Topic:"Capital Expenditures" in M03589

An Emera Company UARB APPROVAL SHEET Project Title: U&U Load d Control Demonstr ation Cl Number: 40103 Capital Project A Authorization Head Office Use: ATO Project Number: Final Cost Date: October 1, 2010 Location: Division: _ Expenditure...

AI summary The document outlines the U&U Load Control Demonstration Project, including its capital contribution, budget estimates, and project timeline. The project was submitted under section 35 and involves Nova Scotia Power Inc. and the Nova Scotia Utility and Review Board.

Capital Item Justification Parent CI Number Justification Criteria: Metering Equipment Sub-Criteria: Name of Report : Document Location:

AI summary This section outlines the capital item justification process, specifically focusing on metering equipment. It includes fields for parent CI number, justification criteria, sub-criteria, report name, and document location.

Executive Summary NSPI is facing substantial challenges with respect to environmental regulation in the form of renewable energy targets and emissions constraints. To date, wind generation has been identified as a significant contributor t...

AI summary NSPI is seeking UARB approval for a $4.3M capital work order to participate in a load control demonstration project aimed at integrating wind energy through smart grid technology. The project, part of the Powershift Atlantic initiative, involves multiple Maritime utilities and is funded by a consortium and NRCAN. The goal is to enable cost-effective wind integration and reduce emissions.

Table 2 NSPI Project Cost Summary (Thousands of dollars) 2010 2011 2012 2013 2014 Total Labour $ 75 $ 325 $ 325 $ 325 $ 88 $ 1,138 OT $ 50 $ 50 $ 100 Travel $ 3 $ 48 $ 60 $ 60 $ 15 $ 186 Materials $ 250 $ 750 $ 750 $ 800 $ 250 $ 2,800 Cont...

AI summary Table 2 provides a detailed breakdown of the NSPI Project cost summary from 2010 to 2014, including expenses such as labour, materials, consulting, and interest. The table also includes contributions and a contingency fund. Appendix 1 outlines the Participation Agreement.

Table 2 "Common Costs" and "Other Utility Costs" Project Component Common Other Service Total Service Costs Costs ($Millions) ($Millions) ($Millions) Project Management 3.25 3.25 Legacy Project 0.424 - 0.424 Management Contribution Busines...

AI summary Table 2 outlines the 'Common Costs' and 'Other Utility Costs' associated with a project, categorizing expenses such as project management, customer engagement, technology development, and load control installation. Table 3 provides a breakdown of these costs for specific utilities based on the project scope.

REDACTED 1 Request IR-3: 12 contributions of $5.7 million, plus a $700,000 contingency. 13 14 The discrepancy between the contribution of $5.7 million and the funding arrangements is due 15 to rounding to the nearest hundred thousand. The...

AI summary The text discusses a regulatory proceeding involving a capital expenditure of $5.7 million, with a $700,000 contingency, and questions about the classification of the expenditure as capital rather than research and development. The response explains that the investment provides long-term infrastructure benefits and aligns with accounting policies. Further requests seek details on funding sources and contingency inclusion in the $32.1 million estimate.

NON-CONFIDENTIAL 1 Response IR-6: (cont'd) 2 - 3 (f) The $700,000 contingency is shown on page 3 of 4 of the work order application, under

AI summary The text references a contingency amount of $700,000 listed on page 3 of 4 of a work order application, indicating a financial consideration in a regulatory proceeding.

NON-CONFIDENTIAL 1 Response IR-14: (cont'd) 2 3 (c) The original project proposal to NRCAN stated 750 customers would participate. 4 Through the NRCAN application process it was determined that industrial customers 5 would not form part of...

AI summary NSPI adjusted its project scope after NRCAN's input, shifting from industrial to residential and commercial customers, with updated participation targets of 1500 residential and 150 commercial. Customer composition affects infrastructure costs, such as meters and telecom expenses.

