Topic:"Cost Recovery" in M12249

16 4. 2026 DSM PROGRAMS

AI summary The document outlines the 2026 Demand-Side Management (DSM) Programs under regulatory review by the Nova Scotia Utility and Review Board (NSUARB). Key entities include the DSM Cost Recovery Rider (DCRR) and the Public Utilities Act (PUA), with involvement from the Independent Energy System Operator (IESO) and the Integrated Resource Plan (IRP).

In the NSUARB's decision on NS Power's Application for the 2025 DSM Cost Recovery Rider (DCRR), E1 was directed to "take notice of the concerns raised by the Industrial Group and be prepared to address them in its pending application in ea...

AI summary The NSUARB directed E1 to address concerns raised by the Industrial Group regarding DSM cost shifts and unexpected cost impacts between rate classes in the 2025 DSM Cost Recovery Rider (DCRR) application. E1 notes that actual spending by rate class is reported for the DSM rate rider, and mid-course adjustments are not used for this purpose. Historical spending has aligned with approved plans, with increased participation in BNI Demand Response programs among medium and large industrials.

3.7 LOW-INCOME AND EQUITY - In developing the 2026 DSM Extension, E1 maintained its commitment to supporting low-income and - equity communities. The 2026 DSM Extension allocates 20% of its total investment to these communities, - consiste...

AI summary E1's 2026 DSM Extension allocates 20% of total investment to low-income and equity communities, aligning with prior 21% investment levels. Dedicated programs include Affordable Multi-Family Housing, Affordable Single-Family Homes, and the Mi'kmaw Home Energy Efficiency Project. E1 also considers incidental impacts from non-targeted programs and updated assumptions on low-income impacts, detailed in Attachment 2.

RESID EN TIAL ENERGY EFFICIEN CY PROGRAM S

AI summary The document outlines residential energy efficiency programs under Nova Scotia's regulatory framework, involving entities like NSUARB and NSP. It references DSM, DCRR, and related acronyms for cost recovery and benefit analysis, with legislative context from the PUA.

AVOIDED COSTS USED IN 2026 DSM EXTENSION MODELS

AI summary The document discusses the use of avoided costs in 2026 Demand-Side Management (DSM) extension models, focusing on regulatory considerations in Nova Scotia. Key entities include Nova Scotia Utility and Review Board (NSUARB), Nova Scotia Power (NSP), and related programs like DSM Cost Recovery Rider (DCRR).

C. Rate and Bill Impact Analysis E1 also used the actual annual stream of avoided costs of capacity as calculated by NS Power and provided to the DSMAG on August 23, 2024 for the E1 RBIA. These values are outlined in Table 4 above.

AI summary E1 utilized actual annual avoided capacity costs calculated by NS Power and shared with DSMAG on August 23, 2024, for the E1 RBIA. These values are detailed in Table 4.

3. AVOIDED COSTS OF TRANSMISSION & DISTRIBUTION (T&D)

AI summary The section discusses avoided costs related to transmission and distribution, focusing on regulatory considerations and stakeholder analyses. Key entities include Nova Scotia Utility and Review Board (NSUARB) and Demand-Side Management (DSM) programs, with emphasis on cost recovery mechanisms and benefit-cost ratios.

Filed Electronically

AI summary The document is an electronically filed submission in a Nova Scotia regulatory proceeding involving Demand-Side Management (DSM) programs, cost recovery mechanisms, and utility rate structures. Key entities include Nova Scotia Power (NSP), the Nova Scotia Utility and Review Board (NSUARB), and EfficiencyOne (E1). Topics focus on DSM cost recovery, energy efficiency, and regulatory analysis.

Filed Electronically

AI summary The document is an electronically filed submission in a Nova Scotia regulatory proceeding involving Demand-Side Management (DSM) programs, cost recovery mechanisms, and utility rate structures. Key entities include Nova Scotia Power (NSP), the Nova Scotia Utility and Review Board (NSUARB), and EfficiencyOne (E1). Topics focus on DSM cost recovery, energy efficiency, and regulatory analysis.

3.1 OVERALL RATE IMPACTS - DSM can lower rates by avoiding different types of electricity system costs (avoided energy, capacity, - transmission and distribution). DSM may also increase rates, a result of recovering program costs as well -...

