N-12025 Annual Financial Statements - Redacted
49 passages
Regulated Balance Sheets As at December 31 December 31 December 31 December 31 millions of Canadian dollars 2025 2024 2025 2024 Assets Liabilities and Equity Current assets Current liabilities Receivables, net $ 557 $ 417 Bank indebtedness...
AI summary The document presents the regulated balance sheets for the years ending December 31, 2025, and December 31, 2024, showing changes in assets, liabilities, and equity. Key items include increases in current assets, long-term liabilities, and equity.
Use of Management Estimates The preparation of consolidated financial statements in accordance with USGAAP requires management to make estimates and assumptions. These may affect the reported amounts of assets and liabilities at the date o...
AI summary The preparation of consolidated financial statements under USGAAP requires management estimates affecting assets, liabilities, revenues, and expenses. Key areas include rate-regulated assets, pension benefits, unbilled revenue, depreciation, income taxes, asset retirement obligations, and financial instrument valuations. Management evaluates these estimates based on historical data and current conditions.
5. REGULATORY MATTERS The Company is a public utility as defined in the Act and is subject to regulation under the Act by the NSEB. The Act gives the NSEB supervisory powers over NSPI's operations and expenditures. Electricity rates for NS...
AI summary NSPI operates as a regulated public utility under the NSEB, adhering to a cost-of-service model that recovers prudently incurred costs and provides an 8.75%-9.25% return on equity. Rates require NSEB approval and are not subject to annual reviews but may be adjusted via hearings.
Storm Rider: NSPI has a NSEB approved storm rider for each of 2023, 2024 and 2025, which gives NSPI the option to apply to the NSEB for recovery of costs if major storm restoration expense exceeds approximately $10 million in a given year....
AI summary NSPI has storm riders approved by the NSEB for 2023, 2024, and 2025, allowing recovery of major storm restoration costs exceeding $10 million. Applications for deferral and recovery are made in the year following the incurred cost, with recovery beginning the year after the application.
25. INVESTMENTS SUBJECT TO SIGNIFICANT INFLUENCE Carrying Value as at December 31 December 31 Ownership (2) millions of dollars 2025 2024 2025 WTI (1) $ 9 $ - 50% (1) Equity earnings issued for the three months and year ended December 31,...
AI summary The section discusses investments subject to significant influence, specifically WTI with a 50% ownership stake as of December 31, 2025, and notes that equity earnings for the period were nil.
Operations NSPI's earnings are most directly impacted by the range of ROE and capital structure approved by the NSEB, the prudent management and approved recovery of operating costs, electric sales volumes, weather, the approved recovery o...
AI summary NSPI's 2026 earnings are projected to be higher than 2025, driven by approved ROE ranges, increased sales volumes, and capital investments of ~$720M. Earnings depend on NSEB-approved rates, cost recovery, and capital structure. Investments focus on power system reliability.
Highlights of the changes in fuel for generation and purchased power are summarized in the following table: For the Three months ended Year ended millions of dollars December 31 December 31 Fuel for generation and purchased power – 2024 $...
AI summary The document highlights changes in fuel costs for generation and purchased power for the periods ending December 31, 2024, and December 31, 2025, with various factors influencing these changes, including the increased Maritime Link assessment, changes in generation mix, and commodity prices. The FAM and FAM Regulatory Deferral are also discussed.
Significant changes in the Consolidated Balance Sheets between December 31, 2025 and December 31, 2024 include: Increase millions of dollars (Decrease) Explanation Assets Receivables, net $ 140 Increased due to timing of billing and receip...
AI summary The Consolidated Balance Sheets show significant changes between December 31, 2025, and December 31, 2024, including increases in receivables, income taxes receivable, and pension assets, as well as changes in debt levels and regulatory assets and liabilities. These changes are attributed to factors like capital investment, timing of payments, and tax credits.
NSPI has a contractual obligation to pay NSPML, a related party, for the use of the Maritime Link over approximately 38 years from its January 15, 2018, in-service date. On December 23, 2025, NSPML received an Interim Order from the NSEB t...
AI summary NSPI has a long-term contractual obligation to pay NSPML for the use of the Maritime Link. An Interim Order from the NSEB allows NSPML to collect up to $199 million from NSPI in 2026, with a monthly holdback. The financial details include discount notes backed by a credit facility, future interest calculations, purchasing commitments, pension obligations, and various service and lease agreements.
2025 Annual Financial Statements Attachment 5 Page 4 of 26 REDACTED (CONFIDENTIAL INFORMATION REMOVED) generation; no severe and/or prolonged downturn in economic conditions; sufficient liquidity and capital resources; the continued abilit...
AI summary The document outlines factors affecting NSPI's operations, including economic conditions, regulatory changes, commodity prices, and insurance coverage. It emphasizes risks such as regulatory and political uncertainties, liquidity challenges, and environmental legislation impacts. Forward-looking information is highlighted as subject to significant risks and uncertainties that could affect NSPI's performance.
General NSPI is a vertically integrated regulated electric utility. It is the primary electricity supplier in the Province. NSPI has $8.1 billion of assets and provides electricity generation, transmission and distribution services to appr...
AI summary NSPI, a vertically integrated regulated electric utility with $8.1 billion in assets, serves 565,000 customers in Nova Scotia. Regulated under the Public Utilities Act by the NSEB, NSPI's rates are set to recover prudently incurred costs with a reasonable investor return. The Province has a population of 1.09 million, representing 2.6% of Canada's population.
Regulatory Matters Electricity Rates & Return on Equity NSPI is regulated under a cost of service model, with rates set to recover prudently incurred costs of providing electricity service to customers, including a reasonable return to inv...
AI summary NSPI operates under a cost-of-service regulatory model, with approved ROE ranges of 8.75–9.25% for 2023–2025, based on a 40% common equity component. The ROE range remains unchanged for 2026 pending NSEB approval in the 2025 GRA.
Capital Investment NSPI's 2025 Capital Plan was approved by the NSEB on August 19, 2025. NSP submitted a Capital Plan for 2026 to the NSEB for approval on December 12, 2025. Capital investment for 2025, including AFUDC, was $712 million (2...
