Topic:"Rate Design" in M12619

has resulted in several amendments to project accountability in NS Power’s The Path 26 to 2030 report. The Company continues to engage with both federal and provincial governments 27 to meet the 2030 decarbonization targets in a way that i...

AI summary The document discusses updates to NS Power’s The Path to 2030 report in response to the Board’s 2025 ACE Plan directive, emphasizing project accountability and alignment with 2030 decarbonization targets. It also mentions ongoing engagement with federal and provincial governments and the transition of accountabilities to the IESO-NS.

1 Plan, which is to be filed with Board by December 31, 2024. Similarly, it is likely 2 too late for the study report to be included with the 2025 ACE Plan application. As 3 such, the Board directs NS Power to provide a report on this VoLL...

AI summary The document discusses the need for NS Power to provide a Value of Lost Load (VoLL) assessment in its 2026 ACE Plan application and outlines NS Power's position on reliability metrics used in its Performance Standards reporting, emphasizing their effectiveness and industry standardization.

delivering customer care, billing and communications 27 to customers. CIS needs to be replaced in order to address the risks associated with 28 the existing software and to continue to deliver bills and serve customers reliably. 29 30 In a...

AI summary NS Power plans to replace the Customer Information System (CIS) to address risks with the current software and support new tariff designs like Time of Use and Critical Peak Pricing. A ransomware attack discovered in April 2025 may influence the project's direction and timeline, which has been temporarily paused. The CIS Replacement project application is planned for 2026, with the new system expected to launch in 2029.

4.9 0.9 - - Telecontrol & 6.4 0.9 1.5 0.5 - 3.5 Telecommunications Other Work Support Facilities 10.2 0.3 2.7 0.2 1.2 5.9 Total $22.5 $1.2 $9.1 $1.6 $1.2 $9.4 Note: Figures presented may include $0.1M in rounding differences on some line i...

AI summary The 2026 ACE Plan uses the Board's approved AFUDC rate of 6.65%, effective April 1, 2025, as directed in the Board’s WACC and AFUDC Order dated March 31, 2025. The document also outlines O/H rates for Generation, Customer Operations, and Shared Services.

6.67% Battery Energy Storage System (BESS) Project Battery Storage Systems 5.00% 1 Date: December 12, 2025 Page 141 of 782 REDACTED REDACTED (CONFIDENTIAL INFORMATION REMOVED) 2026 ACE Plan C0080206 Page 1 of 5 CI Number: C0080206 Title: P...

AI summary The document outlines the refurbishment of the Point Aconi Boiler in 2026, including the replacement of critical components to ensure environmental compliance, safe operation, and efficiency. The project is part of the 2026 ACE Plan and is subject to the Board's directive on the Decarbonization Deferral Account (M11220).

onfirm this was done in its applications to the Board. In accordance with the Board’s directive, NS Power provided notice of this investment to participants in the DDA proceeding on December 3, 2025. Summary of Related CIs +/- 2 years: Pur...

AI summary NS Power is replacing refractory components in the Steam Production Plant at Point Aconi to ensure boiler reliability and prevent unplanned outages. The project is justified under the Thermal Equipment Replacement/Refurbishment criteria and aligns with the Board’s directive to notify participants in the DDA proceeding.

................................. 7 4 Pricing.................................................................................................................................................. 8 5 Assumptions and Clarifications ...............

AI summary The text outlines the structure of a document, including sections on pricing, assumptions, clarifications, and a commercial summary with details on pricing, taxes, validity, and delivery terms, including freight and insurance.

the pricing in place is a fixed cost awarded via request for proposal (RFP) through a design/build contract. Multiple vendors were engaged during the RFP to ensure best pricing and solution quality Date: December 12, 2025 Page 296 of 782 R...

AI summary The text discusses a fixed-cost pricing model established through a request for proposal (RFP) under a design/build contract, with multiple vendors involved to ensure competitive pricing and quality solutions. The document is part of the 2026 ACE Plan and contains redacted confidential information.

DATE QUOTATION 02/25/2025 CQT02974-0005 GAVIN MCINNIS NOVA SCOTIA POWER - TUFT'S COVE Page 8 of 11 GENERAL TERMS & CONDITIONS

AI summary This document contains general terms and conditions from Nova Scotia Power's Tuft's Cove project, dated February 25, 2025, and includes a quotation reference CQT02974-0005.

tal Item ATO.................................................................................. 49 12.2 Individual Capital Item Scope Change .................................................................. 49 12.3 Rou ne Capital ATO ........

AI summary The text outlines a document structure covering capital expenditure management, cost application requirements, asset remittance, routine expenditures, and justification criteria. It emphasizes regulatory processes for financial compliance, capital item scope changes, and confidentiality protocols within a regulatory proceeding context.

ther transmission plant so as to eliminate NS Power’s requirement for the plant in ques on. • Replace the transmission plant as to maintain NS Power’s transmission system. • Any repairs, upgrades or modifica ons will be costed as per the m...

AI summary The document outlines Nova Scotia Power's approach to transmission and distribution system upgrades, emphasizing cost justification for capital expenditures and adherence to service provision requirements. It details criteria for replacing transmission infrastructure, cost calculation standards, and the integration of distribution systems with customer service needs.

1 TABLE OF CONTENTS 2 3 1.0 EXECUTIVE SUMMARY ................................................................................................. 5 4 2.0 INTRODUCTION .............................................................................

AI summary The document outlines Nova Scotia's 2030 decarbonization goals, including 80% renewable electricity sales and coal phase-out, along with initiatives like the Clean Power Plan, Independent Energy System Operator, and Resource Development Plan focusing on wind, solar, and community programs.

responsibility for the first 300 MW of generation capacity. 26 27 In its letter regarding the Decarbonization Deferral Account (DDA) – 2024 Annual Report, the 28 Board directed NS Power to report on the particulars of the collaborative eff...

AI summary The Board directed NS Power to report on collaborative efforts related to the Decarbonization Deferral Account (DDA) in its 2024 Annual Report. The text also references the 2026 ACE Plan Appendix F and 'The Path to 2030 – 2025 Update.'

support the transition of accountabilities to the IESO-NS. 8 M12303, 2024 Annual DDA Report, Board letter, October 17, 2025. 9 IESO-Nova-Scotia-REOI-for-Capacity.pdf Page 15 of 55 Date: December 12, 2025 Page 668 of 782 REDACTED REDACTED (...

AI summary The document references the transition of accountabilities to the IESO-NS, citing the 2024 Annual DDA Report and a Board letter dated October 17, 2025. It also mentions the 2026 ACE Plan Appendix F and 'The Path to 2030 – 2025 Update,' highlighting regulatory and planning processes related to decarbonization and capacity management.

1 6.1.4 Community Solar Program 2 3 The Community Solar Program launched in Q1 2024, following proclamation of amendments to 4 the Electricity Act 21 and the registration of the Community Solar Regulations. The program was 5 first conceive...

AI summary The Community Solar Program, launched in Q1 2024, aims to enable 50 MW of new community solar generation and equitable access to renewable energy. Administered by NS Power, it allows eligible entities (e.g., municipalities, First Nations, not-for-profits) to develop solar gardens with capacities between 0.5 MWac and 10 MWac. The first project, a 0.585 MW garden in Sydney, Cape Breton, enrolled 44 subscribers in March 2025.

tes in Sydney, 25 Cape Breton has 44 residential and commercial subscribers, and enrolled in the program March 1, 26 2025. In March 2025, the Provincial DOE approved three additional Community Solar projects: 21 S.N.S. 2022, c. 12, s 5. 22...

AI summary Cape Breton has 44 residential and commercial subscribers enrolled in a program effective March 1, 2025. The Provincial DOE approved three additional Community Solar projects in March 2025, referencing the 2025 ACE Plan Appendix F and Nova Scotia’s Climate Change Plan. Documents include the Community Solar Program Guide and legislative references.

1 • A 4.8 MW community solar garden in Brooklyn, Annapolis County 24 2 • A 1.7 MW community solar garden in Sydney 25 3 • A 2.2 MW community solar garden in West Petpeswick 26 4 5 The forecast commercial operation date for these three proj...

