Topic:"Prudency Reviews" in M12451

5.1.3.3 ELENCHUS OPINION - 2 Creating a transmission storage sub-function is prudent at this time given developments - 3 in the electricity sector since NS Power's last cost of service study review. Storage can - 4 be used for many purpose...

AI summary The text discusses the prudence of creating a transmission storage sub-function, citing developments in the electricity sector since NS Power's last cost of service study review. It notes that storage can serve multiple purposes and that NS Power is likely to develop storage with a transmission function.

13 Source : 2026-2027 GRA OR-01 Att 01 1 Request IR-27: 15 "a description of any hedging strategies or mechanisms proposed to be used by Nova 16 Scotia Power to manage fuel costs during the Rate Stability Period". 17 18 (b) Please confirm,...

AI summary The document requests a description of hedging strategies proposed by Nova Scotia Power to manage fuel costs during the Rate Stability Period. It also references a past decision by the Nova Scotia Utility and Review Board approving NS Power's Fuel Stability Plan and highlights the requirement for advance approval of hedging strategies to reduce risk to shareholders.

a. Summary To determine the Test Year plant-in-service, the Authority adds the amount of prudently completed capital investments made by the Company through the end of the Test Year to the Company's previously approved utility plant. As ex...

AI summary The Authority determines the Test Year plant-in-service by adding prudently completed capital investments to the previously approved utility plant. The Company must demonstrate, by a preponderance of the evidence, that proposed plant-in-service is used and useful and that capital was invested prudently. The Company failed to meet this burden for several projects, leading to adjustments in the Test Year plant-in-service.

llowing such requests in future, the Authority will consider the status of previously allowed projects, which may indicate whether the Company's ability to forecast future needs should be relied upon. information about (1) the anticipated...

AI summary The Authority will consider the status of previously allowed projects when evaluating future requests, focusing on the Company's ability to forecast future needs. The text also requests information on the anticipated cost of completing the plant, its potential use, and whether it was prudently constructed.

3-01-19 Decision), pp. 174–175 (Order No. 14). UI further argues that its deferral of infrastructure replacement programs and projects will create another large bubble of projects in future years. Id. Importantly, the Company has an ongoin...

AI summary The document discusses the Company's obligation to prudently invest in infrastructure and comply with regulatory decisions, while highlighting concerns about deferred projects creating future costs. It also references the need for reasonable returns on investments and the importance of ensuring that ratepayers are not unfairly burdened with future capital costs.

The Authority identified a group of 26 prospective companies to ascertain the market-based range of the cost of equity (COE) for the Company. The Authority uses certain criteria (Authority Screening Criteria) to identify companies that hav...

AI summary The Authority identified 26 prospective companies to determine the market-based cost of equity (COE) for the Company, using specific screening criteria. The criteria include revenue sources, credit ratings, and financial stability. The Authority does not assess the prudence of future expenditures that may not materialize. Proxy groups were proposed by the Company, OCC, and EOE, with recommendations focusing on publicly traded electric companies.

and economical management, to maintain and support its credit and enable it to raise the money necessary for the proper discharge of its public duties." Bluefield, 262 U.S. at 692-93 (emphasis added). Indeed, courts interpreting the "under...

AI summary The text discusses judicial interpretations of utility regulation, emphasizing that inefficient management can lead to adjustments in a utility's rate of return. It references cases such as In re Citizens Utilities Co. and D.C. Transit System, Inc. v. Washington Metropolitan Area Transit Comm., highlighting the principle that fair return is tied to service quality and management efficiency. It also notes that PURA has discretion to consider a utility's performance in determining its authorized ROE.

assessing the prudence of a public service company's actions and expenditures, a prudency determination is neither the exclusive nor dispositive analysis in establishing an appropriate rate of return. The Authority's broad regulatory autho...

AI summary The document discusses the Authority's broad discretion in setting rates and the inefficiency of the company's remediation efforts at English Station. It argues for a continued reduction in Return on Equity (ROE) to incentivize faster remediation. Legal precedents and a Superior Court decision are referenced to support the Authority's regulatory authority.

ubmitted that in addition to ignoring that the financing cost would be symmetrically applied to both debit and credit DVA balances, these are inappropriate arguments. The OEA reasoned that the setting 73 The OEB's EB-2008-0046 Report of th...

AI summary The OEA argues that the SEC and CCC's concerns about the Concentric approach and DVA carrying costs are based on a misunderstanding. The OEA maintains that financing costs should be symmetrically applied to both debit and credit DVA balances and that the just and reasonable standard applies to rate-setting. The OEB's EDDVAR report outlines the distinction between Group 1 and Group 2 DVAs, with the latter requiring prudence reviews.