AI summary NSPI's 2025 Capital Plan was approved by NSEB in August 2025, with a 2026 plan submitted in December 2025. Capital investments rose from $451M (2023) to $712M (2025). The rate base includes utility plant, construction work-in-progress, and regulated assets, subject to NSEB approval. A 2025 depreciation study awaits approval, following the last study in 2010.
2022 GRA and Settlement Agreement On February 2, 2023, the NSEB approved the GRA Settlement Agreement between NSPI, key customer representatives and participating interest groups. This resulted in average customer rate increases of 6.9 per...
AI summary The 2022 GRA Settlement Agreement approved by NSEB on February 2, 2023, resulted in 6.9% and 6.5% average rate increases in 2023 and 2024, respectively. It established storm and DSM riders for cost recovery, with the storm rider enabling recovery of major storm restoration costs exceeding $10M annually, and the DSM rider allowing NSPI to recover DSM program costs via a regulatory asset/liability.
CAPITAL STRUCTURE The authorized capital of NSPI consists of an unlimited number of common shares, all without nominal or par value, and an unlimited number of first preferred shares and second preferred shares. All of the outstanding comm...
AI summary NSPI's authorized capital includes unlimited common shares (fully paid, non-assessable) and unlimited first/second preferred shares, with no preferred shares currently outstanding. All common shares are fully paid and non-assessable.
7%–8% annualized, forecasted rate basegrowth through 2030 (3)
AI summary The document discusses annualized, forecasted rate base growth of 7%–8% through 2030, highlighting projected financial planning parameters for Nova Scotia's energy sector. This figure is presented as a key metric in regulatory proceedings related to utility rate structures and long-term infrastructure investment.
Shareholder information As at millions of dollars 2026 2027 2028 2029 2030 Total Capital investment plan $ 4,020 $ 3,730 $ 4,140 $ 4,180 $ 4,330 $ 20,400 Average consolidated rate base US operations $ 23,180 $ 25,100 $ 27,140 $ 29,300 $ 31...
AI summary The document presents a capital investment plan and average consolidated rate base figures for various years, showing projected investments and rate base values for US and Canadian operations. The data excludes NMGC, with more details available in the 'Other Developments' section.
Operating Revenues For Q4 2025, operating revenues increased $243 million compared to Q4 2024 and, excluding decreased MTM losses of $19 million, increased $224 million. The increase was due to higher storm cost recoveries at TEC and NSPI...
AI summary Operating revenues rose $243M in Q4 2025 (vs. Q4 2024) and $1.576B annually, driven by storm cost recoveries at TEC/NSPI, new base rates, fuel cost recoveries, and currency effects. Exclusions include MTM losses/gains adjustments and OM&G offsets.
Florida Electric Utility The Florida Electric Utility segment consists of TEC, a vertically integrated regulated electric utility engaged in the generation, transmission and distribution of electricity, serving customers in West Central Fl...
AI summary TEC, a Florida utility with $14.5B USD assets and 866,000 customers, owns 6,771 MW of generating capacity (78% natural gas, 21% solar, 1% storage). It seeks a $88M USD rate increase approved by FPSC, with new rates effective January 1, 2026, and expects to meet its 9.5%-11.5% ROE range in 2026.
PGS With $3.3 billion USD of assets and approximately 523,000 customers, the PGS system includes approximately 25,600 kilometres of natural gas mains and 14,800 kilometres of service lines. Natural gas throughput (the amount of gas deliver...
AI summary PGS, with $3.3 billion USD in assets and 523,000 customers, anticipates 2026 earnings within its allowed ROE range (9.30%-11.30%) due to new base rates and customer growth. A $67 million USD rate increase was approved by FPSC, including adjustments for cast iron replacement and future years. Capital investment is projected at $445 million USD in 2026.
BLPC With $547 million USD of assets and approximately 137,000 customers, BLPC owns 243 MW of generating capacity, of which 96 per cent is oil-fired and 4 per cent is solar. BLPC owns approximately 200 kilometres of transmission facilities...
AI summary BLPC, with $547 million USD in assets and 137,000 customers, submitted a general rate review application to the FTC in 2021. The FTC granted interim rate relief in 2022, later issuing a decision in February 2023 that BLPC challenged. The FTC dismissed BLPC's Motion for Review in November 2023, with interim rates remaining in effect pending a final decision.
2025 Annual Financial Statements Attachment 6 Page 25 of 138 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Strategic Overview Management's Discussion and Analysis Consolidated Financial Statements Emera Leadership and Board Shareholder infor...
AI summary BLPC appealed FTC rate decisions to the Supreme Court of Barbados, seeking a stay granted in December 2023. BLPC argues FTC erred in law and jurisdiction, with a 2026 decision expected. New non-exclusive T&D and G&S licenses (valid until 2047 and 2028) were agreed upon in 2025, pending repeal of the existing license.
Significant changes in the Consolidated Balance Sheets between December 31, 2024 and December 31, 2025 include: millions of dollars Total Increase (Decrease) Explanation of Other Increase (Decrease) Assets Cash and cash equivalents $ 153 I...
AI summary The Consolidated Balance Sheets show significant changes between December 31, 2024, and December 31, 2025, including an increase in cash and cash equivalents due to operational cash flow and debt proceeds, a decrease in regulatory assets due to lower storm cost recovery and FX effects, and an increase in receivables and other assets due to higher commodity prices and pension returns.
Financial Highlights
AI summary The document provides an overview of key financial highlights, including management's discussion and analysis, capital expenditures, and various regulatory and compliance considerations relevant to Nova Scotia Power Incorporated.
Highlights of net income changes are summarized in the following table: For the millions of USD Three months ended December 31 Year ended December 31 Contribution to consolidated net income – 2024 $ 83 $ 468 Increased operating revenues, p...
AI summary The text highlights changes in net income for 2024 and 2025, noting factors such as increased operating revenues due to storm cost recovery, new base rates, and higher regulatory deferral revenue, as well as increased fuel costs, OM&G expenses, and depreciation and amortization.
Regulatory Environment TEC is regulated by the FPSC and is also subject to regulation by the FERC. The FPSC sets rates at a level that allows utilities such as TEC to collect total revenues or revenue requirements equal to their cost of pr...