AI summary The 2026 DSM Extension RBIA analyzes rate impacts of Demand-Side Management (DSM) programs, showing average rate changes ranging from +0.08% to +0.45% over 2026-2041. Initial cost recovery in 2026 causes higher impacts (+2.1% to +4.9%), but long-term effects (2027-2041) show smaller or negative impacts (-0.14% to +0.15%). These figures reflect long-term trends, not annual fluctuations.

or "Energy Efficiency") is calculated by adding avoided costs to the DSM Benchmark. This methodology is consistent with the methodology used in the NS Power rate model used in the 2023- 2025 DSM Plan. The DSM Benchmark includes all histori...

AI summary NS Power's rate model calculates DSM Benchmark by adding avoided costs to historical and planned DSM savings. The model prorates 2023 GRA revenue requirements using cost drivers like consumption and peak demand. The E1 Data Inputs tab allows users to select DSM resources, though only Energy Efficiency and Demand Response are included in the 2026 DSM Extension. Avoided Cost Scenarios can be adjusted to 75%, 100%, or 125% of estimated avoided costs.

7. CONCLUSION - Highlights from the 2026 DSM Extension RBIA analysis include: - Over the 16 years of the study period, participants in DSM programs see average annual bill reductions ranging from a low of 0.1 percent (typical Municipal par...

AI summary The 2026 DSM Extension RBIA analysis highlights that DSM programs lead to significant bill savings for participants, with Nova Scotian ratepayers expected to save $74 million over 16 years. Non-participants experience minimal rate increases, while higher participation reduces the number of customers facing rate hikes without bill savings. The analysis also notes that societal benefits like reduced emissions and local economic investment are not fully captured in the RBIA model.

4. TIME PERIOD DEFINITIONS - The following time periods apply to the RBIA analysis: - DSM delivery period: the timeframe over which DSM programs are delivered. - The DSM delivery period included in the 2026 DSM Extension RBIA is 2026. - Co...

AI summary The text defines time periods for the RBIA analysis, including the DSM delivery period (2026), cost recovery period (2026), and study period (2026-2041). The study period ends when all average rate class DSM impacts expire, with impacts modeled over the full timeframe.

8. CALCULATION OF RATE IMPACTS - Rate impacts are calculated in NS Power's Rate Model (Attachment 5) to reflect NS Power's Cost - of Service in a more precise manner. NS Power's Rate Model methodology is described in - Attachment 4. - to a...

AI summary NS Power's Rate Model calculates rate impacts by blending DSM energy and demand effects into a single energy rate, while E1's RBIA Model uses these inputs. Demand charges are excluded from bill savings calculations as they are already incorporated into the blended rate. All rate effects are assumed to apply to energy rates, with customer and demand charges remaining unchanged between DSM scenarios.

9. CALCULATION OF BILL IMPACTS This section describes key elements of the bill impact calculations.

AI summary This section outlines the methodology for calculating bill impacts as part of the Nova Scotia Utility and Review Board (NSUARB) proceeding. It focuses on the Rate and Bill Impact Analysis (RBIA) process, which evaluates the financial effects of demand-side management programs on customer bills.

Methodology for determination of changes in NS Power's base cost rates as a result of DSM-induced changes in class usage and total system costs November 27, 2020

AI summary The Nova Scotia Utility and Review Board (NSUARB) outlines a methodology to assess changes in Nova Scotia Power's (NSP) base cost rates caused by Demand-Side Management (DSM)-induced shifts in class usage and total system costs. The analysis focuses on evaluating DSM's impact on cost recovery, rate design, and system-wide cost implications.

1.0. Introduction In an effort to more precisely and accurately align EfficiencyOne's (E1) RBIA Model with the methodological process used by NS Power in setting of its base cost rates, all rate setting functionality from E1's RBIA model h...

AI summary NS Power is taking over rate-setting functionality from E1's RBIA model, aligning with COSS methodology. NS Power will provide annual inputs for RBIA under DSM scenarios, including revenue forecasts, sales, and customer data.

2.0. Background The regulated base cost rate setting process involves the following three sequential analytical steps: - Determination of total annual revenue requirement; - COSS concerned with apportionment of total costs among rate class...

AI summary The regulated base cost rate setting process involves three steps: determining total annual revenue requirement, conducting a Cost-of-Service Study (COSS) for cost apportionment among rate classes, and establishing class rates and revenue responsibilities.

