Topic:"Rate Smoothing Adjustment" in M06733

• Appendix A: 2016-2018 DSM Resource Plan 1 • Appendix B: Supply Agreement Outstanding Items 2 • Appendix C: 2013 Evaluation and Verification Recommendations 3 • Appendix D: 2016-2018 Rate and Bill Impact Analysis 4 • Appendix E: Investing...

AI summary This document outlines the history of DSM Plan filings and approvals by ENSC, including the 2012 DSM Plan, 2013-2015 DSM Plan, and the 2014 DCRR application with a Rate Smoothing Adjustment (RSA) mechanism. The UARB approved these filings and related compliance measures.

ency and conservation activities to not more than $35 million, plus any over-recovery of funds by ENSC from 2013 (subsection 79R(1)). The costs NS Power can recover from ratepayers for the 2015 year, beginning in 2016 and over an 8-year pe...

AI summary The text outlines legislative provisions that limit the amount of costs NS Power can recover from ratepayers for energy efficiency and conservation activities to $35 million, adjusted for over-recovery from 2013. It also discusses ENSC's 2015 DSM Resource Plan, the filing of a Settlement Agreement, and subsequent implementation reports and updates provided to the DSM Advisory Group and the UARB.

Assumptions used in ENS's 2016-2018 Rate and Bill Impact Analysis Stakeholder Stakeholder Comment ENSC's Response Inclusion in the model Consumer Advocate The data did attempt to model changes in savings resulting from changes in investmen...

AI summary The Consumer Advocate challenges ENSC's assumption that a 50% reduction in DSM spending would result in a 50% reduction in savings, as this was not modeled. ENSC acknowledges that the 50% Low Case from the IRP was not tested and agrees that the assumption is not supported by modeling. However, ENSC included the scenario for comparison purposes in the rate and bill impact analysis.

te Filed: March 27, 2015 E1 (NSPI) IR-11 Page 1 of 7 2016-2018 Supply Agreement for EECA M06733 (E-ENS-R-15) E1 Responses to NSPI Information Requests NON-CONFIDENTIAL 1 b) As shown in ENS’s rate and bill impact analysis, for total custome...

AI summary The document discusses the impact of different Demand Side Management (DSM) scenarios on average customer bills, showing that increased investment in DSM reduces bills, while reduced investment increases them. It references ENS’s rate and bill impact analysis and provides examples from the Small General rate class.

Filed: March 27, 2015 E1 (NSPI) IR-11 Page 3 of 7 2016-2018 Supply Agreement for EECA M06733 (E-ENS-R-15) E1 Responses to NSPI Information Requests NON-CONFIDENTIAL 1 general trends would be expected to remain the same but specific values...

AI summary The document discusses the impact of varying levels of Demand Side Management (DSM) investment on rates and bills, showing that increased DSM investment leads to higher rates in the short term but lower rates over the lifetime of the program for most rate classes.

EECA M06733 (E-ENS-R-15) E1 Responses to NSPI Information Requests NON-CONFIDENTIAL 1 Mid-DSM Scenario 2 3 4 These results are dependent on the cost-allocation methodology approved for the 2016- 5 2018 years. Rate impacts by class are affe...

AI summary The document discusses the impact of the cost-allocation methodology approved for the 2016-2018 period on rate and bill impacts, noting that rate impacts are more significantly affected than bill impacts. It also references the use of the existing UARB-approved methodology and directs to specific appendices for detailed rate-class specific results.

Date Filed: March 27, 2015 NSPI IR-12 Attachment 1 Page 13 of 26 Summary of Results - Residential Rate Impacts Bill Savings 2015-2017 Participation (% of Total Rate) (% of Total Bill) (New % of Customers) New Construction 2.1% 9.3% 0.5% HV...

AI summary The document presents a summary of residential energy efficiency program results, highlighting rate impacts, bill savings, and participation rates for various initiatives such as new construction, HVAC, home retrofits, and lighting. The data shows the percentage of total rate and bill savings, as well as the proportion of new customers participating in each program from 2015 to 2017.

ate Filed: March 27, 2015 E1 (NSPI) IR-28 Page 2 of 2 2016-2018 Supply Agreement for EECA M06733 (E-ENS-R-15) E1 Responses to NSPI Information Requests NON-CONFIDENTIAL 1 Request IR-29: 2 3 Reference: EfficiencyOne, Evidence – Appendix D 2...

AI summary E1 responds to NSPI's request regarding the exclusion of lost revenue recovery in its rate and bill impact model. E1 explains that it was unable to incorporate NSPI's feedback due to timing issues and plans to address it in future model versions.

Appendix A DSM Program Implementer Profiles Efficiency Nova Scotia Business Structure Franchise DSM Funding Mechanism DSM Cost Recovery Rate, Rate Smoothing Adjustment Population Served Number of Customers Planned DSM Savings C, 31% 942,70...

AI summary This appendix outlines the DSM Program Implementer Profiles for Efficiency Nova Scotia, detailing its business structure, funding mechanisms, customer base, and DSM savings targets. It includes financial data such as planned and actual DSM costs, savings, and energy usage metrics.

MeasureLevel Results for Baseline E1 and Optimized Case D Scenarios Pro m T gra ype Sub ͲPro gra m Me asu re Mo del Bui ldin g T ype End Use Cat ego ry Sto ck T tme nt rea Dem and (kW ) Ene rgy (M Wh ) Tot l. Cos al I mp t ($ ) eba 47 Bus...

AI summary The table presents MeasureLevel results for Baseline E1 and Optimized Case D scenarios, comparing demand, energy, and total cost impact across different programs and building types. The data includes metrics such as demand in kW, energy in MWh, and total cost impact in dollars, with some entries showing percentage changes.