AI summary TEC is regulated by the FPSC and FERC. FPSC sets rates to ensure TEC's revenue equals service costs plus return on capital, with base rates determined in hearings initiated by TEC, FPSC, or others. Refer to note 7 in financial statements for more details.
Liquidity and Capital Resources The Company generates internally sourced cash from its various regulated and non-regulated energy investments. Utility customer bases are diversified by both sales volumes and revenues among customer classes...
AI summary Emera generates cash from regulated and non-regulated energy investments, with liquidity affected by macroeconomic conditions, fuel prices, and regulatory decisions. Future capital needs include working capital, rate base investments, acquisitions, and debt servicing. Emera plans to fund these through operations, debt, equity, and the pending sale of NMGC, with regulatory approvals required for utility debt.
Regulatory and Political Risk The Company's rate-regulated utilities and certain investments are subject to complex legislative and regulatory frameworks that cover material aspects of their businesses. These frameworks influence key facto...
AI summary Emera's rate-regulated utilities face risks from complex regulatory frameworks affecting cost recovery, ROE, and capital investments. Failure to recover costs or obtain approvals could cause Material Adverse Effects, including valuation impairments. Regulatory lag between cost incurrence and rate approval further heightens these risks.
Energy Consumption Risk Emera's rate-regulated utilities are affected by demand for energy based on changing customer patterns due to fluctuations in a number of factors including general economic conditions, weather events, customers' foc...
AI summary Emera's rate-regulated utilities face risks from shifting energy demand patterns driven by economic factors, weather, energy efficiency, and new technologies like solar and EVs. Government policies promoting distributed generation and efficiency could reduce load and revenues, potentially causing a Material Adverse Effect on operations, rate base, earnings, and cash flows.
Consolidated Balance Sheets (continued) As at millions of dollars December 31 2025 December 31 2024 Liabilities and Equity Current liabilities Short-term debt (note 24) $ 1,807 $ 1,400 Current portion of long-term debt (note 26) 1,201 234...
AI summary The consolidated balance sheets show a significant increase in liabilities and equity from December 31, 2024, to December 31, 2025, with notable changes in short-term and long-term debt, regulatory liabilities, and equity components such as retained earnings and accumulated other comprehensive income.
5. Segment Information Emera manages its reportable segments separately due in part to their different operating, regulatory and geographical environments. Segments are reported based on each subsidiary's contribution of revenues, net inco...
AI summary Emera manages reportable segments separately due to differing operating, regulatory, and geographical environments. The CODM (Chief Executive Officer) evaluates segment performance using net income attributable to common shareholders, aligning with USGAAP principles, and considers budget-to-actual variances monthly.
Accumulated Reserve – COR This regulatory asset or liability represents the non-ARO COR reserve in TEC, PGS and NSPI. AROs represent the FV of estimated cash flows associated with the Company's legal obligation to retire its PP&E. Non-ARO...
AI summary The Accumulated Reserve (COR) is a regulatory liability representing funds collected from customers to cover future costs of retiring PP&E. Non-ARO COR, not legally required, reduces the rate base for ratemaking. This reserve is adjusted as depreciation is recorded and new assets are added, impacting the company's financial obligations and rate structures.
Florida Electric Utility TEC is regulated by the FPSC and is also subject to regulation by the Federal Energy Regulatory Commission. The FPSC sets rates at a level that allows utilities such as TEC to collect total revenues or revenue requ...
AI summary Florida Electric Utility (TEC) is regulated by the Florida Public Service Commission (FPSC) and the Federal Energy Regulatory Commission (FERC). FPSC sets rates to ensure TEC recovers costs and earns an appropriate return on equity. TEC's 2025 approved ROE range is 9.50%-11.50% (equity structure 54%), with 10.50% used for investment calculations.
Base Rates: On April 2, 2024, TEC filed a rate case with the FPSC for new base rates. On December 3, 2024, the FPSC rendered a decision which included annual base rate increases of $185 million USD in 2025 and adjustments of $87 million US...
AI summary TEC filed a rate case with the FPSC in 2024, leading to base rate increases of $185 million USD in 2025 and adjustments in 2026-2027. The FPSC approved the decision in February 2025, but an intervening party appealed to the Florida Supreme Court. In 2025, TEC petitioned for an additional $88 million USD adjustment, which the FPSC approved. The appeal process remains unresolved.
NSPI NSPI is a public utility as defined in the Public Utilities Act of Nova Scotia ("Public Utilities Act") and is subject to regulation by the NSEB. The Public Utilities Act gives the NSEB supervisory powers over NSPI's operations and ex...
AI summary NSPI, a public utility under Nova Scotia's Public Utilities Act, is regulated by the NSEB using a cost-of-service model. Rates are set to recover prudently incurred costs and provide a reasonable return, with a 2024-2025 ROE range of 8.75% to 9.25%.
Base Rates: On March 31, 2025, PGS filed a rate case with the FPSC for new rates to become effective January 1, 2026. On August 13, 2025, PGS and the intervening parties filed a settlement agreement with the FPSC for a $67 million USD incr...
AI summary PGS filed a rate case with FPSC, leading to a $67 million USD base rate increase approved in October 2025, including specific riders and future adjustments, with a 10.30% ROE and 54.7% equity thickness.
Base Rates: On September 14, 2023, NMGC filed a rate case with the NMPRC for new base rates. On March 1, 2024, NMGC filed with the NMPRC a settlement with the support of all parties in the case for an increase of $30 million USD in annual...
AI summary NMGC filed a rate case with NMPRC, leading to a $30 million USD annual revenue increase and maintaining ROE at 9.375%. The settlement, approved on July 25, 2024, covers operating costs, capital investments, and a new billing system. NMGC withdrew its request for a regulatory asset related to a 2022 LNG storage application.
Base Rates: In 2021, BLPC submitted a general rate review application to the FTC. In September 2022, the FTC granted BLPC interim rate relief, allowing an increase in base rates of approximately $1 million USD per month. On February 15, 20...