Revenue Requirement Ordinarily, the base cost rate setting process used in rate case applications requires a great amount of detailed cost inputs to determine revenue requirement. Annual rate base data needs to be collected on a variety of...

AI summary The document explains that the RBIA does not require detailed annual cost data for rate base calculations, as it only assesses DSM-induced changes while keeping other costs constant. This avoids the need for a full rate case analysis, focusing instead on directional and relative rate/bill changes due to DSM programs.

Cost of Service Studies COSS provides the most insight into class cost causation as based on changes in its energy and demand usage. It shows in a transparent way how rate class usage of demand and energy services within each functional ar...

AI summary COSS (Cost-of-Service Study) is critical for analyzing class cost causation by leveraging NS Power's Load Forecast Report and E1's long-term usage forecasts. This approach simplifies pricing adjustments by utilizing existing data rather than future investment details, ensuring transparency in rate class changes due to DSM.

Rates and Revenues There is little that can be inferred about the cost causation process from the rate structures used by the utility to generate customers' bills. The rates are bundled and therefore do not allow tracking of cost recovery...

AI summary The document critiques NS Power's bundled rate structures, which obscure cost recovery tracking by functional areas (generation, transmission, distribution). Residential and small general classes recover demand-related costs via energy charges, while other classes use combinations of demand and energy charges. Misalignments exist between revenue streams and cost categories for customer and demand charges, as noted in the Cost-of-Service Study (COSS).

Conclusions Bypassing the detailed COSS ratemaking step, which is intended to show how DSM-induced, cost causative changes in usage affects rates will produce misleading results and create difficulties in interpretation. Any such rate anal...

AI summary Bypassing the COSS ratemaking step for DSM leads to misleading rate analyses by failing to account for reallocation of embedded system costs. A simplified COSS process is recommended to accurately reflect how DSM-induced usage changes affect class-specific costs and rates.

3.1 Revenue Requirement The annual revenue requirements under the "With DSM" scenario are kept consistent with the test year information from the preceding rate cases. The non-FAM costs in the years following the 2014 test year from the 20...

AI summary The document outlines revenue requirements for 'With DSM' and 'No DSM' scenarios, adjusting FAM and non-FAM costs with inflation and DSM impacts. Historic cost true-ups are excluded due to minimal rate effects, lack of COSS rigor, and complexity. E1 provides avoided fuel cost data for post-2022 adjustments.

3.2 Cost of Service Studies Cost of service Studies consist of an application of the following three sequential steps: - functionalization of revenue requirement to the four areas: generation, transmission, distribution and retail; - class...

AI summary The Cost of Service Study (COSS) by NS Power involves three steps: functionalizing revenue requirements, classifying costs, and apportioning them among rate classes. Most costs are shared, except streetlight fixture costs assigned to unmetered customers.

3.2.2 Classification of System Costs Costs within each area are classified into appropriate services. Generation and transmission costs are classified into energy and demand. Distribution costs are classified between demand and customer. R...

AI summary System costs are classified into energy and demand categories, with DSM affecting reclassification. NS Power uses a linear equation to estimate generation cost classifications based on load factors. Transmission costs align with load factors, while distribution and retail costs remain static except for inflation. Peaking units and environmental investments are classified differently.

FAM-related Costs The FAM-related costs are allocated to rate classes using the following two-step process: • Annual class energy usage is multiplied by the benchmark unit cost $/MWh - o In the "With DSM" case the benchmark unit costs come...

AI summary FAM-related costs are allocated to rate classes using a two-step process involving benchmark unit costs from past rate cases. The method does not differentiate between energy and demand-related costs due to historical insignificance of demand costs, though recent Maritime Link Costs have increased demand-related costs to 15% of FAM totals. This allocation method may be remodeled in future RBIA applications.

Non-FAM related Costs The non-FAM-related costs are allocated to rate classes using the following two-step process: - Annual class usages of energy and demand services are multiplied by benchmark $/MWh and $/MW unit costs, respectively - o...

AI summary Non-FAM-related costs are allocated to rate classes via a two-step process: multiplying annual energy/demand usages by benchmark unit costs (derived from recent rate cases for 'With DSM' and same-year data for 'No DSM' scenarios), then scaling class costs to align with revenue requirements per functional area.