FOR FEBRUARY 2026 (1) MWH SALES (2) ENERGY LINE LOSSES (3) ENERGY REQUIREMENT (4) CLASS NON- COINCIDENT DMD. (KW) (5) SYSTEM COINCIDENT FACTOR (6) SYSTEM COINCIDENT DMD. (KW) (7) DEMAND LINE LOSSES (8) SYSTEM COIN. PEAK DMD. (KW) (9) SYSTE...

AI summary The document presents a table with data related to energy sales, losses, and demand factors for February 2026, including subtotals and totals for various categories such as shore power, real-time pricing, and export sales.

FOR JUNE 2026 (1) MWH SALES (2) ENERGY LINE LOSSES (3) ENERGY REQUIREMENT (4) CLASS NON- COINCIDENT DMD. (KW) (5) SYSTEM COINCIDENT FACTOR (6) SYSTEM COINCIDENT DMD. (KW) (7) DEMAND LINE LOSSES (8) SYSTEM COIN. PEAK DMD. (KW) (9) SYSTEM CO...

AI summary The document presents a table with various energy metrics, including MWH sales, energy losses, demand factors, and other related statistics categorized by different customer classes and sectors. It includes totals and subtotals for various categories, as well as some redacted information.

above, some increased operational costs also result from Board proceedings involving various customer representatives, including the FAM Audit Dispatch Study and the Interconnection processes matter. [95] NS Power has also proposed increas...

AI summary NS Power has proposed increased OM&G costs to address cyber security and technology upgrades, including consulting fees, new employees, and software updates. The Board accepts these costs as reasonable but notes ongoing proceedings regarding a 2025 cyber incident, which may affect future prudence reviews.

en found by the Board to have been prudently incurred. Ms. Runge said NS Power should apply to the Board for this purpose when it wants to add such costs to the DDA. [Emphasis added] [2024 NSUARB 67] - [437] In its decision, the NSUARB ref...

AI summary The NSUARB emphasized the presumption of prudence in capital decisions and directed NS Power to provide notice on future capital work orders involving DDA assets. The Board also noted that costs transferred to the DDA may be subject to review.

NON-CONFIDENTIAL 1 TABLE OF CONTENTS 2 3 1.0 INTRODUCTION 3 4 2.0 REPLY TO THE CLOSING SUBMISSIONS OF THE NOVA SCOTIA NDP AND 5 LIBERAL CAUCUSES 3 6 3.0 REPLY TO THE CLOSING SUBMISSION OF THE DEPARTMENT OF ENERGY 9 7 4.0 REPLY TO THE CLOSI...

AI summary NS Power responds to closing submissions from various stakeholders, including political parties, the Department of Energy, and consumer representatives. The response emphasizes the importance of evidence-based decision-making in regulatory proceedings and references a 2005 Board ruling on rate determinations and cost prudence.

- 1 Block, concluding that the AUC's decision was based on errors of law, and remitted the matter to - 2 the AUC for its reconsideration. On reconsideration (Decision 28320-D01-2023), the AUC - 3 reversed its original decision and allowed...

AI summary The text discusses the invalidity of certain legal precedents, such as the UAD decisions and Smyth v. Ames, in the context of a regulatory proceeding. It also challenges the DOE's request to disallow sustaining capital for Lingan Unit 2, arguing that NS Power's planning has benefited customers by deferring major investments and that the rationale for disallowance lacks supporting evidence.

above, some increased operational costs also result from Board proceedings involving various customer representatives, including the FAM Audit Dispatch Study and the Interconnection processes matter. [95] NS Power has also proposed increas...

AI summary NS Power has proposed increased OM&G costs totaling $10.2 million from 2024CR to 2026 and $1.8 million in 2027, primarily due to cyber security and technology upgrades. The Board accepts these costs as necessary and reasonable but notes that ongoing proceedings (M12273 and M12600) regarding a 2025 cyber incident may lead to findings of imprudence if warranted.

NSP COST OF CAPITAL PANEL 445 Cr-ex, (Mahody) 1 our analysis. 11 paragraph are you referring to? 12 At the top of the page, the last Q. 13 sentence in that paragraph, "While it may be relevant to 14 consider U.S. utility ROE results." 15 (...

AI summary The text discusses the consideration of U.S. utility return-on-equity (ROE) results in determining the required ROE for Canadian regulated utilities, highlighting concerns about the equivalence of U.S. and Canadian data. It also references expert testimony provided during a hearing involving multiple consulting firms.

DOANE GRANT THORNTON PANEL 1105 Questions, (Deveau) 1 prepared to accept their assumption as fact. 2 A. (Brown) Yes, we were focused on 3 recalculating and the methodology, not just the 4 mathematical recalculation. We weren't looking for...

AI summary The discussion revolves around the methodology used in recalculating expenses, focusing on the lack of analysis regarding efficiency savings, prudence, and reasonableness of costs from strategic or organizational goals. The speaker confirms that no such analysis was conducted.