AI summary BLPC submitted a general rate review application to the FTC in 2021, leading to interim rate relief and a 2023 decision with adjustments to base rates, ROE, and regulatory liabilities. BLPC appealed the FTC's decisions to the Supreme Court of Barbados, seeking a stay, with the appeal ongoing as of December 2025.
GBPC GBPC is regulated by the GBPA. The GBPA has granted GBPC a licensed, regulated and exclusive franchise to produce, transmit and distribute electricity on the island until 2054. Rates are set to recover prudently incurred costs of prov...
AI summary GBPC operates under a 2054 franchise granted by GBPA, with rates set to recover prudently incurred costs plus an 8.52% return on rate base. The regulatory framework ensures cost recovery and appropriate returns for electricity service provision.
Base Rates: There is a fuel pass-through mechanism and tariff review policy with new rates submitted every three years. On August 1, 2024, as required by the GBPA Operating Protocol and Regulatory Framework Agreement, GBPC filed a rate pla...
AI summary The document outlines a fuel pass-through mechanism and a three-year tariff review policy. On August 1, 2024, GBPC submitted a rate plan proposal in compliance with the GBPA Operating Protocol and Regulatory Framework Agreement.
The Company's net investment in direct finance and sales-type leases primarily relates to Brunswick Pipeline, Seacoast, compressed natural gas ("CNG") stations, a renewable natural gas ("RNG") facility and heat pumps. The Company manages i...
AI summary The company's net investment includes direct finance and sales-type leases related to infrastructure like the Brunswick Pipeline, CNG stations, and heat pumps. Risk management involves maintenance of the pipeline, and customers have options to purchase leased assets at the end of the lease term.
Regulatory and Political Risk The Company's rate-regulated utilities and certain investments are subject to complex legislative and regulatory frameworks that cover material aspects of their businesses. These frameworks influence key facto...
AI summary Emera's rate-regulated utilities face risks from complex regulatory frameworks affecting cost recovery, ROE, and capital investments. Delays in regulatory approvals, inability to recover costs, or policy changes could cause Material Adverse Effects, including valuation impairments and service reliability issues. Regulatory stability is also threatened by government interference or shifts in public policy.
30. Non-Controlling Interest in Subsidiaries As at millions of dollars December 31 2025 December 31 2024 Preferred shares of GBPC $ 14 $ 14 Preferred shares of GBPC
AI summary This section discusses the preferred shares of GBPC as of December 31, 2025, and December 31, 2024, showing a value of $14 million in both years.
Chart of Accounts for Nova Scotia Power Inc. (Consolidated) As of December 31, 2025
AI summary The document presents the Chart of Accounts for Nova Scotia Power Inc. as of December 31, 2025, outlining the financial structure and categorization of assets, liabilities, equity, revenues, and expenses for the company.
INTRODUCTION The Oracle account number consists of a twenty-nine digit "Accounting Flexfield" . The flexfield is made up of eight segments as shown below. CO Account Line of Bus Location CC Inter-Company Future Use Future Use XXX XXXXXX XX...
AI summary The document describes the structure of the Oracle account number, known as the 'Accounting Flexfield,' which is composed of eight segments used to categorize financial transactions for Nova Scotia Power and related entities. Each segment serves a specific purpose, such as identifying the company, account type, location, and cost center.
ACCOUNT SEGMENT Account Segment Value Account Segment Description 128400 ST DERIV ASSET HFT TREASURY 130050 ST REG ASSETS OTHER 130060 ST REG ASSET HYDRO GENERATION FACILITIES 130100 ST REG ASSET UNAMORT DEFEAS ISSUE COSTS 130200 ST REG AS...
AI summary The text provides a list of account segments with corresponding descriptions, including items related to assets, liabilities, and regulatory accounting. These segments include derivatives, prepaid items, long-term assets, and deferred costs associated with regulatory processes.
2025 Annual Financial Statements Attachment 10 Page 1 of 1 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Nova Scotia Power Inc. Rate Base Years Ended December 31st Millions of Dollars 2025 Actual 1 2 3 4 15 Net Plant in Service 447 Less: Imp...
AI summary This document presents the 2025 Annual Financial Statements for Nova Scotia Power Inc., focusing on the Rate Base and related financial components. It includes details on Net Plant in Service, Deferred Charges & Credits, and various asset-related items such as Asset Retirement Obligations and Deferred income taxes. The document also outlines regulated rate base calculations and financial metrics like weighted average cost of debt and return on equity.
- 2) Allowance for materials and supplies is the ending balance as at December 31. Gross Book Value, Asset Additions Accet Transfero Accet Datiromento Total Bassaya baginning Asset Retirements Depreciation & Salvage & Cost of Reclassify to...
AI summary The text provides details on the Allowance for materials and supplies as of December 31, along with a table that outlines various asset-related entries, including additions, retirements, depreciation, and adjustments for different types of plants in Nova Scotia.
2025 Annual Financial Statements Attachment 16.2 Page 1 of 1 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Application of Amounts Year Regulated Net Earnings Above Section 21 FAM Fixed Cost Income Approved ROE Amortization1 Deferral Range ($...
AI summary The table presents the application of amounts related to regulated net income and earnings above the approved ROE range from 2006 to 2025. It highlights the impact of Section 21 amortization on earnings, particularly in 2014 and 2015, where accelerated amortization reduced earnings above the approved ROE range.
N-2Refiled Statements - NSPI - Redacted
54 passages
Regulated Balance Sheets As at December 31 December 31 December 31 December 31 millions of Canadian dollars 2025 2024 2025 2024 Assets Liabilities and Equity Current assets Current liabilities Receivables, net $ 557 $ 417 Bank indebtedness...
AI summary The document presents the regulated balance sheets for the period ending December 31, 2025, and December 31, 2024, showing changes in assets, liabilities, and equity. Key figures include increases in current assets, liabilities, and long-term debt, as well as changes in equity components such as common stock and retained earnings.
REDACTED 2025 Annual Financial Statements Attachment 1 Page 5 of 6 December 31 millions of Canadian dollars 2025 Unregulated Retained Earnings Unregulated retained earnings - December 31, 2024 $200.8 Unregulated compensation (including dir...
