Topic:"Fuel Cost Adjustment" in M03413

14.2 Interest If either Party fails to make payments as they become due under the PPA or pursuant to an arbitral award, interest on such unpaid amounts shall also become due and payable until paid at a rate equal to the Prime Rate.

AI summary The section outlines that if a party fails to make payments under the PPA or arbitral award, interest at the Prime Rate will accrue on the unpaid amounts until they are settled.

NON-CONFIDENTIAL 1 Request IR-2: 12 2009, Digby Construction Bid Proposals 13 14  Redacted Attachment 2 - CBCL Limited - Bid Comparison, Project No.: 15 090630.00; Project: SkyPower Wind Power Project 16 17  Confidential Attachment 3 – C...

AI summary The text discusses a request (IR-2) related to construction bid proposals from 2009 for the SkyPower Wind Power Project. CBCL Limited provided an Engineer's Estimate and managed the tender process, receiving eight bids. SkyPower entered creditor protection before receiving detailed bid documents.

NON-CONFIDENTIAL 1 Request IR-4: 19 of the leases? Please provide copies of all relevant leases. 20 21 (f) Have all easements or licenses for access to the 56 properties been obtained? If not, 22 what is the status of access? Please provid...

AI summary The text includes several requests and responses related to a regulatory proceeding, focusing on lease agreements, easements, PPA security transfer, licensing for RES compliance, and project costs for the Digby Wind Project. It also mentions the ecoENERGY benefit and its impact on fuel expense through the Fuel Adjustment Mechanism.

- .1 stantial completion of the work. - .2 (6) months following delivery to the Place of the Installation. - .2 Owner, through the Engineer, shall promptly give the Vendor notice in writing of observed defects and deficiencies that occur d...

AI summary The text outlines warranty obligations and factory test requirements for electrical equipment, including procedures for reporting defects, correcting issues, and assigning warranties. It also specifies testing standards for circuit breakers, current transformers, and bushings.

- .2 CSA Standards - .1 C156.1, Ceramic and Glass Station Post Insulators - .2 G164, Hot Dipped Galvanized or Irregularly Shaped Articles - .3 W59, Welded Steel Construction (metal-ark welding) - .3 NEMA Standards - .1 Std. SG-6, Power Swi...

AI summary This document outlines the standards and submittal requirements for electrical components, including CSA, NEMA, ANSI/IEEE, and ISO standards, as well as specifications for operation and maintenance data and manufacturer drawings for disconnect switches.

2.1 The overall assembly enclosure(s) shall provide protection from ingress of rodents, insects, and moisture; and the possibility of arcing faults within the enclosure. - 1.12.2 The material for all external sides of the enclosure and int...

AI summary The document outlines technical specifications for the assembly enclosures, including protection against environmental factors, material requirements, grounding provisions, environmental control, and fire suppression capabilities.

9 IN-PLANT INSPECTION AND TESTING - 9.1 The Owner, Purchaser, Engineer, and/or their authorized agents shall have the privilege of inspecting and witnessing all testing at all times during the manufacture of the equipment or materials orde...

AI summary This section outlines the requirements for in-plant inspection and testing during equipment manufacturing, including the right to inspect, advance notice requirements, and the submission of test results to the Engineer.

- .8 Formwork: - .1 Forms: to CSA-A23.1, plywood and lumber, clean and free of loose knots, splits or metal. - .2 Form Ties: to CSA-A23.1, removable or snap-off metal ties, fixed or adjustable length. Form ties, tie wire, spacers or other...

AI summary The text outlines specifications for formwork and concrete mix, referencing various Canadian standards and testing methods. It details requirements for materials such as form ties, release agents, and curing compounds, as well as specifications for concrete mix proportions and air content.

to this statement. It is an impressive site. As the wind farm is fully constructed and in operation we can say with certainty that the capital costs presented in this Application will not be exceeded. The project helps Nova Scotia Power me...

AI summary The wind farm is fully constructed and in operation, with capital costs as presented in the Application not expected to be exceeded. The project helps Nova Scotia Power meet RES compliance requirements and provides customers with green energy valued at about $20 million per year without increasing general rates or the FAM, due to tax incentives and regulatory accounting policies.

Findings [137] The Board has reviewed all the information provided and finds that NSPI customers will benefit by including the Project in the rate base. However, the amount to be included in the rate base requires reduction. The Board unde...

AI summary The Board has approved the DWP project with a reduced cost of $79.8 million, noting that the project is in the best interest of ratepayers compared to the PPA. The Board also encourages NSPI to provide energy output data in the FAM filing and acknowledges the economic analysis showing the project's superiority if expected energy output is achieved.

contribution is not affected whether the DWP is a NSPI owned asset or developed as an IPP, selling electricity to NSPI under the PPA. [149] No submissions were made on this issue by the Intervenors. [150] The Board finds that, at the prese...

AI summary The document discusses the RES issue and the ecoEnergy incentive in the context of the DWP project. The Board finds no action is required on the RES issue. The ecoEnergy program provides a $10/MWh incentive for eligible renewable projects, and NSPI has included this benefit in its economic analysis. The DWP project qualifies for the incentive and is fully in-service, meeting the eligibility deadline.

