AI-generated summary
· Application · 05/16/2025
Nova Scotia Power filed an Authorization to Overspend application for the Tufts Cove Unit 2 HP/IP Turbine Refurbishment, seeking approval for $1,700,251 in cost overruns above the originally approved $4,264,777 budget.
AI summary
- Nova Scotia Power Incorporated submitted CI C0051136 on May 16, 2025, requesting an Capital Expenditures Authorization to Overspend (ATO) bringing the total project cost to $5,965,028, up from the 2024 ACE Plan-approved budget of $4,264,777 (a 39.9% overrun).
- The primary driver of the $1,700,251 variance was unforeseen inspection findings after disassembly of the HP/IP turbine: failed welds on IP rotor shroud bands (stages 12–15) required a specialized blade team at ~$250K additional cost, and #4 gland rubbing issues caused high vibrations requiring a second full disassembly and rotor rebalancing at approximately $1.4M in additional costs.
- Contract costs with vendor Siemens increased by $1,036,992 over budget, driven by four extra work authorizations (EWA#1 weld refurbishment $140K, EWA#3 machine dynamics $44K, EWA#8 gland rub $705K, EWA#9 low-speed balance $95K) plus extended outage support, scaffolding, and machining; overtime labour also escalated by $283,183 due to 24-hour shift work over the holiday period to minimize unit downtime.
- The project is justified under Asset Management criteria — the TUC2 steam turbine had accumulated over 280,000 operating hours and 2,780 start/stop cycles, with the last major HP/IP inspection occurring in 2012; NS Power characterized the planned refurbishment approach as more cost-effective than full turbine replacement.
- The ATO filing was part of a broader First Quarter 2025 capital submission that also included two Subsequent Approval items, four Unforeseen & Unbudgeted items, and Q1 2025 2025 Ace Plan capital reports (Reports 1–4), with partial confidentiality requested for three other CIs on commercial and system security grounds.
Disclaimer: This summary was generated by AI from the filings it describes. We take care to make it accurate, but errors are possible - and it isn't advice. Only the filings themselves are the record: if you're relying on something here, confirm it against the source documents or the Nova Scotia Energy Board's own record. Full disclaimer →
What was filed
Documents filed on this day
- N-1 CI Work Order
- 97684 Letter NSPI re: First Quarter 2025 Capital Items and Reports
- 97696 2025 Q1 Capital Report - Excel