AI summary This document presents the unregulated retained earnings and related financial details for the 2025 Annual Financial Statements. It includes figures for compensation, interest, depreciation, and various adjustments, as well as property, plant, and equipment values for unregulated assets. The data also reflects income tax adjustments, related party liabilities, and equity issuance related to an investment.
Principles of Consolidation These consolidated financial statements include the accounts of NSPI and its wholly-owned subsidiary, NSPEMI. The Company performs ongoing analysis to assess whether it holds any variable interest entities ("VIE...
AI summary The consolidated financial statements include NSPI and its subsidiary NSPEMI. The company assesses variable interest entities (VIEs) by reviewing contractual arrangements like leases and purchase agreements, focusing on control and loss absorption obligations.
Use of Management Estimates The preparation of consolidated financial statements in accordance with USGAAP requires management to make estimates and assumptions. These may affect the reported amounts of assets and liabilities at the date o...
AI summary The preparation of consolidated financial statements under USGAAP requires management estimates affecting assets, liabilities, revenues, and expenses. Key areas include rate-regulated assets, pension benefits, unbilled revenue, depreciation, income taxes, asset retirement obligations, and financial instrument valuations. Management continuously evaluates these estimates based on historical data and current conditions.
Allowance for Funds Used During Construction AFUDC represents the cost of financing regulated construction projects and is capitalized to the cost of PP&E until the asset is operational. The Company includes an equity cost component in AFU...
AI summary AFUDC represents the financing cost for regulated construction projects, capitalized as part of PP&E until operational. It includes equity and borrowed funds components, calculated via weighted average cost of capital approved by NSEB, and impacts financial statements through interest expense and other income adjustments.
NSPI recognizes deferred income tax assets and liabilities for the future tax consequences of events that have been included in the consolidated financial statements or income tax returns, in accordance with NSPI's rate-regulated accountin...
AI summary NSPI accounts for deferred income tax assets and liabilities based on future tax consequences, following its rate-regulated accounting policy approved by the NSEB. Regulatory assets or liabilities are recognized if these taxes are expected to be recovered from or returned to customers in the future.
A. Commitments As at December 31, 2025, contractual commitments (excluding pensions and other post-retirement obligations, long-term debt, interest payment obligations, long-term payables and ARO) for each of the next five years and in agg...
AI summary This section outlines contractual commitments as of December 31, 2025, excluding certain obligations such as pensions, long-term debt, and ARO. It provides a breakdown of these commitments for the next five years and in aggregate thereafter.
Regulatory and Political Risk NSPI is subject to complex legislative and regulatory frameworks that cover material aspects of their businesses. These frameworks influence key factors such as rates and cost structures, revenue requirements,...
AI summary NSPI operates under complex regulatory frameworks affecting rates, cost recovery, and return on equity. Regulatory delays and decisions may hinder cost recovery, impact service reliability, and lead to material adverse effects. Government policy shifts and regulatory instability further amplify risks to NSPI's operations and investments.
2025 Annual Financial Statements Attachment 3 Page 2 of 30 REDACTED (CONFIDENTIAL INFORMATION REMOVED) The forward-looking information is based on reasonable assumptions and is subject to risks, uncertainties and other factors that could c...
AI summary The document outlines forward-looking information and associated risks, including regulatory, economic, commodity price, credit rating, rate base growth, capital investment, and environmental factors that could affect NSPI's financial results. It emphasizes uncertainties in energy consumption, technology, climate, and market conditions.
Operations NSPI's earnings are most directly impacted by the range of ROE and capital structure approved by the NSEB, the prudent management and approved recovery of operating costs, electric sales volumes, weather, the approved recovery o...
AI summary NSPI's 2026 earnings are projected to be at the low end of its allowed ROE range, with higher earnings than 2025 due to factors like approved base rates, sales volume growth, and capital investment. Capital spending is expected to reach $720M, focused on power system reliability. The GRA and settlement agreement are referenced for further details.
2025 Annual Financial Statements Attachment 3 Page 11 of 30 REDACTED (CONFIDENTIAL INFORMATION REMOVED) NSPI's future liquidity and capital needs will be predominantly for working capital requirements, ongoing rate base investment and debt...
AI summary NSPI anticipates $720 million in 2026 investments for working capital, rate base expansion, and debt servicing, primarily for power system reliability. It has $800 million in syndicated revolving credit and a $500 million nonrevolving term facility, with $222 million available as of December 31, 2025.
2025 Annual Financial Statements Attachment 5 Page 1 of 26 REDACTED (CONFIDENTIAL INFORMATION REMOVED)
AI summary The document is a redacted page from the 2025 Annual Financial Statements Attachment 5, which contains confidential information. It appears to be part of a regulatory or financial disclosure process involving Nova Scotia Power or a related entity.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION This AIF, including the documents incorporated herein by reference, contains "forward-looking information" and "forward-looking statements" within the meaning of applicable securities l...
AI summary This document contains forward-looking information about NSPI's financial performance, operations, and regulatory compliance. It includes projections and assumptions regarding revenue, capital investments, regulatory decisions, environmental initiatives, and potential challenges such as cyber incidents and global economic conditions.
2025 Annual Financial Statements Attachment 5 Page 4 of 26 REDACTED (CONFIDENTIAL INFORMATION REMOVED) generation; no severe and/or prolonged downturn in economic conditions; sufficient liquidity and capital resources; the continued abilit...
AI summary The document outlines forward-looking information for NSPI, highlighting key assumptions and risks affecting its operations, including regulatory, economic, environmental, and market-related factors. It emphasizes uncertainties such as changes in laws, commodity prices, credit ratings, and technological developments that could impact performance.
Name and Incorporation NSPI was incorporated on July 13, 1984 pursuant to the Companies Act (Nova Scotia). NSPI's principal, head and registered office is located at 1223 Lower Water Street, Halifax, Nova Scotia, B3J 3S8. NSPI and its pred...
AI summary NSPI was incorporated in 1984 and operates as a wholly-owned subsidiary of Emera. It has a 100% investment in NSPEMI and a 50% interest in WTI, a regulated utility involved in a transmission line project between Nova Scotia and New Brunswick.
