Topic:"Power Purchase Agreement" in M12661

2.3 Energy Charge - The Energy Charge under the ELID Tariff will apply to all energy supplied to PHP in excess of - the Subject Energy Amount1F 2 deemed to be provided pursuant to the Power Sales Agreement issued - under Section 4AA (now S...

AI summary The Energy Charge under the ELID Tariff applies to PHP's energy consumption beyond the Subject Energy Amount, with proposed rates of 9.977 cents/kWh (2026) and 11.240 cents/kWh (2027). These rates consider embedded costs, energy displacement from the Goose Harbour Lake Wind Farm, and are subject to ongoing court proceedings regarding PHP's liability for the Maritime Link FLG2.

DATE FILED: December 29, 2025 Page 11 of 19 1 2.7 Billing Provisions 2 3 In recognition of the large revenue associated with service to PHP, the ELID Tariff retains the 4 ELIADC provisions for weekly billing. 5 6 2.8 Tariff Term 7 8 As an...

AI summary The document outlines billing provisions and tariff terms related to PHP Wind Ltd. (PHPW) under the ELID Tariff. It discusses the inclusion of PHP in NS Power's fuel hedging portfolio and the notice period required for PHP to transition to a different tariff. The document also references the Power Sales Agreement between NSPI and PHPW, detailing energy sales and delivery obligations.

3.2 Financial Benefits to ATL Customers Attachment 2 provides the cost-of-service applicable to PHP using the figures in the SA, including its fuel and non-fuel components and identifies the FCR provided by PHP if served on an ATL tariff f...

AI summary The ELID Tariff increases FCR for ATL customers compared to the ELIADC Tariff, with reductions in 2027 due to PHPW PPA displacing NS Power supply. DR service reduces system costs but benefits PHP, resulting in neutral net effects. Marginal fuel costs impact ATL classes differently based on whether they are above or below average.

4 LINE TARIFF? 5 A NS Power has established specific forecast energy consumption levels for PHP to 6 calculate the proposed embedded costs, energy costing, and billing determinants for 7 the 2026-2027 test years. For the 2026 calendar year...

AI summary NS Power has forecasted PHP's energy consumption for 2026-2027, with a significant 2027 drop attributed to displacement by the Goose Harbour Lake Wind Farm's energy under a Power Purchase Agreement. Proposed energy charges apply to excess energy beyond a 'Subject Energy Amount,' with potential adjustments pending court proceedings over PHP's liability for the Maritime Link Federal Loan Guarantee.

22 Q. Please provide your understanding of how an Above-the-Line Tariff will 23 work in conjunction with the PHP Wind Project at Goose Harbour Lake. 24 25 A. An above-the-line tariff in conjunction with PHP Wind will provide PHP with 26 fi...

AI summary An Above-the-Line Tariff for the PHP Wind Project will provide PHP with fixed-cost energy, tracking mill consumption separately from wind production. Netting wind energy against mill consumption will determine PHP's final bill from NS Power, based on the tariff rate and additional cost/credit components.

NSPI Responses to BW Information Requests 1 Request IR-10: 2 3 Please refer to the Goose Harbour PPA and PSA. 4 5 (a) Please confirm that the PPA and PSA do not account for transmission losses. If not 6 confirmed, please explain with refer...

AI summary NSPI is responding to BW information requests regarding the Goose Harbour PPA and PSA, addressing questions about transmission losses, offsetting credits, penalties for delays, and curtailed energy handling. The responses require references to specific clauses in the agreements.

NSPI Responses to BW Information Requests Please refer to the Power Sales Agreement Between Nova Scotia Power Incorporated and Port Hawkesbury Paper Limited Partnership (NSPI (IG) IR-1 Attachment 2), referred to (a) With respect to the PSA...

AI summary NSPI responds to BW information requests regarding the PSA Sales Agreement Fee and marginal cost forecasts. The fee is set at $2.00/MWh or $4.00/MWh depending on the buyer's annual energy demand. Marginal cost forecasts for 2027 are not yet available, but 2026 estimates are provided in the 2026 AAR Application (M12551).

REDACTED 1 Request IR-13: 2 3 Please refer to the Power Purchase Agreement for Renewable Energy Between Nova Scotia 4 Power Incorporated and Port Hawkesbury Paper Wind Ltd (NSPI (IG) IR-1 Attachment 1), 5 referred to below as "the PPA". Th...

