Topic:"Accounting Standards" in M12743

2.1.3 Amortization Accounting - The CA also raises concerns regarding NS Power's accounting treatment of assets associated with - prior PAM projects being replaced by the current IAM initiative. Specifically, the CA submits that - NS Power...

AI summary The CA raises concerns about NS Power's accounting treatment of assets from prior PAM projects being replaced by the IAM initiative, noting that unamortized balances were not addressed. The 2026–2027 GRA introduced amortization accounting, which recovers an asset's cost over its service life and retires it upon full amortization, differing from traditional pooled depreciation. Assets from CIs 49094 and C0054455 will continue to depreciate under their approved amortization periods.

any components of existing systems can continue to provide value and whether assets not yet fully depreciated should now be considered no longer used and useful. [19](#page-13-0) The assets created by CI C0068714 will replace those associa...

AI summary The text discusses the replacement of an outdated on-premises PAM system with a modern cloud-based solution, highlighting the end of life for the legacy system and the infeasibility of reusing its components due to security and integration risks. It also mentions how prior PAM assets will continue to be amortized under the 2026–2027 GRA framework.