AI summary The text outlines three community solar projects in Nova Scotia with a combined capacity of 8.7 MW, slated for Q3 2027. NS Power has completed 31 preliminary assessments under the Community Solar Program, managed by the Provincial DOE. Projects require a PPA and DSIS studies. NS Power will file its first program report with the NSEB by January 31, 2027, per regulatory requirements and a Board Order.

m report 24 with the NSEB as required by the Community Solar Program Regulations 27 and the Board Order 25 from the Application for Approval of the Community Solar Energy Credit proceeding. 28 26 24 New Solar Garden Coming to Annapolis Cou...

AI summary The text references the Community Solar Program Regulations and a Board Order approving the Community Solar Energy Credit Rider. It also mentions the 2026 ACE Plan Appendix F and the Path to 2030 – 2025 Update, indicating ongoing regulatory and programmatic efforts related to solar energy in Nova Scotia.

1 In addition to the electrification strategy, the outcome of the 2020 IRP also pointed to the value of 2 DR programming to reduce peak load requirements. NS Power (with support from E1) is 3 progressing DR pilot programming with the inten...

AI summary NS Power and E1 are advancing demand response (DR) programs targeting 75 MW of peak load reduction, including residential, commercial, and industrial initiatives. The 2024/25 season saw 175 Smart Synergy and 4,000 Eco Shift participants contributing 6.6 MW and 0.6 MW of dispatchable capacity, respectively. NS Power’s TVP pilot is highlighted as a key mechanism for load shifting and system efficiency.

NS Power’s TVP Tariff pilot continues to 22 demonstrate strong value as an effective mechanism for encouraging load shifting to improve 23 system efficiency and for engaging customers through innovative rate options. Over the past four 24...

AI summary NS Power's TVP Tariff pilot has successfully reduced demand and improved system efficiency through load shifting. The 2024/25 season expanded participation and introduced the MURB TOU pilot, with positive stakeholder feedback and ongoing evaluation.

1 developed with property owners and industry stakeholders, to explore new opportunities for 2 flexible load management in electrified multi-tenant settings. 3 4 Engagement efforts during the season included a kickoff meeting in November 2...

AI summary NS Power engaged stakeholders in 2024-2025 for flexible load management in multi-tenant settings, filed a TVP Season approach, and received Board approval to align tariffs with standard rates during system outages. The Board emphasized rate equity and program continuity, while NS Power concluded its SGNS project, validating DER coordination benefits for affordability and reliability.

1 9.0 CONCLUSION 2 3 The Nova Scotia 2030 Clean Power Plan and The Path to 2030 represent a comprehensive clean 4 energy transition plan that is aligned with NS Power’s most recent IRP Action and Roadmap 5 update. Delivering on this plan w...

AI summary The Nova Scotia 2030 Clean Power Plan and The Path to 2030 outline a clean energy transition aligned with NS Power’s Integrated Resource Plan (IRP). Key 2025 progress includes wind farm construction, Power Purchase Agreements (PPAs) for 262 MW of wind capacity, Battery Energy Storage System (BESS) developments, NSEB approval for the Reliability Intertie project, and community solar initiatives.

dit 28 Rider received NSEB approval in 2025, the first community solar project reached 29 commercial operation, and 8.7 MW of additional projects were selected by the Province. 30 Page 54 of 55 Date: December 12, 2025 Page 707 of 782 REDAC...

AI summary The text notes that a Rider was approved by the Nova Scotia Energy Board (NSEB) in 2025, marking the first community solar project reaching commercial operation and 8.7 MW of additional projects selected by the Province. It also references the 2026 ACE Plan Appendix F and a non-confidential update titled 'The Path to 2030 – 2025 Update.'

2026 Annual Capital Expenditure (ACE) Plan (NSEB M12619) NSPI Responses to Consumer Advocate Information Requests 2 3 With respect to Appendix I, CIs for transmission replacement and upgrade projects 4 C0080110 and C0080109, and 2024 ACE P...

AI summary NSPI is responding to information requests regarding the 2026 ACE Plan, addressing risks, cost accountability, and documentation for transmission projects. NSPI explains that an ATO filing is more appropriate for significant cost increases, and references a prior ATO filing for C0011339.

2026 ACE NSDoE IR-001 Attachment 1 Status CI Number Title First Approval Year Original Approved Project Cost 2026 ACE Project Total Variance ($) Variance % 24 impacts on sustaining capital investments such as these; however, these projects...

AI summary The document discusses the 2026 Annual Capital Expenditure (ACE) project, including impacts on sustaining capital investments, revenue requirements, and distribution capital planning. It requests information on how distribution capital planning is linked to customer additions and reliability statistics, as well as cost drivers for 2026 spending.

acceptable lower-cost connection standard, phasing mechanism, or prioritization criteria that would lower the investment required and still meet the technical requirements. (f) As discussed in part (e), the least cost alternative is select...

AI summary The text discusses NS Power's approach to managing customer connection and upgrade costs, emphasizing the use of least-cost alternatives and regulatory oversight through the Authorization to Overspend (ATO) process. Regulations limit the scope of utility-funded investments, and ATO applications have been approved by the NSEB to justify increased spending.

1 Request IR-1: 2 3 Reference: N-1, 2026 ACE Plan, page 7, lines 19-29 4 5 In 2024, the creation of a new Independent Electricity System Operator in Nova 6 Scotia (IESO-NS) changed the electricity planning landscape in Nova Scotia, 7 8 and...

AI summary The creation of the Independent Electricity System Operator in Nova Scotia (IESO-NS) in 2024 has led to changes in project accountability for NS Power. NS Power aligns its decarbonization initiatives with the Province's Clean Power Plan and the Evergreen IRP, ensuring cost-effectiveness through competitive RFP processes and regulatory approvals.

(b) NS Power continues to engage with the Provincial Government to provide updates on the progress of the decarbonization projects led by NS Power, namely the synchronous condensers that will be procured and built by NS Power in support of...

AI summary NS Power is working with the Provincial Government on decarbonization projects including synchronous condensers for the Rate Base Procurement, Green Choice Program, and Port Hawkesbury Paper wind farms. IESO-NS is managing transition items from Phase 1 employee transfers and developing its workplan.

(b-c) When developing the capital program, specific rate impacts are not calculated. The capital program consists of all necessary investments that are required to maintain the safe and reliable operation of NS Power's generating facilitie...

AI summary The capital program includes necessary investments for maintaining and improving the reliability of NS Power's generating facilities, aligning with the Province's Clean Energy Plan. Rate impacts were included in a recent General Rate Application (M12451), with a 5-year plan considered appropriate to balance reliability improvements and rate impacts.

NON-CONFIDENTIAL 2 (c) Yes, NS Power did consider mitigating approaches but found that any potential approaches 3 applications would provide the value required to justify that additional effort. In the vast 4 majority of instances, where a...

AI summary NS Power considered mitigating approaches for asset quantity changes but found they were not justified due to the significant financial impact requiring ATO or Final Cost applications. The company plans to apply updated definition and scope change requirements starting in 2026 after the Board's decision. Additionally, 21 projects from the 2025 ACE Plan were cancelled, and 39 were deferred, with asset management processes guiding these decisions.

1 1 Request IR-19: 28 and the timing of the CPP investments reflected in the 10 Year System Outlook report. This 29 date is subject to change due to the timing of the replacement capacity. 30 1 (b) Please refer to NSEB 1R-172. 2 3 (c) Plea...

AI summary The document references a request for information regarding the timing of Critical Peak Pricing (CPP) investments and the retirement date of Lingan 2, noting that these dates may change based on replacement capacity timing. It also mentions the Independent Electricity System Operator in Nova Scotia (IESO-NS) updating the Integrated Resource Plan (IRP) to assess resource needs and impacts on retirement schedules.

2026 ACE Plan NSEB IR-7 Attachment 1 Page 1 of 1 REDACTED (CONFIDENTIAL INFORMATION REMOVED) CI# Project # Project Long Title Invesment Trigger 7 the appropriate costs are going to the appropriate projects, and greater visibility, both 8 i...

