Topic:"Cost Considerations" in M12833

demonstrate the potential benefits of securitization relative to recovery using the DDA. As illustrated in Figure 5, the use of low-cost securitized debt, DATE FILED: April 30, 2026 Page 9 of 11 rather than the utility's weighted average c...

AI summary The text discusses the potential benefits of securitization compared to the Decarbonization Deferral Account (DDA) for recovering net book value over a 30-year period. It highlights that securitization could reduce income tax expenses and overall financing costs, leading to customer benefits of approximately $184 million. The analysis compares two scenarios: securitization and DDA amortization over 10 and 20-year periods.

Change vs 28Y Change vs 28Y 17,858,194 16,305,308 14,752,421 13,199,535 11,646,648 10,093,762 8,540,875 6,987,989 5,435,102 3,882,216 2,329,330 776,443 - - - 699,199,000 13,609,537 13,263,042 12,916,547 12,570,053 12,223,558 11,877,064 11,...

AI summary The document presents a table comparing changes against a baseline (28Y) with numerical values across multiple years, including revenue requirement, securitization, DDA, and cost (benefit) figures. It likely relates to financial planning or regulatory proceedings involving Nova Scotia Power and the Nova Scotia Utility and Review Board.

Benefits of Securitization In its submissions for the 2024 DDA Report, the SBA acknowledged that the DDA Report fulfilled the information requirements as set out in the Compliance Filing but also pointed out that one of the primary functio...

AI summary The SBA requested that NS Power provide a baseline for potential savings by comparing the rate impact of securitization to conventional recovery. The 2025 DDA Report includes tables showing expected savings from securitization, driven by differences in financing costs between securitization bonds and NS Power's approved WACC.

1 NS Power commits to notifying the Board and stakeholders promptly of any material 2 developments outside the annual reporting cycle, and once regulations are in place to enable 3 securitization, NS Power plans to proceed with a regulator...

AI summary NS Power commits to informing the Board and stakeholders of material developments outside the annual reporting cycle and plans to proceed with a regulatory application for securitization once regulations are in place. The company highlights that including forecast costs in securitization is not feasible due to uncertainty, and that securitized bonds require defined regulatory assets and customer charges.