Topic:"Regulatory Compliance" in M04265

RESPONSE TO INFORMATION REQUEST TO: NSUARB FROM: NSPI Response IR-5: The differentiating factor is whether a customer has the facilities to receive alternate energy supply, which is not discriminatory from a pricing perspective. The custom...

AI summary NSPI responds to an information request regarding a load retention rate, stating that the rate does not discriminate based on geography and is not predatory. The rate is customer-specific and subject to approval by the UARB. NSPI argues that the rate is regulated conduct and does not affect competition.

GENERAL Service supplied is subject to the Rules and Regulations Covering the Supply of Electric Service and Rules and Regulations for Meter and Service Installations of the Company as filed with the Commission.

AI summary The service supplied is governed by the Rules and Regulations Covering the Supply of Electric Service and Rules and Regulations for Meter and Service Installations of the Company, which have been filed with the Commission.

10. Liability of the Parties Each of the parties shall indemnify and save harmless the other party against any and all damages to persons or property occasioned, without the negligence of such other party, by the maintenance and operation...

AI summary This section outlines the liability of the parties involved, requiring each to indemnify the other against damages caused by their operations, provided the other party is not negligent. Customers must maintain $100,000 in liability insurance or show financial responsibility.

I 29. The conclusions of Confer/Miles can be summarized as follows: - (i) M&NE's proposed toll design is economically inefficient and should not be approved by the Board. The postage stamp toll design violates the conditions required to ac...

AI summary The Confer/Miles report concludes that M&NE's proposed postage stamp toll design is economically inefficient and should be rejected. It recommends a point-to-point toll design and revised lateral policies. The report highlights the lack of a competitive natural gas market in the region and suggests amending the Board's procedures to ensure transparency and fair access to Sable Island gas.

Proposed Postage Stamp Rate 30. Under the proposed postage stamp toll of M&NE, the same toll applies to each unit shipped, regardless of the distance of transportation. The toll therefore makes no distinction between gas delivered in Nova...

AI summary The proposed postage stamp toll by M&NE applies uniformly regardless of distance or destination, leading to a subsidy from Nova Scotia customers to New Brunswick and U.S. export customers. This structure is contrary to the Accord, which aims to benefit Nova Scotia from offshore resources. NSPI argues that point-to-point tolls would better reflect costs and align with provincial interests.

CONCLUSIONS AND RECOMMENDATIONS - Q. MR. KUMAR, PLEASE SUMMARIZE YOUR CONCLUSIONS? - A. In my opinion, NSPI's proposed LR rate provision is a proper response to a competitive market. However, NSPI's proposal lacks certain customer protecti...

AI summary Mr. Kumar concludes that NSPI's LR rate proposal is appropriate for a competitive market but requires customer protection measures. He recommends conditions for implementation, including non-discrimination, availability timelines, loss mitigation strategies, and revenue sharing incentives.

t by NSPI and the customer seeking service under the rate. He noted that the United States Federal Energy Regulatory Commission treats all contract rates filed with it to be within the public domain. The Board has always considered that pu...

AI summary The document discusses the Board's consideration of confidentiality concerns related to load retention rates, acknowledging the need to protect commercially sensitive information while emphasizing transparency in the regulatory process. It approves a clause proposed by NSPI to safeguard such information under privacy laws.

CONCLUDING COMMENTS The Board approves the load retention rate as submitted subject to the amendments to clause (1) ofthe Availability section discussed above. In agreeing to undertake the onerous task of approving individual prices, terms...

AI summary The Board approves the load retention rate with amendments to clause (1) of the Availability section. It emphasizes the need for thorough assessment of customer feasibility and intent, and anticipates using outside consultants. The Board may treat load retention as a separate rate class for cost allocation studies in future hearings.

s. The Board's expert, Mr. Kumar, has specifically recommended in this regard (Pre-filed Evidence p. 21): NSPI should not be assured that it will be able to recover all losses caused by its LR Rate. The notion that other ratepayers should...

AI summary The Board's expert, Mr. Kumar, argues that NSPI should not recover all losses from its LR Rate, as it would create an unfair competitive advantage. Captive ratepayers should not bear the risk of price discounts, and NSPI's shareholders should accept the risks and benefits of competitive pricing, aligning with a truly competitive market.

Testimony ofJ. Kumar, questions 217, 218 Mr. Kumar also expresses concern about the inadequatemanager ofthe purchasing company, who might not take into account the long-term possibility that markets might be freed up in future. He also say...

AI summary Mr. Kumar expresses concerns about inadequate management in purchasing companies potentially overlooking future market changes and the potential unfairness to utilities if long-term contracts limit future benefits from open markets. He argues that sophisticated purchasers should be allowed to make their own decisions and that imposing conditions could lead to over-regulation, which he views negatively.

Department of Natural Resources Office of the Minister PO Box 698 Halifax, Nova Scotia B3J 2T9 Bus 902 424-4037 Fax 902 424-0594 Our File Number: 35000-01/LO.99 Copied Jam 1 mams ) JIH 180 December 21, 1999 Mr. John Morash, F.C.A. Chair No...

AI summary The Department of Natural Resources expresses concerns regarding Nova Scotia Power Inc.'s application for a Load Retention Rate, emphasizing the need for adequate notice, stakeholder input, and consideration of long-term impacts on rates, revenue sharing, and alternatives to load retention rates in a restructured electricity market.

ans predictable at this time, it appears that GSU's pursuit of this filing on an expedited basis to minimize the potential for load loss to cogeneration in the near term is a prudent course of action. OPC asserts that GSU may be proposing...

AI summary GSU is filing on an expedited basis to avoid load loss from cogeneration. OPC argues this is a political tactic to reduce opposition to including River Bend costs in GSU's rates, but the examiner finds no evidence to support this. OPC also claims the filing is discriminatory under PURA Section 38 due to unequal rate structures for industrial customers.

B. Conclusions of Law l. Gulf States Utilities Company (CSU) is a public utility as defined in Section 3(c)( I) of the Public Utility Regulatory Act (the Act), Tex. Rev. Civ. Stat. Ann. art. 1446c (Vernon Supp. 1987). 2. The Commission has...

AI summary The document outlines legal conclusions regarding the proposed tariff revision by Gulf States Utilities Company (GSU), determining that the Schedule SUS Experimental Rider is equitable and does not violate relevant sections of the Public Utility Regulatory Act. The proceeding was properly suspended, and the rider is deemed just and reasonable for approval.

xas Appellate Court in Deffenbach recognized the usefulness of a rulemaking proceeding when the agency is faced with an action which would affect more than a limited group of persons. E.R. at p. 263. The Commission should apply its reason-...

AI summary The Office of Public Utility Counsel (OPC) argues that the Public Utilities Commission (PUC) should apply its reasoning consistently and reject a good cause exception in this proceeding, as GSU has not provided evidence of unique circumstances compared to other utilities. The OPC also notes that GSU has not previously pleaded for such an exception.