AI summary The document requests the identification of projects under the 2026 Annual Capital Expenditure Plan with costs less than $1M related to steam or thermal generation assets, and asks whether these assets are expected to be retired, decommissioned, or underutilized by 2030. A response directs to Attachment 1 for details.

SECTION A: Your Rate Components Basic Industry Rate: $3.03 Experience Rating Merit/Demerit: $-0.86 see details in Section D below Rate Surcharge: $0.00 Levv $0.11 $2.28 per $100 assessable payroll Note: Your company's workplace injuries an...

AI summary The rate components include a Basic Industry Rate of $3.03, adjusted by an Experience Rating Merit/Demerit of $-0.86, and a potential surcharge. The Experience Rating Adjustment is tied to workplace injury costs, with 2025 rates ranging from $2.24 to $5.08 based on injury management.

SECTION B: SIC and Industry Group SECTION C: Cost and Payroll To set rates, we classify employers by the industry in which they operate, and group industries with similar activities and risk into industry groups. Your Standard Industrial C...

AI summary The document classifies employers under SIC code 4214 (Excavating and Grading) and outlines industry group classifications for 2025. It details assessable payroll from 2021 to 2023 and associated costs of new injuries during the same period.

SECTION D: Your Experience Rating Details Experience Rating for 2025 is calculated using injury and payroll data from the years 2021 to 2023. The 3-year costs and payroll are determined, and costs are weighted so that the more recent exper...

AI summary Experience Rating for 2025 uses injury and payroll data from 2021–2023, with a weighted cost ratio (costs/payroll) determining rates. A lower cost ratio relative to the rate group reduces the rate, exemplified by a -28.49% merit adjustment of $-0.86.

2026 Annual Capital Expenditure (ACE) Plan (NSEB M12619) NSPI Responses to NSEB Information Requests 1 Request IR-161: 14 known variances. 15 16 (ii) In NS Power's 2026-2027 General Rate Application (GRA) partial 17 decommissioning had bee...

AI summary NSPI's response to NSEB's information request discusses the 2026-2027 General Rate Application (GRA) and the definition of partial decommissioning. It clarifies that decommissioning does not include water retaining structures, but ongoing investment is required for their management. NS Power acknowledged that costs could be higher if such structures require investment and did not include cost recovery for partial decommissioning in the proposed depreciation rates.

Request IR-4: 1 Request IR-2: 9 10 11 12 13 14 15 Review this document against the Project Description, including the contingency statement to ensure that all risks are properly considered when applying a contingency percentage. Discuss wi...

AI summary The document includes a request to review projects in the Application against the Project Description and contingency statement, ensuring risks are properly considered. It asks for examples of projects with risks handled via contingency, projects with high-risk occurrences, projects affected by NS Power's PDM changes, excluded projects, and past ACE Plans with non-compliant projects.

I. Identification & Qualifications - Q: Mr. Wilson, please state your name, occupation, and business address. - A: I am John D. Wilson. I am the Vice President of Grid Strategies LLC, Bethesda, MD. - Q: Summarize your professional educatio...

AI summary John D. Wilson, Vice President of Grid Strategies LLC, provides his background, including education and professional experience in energy and environmental policy, regulatory research, and utility regulation. He has worked with the Southern Alliance for Clean Energy and has expertise in cost-effectiveness analysis, prudency reviews, and rate design.

Q: How would these data be useful? - A: In addition to forecasting new customer distribution routine costs, the information described above would be useful as: - An input in NS Power's long-term load forecast, - As an input into distributi...

AI summary The data would be useful for NS Power's long-term load forecasting, distribution circuit planning, cost allocation, and rate design. Most data can be collected through internal work orders, while analyzing external cost factors would require a strong cost minimization management approach.

SUMMARY OF PROFESSIONAL EXPERIENCE - 2023– Present Vice President, Grid Strategies, LLC . Provides research, technical assistance, and expert testimony on electric- and gas-utility planning, economics, and regulation. Reviews electric util...

AI summary The individual has extensive experience in energy regulation, utility planning, and environmental policy, spanning over two decades in roles involving regulatory policy, expert testimony, and program evaluation. Their work includes advising on electrification, energy efficiency, and renewable resource performance, as well as participation in air quality and legislative advocacy.

Readiness (FAASSTeR) meeting, Orlando, FL, November 2017. - "Making the Most of the Power Plant Market: Best Practices for All-Source Electric Generation Procurement," Southeast Energy and Environmental Leadership Forum, Nicholas Institute...

AI summary The document lists various presentations and meetings related to energy policy, load forecasting, and power generation practices, highlighting topics such as resource adequacy, real-time pricing, and the transition in power demand trends.

hern California Edison's 2021 general rate case (track 2) on behalf of the Small Business Utility Advocates. Reasonableness of remedial software costs to be included in authorized revenue requirement. Georgia PSC Docket Nos. 4822, 16573 an...

AI summary The text outlines expert testimony in various regulatory proceedings, focusing on rate cases, fuel adjustment mechanisms, and compliance with regulatory orders. It includes matters in Nova Scotia and California, discussing topics such as fuel contract costs, rate design, and modifications to load management programs.

(3) Spending on projects started prior to 2025, not in the 2025 ACE Plan: Top 10 projects that were included in prior ACE Plans or approved prior to 2025 CI Project Title Functional Class 2025 C0068875 CT Fleet Stack Condition Assessment 1...

AI summary The text outlines the top 10 projects initiated prior to 2025 that are not included in the 2025 ACE Plan. These projects have been deferred or cancelled due to reasons such as reprioritization, material delays, and lack of identified needs based on audits. Some require additional engineering or land procurement.

M12619 NOVA SCOTIA ENERGY BOARD IN THE MATTER OF: The Public Utilities Act, R.S.N.S. 1989, c. 380 -and - IN THE MATTER OF: an application by NOVA SCOTIA POWER INCORPORATED (NS POWER) for approval of approximately $284.0 million of its ANNU...

AI summary The Consumer Advocate filed evidence in the proceeding regarding NS Power's 2026 ACE Plan, highlighting cost minimization opportunities and issues with risk matrices and reliability projects. John Wilson of Grid Strategies provided recommendations on reporting requirements, contingency caps, and spare equipment inventory.

- Please accept the following as the opening statement of the Department of Energy, - Government of Nova Scotia (the Department), for the 2026 Annual Capital Expenditure - Plan (ACE Plan) hearing. The ACE Plan is intended to provide a comp...

AI summary The Department of Energy, Government of Nova Scotia, presents the opening statement for the 2026 Annual Capital Expenditure Plan (ACE Plan) hearing. It emphasizes public concern over NSPI's capital investments and highlights the transition of responsibilities to IESO-NS, an independent organization, to ensure competitive and prudent spending.

Call for Regulatory Rigour and Accountability - The Department requests that the Board scrutinize the 2026 ACE Plan; seeing it not as a - collection of routine repairs, but rather recognizing it as potentially yet another round in - the sy...

AI summary The Department of Energy requests the Board to rigorously scrutinize the 2026 ACE Plan, questioning its potential to inflate asset purchases and urging the cancellation or deferral of expenditures without proper justification. It also calls for disallowing ratepayer funding for projects that would represent a 'double recovery' for system failures already covered by the utility.

Contractor Management Scheduling and dispatch of work for pole-setting contractors in the new system has been implemented. Ongoing training and change management is being provided to contractors, however the expected benefits for year 1 ha...

AI summary The new system for scheduling and dispatching pole-setting contractors has been implemented, but initial benefits have not been realized due to inadequate change management for contractors and challenges with new scheduling tools. Ongoing training is continuing to address these issues.

- 7 in 2024, and by the applicable 2024 blended IBEW hourly rate, including fringe benefits. 1 Undertaking U-2: 2 3 Per Exhibit N-9, pdf pg. 11 (Wilson Evidence), to advise whether the data would be useful 4 for improved cost allocation be...

AI summary The document discusses the utility's response to a request for data to improve cost allocation and rate design. NS Power concludes that the proposed granular customer-type data would not significantly improve cost allocation or rate design outcomes and does not recommend implementing the proposed data collection.

