Topic:"Revenue Requirement" in M12451

Roadmap of the Application - This application is organized into several key components, each critical to determining the - proposed rate adjustments: - 1. Status of Prior GRA-Related Directives: An update on the various directives from the...

AI summary The application outlines components for determining rate adjustments, including prior GRA directives, load forecasts, fuel costs, operating expenses, depreciation, rate base, capital structure, revenue requirements, cost-of-service studies, rate design, proposed rates, and regulatory changes. NS Power collaborates with customer advocates to balance affordability, reliability, and clean energy goals.

- 3 purchased power. NS Power has worked with the Provincial Government to find a way to reduce - 4 cost pressures for customers while still ultimately achieving the required emissions compliance. - 5 With respect to sulphur dioxide, the P...

AI summary NS Power has received a certificate of variance under the Environment Act, allowing flexibility in sulphur dioxide emissions limits to align with renewable energy integration. This results in a net-neutral environmental impact and a reduction in NS Power's revenue requirement by approximately $160 million over two years.

Maritime Link Capital Applications - In its last GRA, NS Power requested approval of four capital projects associated with transmission upgrades to accommodate energy flowing from the Maritime Link onto and through NS Power's system, and t...

AI summary NS Power requested approval for four capital projects related to transmission upgrades to accommodate energy from the Maritime Link. The Board deferred including these projects in the rate base until NS Power demonstrated that wheeling tariff revenue and/or the economic value of Nalcor surplus energy purchases met specific cost thresholds. By Q1 2025, these revenue streams exceeded the costs for four consecutive quarters.

Figure 10-4 – Summary of Requested Cost of Capital 2026-2027 Debt / Equity ratio 60.0 / 40.0 ROE (percent) 9.0 11 REVENUE REQUIREMENT

AI summary Figure 10-4 presents the requested cost of capital for 2026-2027, including a debt-to-equity ratio of 60.0/40.0 and a requested return on equity (ROE) of 9.0 percent. The section titled 'Revenue Requirement' follows, indicating the focus on financial aspects of the proceeding.

Overview - Broadly speaking, revenue requirement is the amount of revenue which NS Power needs to collect - in a test year in order to cover the cost of providing service to its customers and providing a fair - return for NS Power's shareh...

AI summary The document explains that NS Power's revenue requirement must cover service costs and provide shareholder returns. Costs are categorized, apportioned to customer classes via COSS methodology, and compared to forecast revenue. A shortfall necessitates rate increases to bridge the gap between required and anticipated revenues.

Revenue Requirement Categories - Revenue requirement is the sum of amounts necessary to be recovered in each test year in the - following fuel and non-fuel categories: - Fuel and purchased power, including solid fuel costs, natural gas, oi...

AI summary The document outlines the revenue requirement categories, which include fuel and non-fuel costs such as OM&G, depreciation, taxes, interest, and return on equity. These categories are detailed in Sections 5 and 7 through 10 of the Application and illustrated in Figure 11-1.

12 COST OF SERVICE - NS Power is applying for both fuel rate increases and non-fuel rate increases. The proposed Cost- - of-Service Study (COSS) methodology is as set out in Appendix 12A , for which the Company - seeks approval. The propos...

AI summary NS Power seeks approval for a Cost-of-Service Study (COSS) methodology to justify both fuel and non-fuel rate increases. Consensus exists with Customer Representatives on using Appendix 12A and SR-01 Attachments for the 2026-2027 GRA. Future proceedings will address the Minimum System methodology, PHP's responsibility for High Voltage transmission costs, and apportionment of Maritime Link assessment costs.

PHP COSS Treatment - NS Power anticipates filing an application for approval of a new above-the-line (ATL) Tariff - applicable to PHP and PHP has committed to take service under the ATL tariff effective January - 1, 2026, or such later dat...

AI summary NS Power plans to file a new above-the-line (ATL) tariff for PHP, effective January 1, 2026, with ADC service as a rider. A deferral account (PHP Deferral) is requested to address revenue variances if the tariff or ADC rider differs from GRA COSS assumptions or if service isn't available by 2026.

Proposed Rates - In keeping with the proposed Cost of Service Study, rate design for this Application encompasses - customer, demand, and energy charges as well as specific items outlined in Section 13. - The revenue responsibilities attri...

AI summary The proposed rate design includes customer, demand, and energy charges, referencing SR-01 and OR-01 for revenue responsibilities and calculations. Figure 14-1 details percentage increases by customer class for fuel and non-fuel components.