DSM Costs The annual DSM-related costs incurred by individual rate classes, as provided by E1, are apportioned to rate classes based on the 25/75 rule. 75 percent of the costs incurred by each class is treated as direct responsibility of e...

AI summary DSM costs are apportioned to rate classes using a 25/75 rule, with 75% of costs directly attributed to each class and 25% distributed based on energy and demand usage. Energy-related costs are allocated by system generation share, while demand-related costs are based on winter peak contributions.

3.2.4 Generic COSS Results The actual results from the above cost allocation process under the "With DSM" and "No DSM" scenarios are presented in the "COSS Outputs" tab within NS Power's rate model, where the long-term trends in annual rel...

AI summary The COSS Results compare 'With DSM' and 'No DSM' scenarios, showing long-term unit cost trends by rate class. Historic periods show higher DSM cost impacts, while out-years show reduced differentials. Fuel-cost-heavy classes (e.g., Large Industrial) benefit more from DSM savings, whereas fixed-cost-heavy classes (e.g., Domestic) see less benefit. Differences arise from DSM spend, usage changes, and cost allocation methods.

Overview of Spreadsheet Calculations

AI summary The document outlines spreadsheet calculations related to Demand-Side Management (DSM) programs, involving the Nova Scotia Utility and Review Board (NSUARB) and EfficiencyOne (E1). Key considerations include benefit/cost ratios (TRC, PAC), regulatory frameworks (PUA), and cost recovery mechanisms (DCRR). The analysis supports NSUARB's evaluation of DSM initiatives under the Public Utilities Act.

"COSS Data Inputs" tab This tab includes all annual test year class usage and embedded costs from the COSS and BCF COSS filed in GRA and BCF proceedings as well as a forecast of annual usage by class per the most recent ten-year Load Forec...

AI summary The 'COSS Data Inputs' tab contains annual test year data from COSS and BCF COSS filings, load forecasts, and DSM expenditures, used to determine class unit costs and revenues. It includes data from regulatory proceedings and forecasts for usage by rate class.

Savings in energy and demand usage by rate class Savings in energy and demand usage arising from DSM programs for each class are tracked in the following class tabs: R-Savings, SG-Savings, G-Savings, LG-savings, SI-Savings, MI-Savings, LI-...

AI summary The document outlines how energy and demand savings from DSM programs are tracked by rate class, using data from 2011 to 2022. Savings are calculated by E1's RBIA Reports and adjusted using COSS data on energy and demand losses.

Cost of Service Studies Apportionment of costs to rate classes is done separately for the "With DSM" and "No DSM" cases" in the tabs bearing the same names.

AI summary The document outlines the apportionment of costs to rate classes under two scenarios: 'With DSM' and 'No DSM', as part of the Cost of Service Study. This analysis is conducted separately in tabs named accordingly.

"With DSM" tab The "With DSM" tab provides annual cost allocation to rate classes based on long-term usage as included in NS Power's most recent Annual ten-year Load Forecast Report. This usage already reflects inclusion of DSM Program eff...

AI summary The 'With DSM' tab outlines annual cost allocation to rate classes using NS Power's ten-year load forecast, incorporating DSM program effects. FAM costs for 2023-2035 are adjusted via a two-step process: calculating class costs using 2022 blended FAM rates, then scaling to match annual totals. The formula combines previous year costs with energy requirement changes and avoided FAM costs.

Comments The applied process is a simplification of a more elaborate cost allocation process from the COSS where some FAM costs, such as fuel costs, are allocated to rate classes based on their shares in monthly energy requirements; some o...

AI summary The text describes a simplified cost allocation process for FAM costs based on the COSS, allocating different FAM costs using factors like energy requirements and load factors, carrying forward 2022 unit costs, and adjusting non-FAM costs for inflation.

"No DSM" tab The "No DSM" tab provides annual cost allocation to rate classes absent DSM. The FAM-related costs in years 2011–2035 are calculated using the following process: - Annual FAM costs for each class are calculated by multiplying...

AI summary The 'No DSM' tab calculates annual Fuel Adjustment Mechanism (FAM) costs for rate classes without Demand-Side Management (DSM) savings. It uses blended unit FAM costs from the 'With DSM' case, scales costs to match total annual estimates, and applies a formula incorporating energy requirement deltas and avoided FAM costs, as detailed in tables 'Before External Effect' and 'After External Effect'.