Capital Investment NSPI's 2025 Capital Plan was approved by the NSEB on August 19, 2025. NSP submitted a Capital Plan for 2026 to the NSEB for approval on December 12, 2025. Capital investment for 2025, including AFUDC, was $712 million (2...
AI summary NSPI's 2025 Capital Plan was approved by the NSEB in August 2025, with a capital investment of $712 million. A 2026 Capital Plan was submitted for approval in December 2025. The rate base includes net utility plant and regulated assets, with depreciation rates reviewed periodically and a 2025 depreciation study awaiting approval.
2025 Annual Financial Statements Attachment 5 Page 25 of 26 REDACTED (CONFIDENTIAL INFORMATION REMOVED) - "GGPPA" means the Greenhouse Gas Pollution Pricing Act; - "Government" means the Government of Canada; - "GRA" means a General Rate A...
AI summary This document defines key terms and abbreviations used in the 2025 Annual Financial Statements of Nova Scotia Power Inc. (NSPI), including regulatory and technical terminology related to energy, finance, and legal frameworks.
7%–8% annualized, forecasted rate basegrowth through 2030 (3)
AI summary The text discusses the annualized, forecasted rate base growth through 2030, indicating a focus on financial projections and regulatory planning.
5–7% average adjusted EPS (2) growth target through 2030 (3) - (1) Based on 2025 adjusted net income attributable to common shareholders ("adjusted net income"), excluding Corporate costs of $380 million. Adjusted net income is a non-GAAP...
AI summary The text outlines an average adjusted EPS growth target through 2030, based on 2025 adjusted net income excluding corporate costs of $380 million. Adjusted EPS and rate base growth forecasts use 2024 as the base year. These are non-GAAP measures, with details provided in Emera's Q4 2025 MD&A.
2025 Financial Highlights $3.49 Annual adjusted EPS (1) 72% of adjusted net income (1), excluding Corporate costs, comes from Florida (2) $3.6B capital invested in 2025, leading to an 8% annual increase in rate base 4.3% dividend yield (3)...
AI summary The 2025 Financial Highlights show an annual adjusted EPS of $3.49, with 72% of adjusted net income coming from Florida. Capital invested in 2025 increased the rate base by 8% annually, and the dividend yield is 4.3% based on the share price of $67.64 as of December 31, 2025.
FLI is based on reasonable assumptions and is subject to risks, uncertainties and other factors that could cause actual results to differ materially from historical results or results anticipated by the FLI. Factors that could cause result...
AI summary Forward-looking information (FLI) is subject to various risks and uncertainties that could cause actual results to differ significantly from expectations. These include regulatory, economic, environmental, technological, and operational risks, among others.
Introduction and Strategic Overview Emera (TSX/NYSE: EMA) is a North American provider of energy services, owning and operating a portfolio of cost-of-service, rate-regulated electric and gas utilities. Its largest operations are in Florid...
AI summary Emera is a North American energy services provider with regulated utilities in Florida, Atlantic Canada, New Mexico, and the Caribbean. It focuses on operational efficiency and capital investments to support earnings and dividends. Its capital investment plan from 2026 to 2030 is expected to be around $20 billion, with 80% allocated to Florida due to customer growth and system needs.
Shareholder information As at millions of dollars 2026 2027 2028 2029 2030 Total Capital investment plan $ 4,020 $ 3,730 $ 4,140 $ 4,180 $ 4,330 $ 20,400 Average consolidated rate base US operations $ 23,180 $ 25,100 $ 27,140 $ 29,300 $ 31...
AI summary The table outlines the capital investment plan and average consolidated rate base for the years 2026 to 2030, showing figures for US and Canadian operations. The capital investment plan excludes NMGC, with further details available in the 'Other Developments' section.
Operating Revenues For Q4 2025, operating revenues increased $243 million compared to Q4 2024 and, excluding decreased MTM losses of $19 million, increased $224 million. The increase was due to higher storm cost recoveries at TEC and NSPI...
AI summary Operating revenues increased significantly in Q4 2025 and for the year ended December 31, 2025, driven by factors such as higher storm cost recoveries, new base rates, and favorable weather, among others.
PGS With $3.3 billion USD of assets and approximately 523,000 customers, the PGS system includes approximately 25,600 kilometres of natural gas mains and 14,800 kilometres of service lines. Natural gas throughput (the amount of gas deliver...
AI summary PGS anticipates earning within its allowed ROE range in 2026, with USD earnings expected to be higher than 2025 due to new base rates and customer growth. A rate case was filed with the FPSC, leading to a $67 million USD increase in 2026 annual base rates, with additional adjustments in 2027 and 2028. Capital investment is expected to be approximately $445 million USD in 2026.
BLPC With $547 million USD of assets and approximately 137,000 customers, BLPC owns 243 MW of generating capacity, of which 96 per cent is oil-fired and 4 per cent is solar. BLPC owns approximately 200 kilometres of transmission facilities...
AI summary BLPC, a Barbados utility with $547 million USD in assets and 137,000 customers, submitted a general rate review application in 2021. The FTC granted interim rate relief in 2022 and issued a decision in February 2023, which BLPC challenged. The FTC dismissed the challenge in November 2023, and interim rates remain in effect until a final decision is issued.
Significant changes in the Consolidated Balance Sheets between December 31, 2024 and December 31, 2025 include: millions of dollars Total Increase (Decrease) Explanation of Other Increase (Decrease) Assets Cash and cash equivalents $ 153 I...
AI summary The consolidated balance sheets show significant changes between December 31, 2024, and December 31, 2025, with increases in cash and receivables, and decreases in regulatory assets. These changes are attributed to factors like higher cash from operations, commodity prices, and FX translation effects.
Regulatory Environment TEC is regulated by the FPSC and is also subject to regulation by the FERC. The FPSC sets rates at a level that allows utilities such as TEC to collect total revenues or revenue requirements equal to their cost of pr...
AI summary TEC is regulated by the FPSC and FERC, with base rates determined through rate setting hearings. These hearings can be initiated by TEC, the FPSC, or other interested parties, and the FPSC sets rates to ensure utilities can recover their costs and earn an appropriate return on invested capital.