1 Request IR-16: 2 3 Reference Page 70 of 151, "go/no go" decision points 4 5 (a) Please provide an update on the "go/no go" decision points for this project. 6 7 (b) Please indicate points and/or reasons for NSPI exiting the project and i...

AI summary The response to Request IR-16 outlines key decision points for a project, including regulatory approval deadlines and funding requirements. NSPI would exit the project due to unsecured funding, which is classified as an economic reason. Only 2.7% of the capital work order would have been expended at that point. In response to IR-17, NSPI explains that the project's innovative nature is driven by specific local conditions in Nova Scotia, such as renewable energy targets and grid limitations.

s from NSPl's response to IR-12 that the focus of the project is to control and shift "the load requirements of customers" (residential and commercial) to match "the intermittency of wind generation", NSPI has explained that this capital e...

AI summary The Board has approved a $4,293,793 capital expenditure by NSPI for a project aimed at controlling and shifting customer load to match wind generation intermittency. The project includes infrastructure for load control testing and is considered innovative. The Board requests NSPI to report on project progress and any changes in involvement.

NOVA SCOTIA UTILITY AND REVIEW BOARD IN THE MATTER OF: THE PUBLIC UTILITIES ACT - and- IN THE MATTER OF: AN APPLICATION by Nova Scotia Power Incorporated ("NSPI") for approval of an unknown and unforeseen ("U&U") capital work order CI# 401...

AI summary Nova Scotia Power Incorporated has applied for approval of an unknown and unforeseen capital work order for a Load Control Demonstration Project costing approximately $4.3 million. The application is under review by the Nova Scotia Utility and Review Board, with responses due by November 12, 2010.

Request IR-5: - Why is this a capital expenditure and not research and development at shareholders' expense? - What benefit is there to the ratepayers?

AI summary The document raises two questions regarding a capital expenditure: why it is classified as such rather than research and development funded by shareholders, and what benefits ratepayers will receive from this expenditure.

Request IR-16: - Reference Page 70 of 151, "go/no go" decision points - a. Please provide an update on the "go/no go" decision points for this project. Document #: 183378 Date Filed: Nov. 2/10 Page 4 of6 - b. Please indicate points and/or...

AI summary The text contains a series of requests (IR-16 to IR-21) related to a project, including inquiries about decision points, reasons for exiting the project, innovative aspects, funding appropriation, financial discrepancies, cost inclusion of oversight and management expenses, and explanations of cost and formula details.

s from NSPl's response to IR-12 that the focus of the project is to control and shift "the load requirements of customers" (residential and commercial) to match "the intermittency of wind generation", NSPI has explained that this capital e...

AI summary NSPI's project aims to control and shift customer load to match wind generation intermittency. The Board has approved the project's cost of $4,293,793, finding it reasonable and justified. The project is described as innovative, and the Board requests NSPI to report on its progress and any changes in involvement.

e or continuation of NSPl's participation/ have resulted in a change in NSPl's involvement. NS Power's response to IR-~6 regarding this work order/ submitted to the UARB on November ~2/ 20~0/ stated: Key decision points for the continuatio...

AI summary NS Power informed the UARB and project partners that it could not secure $2.4M in funding, leading to a potential reduction in the scope of the Nova Scotia project. The final project scale depends on securing this funding, with key decision points tied to UARB approval deadlines and funding acquisition.

By email: [email protected] Mr. Kerry Jennex Acting Director, Retail Operations Nova Scotia Power Inc. 1223 Lower Water Street PO Box 910 Halifax, NS B3J 2W5 Dear Mr. Jennex: Nova Scotia Power Inc. - CI# 40103 - Load Control Demonstr...

AI summary Nova Scotia Power Inc. (NSPI) requested approval for a Load Control Demonstration Project in 2010. The Board requested updates, and in 2012, NSPI informed the Board that it could not secure full funding and had adjusted the project's scope. The Board accepted this update and confirmed its approval of the reduced scope.