"COSS Var" tab "COSS Var" provides differentials between cell values in the "No DSM" and "With DSM" tabs. Please note that the data layouts in the "No DSM" and "With DSM" tabs are identical with the exception for the treatment of DSM costs...

AI summary The 'COSS Var' tab illustrates differentials between 'No DSM' and 'With DSM' scenarios, highlighting how DSM costs are excluded in the 'No DSM' case. The tabs share identical data layouts except for DSM cost treatment.

"COSS Outputs" tab The "COSS Outputs" tab provides two sets of bar graphs of percentage change in class rates due to DSM over the period 2011–2035 calculated as either arithmetic or load-weighted rate changes. The graphs within each set ar...

AI summary The 'COSS Outputs' tab presents bar graphs illustrating percentage changes in class rates due to DSM (Demand-Side Management) from 2011 to 2035, calculated using arithmetic or load-weighted methods. It includes scenarios analyzing changes in unit base cost revenues, considering DSM costs, and a control panel to test inflation and avoided cost impacts on rate changes.

"NSPI Inputs into RBIA" tab "NSPI Inputs into RBIA" provides pricing inputs requested by E1. It includes the following annual class data in years 201-2035 broken out by "With DSM" and "No DSM" scenarios: - Forecast Unit Revenues Before DSM...

AI summary The 'NSPI Inputs into RBIA' tab provides annual pricing data from 201-2035, comparing 'With DSM' and 'No DSM' scenarios, including revenue forecasts, DSM program charges, sales forecasts, demand forecasts, and customer counts, submitted by E1 for the Rate and Bill Impact Analysis.

Filed Electronically

AI summary The document is an electronically filed submission in a Nova Scotia regulatory proceeding involving Demand-Side Management (DSM) programs, cost recovery mechanisms, and utility rate structures. Key entities include Nova Scotia Power (NSP), the Nova Scotia Utility and Review Board (NSUARB), and EfficiencyOne (E1). Topics focus on DSM cost recovery, energy efficiency, and regulatory analysis.

Filed Electronically

AI summary The document is an electronically filed submission in a Nova Scotia regulatory proceeding involving Demand-Side Management (DSM) programs, cost recovery mechanisms, and utility rate structures. Key entities include Nova Scotia Power (NSP), the Nova Scotia Utility and Review Board (NSUARB), and EfficiencyOne (E1). Topics focus on DSM cost recovery, energy efficiency, and regulatory analysis.

2 Schedule B (Page 2 of 2)

AI summary Schedule B (Page 2 of 2) from a Nova Scotia Utility and Review Board (NSUARB) regulatory proceeding, referencing demand-side management (DSM) and the DSM Cost Recovery Rider (DCRR). Context includes programs like EfficiencyOne (E1) and legislation such as the Public Utilities Act (PUA).

Schedule B (Page 1 of 2)

AI summary Schedule B of a Nova Scotia regulatory proceeding outlines a document involving energy efficiency, demand response, and cost recovery mechanisms. Key entities include Nova Scotia Power, EfficiencyOne, and regulatory bodies like the NSUARB. Topics focus on DSM programs, benefit/cost ratios, and compliance with the Public Utilities Act.

EPI's two funding sources are: - 1. Electricity ratepayers to fund upgrades to reduce electricity consumption. - 2. Government of Nova Scotia and the federal Low Carbon Economy Fund funds upgrades that reduce the use of other fuels. The Ev...

AI summary EPI's funding comes from electricity ratepayers and the federal Low Carbon Economy Fund. 2024 saw a 2.4% increase in participation (9,993 vs. 9,763) and 150,722 efficient products installed, but average savings per participant fell 6.3%. LED lamps dominated (74% of installations), though smart thermostat installation rates dropped 16% due to dissatisfaction. The Evaluator recommends improving installer education and follow-up to address issues.

F. Mi'kmaw Home Energy Efficiency Program (MHEEP) MHEEP is a component of the Existing Residential Programs. Initiated in June 2018 as the First Nations Home Energy Efficiency Pilot, MHEEP began operations in 2019 as a residential energy e...

AI summary The Mi'kmaw Home Energy Efficiency Program (MHEEP) provides no-cost energy efficiency upgrades to band-owned homes in 13 Mi'kmaw communities in Nova Scotia. Initiated in 2018 as a pilot, it operates through collaboration with E1 Program Staff, community housing managers, and delivery agents. Upgrades include building envelope improvements, heating equipment, and appliance replacements, assessed via EnerGuide audits. Funding sources are not fully detailed in the text.