Appendix 4 – Asset Purchase Agreement Partial redaction has been made to the Asset Purchase Agreement where reference is made to a commercial term of the PPA and the Promissory Note. The information is protected from public disclosure by a...

AI summary This document discusses the partial redaction of a commercial term in an Asset Purchase Agreement involving NSPI. The redaction is necessary to protect confidential information, ensuring NSPI can maintain competitive power purchase terms and safeguard customer rates, which are cost-based.

ential (Board letter of July 30, 2010). The bases for the request for confidential treatment of these responses are therefore similar. This letter describes the details, in accordance with Rule 12(4). In certain IR responses, information h...

AI summary NSPI argues that certain information in IR responses should be treated confidentially to protect sensitive commercial terms and procurement strategies. This is to prevent suppliers from gaining an unfair advantage and increasing costs for NSPI and its customers.

20 Sensitivities 1 and 2 provide the NPV and levelized cost using the XXXX MWh and 21 100,000 MWh production values respectively. NSPI assumed a flat production profile through 22 the life of the project. The PPA price remained as original...

AI summary The document discusses the NPV and levelized cost calculations based on different production scenarios, noting that NSPI assumed a flat production profile. The PPA price remains unchanged at $92/MWh because the annual production threshold has not been met, meaning the incremental energy rate does not apply.

ECONOMIC ANALYSIS If NSPI's economic analysis is accepted, the levelized cost of energy for the next 20 years compares favourably to the SkyPower PPA. However, prudence requires careful scrutiny of the embedded costs. NSPI asserts that acc...

AI summary NSPI's economic analysis shows a favorable NPV of $4.9 million for a capital project compared to the SkyPower PPA, but this changes when using a comparable output level. The use of P50 versus P90 assumptions in energy production forecasts is discussed, with the Board expressing hesitation to make a general ruling on the matter.

19 NSPI's Evidence demonstrates that: 20 21 1. Having been granted a power purchase agreement (PPA) following the 2007 22 Request for Proposals (RFP), the Project is the lowest cost renewable energy 23 project available to NSPI and its cus...

AI summary NSPI's evidence highlights the importance of the Project, which was the lowest-cost renewable energy option for NSPI and its customers. Due to developer insolvency, quick action was needed to preserve the PPA and Federal ecoEnergy incentive. Emera established a numbered company to complete the Project on time to meet the 2011 RES and save the incentive, providing significant benefit to NSPI customers.

1 financial analysis using a midpoint between the PPA annual production and the 2 P50 level of production assumed in NSPI's Application. 3 4 3. Recalculate the 2008 PPA price to include the incremental energy rate in the PPA. 5 NSPI has fi...

AI summary The document discusses financial recalculations related to a PPA, including adjustments to O&M costs and project economics, resulting in improved NPV and lower levelized costs. These changes were made in response to previous requests and are based on revised calculations submitted by NSPI.

22 4.0 CONCLUSION 23 24 NSPI has brought forward a low cost renewable project which is required for 2013 RES 25 compliance. NSPI's evidence confirms that its actions and those of its affiliates have 26 preserved the value in an otherwise f...

AI summary NSPI has completed a low-cost renewable energy project ahead of schedule and under budget, benefiting customers. The affiliate transactions associated with the project align with the Code of Conduct, which emphasizes demonstrable benefits to customers. NSPI requests approval for a $82.8 million capital expenditure and confirmation of compliance with the Code of Conduct.

Submissions - Intervenors [133] Avon commented on the embedded costs in the overall cost of the DWP and their affect on NPV and levelized energy cost: Since the time of the filing, NSPI entered into an Operation Support Agreement with GE,...

AI summary Avon Group comments on the DWP project's embedded costs and their impact on NPV and levelized energy cost. NSPI has updated its costs, but Avon argues that using the PPA's output level results in the original PPA being more economically favorable. The Board acknowledges the use of P50 estimates but does not take a position on whether P50 or P90 should be used for future applications.

Findings [137] The Board has reviewed all the information provided and finds that NSPI customers will benefit by including the Project in the rate base. However, the amount to be included in the rate base requires reduction. The Board unde...

AI summary The Board has reviewed the DWP project and found that including it in the rate base benefits NSPI customers, though the amount requires reduction. The Project is deemed favorable compared to the PPA when considering revised construction costs, O&M savings, and higher energy output. The Board also notes that the economic analysis does not account for infrastructure benefits beyond a 20-year horizon.

contribution is not affected whether the DWP is a NSPI owned asset or developed as an IPP, selling electricity to NSPI under the PPA. [149] No submissions were made on this issue by the Intervenors. [150] The Board finds that, at the prese...

AI summary The document discusses the RES issue and the eligibility of the DWP project for the ecoEnergy incentive. The Board finds no action is required for RES, and confirms the DWP qualifies for the ecoEnergy program, which provides a $10/MWh incentive for eligible renewable projects. The ecoEnergy benefit is included in NSPI's economic analysis and flows through the Fuel Adjustment Mechanism.