2.2 Discussion and Approval of Specific Projects [11] Based on the pre-hearing evidence filed in this proceeding, the Board had concerns about several specific projects put forward for approval in the 2026 ACE Plan. These concerns were exp...

AI summary The Board raised concerns about several projects in the 2026 ACE Plan, which were addressed by NS Power through responses and undertakings, except for the 'C0080111 – 2026 RTU Deployment' project. The concerns and findings are detailed in subsequent sections.

They are a known and essential component of the resource mix required in support of the Province's Clean Power Plan, and to achieve environmental policy targets. [NS Power Closing Submission, p. 12] [27] NS Power also submitted that any de...

AI summary NS Power argues that the Burnside #2 Combustion Turbine replacement is essential for reliable operation, meeting peak demand, integrating wind resources, and achieving environmental targets. The Board agrees, finding the project prudent and the cost estimate reasonable.

2.3.5 New Customer Routines [66] New customer routine capital expenditures represent the largest individual distribution routine subcategory with a budget of approximately $67.8 million in 2026. The 2026 budgets for D004 – New Customer Upg...

AI summary New customer routine capital expenditures are the largest distribution routine subcategory with a 2026 budget of $67.8 million. NS Power uses expenditure-based forecasts and notes that factors like customer demand and economic growth do not directly affect the forecast. Mr. Wilson recommended capturing more detailed data for better budgeting and forecasting, but NS Power argues that current methods are sufficient and performed well in 2025.

2.3.7.1 Findings - [80] The Board accepts that a fixed capital ceiling is not an appropriate substitute for risk-based asset management, as a ceiling may not adequately address identified risks. The Board also accepts that sometimes it may...

AI summary The Board acknowledges that a fixed capital ceiling is not suitable for risk-based asset management and accepts that capital reallocation may be prudent under certain conditions. However, it emphasizes that capital reallocation and 'capital envelope' justification are distinct issues. The Board is also concerned about baseline ratcheting in the Routine Program and calls for more information to distinguish between permanent and temporary cost pressures.

2.4.2 Directives [88] The Board finds that the sustained growth and evolving composition of the Routine Program require requires enhanced prospective transparency. The additional information is intended to preserve the regulatory efficienc...

AI summary The Board requires NS Power to enhance transparency in the Routine Program by providing detailed cost and performance data, including five-year comparisons, cost breakdowns, and explanations for year-over-year changes. This is intended to ensure regulatory efficiency and proper cost justification.

rall "intent" of the project. The IG believes that such definitions, and related limitations are inappropriate. The IG, therefore, submitted that NS Power's proposed definitions should not be adopted. [107] Instead, the IG submitted that N...

AI summary The Independent Governor (IG) argues that NS Power's proposed definitions for scope changes are too narrow, focusing only on the project's intent rather than including the work required and deliverables. The IG believes this could lead to unintended consequences and does not align with NS Power's cost minimization and project management practices.

4.1 Findings [150] The Board agrees that vegetation management, system hardening and grid modernization are recognized tools for reliability improvements. It is on this basis, and an assessment of the individual merits of each project subm...

AI summary The Board acknowledges the importance of vegetation management and grid modernization but is concerned about the lack of demonstrated reliability improvements despite significant spending. It questions whether the investments are providing value for ratepayers and emphasizes the need for a clearer connection between expenditures and reliability outcomes.

material concerns regarding the fiscal capacity of ratepayers to absorb such aggressive asset loading without a corresponding expansion of physical system benefits. [DOE Closing Submissions, pp. 3-4] [165] The Board is also concerned about...

AI summary The document discusses concerns about the impact of increased capital spending on ratepayers, noting that NS Power has faced challenges in transitioning from coal-based generation to renewable energy sources. This transition, driven by decarbonization goals set under the Electricity Act, has been costly and has placed additional stress on existing coal plants.

6.1 Past Experience with Rate Impact Analysis [175] In its Closing Submissions, the IG made the following request of the Board: The Industrial Group submits that the Board should direct NSPI to provide, with the Year 3 update to the Reliab...

AI summary The Industrial Group requested the Board to direct NSPI to provide a quantitative assessment of the Reliability Plan's impact on rates with the Year 3 update, and to consider the overall impact of the annual capital expenditure plan on ratepayer classes, including affordability analysis.

6.5 Need to Consider Rate Impacts and A Potential Framework [187] The Board still has some concerns about the utility of a rate impact analysis, where the full set of studies and data available in a GRA are not readily reproduced on an ann...

AI summary The Board acknowledges concerns about the utility of rate impact analysis but emphasizes its importance in the context of increasing capital expenditures for decarbonization and reliability. It directs NS Power to provide a rate impact analysis for the 2027 ACE Plan, focusing on the impact of capital expenditures on rates for 2028-2030. The analysis should be done by rate class and include proposed ACE Plan capital expenditures, excluding the NB Intertie project.

7.1 Progress on The Path to 2030 [190] There are several decarbonization goals being advanced by the provincial and federal governments. Two specific targets that must be met by 2030 are enshrined in the following enactments: the provincia...

AI summary The provincial and federal governments have set decarbonization targets for 2030, requiring NS Power to achieve 80% renewable electricity sales and phase out coal. The Board's 2023 ACE Plan decision required NS Power to submit a detailed plan, which was filed as The Path to 2030 and updated in the 2025 ACE Plan. Appendix F includes updates and a figure outlining the energy resources NS Power anticipates using.

ssues potentially impacting The Path to 2030 , such as anticipated demand side management initiatives, along with an early-stage discussion about potential green hydrogen and offshore wind projects. [200] As has been discussed in all three...

AI summary The document discusses challenges and progress related to The Path to 2030 , including decarbonization goals, capital costs, project timelines, and potential delays. NS Power has completed major projects on time, but coal plant conversions and intertie projects remain critical and require coordination with the IESO Nova Scotia and legislative changes if delays occur.

8.3 Considerations for Subsequent Submittal Items [212] There was discussion about IT or cybersecurity-related projects listed as subsequent submittal items in the 2026 ACE Plan. Two projects, in particular, raised several concerns. The Id...

AI summary The document discusses concerns raised about the increasing costs of IT and cybersecurity-related projects, specifically the Identity and Access Management and Customer Information System (CIS) Replacement projects. The Industrial Group recommends that future submittals include detailed cost explanations related to the 2025 cyber incident. NS Power argues that current processes already provide necessary information, but the Board agrees that specific references to the impact of the cyber incident on cost variances should be included in future submissions.

analysis comparing the Mersey Redevelopment Project to the decommissioning and partial decommissioning options. NS Power complied with these directives in Appendix E of its 2026 ACE Plan application. [224] The total cost of the Mersey Rede...

AI summary The Mersey Redevelopment Project's total cost has been estimated at around $1.2 billion in recent ACE Plans, with construction deferred until 2031. NS Power is awaiting the outcome of the IESO Nova Scotia IRP process and is addressing environmental regulatory and Mi'kmaq concerns, particularly regarding fish passage and compliance with the modernized Fisheries Act.

11.0 CONCLUSION [239] The Board has approved NS Power's 2026 ACE Plan, except for C0080111 – 2026 RTU Deployment. The approved projects are listed in the attached Schedule "A". [240] The Board has provided comments on specific capital proj...

AI summary The NSEB has approved NS Power's 2026 ACE Plan, excluding one project, and provided comments on various aspects including capital projects, decarbonization targets, and reliability planning. The Board has issued directives for future ACE Plan submissions, including updates and detailed financial reporting requirements.

2027 ACE Plan . - 10. The Board directs NS Power, to the extent feasible and possible, to engage and coordinate with the IESO Nova Scotia and report on that coordination in future ACE Plan filings. - 11. The Board directs NS Power to provi...

AI summary The Board provides several directives to NS Power for the 2027 ACE Plan, including coordination with IESO Nova Scotia, updates on the Mersey Redevelopment Project, monitoring of upgraded wooden poles, and a rate impact analysis. The Board also mandates specific references to cyber incidents in future capital applications.