Date Filed: June 25, 2025 E1 (IG) IR-07 Page 2 of 2 1 Request IR-08: 2 3 Preamble: At page 6, E1 states it was directed to "take notice of the concerns raised by the 4 Industrial Group and be prepared to address them in its pending applica...

AI summary The Industrial Group raised concerns about unanticipated cost impacts from variances in EfficiencyOne's DSM expenditures by customer class, potentially affecting rate classes. E1 responded by addressing these concerns through strategies developed after reviewing the causality of the issue, particularly in the context of the 2025 DSM Cost Recovery Rider (DCRR) and the 2026-2030 DSM Plan.

& lt;sup>c Weighted average measure life for Q1 2025 actuals was calculated by dividing the lifetime energy savings by the first year energy savings. 1 Request IR-14: 2 3 Reference: Appendix A, page 27. 4 5 In the 2025 DCRR matter, the Ind...

AI summary The text discusses concerns raised by the Industrial Group in the 2025 DCRR matter regarding DSM costs and spending variations by customer class. E1 explains that actual spending by rate class is reported for the DSM rider and that mid-course adjustments are not used for this purpose. Questions are raised about true-up processes and their impact on programming and spending.

6. EMBEDDED AVOIDED COST OF CARBON WITHIN AVOIDED COST OF ENERGY At the direction of the Nova Scotia Utility and Review Board (NSUARB), in 2024 E1 initiated a process led by Energy Futures Group (EFG) to assess and develop an optimal DSM c...

AI summary E1, under NSUARB direction, is developing a DSM methodology with EFG, aiming to file a BCA application in 2025. The BCA test includes GHG emissions' societal impacts, requiring subtraction of embedded carbon costs from avoided energy costs. NS Power's OBPS carbon tax is referenced as reflecting marginal carbon costs, influencing the embedded carbon price calculation.

Discussion: • Some of the observations noted above may in part be driven by inconsistent scenario constraints, as discussed elsewhere in this document. If, as recommended above, new wind build out and GHG emissions constraints are applied...

AI summary The discussion highlights concerns about inconsistent scenario constraints affecting embedded carbon cost estimates and recommends consistent GHG emissions constraints. E1 requests NS Power to reassess carbon cost impacts and provide detailed breakdowns of carbon compliance and non-carbon related costs in future avoided cost analyses.

E1 Responses to Nova Scotia Energy Board (NSEB) Information Requests NON-CONFIDENTIAL - 1 E1 is committed to controlling costs on an ongoing basis, while at the same time meeting its - 2 performance targets. The organization has implemente...

AI summary E1 outlines cost management strategies including benchmarking, competitive procurement, independent reviews, and process improvement. It emphasizes ongoing assessment of customer incentive levels via its Incentive Setting Process, informed by the CLEAResult study and referenced in matter M07544. Related to the 2026 DSM Extension application (M12249).

E1 Responses to Nova Scotia Energy Board (NSEB) Information Requests NON-CONFIDENTIAL 1 Request IR-16: 2 3 Regarding the Total Resource Cost (TRC) test, in Table 9 on page 40 of 149 in Appendix A of the 4 2023-2025 DSM application (M10473)...

AI summary E1 explains the difference in Total Resource Cost (TRC) between the 2023-2025 DSM Plan and the 2026 DSM Extension. The TRC for residential energy efficiency programs decreased from 1.4 to 0.9, primarily due to updated measure characterizations and cost assumptions in the 2026 plan. Host customer costs are excluded in the PAC test but included in the TRC, which affects the results.

15 Demand Response Programs 13 a 13.5% increase in incremental cost. 16 In comparing the 2023-2025 DSM Plan Total Resource Cost (TRC) cost results of Demand 17 Response (DR) to the 2026 DSM Extension TRC results, (E1) makes the following o...

AI summary EfficiencyOne (E1) notes a 56% decline in unitary savings and methodological changes in the 2026 DSM Extension compared to the 2023-2025 plan, including a one-year DR activity period and adjusted CET timespan. The application for approval is referenced as M12249.

Efficient Product Installation - Added new electrician-installed measures in late 2024, with an emphasis on auto-enrolling eligible devices in the Eco Shift demand response program component. - Discontinued the direct installation of LED l...

