HomeRate RiderM08929Evidence
Topic/Matter Intersection

Topic:"Rate Rider" in M08929

Matter: P-884 - Nova Scotia Power Inc. (NSPI) - Integrated Resource Planning (IRP) and M08059--Generation Utilization and Optimization
16 passages 4 documents

Rate Rider across all matters →

N-8NSPI Letter update on IRP process 1 passage
Party Question/Comment & Response
1.7 Analysis Plan E1 – Feb 14 2020 How will qualitative assessment of timing of NS Power will review the timing of capital Evaluation Criteria: investments be used? Risk of pushing all decisions out investments in each plan to better Flexi...

AI summary The analysis plan discusses how NS Power will evaluate the timing of capital investments and incorporate qualitative resiliency metrics in resource planning. Flexibility and resiliency are emphasized in the evaluation criteria, with a focus on grid modernization and emission reductions. DSM flexibility is not being evaluated as part of the criteria.

N-92020 Integrated Resource Plan 2 passages
3.2 Maintaining Affordability p. p. 31
3.2 Maintaining Affordability As reflected in the Terms of Reference for this IRP, in addition to the traditional metric of minimization of cumulative present value of annual long-term revenue requirements over the 25 year planning horizon...

AI summary The 2020 Integrated Resource Plan (IRP) considers affordability by analyzing the magnitude and timing of electricity rate effects across different scenarios, such as Electrification, DSM, and DER. Affordability is influenced by system load levels and cost recovery mechanisms, with uncertainty increasing over the planning horizon. Nova Scotia Power provides 10-year rate impact analyses to address risks associated with long-term projections.

6.5 Relative Rate Impacts p. p. 94
hich have no firm capacity value). Finally, the cost of the DER resources themselves is not included in these rate impact calculations but could be expected to add additional rate pressure if modeled. The slight rate increases in 2030 for...

AI summary The text discusses how retiring coal-fired plants by 2030 or 2040 increases rates due to the need to procure new capacity and energy. Early closure by 2030 may add rate pressure in the 2030s unless mitigated by electrification and higher fixed cost recovery from certain rate classes.

N-9-(i)Appendices A-N 12 passages
Section 181
• Develop an opening bundled service rate for comparison purposes; and • Recognize the additional fixed cost contribution provided by additional sales from higher levels of electrification. • The Company has taken the following approach: •...

AI summary The Company is developing an opening bundled service rate by incorporating forward-looking supply-side and demand-side revenue requirements from the Integrated Resource Plan (IRP) and adding fixed costs from the 2014 Test Year. Additional fixed cost recovery from increased electrification sales is calculated using an FCR/MWh factor, and annual rate changes are determined based on the net revenue requirement and total sales.

Section 1136
SENSITIVITY ANALYSIS Increase in Low capital Renewable Energy cost of Standard policy wind Low capital Low pricing of import cost of energy storage High High pricing of pricing of natural gas import energy Carbon Fuel security tax/pricing...

AI summary The document outlines a sensitivity analysis focusing on renewable energy standards, capital costs, and pricing of imported energy, as well as carbon tax and fuel security. It also proposes evaluation criteria for an integrated resource plan, emphasizing the minimization of revenue requirements and rate impacts over a 25-year period.

Section 1539
July 2020 Category Comment # Comment NS Power Response T&D CA-05 NS Power staff explained that the projection of revenue The Avoided T&D cost estimates, being developed requirements excludes T&D costs, which would be affected in parallel t...

AI summary The document includes comments from the Consumer Advocate regarding the exclusion of T&D costs in revenue requirement projections and requests for more detail on how revenue requirements for supply-side options are computed in the long-term Plexos model. NS Power responds by noting that Avoided T&D cost estimates are being developed in parallel with the IRP.

Section 1895
integration will require careful and strategic consideration and coordination with other jurisdictions in the region to ensure Nova Scotia stakeholders receive the intended benefits. 3. Rate Impacts In its Updated Modeling Results and Draf...

AI summary The document discusses the importance of rate impacts and electrification scenarios in Nova Scotia’s long-term planning. It highlights the need for stable and predictable electricity rates, especially for industrial customers. NS Power’s new demand response service and the continued need for firm capacity resources are emphasized as key factors in achieving an environmentally and economically sustainable electricity future.

Section 1946
Nova Scotia Power IRP Final Report Appendix K Page 242 of 264 Category Participant Comment NSP Response / Consideration for Final Report Rate Impact model CA NS Power’s use of 1994 non-fuel revenues is an appropriate starting point for the...