16 RELIEF REQUESTED - NS Power seeks an order approving the following: - 1. The 2026 and 2027 revenue requirements as described in Section 11 to enable NS Power to recover the prudent and reasonable costs of providing service to customers...

AI summary Nova Scotia Power is requesting regulatory approval for various financial and operational measures, including revenue requirements for 2026 and 2027, amendments to the Fuel Adjustment Mechanism Plan of Administration, deferrals related to the Decarbonization Deferral Account and EIFEL, and updates to the Cost-of-Service Study. The request also includes continuation of the Storm Cost Recovery Rider pilot and adjustments to the Base Cost of Fuel amounts.

ADJUSTMENTS Subject to NS Power making application for recovery of costs through the Storm Cost Recovery Rider (SCRR), this Rider will provide for recovery of actual Level 3 and Level 4 storm costs as defined in the Company's Emergency Ser...

AI summary The Storm Cost Recovery Rider (SCRR) allows NS Power to recover actual Level 3 and Level 4 storm costs in excess of those included in its revenue requirement. If actual costs are below the approved amount, the underspend is tracked until a threshold is reached, at which point it is returned to customers. The Rider includes a Balance Adjustment and is subject to a 2% cap on eligible storm costs relative to forecast retail revenues.

TABLE OF STANDARDIZED FILINGS AND ATTACHMENTS Attachment 1 – COS Procedures Attachment 1a – Cost of Service Methodology Attachment 1b – Determination of Revenue Responsibilities by Rate Class Attachment 1c – Fuel and Purchased Power Relate...

AI summary The document lists standardized filings and attachments for a regulatory proceeding, covering cost-of-service methodologies, revenue responsibilities, fuel costs, unmetered services pricing, OATT calculations, and distribution tariff computations for 2026-2027. Attachments include partially confidential data and rate component tables.

2026-2027 GRA Direct Evidence Appendix 1A Page 2 of 7 REDACTED (CONFIDENTIAL INFORMATION REMOVED) OP-01 NS Power / Emera Regulated Annual Reports Attachment 1 – NS Power 2024 Q3 MD&A Attachment 2 – NS Power 2024 Financial Statements Attach...

AI summary This document lists various attachments and evidence submitted as part of the 2026-2027 GRA Direct Evidence Appendix 1A. It includes financial reports, organizational charts, benchmarking studies, asset listings, maintenance schedules, fuel specifications, IPP contracts, reliability statistics, and presentations by analysts and bondholders.

8. Annapolis Tidal Generation Facility The Board issued the following directive at para. 387 of the 2023-2024 GRA Decision: In the Board's opinion, the inclusion of the Annapolis Tidal Generation Facility in NS Power's regulatory amortizat...

AI summary The NSEB directed NS Power not to include the Annapolis Tidal Generation Facility in regulatory amortizations, citing a prior decision. NS Power has since forecast decommissioning the facility in 2027 and plans to apply for approval in 2026 to recover the remaining net book value over ten years.

Status Summary of 2023-2024 GRA Directives Directive Status g. Exclude all Part VI.1 tax transactions and amounts Complete from regulated statements in the future, and adjust for any amounts currently included in the regulated financial st...

AI summary The 2023-2024 GRA Directives include actions such as excluding Part VI.1 tax transactions from regulated statements, maintaining the Annapolis Tidal Generation facility in property, plant, and equipment, and engaging in a review process with the Affordable Energy Coalition and Consumer Advocate to evaluate impacts on low-income working groups. Reports and analyses are required for various directives, including exploring alternative treatments of interruptible loads and demonstrating proper representation of reserve utilization in calculations.

3.2.12 Natural Gas Revenue Revenue from the resale of natural gas.

AI summary The section discusses revenue generated from the resale of natural gas, highlighting it as a key component of the utility's income streams within the regulatory proceeding.

2026-2027 GRA Direct Evidence Appendix 6B (Clean) Page 19 of 33 REDACTED (CONFIDENTIAL INFORMATION REMOVED) The following accounts are normally used to record revenues from power exports and natural gas resales, revenues from joint partner...

AI summary The text outlines accounts used to record revenues from power exports, natural gas resales, joint partnerships in wind farms, and other miscellaneous fuel-related revenues.

3.2.12 Natural Gas Revenue Revenue from the resale of natural gas.

AI summary This section addresses revenue generated from the resale of natural gas, highlighting it as a source of income for the entity involved in the regulatory proceeding.

3.2.13 Miscellaneous Revenue and Recoveries Page 20 of 33 Revenues from joint partnerships in wind farms (including the cost of NS Power's ownership which is applied to purchased power) and any other fuel-related miscellaneous revenues. Th...

