1. Who is Terasen Gas?

2. Are all customers in BC eligible for Customer Choice?

3. Why do I now have a choice?

Your Bill

4. Will I still receive a bill from Terasen Gas?

5. What are the main charges on my bill?

Your Natural Gas Plan

6. What if I move?

7. If I sign a plan prior to October 2007, when will I begin to receive natural gas from Direct Energy?

8. If I sign a plan after October 2007, when will I begin to receive natural gas from Direct Energy?

9. Who has authority to sign up for a natural gas plan with Direct Energy?

10. Can I cancel my plan?

11. What happens to my service if I cancel my plan?

12. Does Direct Energy also sell to business or commercial customers?

Natural Gas Market Trends

13. What determines the price of natural gas?

14. Have natural gas prices been volatile in the past few years?

Terasen Gas is the utility and the regulated provider of natural gas in a large portion of British Columbia. If you do not choose to sign an energy plan with a natural gas marketer, your gas will be provided by Terasen Gas by default.

No. Only Terasen Gas customers in the Lower Mainland, Fraser Valley, Interior and Kootenays (excluding Fort Nelson and Revelstoke) are eligible for Customer Choice.

Customer Choice was developed in response to two factors:

• Requests from customers that they be able to choose how and from who they purchase their natural gas
• The provincial government’s energy policy released in 2002

Commercial customers have been participating in the program since 2004. In August 2006, the British Columbia Utilities Commission (BCUC) approved the opening of a portion of the province’s residential natural gas market to competition.

Yes. When you sign a plan to purchase natural gas from Direct Energy, your billing will continue to be done by Terasen Gas. Your bill will separately list Terasen Gas’ delivery charges, midstream charges and the commodity charge you have secured through Direct Energy.

The delivery charge is what Terasen Gas charges to deliver natural gas to your home, maintain the pipes and meters, and respond to gas emergencies. This includes the basic charge. The midstream charge is set by Terasen Gas and covers the costs they incur for the storage, transportation and management of natural gas on behalf of the customer. This charge is not new, as it was formerly included as part of the commodity charge. The commodity charge is the Direct Energy rate you have secured per gigajoule for natural gas.

If you move to another location within Terasen Gas’ service territory, your natural gas plan will move with you, ensuring your price will still be protected from the volatile natural gas market.

If you sign with Direct Energy prior to October 2007, you will begin to receive your natural gas from Direct Energy on November 1, 2007.

If you sign with Direct Energy after October 2007, you will begin to receive your natural gas approximately 60 days later. This timing is determined and set by Terasan Gas.

The account holder, spouse or legal guardian of the account holder has the authority to enter into a natural gas plan.

You have 10 calendar days from the date of the confirmation letter you receive from Terasen Gas to cancel your plan without penalty. After this date, you may still cancel your plan; however, a $100 administration fee will be assessed. In order to cancel, you must provide written notice to the address at the top of your natural gas plan. We recommend fax, e-mail or personal delivery.

You are able to cancel your plan at any time without penalty or disruption to your service. Once you cancel your natural gas plan with Direct Energy, your natural gas service will be returned to Terasen Gas on the next anniversary date of your plan. We cannot immediately return your natural gas service to Terasen Gas due to the operational structure of the Customer Choice program.

Yes. Direct Energy has been actively selling to commercial customers in BC since 2004. If you have a business and are interested in a natural gas plan, please call 1-888-827-9811.

Natural gas is a commodity traded on the open market like other commodities such as oil, coffee or lumber. As with most commodities, the price is dictated by supply and demand. When demand is high, the price rises. When supply is high, the price drops. There are several factors that influence natural gas pricing:

• The weather
• The economy
• Production and transportation costs
• International events

Natural gas prices in BC have increased 22% since April 2004. Prices may fluctuate in the short term, but many experts predict that prices will continue to increase in the long term. When you sign a natural gas price protection plan with Direct Energy, you can avoid this volatility and feel secure in knowing your price will never increase.