Summary#
Bill 46 would replace New Brunswick’s Public Intervener for the Energy Sector with an Energy Sector Consumer Advocate and a new office. The office would assist residential consumers and small businesses with electricity, gas and petroleum-product issues. It would also represent these groups in hearings before the New Brunswick Energy and Utilities Board.
- The Advocate would receive and review consumer questions and complaints.
- The Advocate could try to resolve complaints with regulated companies, including New Brunswick Power.
- The Advocate could refer unresolved complaints to the Energy and Utilities Board.
- The Advocate would be required to take part in major Board proceedings involving electricity, gas, petroleum products and pipelines.
- The Advocate could present evidence, question witnesses and make arguments on behalf of residential consumers and small businesses.
- The bill would create rules for the office’s budget, audits, annual reports and confidentiality.
The source provides the original bill as tabled at first reading. It does not identify any adopted amendments.
What it means for you#
- Residential consumers: You could ask the Consumer Advocate for help with certain complaints about electricity, gas or petroleum products. The Advocate could act as an intermediary or refer the matter to the Board.
- Small businesses: Small businesses, as defined later by regulation, would receive similar assistance and representation.
- Consumers in general: The office would provide information and promote public understanding of energy issues. The bill does not guarantee that every complaint would be investigated.
- Complaints: The Advocate could refuse to examine a complaint if it is outside the office’s authority, already has another available remedy, is considered frivolous or not made in good faith, or is not considered in the public interest.
- Review of refusals: A decision not to examine or refer a complaint would be final under the bill and could not be challenged or reviewed in court.
- Energy companies and utilities: The office could take part in Board hearings affecting regulated entities, including electricity, gas and petroleum-product businesses. The Advocate would represent consumer groups in general proceedings, rather than individual customers in those proceedings.
- Government: The Lieutenant-Governor in Council would appoint the Advocate, approve the Advocate’s pay and benefits, and have power to require the Advocate to take part in additional Board proceedings.
- Timing: Most provisions would start on dates set by proclamation. The budget and cost-assessment provisions would start when the bill receives Royal Assent.
Expenses#
The bill creates a new office and may increase costs collected through assessments on regulated utilities and other entities. No dollar estimate is provided.
- Public cost: The bill requires funding for the Advocate’s salary, benefits, staff, consultants, witnesses, audits and other operating expenses. No publicly available information.
- Industry assessments: The Energy and Utilities Board would collect the office’s approved operating expenses and certain proceeding-related costs. These amounts would be assessed as common or direct expenses under the Board’s existing cost system.
- Petroleum-product levy: Costs from certain Board reviews of petroleum-product pricing would be paid from an existing levy collected under the Petroleum Products Pricing Act.
- Possible effect on customers: The bill does not state whether regulated entities would pass these assessments on to customers through rates or prices.
- Over- and under-collection: Surpluses would reduce the next year’s budget. If funding is insufficient, the Advocate could seek approval for an additional budget.
- Businesses and utilities: Regulated entities may face costs related to the office’s general operations and to proceedings in which direct expenses are incurred.
Proponents' View#
No supporter statements or official explanatory summary were supplied. Based on the bill’s design, possible arguments in favour include:
- The office could give residential consumers and small businesses a dedicated source of help with energy complaints.
- Representation by a specialized legal office could give consumers a stronger role in complex Board proceedings.
- The office could try to resolve complaints before referring them to a formal hearing.
- Required participation in major energy proceedings could ensure that consumer interests are considered when rates, services or energy rules are reviewed.
- Public information and energy-literacy work could help people better understand energy prices and distribution systems.
- Audits and annual reports could provide financial and activity information about the office.
Opponents' View#
No critic statements were supplied. Possible concerns based on the bill’s design include:
- The bill does not provide a cost estimate, so the financial effect on regulated businesses, utilities and possibly customers is unclear.
- The Minister may change the Advocate’s proposed budget before approval. This may raise questions about the office’s independence.
- The Advocate is appointed by the Lieutenant-Governor in Council, and the appointment may be revoked for cause. The bill does not set out a detailed process for deciding what qualifies as cause.
- The Advocate may refuse complaints for several reasons, and those decisions cannot be reviewed by a court. This limits a consumer’s ability to challenge a refusal.
- The meaning of “residential consumer” and “small business” would be set by future regulations. The bill does not yet show who would qualify.
- The bill gives the government power to require the Advocate to intervene in proceedings. It is unclear how this power would interact with the Advocate’s independence.
- The bill gives the office authority to hire staff and contract for professional services, but the number of employees, pay levels and detailed operating rules may be set later or are not provided.