- 1. NS Power will provide Designated Confidential Information, as defined herein, to the Designated Recipient as defined in the undertaking to which this schedule is attached. - 2. Designated Confidential Information shall consist of mate...

AI summary NS Power outlines the types of information designated as confidential in its 2026 ACE Plan filing, including engineering studies, commercial quotations, and proprietary third-party information, which are confirmed as confidential by the Nova Scotia Energy Board.

NOTICE OF INTERVENTION OF: K + S Windsor Salt Ltd. CKF Inc. Crown Fibre Tube Inc. Irving Shipbuilding Inc. Maritime Paper Products Ltd. Michelin North America (Canada) Inc. Compass Minerals Canada Corp. Farnell Packaging Ltd. P & H Milling...

AI summary The Industrial Group, comprising several large and medium industrial customers of NSPI, requests to intervene in this matter as their costs and rates may be affected by the outcome. They are addressing issues established by the NSEB.

Request IR-143: - a) Is this project a continuation of C0051815, Remote Terminal Unit (RTU) Replacements Program, Phase 6 mentioned in ACE 2025, which involves replacing 14 of the 74 RTUs that will have been replaced? - b) Please provide a...

AI summary Request IR-143 seeks detailed information about the RTU replacements project, including its relation to previous phases, labor breakdowns, substation details, communication systems, use of test equipment, and whether the project will be handled internally or by contractors.

Request IR-179: - Section 7.3 Green Hydrogen Projects, page 690, discusses three project developers and explains that developers will create and supply renewable resources; will require a new tariff to use the NS Power grid; require energy...

AI summary Request IR-179 inquires about NS Power's awareness of off-take agreements for green hydrogen projects, the current construction status of renewable energy supply by developers, potential energy requirements, transmission impacts, and whether a new tariff structure would cover associated transmission costs.

Request IR-182: - Page 710, NS Power describes the benefits of the Five-Year Reliability Plan. "The benefits of the - program and the impact on the reliability of the system will be felt cumulatively as the combined - impacts of reliabilit...

AI summary The document discusses the Five-Year Reliability Plan by NS Power, which is projected to cost $1.3B over five years and reduce SAIDI by one hour by 2029. Questions are raised about the impact on rates, customer willingness to trade reliability for lower rates, and the development of reliability targets.

functions they perform. 2. Has the transfer of NS Power employees to the IESO Nova Scotia altered NS Power’s ongoing advisory role and the support it provides to the IESO Nova Scotia. Please explain. On page 680, NS Power states “NS Power...

AI summary The document discusses the transfer of NS Power employees to the IESO Nova Scotia and its impact on NS Power’s advisory role. It also addresses the timeline and cost implications of converting coal units to alternative fuels, including Heavy Fuel Oil (HFO) and natural gas, as outlined in the 2030 Clean Power Plan and the 2023 Evergreen IRP scenarios.

risks? 1. Is NS Power able to restrict its procurement to Canadian and European manufacturers/suppliers? 2. Does this category consider geopolitical risk aside from the Russian invasion of Ukraine? NS Power states “The lead time for combus...

AI summary The document raises questions about NS Power's procurement restrictions, geopolitical risks, and the lead time for combustion turbines. It also inquires about the cost and customer impact of the Five-Year Reliability Plan, including whether customers would trade reliability improvements for lower rates. The plan is projected to cost $1.3B over five years and aims to reduce SAIDI by one hour by 2029.

1 2025 M12619 2 NOVA SCOTIA ENERGY BOARD 3 IN THE MATTER OF: The Public Utilities Act 4 IN THE MATTER OF: An Application by Nova Scotia Power Incorporated (NS Power) 5 for approval of approximately $284.0 million of its Annual 6 Capital Ex...

AI summary The document outlines an information request from The Industrial Group to Nova Scotia Power Incorporated (NSPI) regarding its 2026 ACE Plan, specifically focusing on how NSPI evaluates the cost-effectiveness of its decarbonization initiatives. The request is part of a regulatory proceeding under the Public Utilities Act.

22 transition of accountabilities to the IESO-NS, as applicable. 1 comparative alternatives considered, or internal thresholds applied. 2 3 (b) Please elaborate on NSPI's current efforts working with both federal and provincial governments...

AI summary The document outlines a series of requests related to the transition of accountabilities to the IESO-NS, including efforts to meet 2030 decarbonization targets, transition timelines, consultation with IESO-NS, and coordination between NSPI and IESO-NS to avoid duplication of costs for ratepayers.

- 26 million. 1 2 3 4 5 (a) Please explain the principal drivers of the increase in capital spending budgets in 2025 and 2026, and going forward, with specific reference to projects, capital investment required, and the portion attributabl...

AI summary The text outlines a regulatory inquiry into the principal drivers of increased capital spending budgets for 2025 and 2026, including the impact on customer rates, affordability considerations, and the inclusion of external funding in capital investment figures. References are made to the 2026 ACE Plan and specific figures and appendices.

Reference: N-1, 2026 ACE Plan, page 7, lines 19-29 In 2024, the creation of a new Independent Electricity System Operator in Nova Scotia (IESO-NS) changed the electricity planning landscape in Nova Scotia, and starting in 2025, the IESO-NS...

AI summary The creation of the Independent Electricity System Operator in Nova Scotia (IESO-NS) in 2024 has changed the electricity planning landscape, leading to amendments in NS Power's The Path to 2030 report. The company is transitioning responsibilities to the IESO-NS and is working with federal and provincial governments to meet 2030 decarbonization targets in a cost-effective manner.

nd the total amount anticipated (or at least order of magnitude). Reference:N-1, 2026 ACE Plan, pages 14, 31, and 33. Preamble: The Application provides different total approval requests sought. Please reconcile the figures within the 2026...

AI summary The document requests clarification on the discrepancies in the 2026 ACE Plan's total approval requests and asks NSPI to explain the significant increase in capital spending budgets from 2025 and 2026, including the drivers, impact on customer rates, and consideration of affordability. It also asks whether Figure 1 includes external funding and requests an updated figure if not.

E Plan, pages 112-113, “Update on storm performance and related capital investments”. Preamble: NSPI identifies capital programs for storm response/reactive work for 2026 including D008 and T001. 1. Please describe how NSPI allocates storm...

AI summary NSPI outlines capital programs for storm response in 2026, including D008 and T001, and discusses the allocation of storm-related costs between capital and operating expenses. The document also references the CIS Replacement project and its potential scope changes due to a ransomware attack and new tariff design requirements.

Request IR-1: For each of the projects listed below: - C0014218 HYD WRC LEM Balance of Plant - 29807 HYD Tusket Falls Main Dam - C0021140 New 138KV-25KV Substation Stellarton - C0045132 Eastern Clean Energy Initiative (ECEI) Energy Storage...

AI summary Request IR-1 asks for detailed cost and impact information on various energy projects, including initial approval costs, changes in cost, rate impacts, and mitigation actions taken by NS Power. The request focuses on projects with a cost change of 30% or more from their original approval.

ment C0047278 - IT - Oracle MDM Upgrade Any additional projects reflected in ACE 2026 with a percentage change from the original approved project cost (first approval) greater than or equal to 30% 1. Please provide the initially approved p...

AI summary This document requests detailed information regarding the Oracle MDM Upgrade project and other projects with a cost change of 30% or more in ACE 2026. It asks for baseline costs, current costs, rate impacts, reasons for cost changes, and mitigation actions taken by NS Power.

please identify the jurisdiction, the applicable cap, and whether the cap applies generally or only in the absence of a risk matrix. Reference: Exhibit N-9, Evidence of John D. Wilson, pages 21 – 24. Preamble: Mr. Wilson reviewed NSPI’s pr...

AI summary Mr. John D. Wilson discusses concerns with NSPI’s proposed scope change, noting significant ambiguity and suggesting a two-step process for filing changes that may exceed a Board-specified threshold. The process includes submitting a letter with details on the change, budget impact, alternatives, and plans for revised applications.

was not selected. 4. Whether or not NS Power intends to file a revised capital project application or ATO application prior to proceeding with project construction or implementation (as applicable). Second, the Board, on its own or in resp...