AI summary The document contains a request related to the Power Purchase Agreement (PPA) for a wind generation facility called PHPW, asking about energy bid scaling, estimated annual net output for different capacity scenarios, and monthly net output and curtailment estimates for 2027.

1 Response IR-13: 2 3 (a) The current forecast, which NS Power received from PHP, is based on a facility nameplate 4 capacity of 130.5 MW as stated in the Power Purchase Agreement (PPA). If the seller is 5 approved for an increased namepla...

AI summary NS Power provides information regarding the current forecast and potential revised Energy Bid based on a Power Purchase Agreement (PPA) and P90 forecast. They state they cannot comment on the revised Energy Bid and do not have an independent estimate of the P50 level of the wind site.

FOR THE YEAR ENDING DECEMBER 31, 2027 (1) TOTAL (2) (3) SMALL (4) (5) GENERAL (6) SMALL (7) MEDIUM (8) LARGE (9) (10) (11) (12) ALLOCATION (11) 3 CP DMD LESS INT. & ELIIR 6,580,113 4,351,189 230,332 1,195,401 136,936 125,244 144,442 245,49...

AI summary The text presents a table with various metrics related to energy generation, purchase, and responsibility distribution across different categories and sizes. It includes figures for megawatt-hours, customer numbers, and percentages of responsibility, with some rows labeled with reference codes such as D-4, E-1A, and C-1.

NON-CONFIDENTIAL Due to the Dispatchable Rider (DR), NS Power will dispatch PHP's load to optimize generation and reduce total fuel costs. As more wind generation is available on the system, PHP will be scheduled to higher load levels, as...

AI summary NS Power will dispatch PHP's load to optimize generation and reduce fuel costs, particularly with the inclusion of wind energy from the Goose Harbour Lake Wind Farm. Energy from the wind farm will be treated as an IPP and netted off PHP's bill, with potential credits arising from demand shifting during low-cost periods.

NON-CONFIDENTIAL 1 Request IR-5: 2 3 Reference: Application, Attachment 1, page 8 of 8: 4 5 "Annually, NS Power shall report to the Board to confirm the dollar value of 6 system savings that have been achieved through the dispatch of the 7...

AI summary The document discusses whether NS Power should include an interest component in the credit payable to PHP for system savings under the Dispatchable Rider. NS Power responds that it does not propose applying an interest component, citing the complexity of factors affecting savings and the difficulty in determining a base for interest calculations.

Response IR-8: - (a) See Attachment IG IR-8(a). The monthly energy demand is developed as part of the internal annual budget process that is proprietary to PHP and is based on projected monthly paper order fulfillment and the energy requir...

AI summary PHP's energy demand projections for 2026 are based on internal budgeting and wind generation forecasts, with a 4.5% variance in production estimates. The company argues that higher energy costs from wind projects could exceed allocated costs if the project isn't operational, and their financial responsibility is limited to the ELID tariff and PPA.

Responses to CA Questions and Topics – 1 of 3 Question NS Power Response Please also refer to 1. CA IR-4 response says Line losses between PHP mill and the Goose Harbour Lake Wind Farm are not considered in the netting of energy. When was...

AI summary NS Power responds to questions about line losses between PHP and the Goose Harbour Lake Wind Farm, citing the PHP Power Sales Agreement and the Electricity Act. Disagreement exists between PHP and NSP regarding consistency with the GRA settlement agreement. NS Power asserts positions are aligned with the Settlement Agreement, while PHP disagrees.

- this total system FAM costs the actual total system FAM costs incurred during the year.[14](#page-4-0) The difference will equal the DR credit for the year, 100% of which will be credited to PHP.[15](#page-4-1) The cost of the DR credit...

AI summary The ELID Tariff includes DR credits fully allocated to PHP, recovered from all ATL customers. Interruptible Demand Credits ($7.638/kVA in 2026, $7.667/kVA in 2027) and Priority Interruptible Credits ($0.764/kVA in 2026, $0.767/kVA in 2027) are proposed. PHP may claim Goose Harbour Wind Farm output (168 MW, partially commissioned by late 2026) as a credit against ELID charges.

11 Table 4. Effects of Goose Harbour Generation Treatment Under the PSA on PHP Energy Costs for

AI summary The text introduces Table 4, which examines the effects of the Goose Harbour Generation Treatment under the Power Supply Agreement (PSA) on PHP Energy Costs for Port Hawkesbury Paper (PHP). The table likely details financial implications and cost variations based on different treatment scenarios.

