Topic:"Regulatory Compliance" in M12665

REDACTED (CONFIDENTIAL INFORMATION REMOVED) PO Box 910 Halifax, Nova Scotia Canada B3J 2W5 January 30, 2026 Crystal Henwood Clerk of the Board Nova Scotia Energy Board 1601 Lower Water Street, 3rd Floor Halifax, NS B3J 3S3 Re: M11533 2022-...

AI summary Nova Scotia Power Incorporated (NS Power) submitted an update on the 2022-2023 FAM Audit Action Plan, noting 23 completed recommendations and 11 remaining. Five outstanding items will be addressed in the 2024-2025 Audit, including documentation on root cause analyses, damages settlements, and energy volume justifications.

REDACTED 2022-2023 FAM Audit Action Plan Update Attachment 1 Page 1 of 18 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Row Recommendation Action Plan Response from NS Power February 2026 Update 17 Recommendation X-1: Reporting of Forced Out...

AI summary The document discusses Recommendation X-1 regarding the reporting of forced outages and derates by NSPI. NS Power accepted the recommendation, updated the 2024 Annual FAM Report, and the BW provided a favourable assessment. NS Power considers the recommendation complete.

REDACTED 2022-2023 FAM Audit Action Plan Update Attachment 1 Page 7 of 18 Row Recommendation Action Plan Response from NS Power July 2026 Update 20 Recommendation X-4: Status of Outstanding Recommendations NSPI should provide the Board an...

AI summary NS Power has accepted a recommendation to provide an update on the status of outstanding recommendations to the Board. An update was filed with the NSEB in December 2024, and the BW provided a favourable assessment of NS Power's work on this recommendation.

determination of Block A and 27 Recommendation XII-2: NS Block Energy Volumes NS Power accepts this recommendation. NS Power agrees to The 82,341 MWh transaction in question has been evaluated by NS Power to have been economic and benefici...

AI summary NS Power accepts Recommendation XII-2 regarding the evaluation of the 82,341 MWh transaction in NS Block energy volumes, stating it was economic and beneficial to customers. The missing energy volumes will be reviewed in the 2024-2025 FAM Audit, and NSPI will continue valuing these volumes accurately. The Hourly Replacement Method will be maintained and adjusted as necessary, particularly concerning solid fuel costs.

ERM Employees Our review suggests ERM remained well-staffed with experienced personnel, including in leadership positions. Throughout our audit work, we observed through a series of interviews, discussions by phone, and reviews of individu...

AI summary The audit found that ERM remained well-staffed with experienced personnel and no concerning personnel changes were identified. NSPI hired additional staff and transitioned responsibilities following the retirement of a long-tenured employee. Attrition rates were reasonable and below forecast, with overall attrition at NSPI reaching 6.1% in 2024.

Fuel Manual NSPI's 700+ page Fuel Manual remains a useful tool for NSPI to hold its employees accountable to its policies and for the Board to hold NSPI accountable for its decisions related to fuel and power purchasing. Revision 13 of the...

AI summary The Fuel Manual, now in its 14th revision, serves as a key tool for NSPI to ensure accountability in fuel and power purchasing. It outlines policies, guidelines, and risk management practices, providing a framework for employees and stakeholders to assess NSPI's performance during the Audit Period.

ction 2.5. 75 Fuel Manual Revision 14, Link 3, section 2.8. 76 Fuel Manual Revision 14, Link 3, section 1.1. 77 NSPI Solid Fuel Portfolio Process, Link 6 of Fuel Manual Revision 14, page 4. 78 79 remains good practice for entities such as...

AI summary The document discusses Emera's credit risk management practices, including the Emera Credit Policy, which outlines roles for managing credit risk across its affiliates, sets credit limits, and outlines exceptions for certain transactions. It notes that the policy was updated during the Audit Period but did not undergo material changes.

sible. When NSPI declines to accept EAA energy, NSPI must facilitate transmission of NLH energy through its system. NSPI received $ for through-and-out transmission sales to NLH in 2024 and $ in 2025. Conclusion XII-24: In assessing NLH's...

AI summary The document discusses NSPI's compliance with the EAA, including its interpretation of NLH's Surplus Energy availability and the purchase of RECs from NLH. It also addresses NSPI's use of the intertie with Newfoundland and the performance of the Maritime Link. A recommendation is made for NSPI to report tracking of NLH's compliance with the EAA requirement.

XIV.C. Conclusions Conclusion XIV-1: While the April 2025 cybersecurity incident increased the complexity and risk associated with the audit, it did not materially impair BDO's ability to perform the planned audit procedures or reach its c...

AI summary The audit by BDO concluded that the April 2025 cybersecurity incident did not significantly impact the audit of Nova Scotia Power Inc.'s Fuel Adjustment Mechanism (FAM). NSPI's accounting systems and processes for fuel and purchased power were found to be sufficient and compliant with policies. However, BDO recommended improving the audit trail for cash disbursements.

NOVA SCOTIA ENERGY BOARD NOTICE OF PUBLIC HEARING The Nova Scotia Energy Board will hold a public hearing about an audit of Nova Scotia Power Incorporated's (NS Power) Fuel Adjustment Mechanism (FAM) for the years 2024 and 2025, by Bates W...

AI summary The Nova Scotia Energy Board is conducting a public hearing to audit NS Power's Fuel Adjustment Mechanism (FAM) for 2024 and 2025, led by Bates White Economic Consulting. The hearing will take place in April 2027, with options for participation and submission of evidence.

HEARING ORDER Bates White filed its audit report on NS Power's FAM for the years 2024 and 2025 with the Board on Wednesday, August 5, 2026. The Board orders that: - 1. The public hearing for this matter will be at the Office of the Board,...

AI summary Bates White submitted its audit report on NS Power's Fuel Adjustment Mechanism (FAM) for 2024 and 2025. The Board has scheduled a public hearing for April 2027 and outlined a detailed timetable for the proceeding, including deadlines for interventions, evidence submission, and the filing of a settlement agreement.