AI summary The section outlines miscellaneous revenues from joint wind farm partnerships, including NS Power's ownership costs applied to purchased power, and steam sales to the Port Hawkesbury Biomass Plant (PHB). These revenues are categorized under miscellaneous recoveries and include specific examples of revenue streams.

2026-2027 GRA Direct Evidence Appendix 6B (Redline) Page 21 of 35 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Paper and steam sales at the Trenton Generating station. The following accounts are normally used to record revenues from power e...

AI summary The document discusses revenue accounts related to power exports, natural gas resales, joint partnerships in wind farms, and other fuel-related revenues at the Trenton Generating station.

Pension expense figures were provided by NS Power's actuary, Telus Health (formerly Lifeworks), and are based on an extrapolation of accounting valuation results as of the measurement date of December 31, 2024. The pension recovery amounts...

AI summary The pension expense figures for NS Power are based on extrapolated accounting valuations as of December 31, 2024, using discount rates of 4.63% for past service and 4.70% for future service, as prescribed by the Canadian Institute of Actuaries. The return on plan assets is assumed to be 6.00% for the Employees' Pension Plan and 3.25% for the Acquired Companies Pension Plan.

pt/Info.Software 194 187 177 180 (17) (10) 536100 Rental/Mtnce equipment/software - - - - - - 532850 Appl. Software - - - - - - - - - - - - 532900 Comp.Hrdwr & Op.Sftwr 532950 Directors' Fees & Exp - - - - - - 533100 Ext. Legal & Audit 42...

AI summary The text presents a detailed breakdown of various expense categories, including software, legal fees, advertising, meals, employee benefits, and training, with figures for different years. It outlines costs and recoveries related to operations and services, providing a financial overview of the entity.

370,570 5,108,660 5,108,660 (179,498,344) (3) INTERNATIONAL COAL PIER 2029 17,885,000 19,746,485 19,746,485 (11,479,941) (172) TOTAL STEAM PRODUCTION PLANT 208,443,570 288,335,282 190,084,838 (2,123,890,000) (9) HYDRO PRODUCTION PLANT AVON...

AI summary The text presents financial data and figures related to various energy production facilities, including international coal pier, total steam production plant, and hydro production plants such as Avon, Bear River, Black River, and Dickie Brook. The data includes amounts related to costs and revenues for different years.

928,138- 41- 2008 1,998,048 1,450,529 73 842 0 1,449,687- 73- 2009 2,525,530 1,501,116 59 0 1,501,116- 59- 2010 1,065,117 2,404,531 226 0 2,404,531- 226- 2011 6,034,847 806,378 13 0 806,378- 13- 2012 5,329,993 608,282 11 0 608,282- 11- 201...

AI summary The text presents a table with financial data across various years, showing values such as revenue, expenses, and other financial metrics. It includes figures for each year from 2008 to 2023, along with totals. The data appears to be related to financial reporting, possibly involving cost recovery, revenue requirements, and accounting policies.

- 8 a) Maintain credit ratings of at least BBB+ from S&P or Baa1 from Moody's; - 9 b) Consistently pay quarterly cash dividends, and have not reduced or eliminated those 10 dividends in the past two years; - 11 c) Have positive earnings gr...

AI summary The text outlines several criteria that must be met, including maintaining credit ratings, paying consistent dividends, having positive earnings growth projections, owning regulated generation assets, deriving income from regulated operations, and not being involved in significant mergers or transactions.

ntended to apply only to the net book value of these assets as of December 2025. Any subsequent sustaining capital investments and operating expenses required while these 81 Nova Scotia Power, 2020 Annual Information Form, at 7. 82 Nova Sc...

AI summary The text discusses Nova Scotia Power's approach to managing the net book value of assets as of December 2025, including future sustaining capital investments and operating expenses. It also references a decision by the NSUARB and mentions the potential of the DDA and securitization to mitigate energy transition risks, though NSPI's risk remains higher due to sustainability goals.

2026-2027 GRA Direct Evidence Appendix 12A(1) Page 1 of 46 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Exhibit Reference Cells Modification Exh 2b F16:G16, Classify Steam by steam F38:G38 capacity factor Exh 4 Detail H184 Adjust Profit/Los...

AI summary The document outlines modifications to the BCF file and related exhibits, including reclassifying generation by capacity factor, updating values with outputs from the BCF file, and adjusting profit/loss to balance total costs and revenues. Changes involve classifications for Steam, Hydro, and LM6000, as well as adding volumes of municipal customers under OATT.