- through the Fuel Adjustment Mechanism ("FAM") allocation process as a dollar value credit, and will be allocated so as to be paid for by all ATL customers. - 3. The ELID customer is also proposed to receive an Interruptible Rider ("IR")...

AI summary NSP proposes an ELID tariff with credits via the Fuel Adjustment Mechanism (FAM), Interruptible Rider (IR), and a 10% priority interruptible premium. PHP's wind generation from Goose Harbour Lake is prioritized in energy allocation, with load shaping via DR and potential interruptible demand credits. The proposal outlines a sequence for PHP's energy procurement and system integration.

Reply Evidence of Colin T. Fitzhenry and Michael P. Gorman 1 Q PLEASE STATE YOUR NAMES AND BUSINESS ADDRESS. 21 22 23 24 25  PHP recommends updating the tariff to incorporate revised 2027 energy sales and Goose Harbour production forecast...

AI summary PHP recommends updating the tariff to incorporate revised 2027 energy sales and Goose Harbour production forecasts, and proposes an Active Demand Credit under the Dispatchable Rider to reconcile actual fuel and O&M costs for the ELID customer class.

irements over the next three-year - 5 period." Our understanding is that no true-up mechanism is applied in these tariffs if those other - 6 industrial customers actual load deviates from forecast. 7 - 8 Furthermore, as noted by NS Power a...

AI summary The discussion revolves around the use of P90 in wind power projects and the treatment of demand cost recovery as a fixed charge. NS Power's approach to billing and the implications of the Power Sales Agreement (PSA) on the Goose Harbour facility are addressed, with a focus on system impact and cost recovery mechanisms.

casted generation output from Goose Harbour that was incorporated into NSPI's GRA forecast for 2026 and 2027, by year. Request IR-9: Please refer to Exhibit N-1, page 10 lines 5-7 and section 2.5. - a) Please identify "the cost of providin...

AI summary The text includes several requests for clarification regarding the Dispatchable Rider, the ELID Tariff, and the Goose Harbour PPA and PSA. Questions focus on cost allocation, dispatch instructions, enforcement mechanisms, and the impact of exogenous factors on PHP's consumption and credits.

- c. Please confirm that curtailed energy counts as "Expected Output" under the PPA. 1 d. Please confirm that curtailed energy is included in the "Subject Energy Amount" in 2 the PSA. If not confirmed, please explain with references to spe...

AI summary The text requests confirmation on whether curtailed energy is considered 'Expected Output' under a Power Purchase Agreement (PPA) and included in the 'Subject Energy Amount' under a Power Sales Agreement (PSA). It also seeks clarification on the basis for fee levels, the 625,000 MWh threshold, and the use of PHP energy use in determining the fee rate.

cheduling in any way? Please explain. 47. Under the ELID Tariff, will NSPI be providing PHP with hourly loading schedules that are based on system cost optimization? Please explain. 48. Does the ELID Tariff contain any enforcement or penal...

AI summary The text consists of a series of questions regarding the ELID Tariff, Dispatchable Rider, and related agreements involving NSPI and PHP. It addresses topics such as dispatch instructions, enforcement mechanisms, cost recovery, and the terms of the PPA and PSA.

If not confirmed, please explain with references to specific PPA/PSA clauses. 57. Please confirm that the PPA contains no penalties for PHP should the wind farm fail to reach commercial operations at any time. If not confirmed, please expl...

AI summary The text includes a series of questions related to the Power Purchase Agreement (PPA) and Power Sales Agreement (PSA) between Nova Scotia Power Inc. (NSPI) and Prince Heritage Power (PHP), focusing on penalties, curtailed energy, load data, and fee structures. Specific clauses and definitions within these agreements are requested for clarification.

ease provide estimated values for NSPI’s average monthly Marginal Cost Rate (consistent with the meaning of that term applied in PPA). 63. Please refer to the Power Purchase Agreement for Renewable Energy Between Nova Scotia Power Incorpor...

AI summary The document requests detailed information about the Marginal Cost Rate, Energy Bid scaling, and Net Output estimates for the PHPW facility under different capacity scenarios, referencing the Power Purchase Agreement and requiring explanations for any missing data.