Topic:"Cost Recovery" in M12768

-28, March 26, 2020, and in accordance with the Annual Reporting provisions on page 4 of the ELIADC Tariff. March 26, 2026 C. Henwood Active Demand Control (ADC) Load Shifting Differential for 2025. The Board-approved 2024 ELIADC Energy Ch...

AI summary The 2025 ELIADC Energy Charge became effective February 1, 2025, following the Board's Interim Order (M11989). A positive ADC differential in 2025 obligated PHP to pay NS Power's actual CBL cost to serve, including variances from dispatch schedules, plus a minimum payment calculated as NS Power's incremental costs plus $4.00 per MWh supplied.

Off-Schedule Summary In 2025 there were 95 hours in which PHP chose to deviate from the submitted schedule (Code 5, "PDN") spread across 21 unique events (where a single event can span multiple hours). These PDN hours comprised 1.1 percent...

AI summary In 2025, PHP had 95 off-schedule hours (1.1% of total), leading to $706,609 system cost impact, with $529,957 reduced ADC credit. PHP's net balance is $149,304. Reasons included fulfilling orders, managing silo levels, and maintaining load.

For the Year Ended December 31, 2025 Forecasted CBL Energy Charge ($) Actual CBL Energy Charge ($) Fuel & Purchased Variable Operating & Month Generation Cost Purchase Cost Sale Revenue Start Cost PHP Load CBL Energy Charge Power Charge Ma...

AI summary The document presents a detailed financial summary for the year ended December 31, 2025, including forecasted and actual CBL energy charges, generation costs, purchase costs, and various financial metrics related to PHP load, ADC differentials, and NSPI and PHP benefits. The data spans across 12 months, with monthly breakdowns and an annual total.

Extra Large Industrial Active Demand Control (ELIADC) Tariff 2025 Annual Report (NSEB M12768) NSPI Responses to BW Information Requests Request IR-3: Please refer to PDF page 2, where NSPI states: "PHP will be billed the cost to serve abov...

AI summary NSPI responded to BW's information requests regarding the 2025 ELIADC Tariff, stating a total adjustment of $149,304 will be added to PHP's upcoming bill. The adjustment includes the cost to serve above collected amounts, plus $4/MWh and other fixed costs. Supporting calculations are referenced in IG IR-4 and BW IR-7. Other fixed costs include Variable Operating & Maintenance Charge and Variable Capital Cost.

Extra Large Industrial Active Demand Control (ELIADC) Tariff 2025 Annual Report (NSEB M12768) NSPI Responses to IG Information Requests 1 Request IR-1: 2 3 4 Reference: 2025 Annual Report, Exhibit N-1, p. 3/9, Table 1 5 (a) Please explain...

AI summary The response to IR-1 explains that the 2025 benefit of the ELIADC tariff is compared to the initial forecast of benefits from 2020 to 2023, which ranged from $6 to $13 million annually. The response also outlines the need to break down the $4.4 million benefit into fixed cost recovery and FAM application, and it requests an explanation of the factors influencing the positive ADC load shifting differential in 2025.

(b) Please provide a copy of any FAM SWG presentation materials and 1 2 3 4 2026 M12768 NOVA SCOTIA ENERGY BOARD 11 12 13 14 (a) Please explain, step-by-step what was done by each of the Energy Marketing Team and PHP as they "adapted and w...

AI summary The text outlines a request for information regarding the adaptation efforts by the Energy Marketing Team and PHP following a cyber breach, details on incremental costs, and the need for ELIADC Protocols. It also references billing adjustments related to PHP and mentions a specific financial figure from the 2025 Annual Report.

2. The Load Shifting Differential — Negative in Four of Six Years The ADC Load Shifting Differential was positive in only two of the six years of tariff operation: 2020 ($6.6M) and 2025 ($1.5M). It was negative in 2021 (−$16.7M), 2022 (−$4...

AI summary The ADC Load Shifting Differential was positive only in 2020 ($6.6M) and 2025 ($1.5M), negative in four of six years (2021–2024). The 2025 result is attributed to fixed cost recovery, with the core economic justification for the tariff (reducing system dispatch costs) yielding minimal benefits.

3. The Fixed Cost Minimum May Still Be Insufficient In the prior review, all intervenors and Board counsel consultant Bates White had recommended increasing the minimum fixed cost contribution above $4/MWh. The Board directed that the $4/M...

AI summary The Board increased the fixed cost minimum payment from $4/MWh to $5/MWh in 2026, but the IG argues this floor remains insufficient to protect ratepayers. Calculations show the $5/MWh rate would generate a $3.5 million annual floor, less than the $4.4 million 2025 fixed cost recovery benefit, requiring load shifting differentials to yield additional value.

7. No Interest on the Balance Owed by PHP As a result of off-schedule charges exceeding the ADC benefit earned by PHP, PHP has a net balance owing of $149,304 for the 2025 tariff year. In response to IG IR-4, NSPI confirmed that these amou...

AI summary PHP owes $149,304 for the 2025 tariff year due to off-schedule charges exceeding ADC benefits. NSPI confirms no interest is charged on this balance until the Annual ELIADC Report is accepted. The IG notes this creates a cost-free financing period for PHP and recommends the Board address carrying costs for post-year-end balances.

Monthly Variability, Cost Recovery, and Reporting In its submission, the IG describes month-to-month variability between billed revenues and cost to serve, and requests NS Power "provide in the monthly reporting M-8, a month-bymonth compar...

AI summary The Industrial Group (IG) requests detailed monthly reporting from NS Power to compare billed revenues with the cost to serve, highlighting shortfalls and explaining accruals. NS Power explains that the ELIADC Tariff operates on an annual settlement basis, and monthly values are provisional and subject to reconciliation. The IG also suggests including annual benefits and costs in future reports for better performance assessment.

Cause Codes and Cost Sharing Variability In its submission, BW provided: The increase in Cause Code 5 hours from 2024 is concerning, if only because NSPI is only refunding 75% of the incremental costs of those deviations to its other custo...

AI summary The document discusses concerns around Cause Code 5 hours and cost-sharing under the ELIADC Tariff. It highlights that NSPI refunds only 75% of incremental costs from Cause Code 5 deviations to other customers, while PHP pays the full incremental cost. The Off-Schedule Charge is an incentive mechanism to encourage adherence to dispatch instructions and is fully recovered from PHP.