AI summary Nova Scotia Power (NSP) is addressing feedback regarding the use of non-fuel revenues from 1994 in its rate impact model. NSP acknowledges that the RII memo incorrectly referenced 1994 and clarifies that 2014 non-fuel revenues were used. NSP also explains that sunk costs of existing generation will depreciate and be replaced by investments captured in the IRP revenue requirement, suggesting a downward adjustment.

Section 1988
Further, the IRP provides the only opportunity for analysis of the long-term revenue requirement associated with the NS electricity system. This long-term view is critical in determining the lowest cost electricity system into the future,...

AI summary The Integrated Resource Plan (IRP) is crucial for analyzing the long-term revenue requirements of Nova Scotia's electricity system and determining the lowest cost electricity system. The UARB emphasized the importance of the IRP in utilizing both supply-side and demand-side resources to reliably serve Nova Scotia's electrical needs at the lowest long-term cost to ratepayers.

Section 2135
pressure on rates that may be created by differing levels of electrification. The model presented in the Draft IRP Report may exaggerate the rate impacts overall, and the differences among the cases. John D. Wilson and Paul Chernick • Reso...

AI summary The comment highlights an issue with the rate impact model in NS Power's Draft IRP Report, specifically the incorrect deduction of incremental fixed cost recovery from the revenue requirement, leading to potentially misleading rate estimates. The commenter recommends correcting this in the model and throughout the report.

Section 2138
s remains an increasing revenue requirement under every scenario. The suggested, or some similar sensitivity analysis, will provide an indication of the uncertainty in NS Power’s rate impact forecast. Revised rate impact model findings Bel...

AI summary The analysis indicates that NS Power's rate impact model overstates the rate increase trends and differences between scenarios. It also highlights an error in the model's calculation of fixed cost recovery and system rate, which undermines the support for the Low DSM investment level in the Draft IRP Report.

Section 2168
s analysis are presented on pages 112 and 113 of the draft IRP report, while the methodology is presented on pages 98 and 99. There are issues associated with the use of rate effects, which are specific examples of the general issues descr...

AI summary The document discusses concerns with the use of rate effects in the Integrated Resource Plan (IRP) context, highlighting issues such as the methodology being overly simplistic and applied unevenly. It also raises concerns about the potential prejudice to other rate-making exercises and the inappropriateness of discussing affordability in the IRP rather than in DSM planning.

Section 2169
en description of the methodology for its rate analysis as part of the final report was provided, as well as results and analysis. The methodology documented in the Draft Report has a number of flaws: - Its treatment of fixed costs differs...

AI summary The text critiques the methodology used in the Draft Report for rate analysis, pointing out several flaws, including inconsistent treatment of fixed costs, incorrect assumptions about cost recovery, and failure to consider transmission and distribution avoided costs. It also highlights that the Rate and Bill Impact Analysis (RBIA), developed through stakeholder consensus, has been used and refined since 2013.

Section 2416
Town of See comment on overall Finding 1. Wolfville 1b. Increased electricity sales due to electrification AREA No comment n/a can help to reduce upward pressure on electricity CA Supportive but with recommendations for 2 adjustments to 20...

AI summary The text discusses the impact of increased electricity sales due to electrification on electricity rates and carbon reduction. It highlights the importance of managing peak demand and energy requirements, and supports Nova Scotia Power's approach to rate impacts in the IRP while suggesting adjustments to the calculation of fixed cost recovery.

Section 2546
r’s Smart Grid Project, NS Power’s Time Varying Pricing application, the DR Joint Working Group between NS Power and Efficiency One, the ELIADC tariff, and the Large Industrial Interruptible Rider. Page 39 of 43 Nova Scotia Power IRP Final...

AI summary The text references several initiatives and programs related to energy efficiency, grid modernization, and regulatory proceedings, including NS Power's Smart Grid Project, Time Varying Pricing application, and the ELIADC tariff. It also mentions a DR Joint Working Group and the Large Industrial Interruptible Rider, along with a summary of stakeholder comments on an action plan and roadmap.

N-18Response to Comments - NSPI 1 passage
IRP Final Report Comments – Bates White p. p. 35
Key Finding 2e: DSM energy efficiency programs and costs, Action Plan item 5. Page 4 and 13 of E1 submission In addition to being limited in scope, the methodology used is not aligned with the DSM Rate and Bill Impact Analysis (RBIA) model...

AI summary The text discusses concerns about the methodology used in the Integrated Resource Plan (IRP) for analyzing the rate and bill impacts of demand-side management (DSM) programs. It highlights that E1's DSM Rate and Bill Impact Analysis (RBIA) model is the established approach in Nova Scotia and has undergone stakeholder review. The IRP used a relative rate impact model that differs from the RBIA model.

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