the emergence of hydrogen energy services throughout the province.
The Hydrogen Inquiry gathered information about hydrogen energy services in BC, determined whether providing hydrogen energy service falls under the definition of a public utility in the Utilities Commission Act (UCA), and determined a suitable scope for efficient and effective BCUC regulation of hydrogen energy services.
The BCUC’s Final Report included the following key findings:
| Definition of a Public Utility | A person who provides hydrogen energy services for compensation falls under the definition of public utility in the UCA. |
| Proposed Exemptions | The following activities should be exempt from active BCUC regulation:
The proposed exemptions should only be extended to entities, which are not otherwise public utilities. |
| Registration with the BCUC | Entities that provide hydrogen energy services must register with the BCUC in order to be eligible for any relevant exemptions. |
The BCUC will seek advance approval for these exemptions from the Minister of Energy, Mines and Low Carbon Innovation.
To learn more about the BCUC’s Hydrogen Inquiry, visit the proceeding webpage on bcuc.com or read the Final Report here.
Background
On January 20, 2023, the BCUC led a workshop to provide industry stakeholders and other parties with the opportunity to make submissions on the hydrogen energy service industry. On April 26, 2023, the BCUC issued a Draft Report and recommendations for its Hydrogen Inquiry.
The Hydrogen Inquiry Final Report was prepared following the January workshop, taking into consideration written submissions from parties involved in the hydrogen energy industry and feedback received on the Hydrogen Inquiry Draft Report.
BC’s hydrogen energy services industry is in its early stages of development with a variety of evolving business models and services. While hydrogen has multiple uses, some of these uses fall within the definition of a public utility in the UCA and, therefore, these activities would be regulated by the BCUC. However, where it can be established that there is a competitive market, the BCUC has proposed exemptions from price regulation, in alignment with the principles established in the BCUC’s Inquiry into Alternative Energy Solutions Final Report.
About the BCUC
The BCUC is an independent regulatory body, responsible for regulating BC’s energy utilities, basic automobile insurance rates, and intra-provincial pipeline rates. It is the BCUC’s role to balance the interests of ratepayers with the interests of the businesses it regulates. The BCUC carries out fair and transparent reviews of matters within its jurisdiction and considers public input where public interest is impacted. The BCUC is also the Administrator of BC’s Fuel Price Transparency Act and is responsible for collecting and publishing information about gasoline and diesel activities in BC, in an effort to promote competitiveness and public confidence in the fuel market.
CONTACT INFORMATION
Krissy Van Loon
Manager, Communications
Phone: 604.660.4727
Email: [email protected]