1 Request for COSS Model Runs: Run # NSP Position Model Run Description 1 Yes NSP's positions in aggregate. This model includes the changes from model runs #2-5 below. 2 Yes New Intermediate Generation sub-function classified to demand and...

AI summary The document outlines a request for Cost of Service Study (COSS) model runs to evaluate various NSP positions, including the classification of generation and transmission, and the inclusion of specific rate classes and allocation methods.

CONFIDENTIAL 1 COSS Model Run #6, Transmission Subfunctionalized to EHV and HV: 2 The current COSS includes subfunctionalization between EHV and HV but both subfunctions use 3 the same allocators. The allocators applicable to the HV subfun...

AI summary The document outlines various COSS model runs that adjust how costs are allocated across different subfunctions and classifications. These include changes to transmission subfunctionalization, distribution cost allocation, service allocation based on meter costs and customer count, and reclassification of generation based on capacity factors.

2026-2027 GRA Direct Evidence Appendix 12A(1) Page 14 of 46 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Cost of Service Study Process (NSUARB M11475)

AI summary This document refers to the Cost of Service Study Process as part of the NSUARB M11475 proceeding. It outlines the methodology and considerations involved in conducting a cost of service study, which is a key component in determining appropriate rates for utility services.

2026-2027 GRA Direct Evidence Appendix 12A(1) Page 17 of 46 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Cost of Service Study Process (NSUARB M11475)

AI summary This document refers to the Cost of Service Study Process as part of the NSUARB M11475 proceeding, indicating it is related to the analysis of costs associated with utility services in Nova Scotia.

Nova Scotia Power Cost of Service Study Methodology January 2022 2022-2024 GRA SR-01 Attachment 1a Page 2 of 12 COSS CA DR-53 Attachment 1 Page 2 of 62 PARTIALLY CONFIDENTIAL 2026-2027 GRA Direct Evidence Appendix 12A(2) Page 792 of 1218 R...

AI summary The document outlines the methodology for the Cost of Service Study (COSS) used by Nova Scotia Power for the 2022-2024 GRA. It discusses the allocation of costs to Above-the-line (ATL) customer classes after subtracting Below-the-line (BTL) costs, with the aim of identifying inter-class inequities through revenue/cost (R/C) ratios.

PARTIALLY CONFIDENTIAL 2026-2027 GRA Direct Evidence Appendix 12A(2) Page 797 of 1218 REDACTED (CONFIDENTIAL INFORMATION REMOVED) 2022-2024 GRA SR-01 Attachment 1a Page 7 of 12 COSS CA DR-53 Attachment 1 Page 7 of 62 Rate Base Exhibits 2,...

AI summary This document outlines the methodology used in the Nova Scotia Power Cost of Service Study for the 2022-2024 period, including the allocation of rate base to customer classes. It references the 2005 NSUARB decision and includes exhibits detailing net plant investment, allocation factors based on demand, energy sales, and customer numbers.

PARTIALLY CONFIDENTIAL 2026-2027 GRA Direct Evidence Appendix 12A(2) Page 801 of 1218 REDACTED (CONFIDENTIAL INFORMATION REMOVED) 2022-2024 GRA SR-01 Attachment 1a Page 11 of 12 COSS CA DR-53 Attachment 1 Page 11 of 62 Nova Scotia Power Co...

AI summary The document outlines the methodology used in the Nova Scotia Power Cost of Service Study, detailing how various costs such as bad debt, depreciation, and interest are allocated across customer classes. The allocation is based on factors like gross write-off experience, number of customers, and total rate base. Exhibit 7 is used to verify the accuracy of the cost allocation analysis.

PARTIALLY CONFIDENTIAL 2026-2027 GRA Direct Evidence Appendix 12A(2) Page 802 of 1218 REDACTED (CONFIDENTIAL INFORMATION REMOVED) 2022-2024 GRA SR-01 Attachment 1a Page 12 of 12 COSS CA DR-53 Attachment 1 Page 12 of 62 Nova Scotia Power Co...

AI summary This excerpt from a Nova Scotia regulatory proceeding discusses the methodology used in the Nova Scotia Power Cost of Service Study, focusing on comparing total allocated costs with revenues for each class to determine revenue to cost relationships, as shown in Exhibit 10 under proposed rates for the test year.

Nova Scotia Power Determination of Revenue Responsibilities by Rate Class January 2022 1 • Assign the above shortfall to the ATL classes by applying the following revenue allocation 2 process. - Next,

AI summary The document outlines the process for allocating a shortfall to ATL classes through a revenue allocation method. The context is a determination of revenue responsibilities by rate class in January 2022.

