Topic:"Cost Considerations" in M12786

122,419 $6,289,162 $16,411,580 4 5 Figure 5 provides a breakdown of operating costs by account: 6 7 Figure 5 – Breakdown of 2025 Operating Storm Restoration Costs by Account Total Combined Account Level 1 & 2 Storms Level 3 & 4 Storms Stor...

AI summary The document details NS Power's 2025 storm restoration costs, breaking down operating expenses by account for Level 1-4 storms, including contracts, overtime labor, materials, and regular labor. Total combined costs for all storms reached $12,784,095, with Figure 6 addressing capital costs.

NS Power 2025 Storm Restoration Costs Non-Confidential 1 4.0 STORM RESTORATION COST FOR ‘STORM READYING’ AND ‘STORM 2 RESPONSE’ 3 4 In its decision on 2024 Storm Restoration Cost Report (M12188), the Board directed NS Power to 5 distinguis...

AI summary The Nova Scotia Energy Board directed NS Power to distinguish between proactive storm readying and reactive storm response costs following its 2024 decision (M12188). The 2025 report separates costs for two Level 3 EOC events, allocating $118,089 and $353,880 to storm readying, and $954,217 and $4,855,468 to storm response.

ecast savings. 10 The comparison of 2025 actual operating storm costs to base rates is provided in Figure 9. 11 12 Figure 9 – Comparison of 2025 Actual Operating Storm Costs to Base Rates by Level Actual Base Rates Variance Storm Type ($ m...

AI summary NS Power reports $12.8M in 2025 actual storm operating costs, compared to $17.7M in base rates. Level 3/4 costs were $7.2M below rates, leading to no Storm Rider Application filing. Level 1/2 costs matched 2024 assumptions as no GRA was filed for 2025.

6 Page 11 of 15 NS Power 2025 Storm Restoration Costs Non-Confidential

AI summary The document references NS Power's 2025 Storm Restoration Costs, indicating a regulatory proceeding focused on financial considerations related to post-storm infrastructure recovery in Nova Scotia.

1 contractor crews assigned to them. Crew Leads report into the Regional Operations storm 2 structure through Field Supervisors during storm events. External Contractor crews are 3 released first from storm response events, to minimize cos...

AI summary NS Power manages external contractors during storm response by prioritizing cost control, using standardized contracts, and ensuring equipment compliance. Crew Leads oversee productivity, and contractors are held accountable through contractual terms reviewed against invoices. Standardized contracts outline equipment requirements and reimbursement guidelines to ensure efficient restoration.

m data each year 12 ensure improved model restoration hours and external resource requirements projections. 13 14 Results from these efforts realized during the 2025 storm season include: 15 • All storm contractor invoices received by NS P...

AI summary NS Power reported improved storm restoration cost management in 2025, including reduced per diem expenses, standardized contractor reporting, and a calibrated damage prediction model. The company plans to implement a 2026 software platform to further control contractor costs and enhance efficiency.

2025 Storm Restoration Cost Report (NSEB M12786) NSPI Responses to IG Information Requests NON-CONFIDENTIAL 1 project number with applicable account combinations for Level 3 and 4 storm events is 2 created and communicated to all key stake...

AI summary NSPI outlines its approach to storm restoration cost accounting, distinguishing between Level 1-2 and Level 3-4 events. Costs for Level 3-4 events are tracked separately, while Level 1-2 costs are excluded from the storm rider. Forecasting uses historical data and inflation adjustments, with internal crews prioritized for Level 1 events to control costs. Accrual adjustments are made based on finalized invoices.

2025 Storm Restoration Cost Report (NSEB M12786) NSPI Responses to IG Information Requests NON-CONFIDENTIAL

AI summary The 2025 Storm Restoration Cost Report (NSEB M12786) details NSPI's responses to information requests, focusing on cost considerations and regulatory processes related to storm restoration expenditures.

1 Request IR-2: 2 3 Reference: In its Decision in M12188, the Board directed NSPI to distinguish proactive 4 (“storm readying”) from reactive (“storm response”) costs to the level that is operationally 5 practical and explicitly noted that...

AI summary The regulatory proceeding seeks clarification from NSPI on its definitions of 'storm readying' and 'storm response' costs, whether the listed categories are exhaustive, and the rationale for excluding certain costs. NSPI responded that 'storm readying' refers to pre-storm costs, while 'storm response' covers post-storm activities, but did not address data on resource deployment timing.

NSPI (IG) IR-2 Page 2 of 2 2025 Storm Restoration Cost Report (NSEB M12786) NSPI Responses to IG Information Requests NON-CONFIDENTIAL 1 Request IR-3: 2 3 Reference: p. 9, Figure 7. 4 5 (a) For each Level 3 storm in 2025 as shown in Figure...

AI summary NSPI responds to an information request about the 2025 Storm Restoration Cost Report, explaining that storm readying costs are operating expenses and that the transition to storm response occurs at the first outage attributed to a storm event. The response also references a matter number (NSEB M12786) and requests expansion of cost categories for lower storm levels.