AI summary In late 2024, new electrician-installed measures were added with auto-enrollment in the Eco Shift demand response program. LED lamp installations were discontinued in mid-2025 due to baseline shifts and saturation. A 2026 program investment of $5.3 million will support installing over 49,000 products.

Home Energy Assessment - Continued support for existing program. - The Green Heat program component will be incorporated into HEA with expanded customer support through a streamlined remote audit path - In 2026, a program investment of $5....

AI summary The Home Energy Assessment (HEA) program will continue with the integration of the Green Heat program component, offering expanded customer support via a streamlined remote audit process. A 2026 investment of $5.0 million is planned to support 1,900 homeowners.

Residential Behaviour • For the 2026 DSM Extension, Residential Behaviour will follow the same approach as outlined in the approved 2023-2025 Plan. In 2026, a program investment of $2.1 million will support 205,000 homeowners.

AI summary The 2026 DSM Extension will use the same approach as the approved 2023-2025 Plan, with a $2.1 million investment supporting 205,000 homeowners.

Support for Residential Customers – Existing Residential (con't)

AI summary The document section continues discussing support mechanisms for existing residential customers in Nova Scotia. Key entities involved include Nova Scotia Power (NSP) and EfficiencyOne (E1), with references to regulatory tests such as the Total Resource Cost Test (TRC) and Program Administrator Cost Test (PAC). The content likely addresses cost recovery, program administration, and customer assistance frameworks.

Affordable Single-Family Homes - Affordable Single-family Housing will largely follow the same approach for the 2026 DSM Extension as outlined in the approved 2023-2025 Plan. - Appliance replacements will no longer be offered, due to wind...

AI summary The 2026 DSM Extension for affordable single-family homes follows the 2023-2025 Plan, excluding appliance replacements due to the Appliance Retirement program's wind-up. A $7.7 million investment supports 800 homes.

Affordable Multi-Family Homes • Affordable Multi-Family Housing will follow the same approach for the 2026 DSM Extension as outlined in the approved 2023-2025 Plan. In 2026, a program investment of $1.8 million will support 88 customer pro...

AI summary The Affordable Multi-Family Housing program will extend its 2023-2025 DSM Plan approach to 2026, allocating $1.8 million to support 88 customer projects. This continuation emphasizes sustained investment in multi-family housing initiatives under the approved demand-side management framework.

Support for Business Customers – Direct Installation Program Direct Installation, marketed as Small Business Energy Solutions provides small business customers with access to technical assistance and financial incentives for the installati...

AI summary The Direct Installation Program, marketed as Small Business Energy Solutions, provides technical assistance and incentives for energy-efficient equipment installation. 2024 changes increased eligibility to 600,000 kWh annually and extended preapproval windows. 2026 enhancements include a $5.8 million investment for over 42,000 product installations, improved contractor portals, and expanded commercial direct installation services.

Support for Business Customers – Business Energy Rebates The Business Energy Rebates program component offers two pathways: Instant Rebates and Application Rebates. - For Instant Rebates, customers have access to prescriptive rebates on a...

AI summary The Business Energy Rebates program offers two pathways: Instant Rebates via point-of-purchase discounts and Application Rebates through project applications to E1. A 2026 investment of $8.1 million aims to install over 160,000 energy-efficient products, managed by EfficiencyOne.

Table 5. Demand Response Cost, Available Capacity, Participants, Benefits, and Cost-Effectiveness from 2023 to 2026 2023 Actuals 2024 Actuals 2025 Forecast 2026 DSM Extension 2023- 2026 Total Investment ($ million) 1.9 3.3 5.4 6.5 17.1 Ava...

AI summary Table 5 presents data on demand response investment, available capacity, participants, benefits, and cost-effectiveness from 2023 to 2026. The data shows increasing investment and participant numbers, decreasing unit costs, and growing lifetime benefits over time.

3 II. INCREASING ACQUISITION COSTS

AI summary This section introduces the topic of increasing acquisition costs within the regulatory proceeding. No detailed arguments or data are provided in the given text. The context references known acronyms related to demand-side management and energy efficiency programs.

Economic and Policy Analysis Small Business Utility Advocate - California (June 2020 – Present) - Provided testimony and analysis on cost recovery for wildfire management and grid hardening efforts for Southern California Edison (Docket No...

