Topic:"Rate Rider" in M12954

Background Below is a brief summary of current treatment of interest rates for the five deferral/variance accounts, which would be reviewed as part of this proceeding. Demand Side Management Cost Recovery Rider ("DCRR"): In the DCRR Decisi...

AI summary The document outlines the current treatment of interest rates for various deferral and variance accounts, including the DCRR, FAM, SCRR, Securitization Deferral, and DDA. It references past decisions and outlines the Board's stance on applying interest rates, such as NS Power's WACC or the default rate from the Public Utilities Act, pending further proceedings.

STEP 4 – ANALYZE OPTIONAL INTEREST RATE TREATMENT FOR DEFERRAL AND VARIANCE ACCOUNT BALANCES Given that s. 64AB establishes a default interest rate methodology while preserving the Board's discretion to direct otherwise, the Industrial Gro...

AI summary The Industrial Group recommends that Step 4 explicitly consider factors relevant to the Board's discretion in setting interest rates for deferral and variance accounts. It emphasizes the need to analyze the purpose and implications of different account types, such as the Fuel Adjustment Mechanism and Decarbonization Deferral Account, and whether a uniform or account-specific approach is appropriate.

July 28, 2026 VIA EMAIL Ms. Crystal Henwood Clerk of the Board Nova Scotia Energy Board 1601 Lower Water Street, 3rd Floor Halifax NS B3J 3S3 Dear Ms. Henwood: Re: M12954 - Review of Nova Scotia Power Incorporated Treatment of Variance Acc...

AI summary The Small Business Advocate proposes adding a requirement to the Terms of Reference for M12954, ensuring that LEI's independent report documents shared accounts and balances across matter numbers, clarifying deliverables and aiding stakeholder understanding of interest rate treatment and future deferral and variance accounts.

Background Below is a brief summary of current treatment of financing costs for the five deferral/variance accounts, which would be reviewed as part of this proceeding. Demand Side Management Cost Recovery Rider ("DCRR"): In the DCRR Decis...

AI summary The document outlines the current treatment of financing costs for various deferral and variance accounts, including the DCRR, FAM, SCRR, Securitization Deferral, and DDA. It references past decisions and the application of interest rates, such as the Bank of Canada policy rate plus 1.75% or NS Power's WACC, and highlights pending decisions in a generic proceeding.