Liquidity and Capital Resources The Company generates internally sourced cash from its various regulated and non-regulated energy investments. Utility customer bases are diversified by both sales volumes and revenues among customer classes...
AI summary Emera generates cash from regulated and non-regulated energy investments and is focused on maintaining liquidity for debt servicing, capital investments, and growth. A $20 billion capital investment plan is in place for 2026 through 2030, subject to regulatory approval. Emera plans to fund these needs through operations, debt, equity, and the sale of NMGC.
Energy Consumption Risk Emera's rate-regulated utilities are affected by demand for energy based on changing customer patterns due to fluctuations in a number of factors including general economic conditions, weather events, customers' foc...
AI summary Emera's rate-regulated utilities face energy consumption risks due to changing customer demand influenced by economic conditions, weather, energy efficiency, and new technologies like solar and electric vehicles. Government policies promoting efficiency and distributed generation may reduce load and revenue, impacting operations, rate base, earnings, and cash flows.
Rate Regulation The rate-regulated accounting policies of Emera's rate-regulated subsidiaries and regulated equity investments are subject to examination and approval by their respective regulators and may differ from the accounting polici...
AI summary Emera's rate-regulated subsidiaries use accounting policies that differ from non-rate-regulated companies due to regulatory decisions on rate applications. These differences affect the timing of revenue and expense recognition. Regulatory accounting guidance is critical, as changes in assumptions can significantly impact financial reporting. As of December 31, 2025, the company reported $3,198 million in regulatory assets and $1,669 million in regulatory liabilities.
Accounting for the effects of rate regulation Description of the Matter As disclosed in note 7 of the consolidated financial statements, the Company has $3.2 billion in regulatory assets and $1.7 billion in regulatory liabilities. The Comp...
AI summary The document discusses the accounting challenges related to rate regulation for the Company, which has significant regulatory assets and liabilities. Auditing these impacts is complex due to the uncertainty of future regulatory decisions and the need to assess the probability of cost recovery. The audit process involved reviewing regulatory orders, filings, and legal correspondence to evaluate the Company's financial disclosures.
Principles of Consolidation These consolidated financial statements include the accounts of Emera Incorporated, its majority-owned subsidiaries, and a variable interest entity ("VIE") in which Emera is the primary beneficiary. Emera uses t...
AI summary The consolidated financial statements include Emera Incorporated and its subsidiaries, with specific accounting treatments for variable interest entities and intercompany transactions. The primary beneficiary of a VIE must consolidate it, while others use the equity method. Intercompany transactions are eliminated, except for regulated and non-regulated entities, with net profit recorded in non-regulated operating revenues.
Use of Management Estimates The preparation of consolidated financial statements in accordance with USGAAP requires management to make estimates and assumptions. These may affect reported amounts of assets and liabilities at the date of th...
AI summary The preparation of consolidated financial statements under USGAAP requires management estimates and assumptions, particularly regarding rate-regulated assets, pension benefits, unbilled revenue, and asset retirement obligations. These estimates are periodically reviewed and adjusted as necessary based on historical experience and current conditions.
Regulatory Matters Regulatory accounting applies where rates are established by, or subject to approval by, an independent third-party regulator. Rates are designed to recover prudently incurred costs of providing regulated products or ser...
AI summary Regulatory accounting is used in situations where rates are set by or require approval from an independent third-party regulator. Its purpose is to recover prudently incurred costs and allow for a reasonable rate of return on invested capital.
Leases The Company determines whether a contract contains a lease at inception by evaluating whether the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. Lease liabili...
AI summary The document outlines Emera's lease accounting practices, including how leases are identified, recognized, and accounted for in financial statements. It distinguishes between operating and finance leases and explains how lease liabilities and right-of-use assets are recorded. The document also covers specific lease arrangements with independent power producers and other utilities, as well as sales-type and direct finance leases.
Environmental Remediations This asset is primarily related to PGS costs associated with environmental remediation at Manufactured Gas Plant sites. The balance is included in rate base, partially offsetting the related liability, and earns...
AI summary This asset is related to PGS costs for environmental remediation at Manufactured Gas Plant sites. It is included in the rate base, partially offsetting the liability, and earns a rate of return permitted by the FPSC. The timing of recovery is based on a settlement agreement approved by the FPSC.
Stranded Cost Recovery Due to decommissioning of a GBPC steam turbine in 2012, the GBPA approved recovery of a $21 million USD stranded cost through electricity rates; it is included in rate base and expected to be included in rates in fut...
AI summary The decommissioning of a GBPC steam turbine in 2012 led to the approval of $21 million USD stranded cost recovery through electricity rates, which is included in the rate base and expected to be included in future rates.
Accumulated Reserve – COR This regulatory asset or liability represents the non-ARO COR reserve in TEC, PGS and NSPI. AROs represent the FV of estimated cash flows associated with the Company's legal obligation to retire its PP&E. Non-ARO...
AI summary The Accumulated Reserve – COR represents a non-ARO reserve in TEC, PGS, and NSPI, which is used to cover future costs of retiring PP&E. This reserve is funded through depreciation rates and reduces the rate base for ratemaking purposes. The liability is adjusted based on depreciation and new asset additions.
Base Rates: On April 2, 2024, TEC filed a rate case with the FPSC for new base rates. On December 3, 2024, the FPSC rendered a decision which included annual base rate increases of $185 million USD in 2025 and adjustments of $87 million US...
AI summary TEC filed a rate case in 2024 with the FPSC, resulting in base rate increases and adjustments over several years. An intervening party filed a motion for reconsideration, which was denied, and two parties appealed to the Florida Supreme Court. TEC later petitioned for an additional base revenue increase, which was approved in 2025.
NSPI NSPI is a public utility as defined in the Public Utilities Act of Nova Scotia ("Public Utilities Act") and is subject to regulation by the NSEB. The Public Utilities Act gives the NSEB supervisory powers over NSPI's operations and ex...
AI summary NSPI operates as a regulated public utility under the Public Utilities Act, with the NSEB overseeing its operations and setting electricity rates. NSPI's regulated return on equity (ROE) for 2024 and 2025 is set between 8.75% and 9.25%, based on a 40% common equity component of the approved rate base.
