Topic:"Rate Rider" in M11094

3 COST ALLOCATION METHODOLOGY ENSC's cost allocation model relies on standard fully allocated costing concepts that are generally accepted by Canadian regulators for rate-setting purposes. In particular, ENSC's fully allocated costing meth...

AI summary ENSC's cost allocation model uses fully allocated costing concepts to distribute 100% of costs to customer classes based on cost causality principles. The model distinguishes between taxpayer-funded and ratepayer-funded programs, with the latter further divided into ratepayer classes. Direct program cost accounts are allocated to specific programs, such as the Small Business Energy Solutions program.

4 CONCLUSION The methodology used to allocate ENSC's total "costs for electric and other fuel mandates" is consistent with the standard approach to the fully allocated costing models that are used for rate setting purposes by regulated ele...

AI summary The document outlines the methodology used to allocate ENSC's costs for electric and other fuel mandates, emphasizing consistency with standard rate-setting practices. Costs are directly or proportionally allocated based on program-specific factors, and recovery mechanisms involve rate riders approved by the NSUARB and government payments for other fuel mandates.