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Topic:"Dcrr" in M12887

Matter: Nova Scotia Power Inc. - 2025 Short Run Marginal Cost (SRMC) Test to Rates Report
5 passages 2 documents

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N-1Report 1 passage
2.0 METHODOLOGY p. pp. 7-9
2.0 METHODOLOGY The SRMC test involves the following steps: 1. Determine the average annual system marginal cost (over 8760 hours in 2025) at the transmission delivery level. In calculating this marginal cost, the effects of exports and lo...

AI summary The SRMC test methodology calculates system marginal costs, adjusts for distribution losses, compares unit revenues to marginal costs, and estimates inefficient usage via price elasticities. NS Power uses a long-term elasticity factor of -0.15 for certain rate classes, while others rely on California Energy Commission data. The 2026 Load Forecast Report (M12861) is referenced for elasticity inputs.

N-2Report - Refiled 4 passages
Section 22 p. p. 14
Note 2: There were six TVP Tariffs, which came into effect in June 22, 2021 (M09777) and one additional TVP Tariff (MURB Tariff) which came into effect on November 1, 2024 (M11822). The SRMC test did not include the six TVP Tariffs in the...

AI summary The document discusses the implementation of six TVP Tariffs in 2021 and an additional MURB Tariff in 2024, noting that the SRMC test excluded these tariffs due to incomplete data. It also references the SRMC test results, which are based on unit revenue with FAM adjustments and highlights volatility between average unit revenues and marginal costs.

Figure 4: Trends in Annual Energy Requirement, Unit Revenues and Marginal Costs p. pp. 14-16
Figure 4: Trends in Annual Energy Requirement, Unit Revenues and Marginal Costs 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 % Change in 2025 Total System Requirement (GWh) Net of LRT/ELIADC 9,837 9,970 10,252 10,342 9,884 9,940 10,17...

AI summary Figure 4 presents trends in annual energy requirements, unit revenues, and marginal costs from 2016 to 2025. It highlights fluctuations in average marginal costs, unit revenues, and variance between unit revenues and marginal costs. The data shows that unit revenues have generally increased over time, while marginal costs have fluctuated significantly.

Preamble p. p. 20
2 - 3 The results of the 2025 SRMC tests conducted on revenues with and without FAM adjustments - 4 are shown in Appendix B . 5 6 All of the tested rate classes passed the two SRMC tests. 7 - 8 Discussion of these results is presented in t...

AI summary The document discusses the results of the 2025 SRMC tests conducted on revenues with and without FAM adjustments, noting that all tested rate classes passed the tests. The analysis is divided into three sections, covering changes in fuel and marginal costs, SRMC test results for ATL rate classes, and challenges in applying the test to BTL rates.

Changes in Supply Elasticities Due to Restructuring p. p. 24
ormance-based rate. Even if the market prices fall below operation and maintenance costs, owners of "must-run" generation may have no incentive to reduce output or to cease operating the power plants. As a result of restructuring, the scop...

AI summary Restructuring the electricity market introduces new markets and financial instruments, which can increase supply elasticities by reducing investor risks. However, due to high capital costs and long lead times, generation supply may remain inelastic. Public pressures and alternative investments like transmission upgrades or energy efficiency may also influence market responses.

Disclaimer: These summaries were generated by AI from the filings they describe. We take care to make them accurate, but errors are possible - and they aren't advice. Only the filings themselves are the record: if you're relying on something here, confirm it against the source documents or the Nova Scotia Energy Board's own record. Full disclaimer →