FAM Asset Sale: On April 17, 2024, the NSEB approved the sale of $117 million of the FAM regulatory asset to Invest Nova Scotia, a provincial Crown corporation. On April 30, 2024, the transaction closed and the $117 million was remitted to...
AI summary The NSEB approved the sale of $117 million of the FAM regulatory asset to Invest Nova Scotia, a provincial Crown corporation, on April 17, 2024. The transaction closed on April 30, 2024, with the amount remitted to NSPI. NSPI collects amortization and financing costs from customers over a 10-year period and remits these amounts to Invest Nova Scotia quarterly.
Base Rates: On March 31, 2025, PGS filed a rate case with the FPSC for new rates to become effective January 1, 2026. On August 13, 2025, PGS and the intervening parties filed a settlement agreement with the FPSC for a $67 million USD incr...
AI summary PGS filed a rate case with the FPSC on March 31, 2025, proposing a $67 million USD increase in 2026 base rates, including adjustments for 2027 and 2028. The FPSC approved the settlement on October 31, 2025, with a 10.30% midpoint ROE and 54.7% equity thickness.
Base Rates: On September 14, 2023, NMGC filed a rate case with the NMPRC for new base rates. On March 1, 2024, NMGC filed with the NMPRC a settlement with the support of all parties in the case for an increase of $30 million USD in annual...
AI summary NMGC filed a rate case with the NMPRC in 2023, leading to a $30 million annual base revenue increase and maintaining a 9.375% ROE. The new rates reflect increased operating costs, capital investments, and a new billing system. NMGC agreed to withdraw its request for a regulatory asset related to a 2022 LNG storage facility application. The NMPRC approved the settlement in July 2024, with new rates effective October 1, 2024.
BLPC BLPC is regulated by the Fair Trading Commission ("FTC"), under the Utilities Regulation (Procedural) Rules 2003. BLPC is regulated under a cost-of-service model, with rates set to recover prudently incurred costs of providing electri...
AI summary BLPC is regulated by the Fair Trading Commission under the Utilities Regulation (Procedural) Rules 2003, using a cost-of-service model. Rates are set to recover prudently incurred costs plus a 10 per cent return on capital invested for 2024 and 2025.
Base Rates: In 2021, BLPC submitted a general rate review application to the FTC. In September 2022, the FTC granted BLPC interim rate relief, allowing an increase in base rates of approximately $1 million USD per month. On February 15, 20...
AI summary BLPC submitted a rate review application in 2021, leading to interim rate increases and a decision by the FTC in February 2023. BLPC appealed the decision, and the Supreme Court of Barbados granted a stay. The appeal was heard in late 2025 and will continue into 2026. BLPC claims the FTC made errors of law and jurisdiction.
GBPC GBPC is regulated by the GBPA. The GBPA has granted GBPC a licensed, regulated and exclusive franchise to produce, transmit and distribute electricity on the island until 2054. Rates are set to recover prudently incurred costs of prov...
AI summary GBPC operates under the GBPA's regulation, holding an exclusive franchise until 2054. Rates are determined to recover prudently incurred costs and provide an 8.52% return on the rate base.
Superfund and Former Manufactured Gas Plant Sites Previously, TEC had been a potentially responsible party ("PRP") for certain superfund sites through its Tampa Electric and former PGS divisions, as well as for certain former manufactured...
AI summary TEC and its former PGS division are PRPs for superfund and former manufactured gas plant sites, with an estimated $15 million in liability as of December 31, 2025. The liability is reflected in long-term liabilities and is recoverable through customer rates. The estimates assume other PRPs are creditworthy, though uncertainties remain.
2025 Annual Financial Statements Attachment 6 Page 137 of 138 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Strategic Overview Management's Discussion and Analysis Consolidated Financial Statements Emera Leadership and Board Shareholder info...
AI summary The document provides an overview of the 2025 Annual Financial Statements for Emera, including sections such as the Strategic Overview, Management's Discussion and Analysis, Consolidated Financial Statements, Emera Leadership and Board, and Shareholder information.
Chart of Accounts for Nova Scotia Power Inc. (Consolidated) As of December 31, 2025
AI summary The text presents the consolidated chart of accounts for Nova Scotia Power Inc. as of December 31, 2025, outlining financial categories and classifications relevant to the company's operations.
ACCOUNT SEGMENT Account Segment Value Account Segment Description 128400 ST DERIV ASSET HFT TREASURY 130050 ST REG ASSETS OTHER 130060 ST REG ASSET HYDRO GENERATION FACILITIES 130100 ST REG ASSET UNAMORT DEFEAS ISSUE COSTS 130200 ST REG AS...
AI summary The text presents a list of account segments with corresponding descriptions, highlighting various financial and regulatory assets, liabilities, and other related items. These segments include short-term and long-term assets, regulatory assets, deferred items, and other financial instruments.
2025 Annual Financial Statements Attachment 10 Page 1 of 1 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Nova Scotia Power Inc. RB-2-16 Rate Base Years Ended December 31st Millions of Dollars
AI summary This document presents the 2025 Annual Financial Statements of Nova Scotia Power Inc., focusing on the Rate Base section. It provides financial data for the years ended December 31st, in millions of dollars.
2025 Actual 1 2 3 Amount 4 15 Net Plant in Service 5,045 447 Less: Impact of the Non-Regulated Adjustments (84) 448 Plus: Construction work in progress 340 449 Net Utility Fixed Assets 5,302 450 Add: 451 Deferred Charges & Credits 461 Fina...
AI summary The document presents a financial summary for 2025, detailing Net Plant in Service, Net Utility Fixed Assets, and various charges and credits. It includes figures for depreciation, amortization, income taxes, operating costs, and total revenue, highlighting key financial metrics for regulatory proceedings.
- 2) Allowance for materials and supplies is the ending balance as at December 31. No. Gross Book Value, Asset Additions Accest Transfers Accet Betiremente Total Bassaya baginning Asset Retirements Depreciation & Salvage & Cost of Reclassi...
AI summary The text discusses the allowance for materials and supplies, indicating that it represents the ending balance as of December 31. It also includes a table with various asset-related categories and adjustments, though the specific details of the table are not fully legible.