2025 Storm Restoration Cost Report (NSEB M12786) NSPI Responses to IG Information Requests NON-CONFIDENTIAL Storm 5-Dec-25 19-Dec-25 Expense Type Operating Operating Contracts 118,089 $353,880 Total $118,089 $353,880 1 2 3 Storm response c...

AI summary NSPI's 2025 Storm Restoration Cost Report (NSEB M12786) details $3.05 million in storm response costs for December 2025, including operating expenses ($1.8M) and capital expenditures ($3.05M), with breakdowns for contracts, overtime labour, materials, and other categories.

2025 Storm Restoration Cost Report (NSEB M12786) NSPI Responses to IG Information Requests NON-CONFIDENTIAL 1 Request IR-4: 2 3 Reference: Section 6, Cost Control and Performance Management for External 4 Contractors. 5 6 (a) Please provid...

AI summary NSPI responds to an information request (IR-4) regarding 2025 storm restoration costs, including contractor expenses, internal labor costs, performance metrics, and accountability measures for external contractors under Section 6 of the Cost Control and Performance Management framework.

2025 Storm Restoration Cost Report (NSEB M12786) NSPI Responses to IG Information Requests NON-CONFIDENTIAL 1 2 (c) Please quantify, where possible, the cost savings attributed to: 3 4 (i) Standardized storm contractors; 5 6 (ii) Per diem...

AI summary NSPI's response to information requests about the 2025 Storm Restoration Cost Report details cost controls for Level 3 storms, including standardized contractors, meal reimbursement practices, and early crew releases. It explains that contractor invoices were reviewed post-event against crew tracking documentation to ensure reasonableness and prudence.

2025 Storm Restoration Cost Report (NSEB M12786) NSPI Responses to IG Information Requests NON-CONFIDENTIAL 1 (v) NS Power does not measure contractor cost by deployed crew or per hour of 2 restoration or employ other performance metrics w...

AI summary NSPI reports that it does not measure contractor costs by crew deployment or hourly restoration rates, relying instead on field efficiency with NS Power Crew Leads. Cost control measures were fully implemented and evaluated against contractual agreements, with no deficiencies found. Standardized contracts and per diem meal practices saved ~$50/day/person compared to prior storms, though analysis is limited. No invoices were rejected post-event for 2025 Level 3 EOC events.

2025 Storm Restoration Cost Report (NSEB M12786) NSPI Responses to IG Information Requests NON-CONFIDENTIAL

AI summary The 2025 Storm Restoration Cost Report (NSEB M12786) details NSPI's responses to information requests, focusing on cost considerations and regulatory processes related to storm restoration expenditures.

2025 Storm Restoration Cost Report (NSEB M12786) NSPI Responses to NSEB Information Requests NON-CONFIDENTIAL 1 Request IR-2: 2 3 As it relates to Figure 3 on pdf pg. 6 of the report: 4 5 (a) Please provide a breakdown the OM&G costs for t...

AI summary NSPI responds to NSEB's request for details on OM&G costs from the Dec. 5, 2025 storm event, breaking down $1.07M in expenses. Contract costs are justified through pre-established agreements and outage prediction models, with invoices reviewed for accuracy.

1 Request IR-2: 2 3 Refer to M12786, Exhibit N-1, the 2025 Report, Section 6.0 Cost Control and Performance 4 Management for External Contractors, on page 14 of 15, at lines 1-7, which states: 5 6 Further to these efforts, NS Power is plan...

AI summary NS Power plans to implement an AI-driven software platform in 2026 to monitor contractor costs and predict weather impacts on distribution assets. Deployment is contingent on NSEB approval, with anticipated completion in 6-8 months post-kickoff. The AI model will complement existing tools like the Damage Prediction Model (DPM) for enhanced impact analysis.

50,000 customers where restoration duration was the sole determinant of the Level 3 designation, require NSPI to demonstrate specifically: - the basis for the pre-storm restoration duration forecast, - a comparison of forecast versus actua...

AI summary Nova Scotia Power Incorporated (NSPI) is required to justify its Level 3 storm restoration classification based on restoration duration forecasts and actual impacts. NSPI argues that maintaining the classification supports resource coordination and system restoration, and that adjusting classifications mid-storm could disrupt operations. It emphasizes operational flexibility and contractor arrangements in managing resource deployment.

Document: 329289 Date Filed: April 29/26 Page 1 1 Request IR-1: 2 On pdf pg. 5 of the report, NS Power states: “An outage report was not compiled for the Level 3 3 Winter Storm EOC event on December 5, 2025, as the storm did not meet the r...

AI summary The document contains two regulatory requests (IR-1 and IR-2) directed at Nova Scotia Power, seeking explanations on outage impact estimates, restoration delay calculations, cost breakdowns, and resource allocation during a Level 3 Winter Storm EOC event on December 5, 2025. The requests emphasize the need for quantitative analysis and documentation.

e an appropriate level of expense. 23 c) Please identify the number of Contract “restoration” resources assigned to this event. 24 d) Please identify the number of NS Power “restoration” resources assigned to this event. 25 26 Request IR-3...