AI summary The document outlines questions for NS Power regarding its intentions to file revised applications and the specifics of a proposed two-step process for scope changes in the CEJC. It also asks for clarification on trigger thresholds, certainty of budget increases, and the uniform application of the process.

best value for ratepayers. In summary, the Minister asks the Board to uphold competitive procurements as default for any new energy or capacity resources, as well as transmission ancillary services. The Board should consider this interim g...

AI summary The Minister requests the Board to uphold competitive procurements as the default for new energy or capacity resources and transmission ancillary services, ensuring consistency with the IESO's responsibilities and protecting ratepayers.

"> Exhibit N-9, Wilson Report, p. 5 Exhibit N-9, Wilson Report, p. 6 Exhibit N-9, Wilson Report, p. 5 Exhibit N-9, Wilson Report, p. 6 Exhibit N-3, CA IR-8 Exhibit N-12, NS Power Rebuttal Evidence, p. 5 Undertaking U-1 Transcript, April 21...

AI summary The Consumer Advocate recommends adopting Mr. Wilson's proposal to revise reporting requirements for Work Management and Scheduling & Dispatch, including estimated quantified benefits and operating expenses, and to extend the reporting period by one year. NS Power argues that such reporting is already part of ongoing optimization efforts and may not add value.

New Customer-Driven Work Volumes Mr. Wilson states in his report that NS Power has failed to follow through on earlier commitments to collect better data on new customer-driven work volumes. He states that the company should distinguish ca...

AI summary Mr. Wilson criticizes NS Power for not collecting better data on new customer-driven work volumes, suggesting it would improve budgeting, forecasting, and rate design. NS Power disagrees, stating its current forecasting methodology has been effective and that gathering more detailed data would incur unnecessary costs.

BEFORE THE NOVA SCOTIA ENERGY BOARD IN THE MATTER OF The Public Utilities Act, R.S.N.S. 1989, c.380 as amended - and - IN THE MATTER OF an Application by Nova Scotia Power Incorporated for approval of its 2026 ANNUAL CAPITAL EXPENDITURE (A...

AI summary The Small Business Advocate (SBA) provides closing submissions regarding Nova Scotia Power Incorporated's 2026 Annual Capital Expenditure (ACE) Plan, emphasizing the need for investments in resiliency and reliability while considering the impact on ratepayers. The SBA highlights the importance of vegetation management and its increasing cost.

Conclusion & Requested Board Actions - At a time when affordability pressures facing Nova Scotian households remain significant, the Board's oversight role becomes increasingly important. The Department therefore respectfully submits that...

AI summary The Department requests the Board to implement structural measures for the 2026 ACE Plan, including capping the ACE envelope, auditing the Fixed Asset Register, enforcing reliability performance accountability, and applying prudence reviews. These actions aim to ensure affordability, prudence, and alignment with public interest.

eviation within a Routine right-of-way program) could be interpreted as a scope change, applying such a low threshold in practice would be unreasonable and administratively burdensome. That is agreed. To address this, materiality threshold...

AI summary The text discusses the interpretation of 'scope change' within a Routine right-of-way program, suggesting that applying a low threshold would be impractical. It proposes establishing materiality thresholds to differentiate between minor and significant changes, and outlines a two-step notification process recommended by the Consumer Advocate's consultant, John Wilson, to manage scope changes effectively.

expanded; more work being completed today than it was or than was budgeted in the 2023 ACE Plan. And the actual cost to complete similar work has been inflated since then as well.[44](#page-12-2) The Industrial Group does not dispute that...

AI summary The document discusses a significant increase in routine capital spending by NSPI, growing by 70% over four years. The Industrial Group questions whether this growth is due to genuine inflation and new program additions or a mischaracterization of the 'routine' category, which now includes new work categories and enhanced standards. This expansion raises concerns about the accuracy of the 'routine' classification and the lack of oversight.

No Robust Routine Program-Level Review There is no distinct "routine review process" separate from NSPI's general capital scrutiny.[47](#page-13-0) NSPI relies on the same review process of any capital expenditure, and relies on the ACE pr...

AI summary The text discusses the lack of a distinct routine program-level review process for capital expenditures by NSPI, highlighting concerns about cost minimization, lack of monitoring for cost creep, and insufficient oversight of routine capital programs. It suggests that the Board should require NSPI to file detailed program-by-program reviews and establish a CEJC materiality trigger for routine capital growth.

4. Capital Spending Is Significantly Higher with no review of Rate Impacts

AI summary This section highlights that capital spending is significantly higher without a review of its impact on rates, raising concerns about the financial implications for customers and the regulatory process.

NSPI's capital program in the ACE proceeding, while major components of the total cost ratepayers will ultimately bear (through riders, or separate recovery mechanisms) are invisible in this process. At what point can ratepayers meaningful...

AI summary The text highlights concerns about the regulatory process in Nova Scotia regarding the assessment of capital expenditures. It argues that the ACE proceeding and GRA do not fully account for the total cost of infrastructure, creating a regulatory gap. The Board is urged to consider both individual projects and the overall cost trajectory for transparency and reasonableness.

formance standards by 2029.[61](#page-15-8) That response does not quantify how the $1.3 billion Reliability Plan itself affects rates, nor does any of the Matter M12451 record address that question. This is precisely the same concern rais...

AI summary The document highlights concerns about the lack of analysis regarding the rate impact and affordability of the $1.3 billion Reliability Plan. NSPI has not provided detailed insights into how the plan affects rates, and the same issue was raised during the 2025 ACE Plan proceeding. NSPI directs the Board to the GRA proceeding for further consideration.

CONCLUSION The Industrial Group respectfully requests that the Board: - 1. Direct NSPI to provide a more complete Year 3 update to the Five-Year Reliability Plan, including a reconciliation of planned versus actual spending, an explanation...

AI summary The Industrial Group requests the Board to direct NSPI to provide more detailed updates to the Five-Year Reliability Plan, revise the Scope Change definition, enhance cost-variance disclosure, and improve stakeholder engagement and coordination with IESO-NS in future filings.

5.0 EFFECTIVENESS OF RELIABILITY INVESTMENTS Consistent with the 2026 ACE Plan proceeding, it is important to emphasize that NS Power's reliability investments are effective and are delivering measurable reliability improvements for custom...

AI summary NS Power emphasizes the effectiveness of its reliability investments, citing measurable improvements in reliability metrics and the use of a robust evaluation framework. The Company highlights the importance of using both lagging and leading indicators to assess performance and manage risks proactively. It also notes the potential for changes to performance standards and how the Five-Year Reliability Plan may need to be adjusted accordingly.

ery for the period of delay. This regulatory framework creates clear incentives for timely filing and provides a safeguard for customers by ensuring that only approved overspend is reflected in rates. NS Power acknowledges that, because su...

AI summary NS Power acknowledges that ATO applications are often filed after work has started due to unforeseen circumstances. A separate scope change process would not change this, as delaying work for review could lead to increased costs and operational risks.

2.5 Rate Impacts - The IG requests that the Board direct NS Power to file, alongside each future ACE Plan, a - consolidated ratepayer cost exposure report setting out the utility's ACE capital program, - Reliability Tie costs, known or rea...

AI summary The Intervenor Group (IG) requests that NS Power provide detailed ratepayer cost exposure reports with future ACE Plans and suggests that spending should be scrutinized for affordability and necessity. The IG also asks for a quantitative assessment of the Reliability Plan's impact on rates and overall affordability analysis for ratepayer classes.

5.1 Capital Spending Growth DOE submits that capital spending has increased from historical levels, representing a dramatic acceleration that exceeds inflation and economic growth. This is presented as evidence of excessive "asset loading....

AI summary The DOE argues that Nova Scotia Power's capital spending has increased dramatically, exceeding inflation and economic growth, and raises concerns about ratepayer capacity to absorb this spending. NS Power counters that this growth is due to system transformation, aging infrastructure, and decarbonization requirements, and emphasizes that capital investment is driven by operational needs rather than economic indicators.