2016-2018 DSM Plan (NSUARB M06733) NSPI Responses to Multeese Information Requests 1 Request IR-15: 2 turbine is added in the resource plan to maintain planning reserve margin and runs at a 3 low capacity factor, its capital costs would al...

AI summary The document discusses NSPI's responses to information requests regarding the 2016-2018 DSM Plan. It includes references to capital and operating costs of a combustion turbine, alternative DSM scenarios, and questions about the methodology and assumptions used in rate and bill impact analyses. NSPI is asked whether they agree that fuel savings may affect customer bills.

he $53 million that was in rates for DSM in 2014 and which amount was subsequently repurposed by Order of the Board for 2015 fuel expenses. It expanded on these points in its post-hearing submission: - It is $69 million, or 38 percent. les...

AI summary The document discusses the repurposing of funds allocated for demand-side management (DSM) in 2014 for 2015 fuel expenses and outlines the proposed DSM Plan's investment levels. It emphasizes affordability, cost-effectiveness, and participation balance across sectors, ensuring long-term planning and avoiding new capacity additions until 2032.

3.5.2.1 Findings [71] The CA summarized his view of the purpose of a DSM program: The basic purpose is to reduce the level of energy required by Nova Scotia in the future, both short and long term. DSM programs are an integral component in...

AI summary The Consumer Advocate emphasizes the importance of DSM programs in reducing energy demand and supporting Nova Scotia's energy strategy. The Board expresses concerns with NSPI's plan, noting reduced residential spending and a disconnect with the IRP, while favoring El's plan for better alignment with the PUA and long-term cost savings.

4) COST ALLOCATION - a) The Parties agree to collaboratively work to develop new OSM cost allocation and p5Mcost recovery models to be submitted by October 31) 2015 for approval or Decision by the Board, or within a reasonable period of ti...

AI summary Parties agree to collaboratively develop OSM cost allocation models and p5M cost recovery by October 31, 2015, for Board approval. Topics include 2015-2018 cost allocation, RSA adjustments, and mid-course changes. Nova Scotia Power retains discretion over DSM cost treatment.

IT IS HEREBY ORDERED that: - 1. The Board approves a DSM Plan for 2016-2018 in the aggregate amount of $102,150,000 with a target of total cumulative energy savings of 405.9 GWh and demand savings of 62.5 MW. Approved spending is $33,210,0...

AI summary The Board has approved a DSM Plan for 2016-2018 with a total budget of $102,150,000, setting energy and demand savings targets. It also approved a supply agreement between E1 and NSPI, and directed E1 and NSPI to file various reports and analyses, including on financing deferrals, accounting treatments, and locational DSM efforts.

4) COST ALLOCATION 1111 - a) The Parties agree to collaboratively work to develop new DSM cost allocation and DSM cost recovery models to be submitted by October 31, 2015 for approval or Decision by the Board, or within a reasonable period...

AI summary Parties agree to develop DSM cost allocation models by October 31, 2015, for the Board's approval, including 2015 and 2016-2018 allocations, a 2014 rate-smoothing adjustment, and mid-course adjustments. It clarifies that NSPI's discretion regarding DSM cost applications to UARB is not restricted.

61 Transcript, June 18, 2015, Page 778, line 14 to Page 786, line 3. 1 2 On the non-fuel rates, the charge came off of the bills and the costs then, beginning 3 on January 1 of 2015, were now deferred as opposed to being collected from 4 c...

AI summary The discussion revolves around the deferral of non-fuel costs and the handling of demand-side management (DSM) funding. The Chair notes that $53 million in rates was allocated for DSM, and Efficiency Nova Scotia is requesting approval for a $37 million program. Mr. Blunden clarifies that there was no money in rates for DSM in 2014, as it was covered by a rider, and that non-fuel costs in 2015 effectively resulted in a rate reduction.

4) COST ALLOCATION - a) The Parties agree to collaboratively work to develop new OSM cost allocation and p5Mcost recovery models to be submitted by October 31) 2015 for approval or Decision by the Board, or within a reasonable period of ti...

AI summary Parties agree to develop OSM cost allocation and p5M cost recovery models by October 31, 2015, for Board approval. Key items include 2015 and 2016-2018 allocations, 2014 RSA, and mid-course adjustments. Nova Scotia Power retains discretion in DSM cost treatment.

4) COST ALLOCATION 1111 - a) The Parties agree to collaboratively work to develop new DSM cost allocation and DSM cost recovery models to be submitted by October 31, 2015 for approval or Decision by the Board, or within a reasonable period...

AI summary Parties agree to collaboratively develop DSM cost allocation and recovery models by October 31, 2015, covering 2015, 2016-2018, a 2014 rate-smoothing adjustment, and mid-course adjustments. The agreement clarifies that Nova Scotia Power retains discretion to apply to the UARB regarding DSM cost accounting and recovery.

E1 is seeking long-term financing in the form of a committed term loan facility, with E1's annual principal and interest payment requirements being back-stopped with payments from NSPI to E1. Initially, E1 is looking to secure financing fo...

AI summary E1 is seeking long-term financing for energy efficiency investments through a committed term loan, with NSPI backing payments. The total investment for the first Supply Agreement (2016-2018) is estimated at $100M. E1 plans to finance subsequent instalments separately. Energy efficiency investments are expected to provide long-term benefits, and NSPI may recover costs over time aligned with benefits. E1 aims to secure financing at a lower cost than NSPI's WACC of approximately 7.78% (pre-tax) and 6.49% (after-tax).