AI summary The text contains three information requests (IR-1, IR-2, IR-3) directed at NS Power, seeking details about restoration resources, affiliate contracts, and contract costs. Questions focus on resource allocation, affiliate involvement, and procurement processes related to service contracts.

Document: 329289 Date Filed: April 29/26 Page 2 1 Request IR-4: 2 On pdf pg. 9 of the report, NSP states: “Storm restoration costs for the two Level 3 EOC events 3 are separated into storm preparation (storm readying) costs and restoration...

AI summary The document contains regulatory requests for details on NSP's storm response cost breakdowns, a new contractor oversight job description, and clarification on the Damage Prediction Model's calibration. Requests focus on cost transparency, workforce changes, and modeling practices.

4 July 2025? 25 26 Request IR-7: 27 On pdf pg. 14 of the report NS Power notes it is planning to implement a software platform in 28 2026 to further monitor and control contractor costs. NS Power notes that the commercially 29 available so...

AI summary NS Power plans to implement a software platform in 2026 to monitor contractor costs and predict high-impact weather effects. Questions are raised about testing the software, consulting other utilities, and current forecasting methods. The focus is on improving storm impact prediction reliability and cost management.

ocated to Level 1 20 & 2 storms are accurately captured, not comingled with non-storm OM&G 21 activity; and appropriately excluded from potential rider recovery. 4128-5113-8152 -2- 1 (b) Given that Level 1 & 2 costs exceeded base rate allo...

AI summary The Board requests NSPI to explain how it monitored $2.3M in excess Level 1/2 storm costs in 2025, clarify the 'Level 3 Storms – prior period' row's capital charge and operating expenditure discrepancy, and define 'storm readying' and 'storm response' categories as directed in M12188.

ase provide NSPI’s 18 definitions of “storm readying” and “storm response”, the source of these 19 definitions and indicate if these definitions are new for 2025. 20 (b) In stating that storm readying “includes” is this intended to be an e...

AI summary The document contains requests to NSPI regarding definitions of 'storm readying' and 'storm response,' the categorization of associated costs, and data on resource deployment. The requests aim to clarify cost definitions, exclusions, and the breakdown of operating vs. capital expenses.

Any deficiencies, limitations, or failures identified post- 9 event. 10 (c) Please quantify, where possible, the cost savings attributed to: 11 (i) Standardized storm contractors; 12 (ii) Per diem meal reimbursement practices; and 13 (iii)...

AI summary The document outlines requests for quantifying cost savings from storm contractor practices, explaining contractor invoice validation, and clarifying NSPI's storm level declarations. It also seeks expanded data on predicted vs. actual restoration times and the use of impact forecasts in emergency decisions.

1 M12786 2 3 NOVA SCOTIA ENERGY BOARD 4 5 6 IN THE MATTER OF: The Public Utilities Act 7 8 9 – and – 10 11 12 IN THE MATTER OF: 2025 Storm Restoration Cost Report, NS Power Inc. 13 14 15 16 17 18 INFORMATION REQUESTS 19 20 To: Muhammad Syf...

AI summary The Consumer Advocate has submitted an information request to Nova Scotia Power Inc. (NS Power) regarding the 2025 Storm Restoration Cost Report. The request, dated May 21, 2026, seeks details on storm-related restoration costs and requires a response from NS Power's Manager of Regulatory Affairs.

le to confirm, with supporting data, that no incremental costs arise from internal labour, traffic control, and vegetation management contractors, rather than broadly describing where crews are based. Third, NSPI stated simply that Level 1...

AI summary The Industrial Group (IG) recommends that Nova Scotia Power Inc. (NSPI) provide formal definitions of 'storm readying' and 'storm response' and report on incremental costs from pre-impact activities. NSPI has not tracked these costs by category, leading to a significant variance in 2025 storm costs.

ed crew, per restoration hour, or by any other productivity metric.[12](#page-2-8) Performance metrics are limited to safety compliance checks and adherence to providing required gear.[13](#page-2-10) Where contractors accounted for over 6...

AI summary The document discusses the lack of contractor productivity metrics in Level 3 operating costs, which makes it difficult to assess cost reasonableness. It notes that Nova Scotia Power Inc. plans to deploy a new software platform in 2026 to introduce these metrics, but emphasizes the need to establish a baseline for comparison.

NON-CONFIDENTIAL 1 2.0 REPLY TO CONSUMER ADVOCATE (CA) SUBMISSIONS 2 3 The CA presented two recommendations to NS Power in its submissions; NS Power will address 4 each in part. 5 6 2.1 Formal Definitions of "Storm Readying" and "Storm Res...

AI summary The Consumer Advocate (CA) recommends that NS Power formalize definitions for 'storm readying' and 'storm response' to improve consistency and cost tracking. NS Power responds by providing working definitions and plans to formalize them in future reports. The CA also highlights NS Power's limited accuracy in predicting damage from smaller storms and recommends further study.