5.7 DOE's Requests of the Board Imposing caps or ceilings on capital expenditures would fundamentally conflict with NS Power's statutory obligation to provide safe and adequate service. Such limits would represent a departure from evidence...

AI summary The Department of Energy argues that imposing caps on capital expenditures would conflict with NS Power's obligation to provide safe and adequate service, as such limits would not align with evidence-based asset management and could expose customers to reliability and safety risks. Instead, the ACE Plan process is presented as the appropriate safeguard for project-level scrutiny.

6.0 CONCLUSION In this proceeding, NS Power has demonstrated that the investments proposed in the 2026 ACE Plan are prudent, necessary, and aligned with the Company's statutory obligation to provide safe and adequate service to customers....

AI summary NS Power argues that the 2026 ACE Plan investments are prudent and necessary, aligning with statutory obligations. They claim the investments are appropriately developed and assessed, with no material gaps in the regulatory framework. NS Power emphasizes affordability and the need to maintain safe, reliable service while keeping rates low. They recommend the Board approve the plan and reject additional directives.

ORDER Nova Scotia Power Incorporated (NS Power) filed an application for approval of its 2026 Annual Capital Expenditure (ACE) Plan on December 12, 2025. The Board approves all the projects listed in the 2026 ACE Plan, except for CI C00801...

AI summary Nova Scotia Power Incorporated (NS Power) submitted its 2026 Annual Capital Expenditure (ACE) Plan, which the Board approved in part. The Board deferred approval of one project pending a final report from Synapse Energy Consultants in Matter M12558. The approved projects total approximately $68.4 million, while routine capital expenditures amount to about $207.3 million.

2.3.1.1 Findings [44] The Board accepts that an increase in expenditure does not, in itself, mean that an activity ceases to qualify as routine. Required expenditures may reasonably vary with asset conditions, customer growth, system requi...

AI summary The Board acknowledges that increases in routine expenditures do not automatically disqualify activities as routine but is concerned that temporary cost increases may become embedded in historical data, influencing future forecasts. NS Power is urged to distinguish between structural and temporary cost drivers in future ACE Plans.

2.3.2 Enhanced Tracking and Cost Minimization [49] The CA raised concerns regarding NS Power's ability to demonstrate cost minimization within the Distribution Routines. In his evidence, Mr. Wilson observed that regular and overtime person...

AI summary The CA raised concerns about NS Power's ability to demonstrate cost minimization in Distribution Routines, noting that overtime hours were not routinely tracked. NS Power clarified that while their accounting software tracks labour hours and costs, this information is not always used for forecasting, as highlighted in the exchange between Mr. Murphy and Mr. Beaton.

2.3.5 New Customer Routines [66] New customer routine capital expenditures represent the largest individual distribution routine subcategory with a budget of approximately $67.8 million in 2026. The 2026 budgets for D004 – New Customer Upg...

AI summary New customer routine capital expenditures are a significant part of the distribution budget, with a 2026 allocation of $67.8 million. NS Power uses expenditure-based forecasts, and Mr. Wilson suggests capturing more detailed customer data to improve forecasting and planning. NS Power argues that current forecasting methods have been effective, as no ATO was required for new customer routines in several years.

3.2 CEJC Scope Change Amendments and Recommendations [99] Capital project Scope Change applications are currently addressed in Section 12.2 of NS Power's Capital Expenditure Justification Criteria. These are intended to address changes in...

AI summary The document discusses the need to define 'Scope Change' in the CEJC, as raised by the IG during the 2025 ACE Plan proceeding. The Board agreed and directed NS Power to consult on incorporating a definition into the CEJC for the 2026 ACE Plan.

Closing Submissions, p. 8] [112] In this context, NS Power submitted that many Scope Change applications would likely be filed after the relevant decision has been made. In effect, such applications would still be "after the fact" rather t...

AI summary NS Power argues that many Scope Change applications are filed after decisions are made, making them 'after the fact.' The Board acknowledges that while some applications may be prospective, in practice, timing issues often delay them. However, the Board also notes that in some cases, delaying Scope Change applications could avoid additional costs and operational risks, allowing for regulatory oversight.

material concerns regarding the fiscal capacity of ratepayers to absorb such aggressive asset loading without a corresponding expansion of physical system benefits. [DOE Closing Submissions, pp. 3-4] [165] The Board is also concerned about...

AI summary The document discusses concerns about the impact of increased capital spending on ratepayers, particularly in the context of Nova Scotia Power's efforts to meet decarbonization goals under the Electricity Act. The transition from coal-based generation to renewable energy has been costly, with challenges in integrating high levels of wind power and the need for expensive battery storage solutions.

6.1 Past Experience with Rate Impact Analysis [175] In its Closing Submissions, the IG made the following request of the Board: The Industrial Group submits that the Board should direct NSPI to provide, with the Year 3 update to the Reliab...

AI summary The Industrial Group requests the Board to direct NSPI to provide a quantitative assessment of the Reliability Plan's impact on rates with the Year 3 update. It also asks for consideration of the annual capital expenditure plan's impact on ratepayer classes through bill impact or affordability analysis.

6.2 Regulatory Compact [179] Any analysis of what affordability means in the public utility context starts with the regulatory compact enshrined in the Public Utilities Act . In essence, in return for fulfilling an obligation to provide re...

AI summary The regulatory compact under the Public Utilities Act establishes that public utilities must provide safe, adequate, and reliable electricity service without discrimination, in exchange for recovering prudently incurred costs and a reasonable rate of return. Affordability is assessed based on whether the least costly option is selected to meet legislative or Board requirements, as seen in the CEJC framework and capital project approvals.

6.5 Need to Consider Rate Impacts and A Potential Framework [187] The Board still has some concerns about the utility of a rate impact analysis, where the full set of studies and data available in a GRA are not readily reproduced on an ann...

AI summary The Board acknowledges concerns about the utility of rate impact analysis but believes it could provide useful context for the Five-Year Reliability Plan and annual ACE Plans. It directs NS Power to provide a rate impact analysis for the 2027 ACE Plan, focusing on the projected impact of capital expenditures on rates for 2028–2030. The analysis should address proposed ACE Plan capital expenditures, excluding the NB Intertie project, which is already approved.

7.1 Progress on The Path to 2030 [190] There are several decarbonization goals being advanced by the provincial and federal governments. Two specific targets that must be met by 2030 are enshrined in the following enactments: the provincia...

AI summary The provincial and federal governments have set decarbonization targets for 2030, requiring NS Power to achieve 80% renewable electricity sales and phase out coal. NS Power submitted The Path to 2030 plan, updated in 2025, outlining the resources and timelines needed to meet these goals.

ssues potentially impacting The Path to 2030 , such as anticipated demand side management initiatives, along with an early-stage discussion about potential green hydrogen and offshore wind projects. [200] As has been discussed in all three...

AI summary The text discusses the challenges and progress of The Path to 2030 , including the short timeline for decarbonization, high capital costs, and risks of project delays. It highlights the completion of the NS Power BESS projects and the on-schedule progress of the NS-NB Reliability Intertie. Coal plant fuel conversions remain a key challenge, requiring coordination between IESO Nova Scotia and NS Power.

cilitate a competitive electricity market, coordinate system planning, and, section (m) conduct procurements for electricity supply, capacity, storage ancillary services and hybrid resources. The Minister's position is that all new system...

AI summary The Minister of Energy emphasizes the importance of competitive procurement by the IESO for new system needs, including electricity supply, capacity, storage, and ancillary services, to ensure best value for ratepayers and align with the IESO's statutory responsibilities.

11.0 CONCLUSION [239] The Board has approved NS Power's 2026 ACE Plan, except for C0080111 – 2026 RTU Deployment. The approved projects are listed in the attached Schedule "A". [240] The Board has provided comments on specific capital proj...

AI summary The Board has approved NS Power's 2026 ACE Plan, except for C0080111 – 2026 RTU Deployment. The Board provided comments on various aspects including capital projects, decarbonization targets, and the Mersey Hydro System refurbishment. It also issued directives for future ACE Plan applications, requiring updates and detailed financial reporting.

ant cost categories. For Routines using internal labour the information should also include a breakdown of labour costs (regular and overtime labour, budgeted costs and hours, actual costs and hours). - 3. NS Power must provide sufficient...