AI summary The individual served as the Small Business Utility Advocate in California, providing testimony and analysis on various energy-related topics including cost recovery for wildfire management, grid hardening, program budgets, non-energy benefits, phase-out of gas incentives, cost-effectiveness tests, and clean energy financing. They also worked on program design, underserved customer definitions, and participation rates in energy efficiency programs.

2.4 CALCULATING ACTUAL PROGRAM ADMINISTRATOR COSTS AND TOTAL RESOURCE COSTS

AI summary This section outlines the methodology for calculating program administrator costs and total resource costs (TRC) in the context of regulatory proceedings, involving EfficiencyOne, Nova Scotia Power Inc., and the Nova Scotia Energy Board.

3.3 LOW-INCOME AND EQUITY SAVINGS ALLOCATIONS

AI summary This section discusses the allocation of low-income and equity savings within the regulatory proceeding. Key entities involved include Nova Scotia Power Inc. and the Nova Scotia Energy Board, with acronyms such as BCA and TRC referenced for analysis methodologies.

Green Energy Green Energy states: …I recommend that surveys should be conducted for each of the programs to get a better assessment of the percentage of low-income customers participating in the programs not dedicated to low-income custome...

AI summary The text recommends conducting surveys to assess low-income participation in EfficiencyOne's programs, suggesting that the original allocation methodology may have overcounted savings, while the 2026 proposal might be overly conservative.

- Cost Test (TRC), and Program Administrator Cost Test (PAC) for lighting measures in the 1 Efficiency Product Installation program component over time. Please include 2023 2 Actuals, 2024 Actuals, 2025 Forecast, and 2026 Plan Extension. 3...

AI summary The document requests information about the Cost Test (TRC) and Program Administrator Cost Test (PAC) for lighting measures in various program components, including details on investment, energy savings, and costs. It also asks for clarification on the 'commercial direct install offer' and 'main SBES stream' and requests an Excel workbook with data from Table 5 across multiple years.

Request IR-2: Refer to M12249, Exhibit E-2, 2024 Peach Report, Section IX, General Recommendations, including Recommendation SVR24-G-2, which states, at page 17: SVR24-G-2. The Evaluator should flag programs which the evaluation demonstrat...

AI summary The document references the 2024 Peach Report's recommendation (SVR24-G-2) to evaluate energy efficiency programs with minimal savings and consider closing them to reallocate funds. Questions are raised about identifying such programs, their cost percentage, potential funds freed, and the meaning of 'spending energy efficiency dollars more effectively.'

Anticipated Results E1 anticipates lower energy savings and lower demand savings in 2025 and 2026 compared to those achieved in 2023 and 2024, despite the notable increase in the budget. It attributes this to the following factors: - E1 ha...

AI summary E1 anticipates lower energy and demand savings in 2025-2026 despite increased budgets, citing expired LED rebates, exhausted Canada Greener Homes Grant funding, and lower demand response adoption. 2025 targets 128.7 GWh at $62M, while 2026 targets 116 GWh at $63.75M, with rising unit costs ($0.49/kWh in 2026 vs. $0.39/kWh in 2023). Residential and BNI energy savings contributions shift from 35%/65% to 51%/49%.

Savings Targets and Costs of DSM The Industrial Group observes that there are two matters which may still affect the forecasted cost of energy efficiency programs in 2025 and in 2026, projected at $0.44/kWh and $0.49/kWh respectively. Firs...

AI summary The Industrial Group challenges concerns raised by Gil Peach about excluding savings from certain DSM programs, arguing inclusion is necessary to avoid increased costs. E1 suspended its residential behavior program due to AMI data issues from NSPI's cybersecurity incident, risking target achievement. The Industrial Group urges E1 to address data gaps and revise programming plans.

Supply Agreement – COSS and DSM Rider NSPI has filed an updated proposed Cost of Service Study (" COSS ") with the General Rate Application (" GRA ") for the test years of 2026-2027, with DSM to be allocated 100% to customers. In addition,...

AI summary NSPI has submitted an updated Cost of Service Study (COSS) and proposed DSM Rider amendments for 2026-2027, including spreading DSM true-up recovery over multiple years. The Industrial Group reviewed the Supply Agreement between E1 and NSPI, finding no required changes but requesting E1 to address potential discrepancies in its reply.