AI summary The document outlines requirements for NS Power to provide detailed cost breakdowns and explanations for changes in routine expenditures, including labour, materials, and contractor costs. It also mandates monitoring of planned and reactive replacement activities and the inclusion of Routine Expenditure provisions in the 2028 ACE Plan.

I N D E X O F P R O C E E D I N G S April 21, 2026 PAGE NO. Hearing opens 1 Preliminary matters 1 Opening Statement by Consumer Advocate 13 Opening Statement by Small Business Advocate 17 Opening Statement by Nova Scotia Department of Ener...

AI summary The document outlines the proceedings of a hearing held on April 21, 2026, including opening statements from various stakeholders such as the Consumer Advocate, Small Business Advocate, and the Nova Scotia Department of Energy. It also includes direct and cross-examinations, as well as exhibits related to Nova Scotia Power's T&D WAM Phase II report and routine spending.

OPENING STATEMENT 27 NS DEPT. OF ENERGY 1 the burden of those overruns falls onto ratepayers. 2 For example, some of the hydro plants 3 produce minimal energy and yet work on them has often 4 proceeded in the face of significant cost overr...

AI summary The Department of Energy highlights concerns over cost overruns in hydro plant projects and calls for regulatory scrutiny of the 2026 ACE Plan, emphasizing the need for accountability and alignment with the IESO mandate. It also requests the Board to disallow ratepayer funding for certain projects, arguing that financial consequences should be borne by shareholders, not ratepayers.

NS POWER PANEL 43 In-ch, (Power) 1 integrity programs. Since then, I've held several roles 6 Scotia Power in this matter; is that correct? 7 (Pickles) Yes, that's correct. A. 8 And that evidence includes Nova Q. 9 Scotia Power's Applicatio...

AI summary The document outlines Nova Scotia Power's 2026 Annual Capital Expenditure Plan (ACE Plan), highlighting the company's commitment to safe and reliable electricity delivery. It includes evidence submitted by Nova Scotia Power, including their application, responses to information requests, and rebuttal evidence, all prepared under the direction of the panel.

OPENING STATEMENT 51 NOVA SCOTIA POWER 1 periods of high demand, such as the extreme cold snap Nova 12 service and carrying out complex infrastructure projects 13 safely and efficiently. 14 And finally, I want to highlight the 15 importanc...

AI summary Nova Scotia Power presents its 2026 Annual Capital Expenditure (ACE) Plan, emphasizing investments in infrastructure to ensure reliability and affordability while aligning with the province's 2030 climate goals. The plan includes risk-based strategies to maintain aging assets and integrate new resources.

NS POWER PANEL 89 Cr-ex, (Murphy) 1 that would benefit the future load forecasting. 9 tagged with certain customer type. So where the costs 10 would end up would be the exact same as they are today, 11 whether we had that information or no...

AI summary The discussion centers on cost allocation between rate classes and the potential for improved rate design, with a focus on whether data would be useful for these purposes. The chair outlines an undertaking to review and provide information on these topics.

NS POWER PANEL 237 Cr-ex, (Rudderham) 1 doing the plan, showing numbers that we think would be 2 extremely difficult to predict in an accurate sense 3 doesn't provide the value that would be needed to 4 undertake that analysis. 5 Q. A coup...

AI summary The discussion revolves around the intent of a plan to achieve certain performance outcomes by 2029, emphasizing that the plan is not to invest at any cost but to balance affordability with necessary investments. The Board has mandated performance standards, and there is a focus on ensuring costs are reasonable and manageable for customers.

NS POWER PANEL 245 Cr-ex, (Rudderham) 1 building the ACE Plan as a whole, all starts at the bottom 2 level, where individual project managers are tasked to 3 mitigate risks in the least-cost method. And when those 4 when that least-cost me...

AI summary The discussion centers on the Affordability Clean Energy (ACE) Plan and its alignment with Nova Scotia Power's Capital Plan, emphasizing bottom-up risk mitigation and affordability considerations. The ACE Plan provides more detailed capital investment planning compared to the General Rate Application (GRA), and large projects require Board approval.

NS POWER PANEL 273 Cr-ex, (Rudderham) 1 I'll give you a second. If you Q. 2 can just confirm, they added nine additional towers? 3 A. (Beaton) Okay. 4 So it's nine additional towers Q. 5 from the original 13; is that correct? 6 (Beaton) Th...

AI summary The discussion centers on a project involving the addition of nine towers to an original 13, resulting in a 70% variance in the number of towers without an increase in cost. The new scope change definition is being debated, with concerns that including the number of towers in the scope definition could lead to more applications.

NS POWER PANEL 275 Cr-ex, (Rudderham) previously you had stated the way that you've defined scope change in scope in the current Application is because it's the it's the way you could manage it, and I assume that that means there'd be too...

AI summary The discussion addresses the challenge of applying a set percentage variance to projects with varying quantities, particularly in distribution rights-of-way and transformer replacement projects, highlighting the complexity in managing cost variations for such work.

NS POWER PANEL 319 Cr-ex, (Mahody) 1 this project. And the question I wanted to focus in on is 2 BY MR. MAHODY: 3 Witness panel, I'm headed to the Q. 4 Pennsylvania breaker issue. 5 If we could call up N-1, page 402, 6 please. 7 And so you...

AI summary The text references a regulatory proceeding involving Nova Scotia Power, focusing on the Pennsylvania breaker issue and the determination of risk levels associated with circuit breakers. It includes references to specific pages and Board IR-126.

NS POWER PANEL 487 Questions, (Murphy) 1 things. Again, so as you mentioned, the performance 2 standards do have an inherent ratcheting baked into them, 3 so they're as the performance of the system improves 4 the target would move with it...

AI summary The discussion centers on performance standards with inherent ratcheting, SAIDI and SAIFI metrics, and the need for continued investment to reduce both duration and frequency of outages. Reference is made to a target for SAIDI reduction by 2029, with incremental improvements each year.

NS POWER PANEL 537 Questions, (Chair) 1 You know, our primary concern and 2 focus is to ensure there's adequate capacity on the 3 system. As the utility, we want to make sure the lights 4 stay on. So we would certainly not retire a unit or...

AI summary The discussion focuses on NS Power's concerns about maintaining adequate system capacity and retiring coal units by 2030. The utility emphasizes the importance of fuel switching and the potential impact of federal and provincial discussions on coal use beyond 2030. There is also mention of the need to avoid stranded capital if coal conversions are not necessary.

NS POWER PANEL 543 Questions, (Chair) 1 27, obviously, if the plan changed, the future GRAs would 2 have to consider it as well? 3 A. (Beaton) Certainly. 4 If well, I'll leave that Q. 5 aside. I'll ask it later or ask it in a different way...

AI summary The discussion centers on how changes to the Five-Year Reliability Plan may affect future General Rate Applications (GRAs) and whether feedback from ratepayers has been sought regarding potential improvements to performance metrics. NS Power mentions that performance standards will be reviewed, with customer representatives having an opportunity to provide feedback.

Cr-ex, (Kayter) 1 up the right discussion points. 2 Thank you. Q. 3 For my next question, I refer you to 4 PDF page 21 to 22 of Exhibit N-9, CEJC Updates, Scope 5 Change Definition. 6 Question: Your proposal for more 7 rigorous scope chang...

AI summary The discussion centers on the need for a rigorous scope change definition to prevent cost overruns in utility projects. The witness references past projects like Tusket Falls and Marshall Falls, which experienced significant cost overruns, and mentions IR-16 from the Board's IR set as relevant context.

he non- binding contingency guidelines have been worked out effectively and Nova Scotia Power's generally following those. So that's one mechanism for determining what level WILSON Cr-ex, (Kayter) INTERNATIONAL REPORTING INC. CERTIFIED COU...

AI summary The discussion outlines mechanisms for determining reasonable cost escalation for approved capital projects, including adherence to contingency guidelines, potential ATO proceedings for cost overruns, and consideration during general rate cases if cost overruns affect the rate base.