- 1. Apply an across-the-board increase to all the ATL rate classes to eliminate the shortfall in revenue requirement. - 2. Classes whose revenue to cost ratios fall outside of the 0.95 1.05 are set at the lower or upper bound of this rang...

AI summary The text outlines a method for adjusting revenue requirements across all ATL rate classes, including applying increases or decreases based on revenue-to-cost ratios and repeating the process if ratios fall outside a specified range. It also directs readers to an attachment for detailed revenue responsibility determinations.

Nova Scotia Power Unmetered Services Pricing January 2022 Calculation of the demand and energy charges, for both the RTR Distribution Tariff and bundled service rate as based on the Miscellaneous Lighting Rates proposed, is shown at the bo...

AI summary The document outlines the calculation of demand and energy charges for the RTR Distribution Tariff and bundled service rates based on proposed Miscellaneous Lighting Rates. It provides revenue figures for Street and Crosswalk Lighting and miscellaneous load revenues for 2022, 2023, and 2024 under both standard (unsmoothed) and smoothed unmetered tariffs.

Nova Scotia Power Open Access Transmission Update February 2022 1 The information that follows describes the Board-approved methodology for the development of - 2 the revenue requirements and their allocation to the transmission services o...

AI summary This document outlines the Board-approved methodology for developing revenue requirements and their allocation to the transmission services of the OATT. It provides an update on the Open Access Transmission Update as of February 2022.

10 2.1.1 Transmission Revenue Requirement 11 12 The first step in calculating the transmission tariff is to determine the appropriate revenue 13 requirement that must be recovered from the sale of Transmission Services. Refer to [Figure 2]...

AI summary The first step in calculating the transmission tariff involves determining the appropriate revenue requirement to be recovered from the sale of Transmission Services, with reference to Figure 2.2.

2 Figure 2-2 Transmission System Revenue Requirement Transmission System Revenue Requirement 2022 2023 2024 Revenue Requirement Component Depreciation 22.4 24.5 36.1 O&M including overhead costs 14.2 12.6 12.5 Interest, taxes and return on...

AI summary Figure 2-2 presents the Transmission System Revenue Requirement for the years 2022, 2023, and 2024, detailing components such as depreciation, operating and maintenance costs, interest, taxes, return on equity, and scheduling expenses, with the total revenue requirement increasing over the period.

4 The revenue requirement shown in Figure 2-2 includes the costs of all transmission lines at 5 voltages of 69 kV or higher and th[e terminal sta](#page-101-1)tions associated with those transmission lines. It 6 also includes the revenue r...

AI summary The revenue requirement in Figure 2-2 includes costs for transmission lines at 69 kV or higher and associated terminal stations, as well as generation step-up transformers of NS Power, which are excluded from OATT revenue requirements. Details are provided in Figure 2-.

10 Figure 2- Details of the derivation of NS Power's transmission revenue requirements Functional Allocation of Revenue Requirements Functional Use Revenue Requirement Share ($millions) 2022 2023 Generator Related Transmission Assets (GRTA...

AI summary Figure 2 details the derivation of NS Power's transmission revenue requirements, showing the allocation across different functional uses for the years 2022 and 2023, with figures indicating increasing revenue requirements over time.

12 2.1.2 Allocation of Revenue Requirement 13 14 The second step in the calculation of transmission rates is to allocate the revenue requirement (i.e. 15 the costs associated with transmission) among the appropriate services. The following...

AI summary This section discusses the second step in calculating transmission rates, which involves allocating the revenue requirement among appropriate services. It outlines the need to define the transmission services to be provided as part of this process.

1. Generation Related Transmission Assets Direct Assignment Facilities are generation-related transmission assets (GRTA) that serve the function of connecting generation units to the shared Transmission System. They consist of generator st...

AI summary Generation-related transmission assets (GRTA), including transformers and transmission lines, connect generation units to the Transmission System. Revenue requirements for these assets are recovered directly from generation owners, not through the transmission tariff rate.

4 2.1.5 Functional Allocation of Costs 5 - 6 The allocation of the Transmission Services revenue requirement of $126.5 million in 2022, - 7 $153.8 in 2023 and $183.4 million in 2024 to the functional uses of the system is summarized in - 8...

AI summary The document outlines the allocation of Transmission Services revenue requirements for 2022, 2023, and 2024, with figures provided for each year. The allocation details are summarized in Figure 2-4 and further elaborated in Figure 2-8.

11 Functional Allocation of Revenue Requirements Revenue Requirement Functional Use Share ($millions) 2022 2023 2024 Generator Related Transmission Assets (GRTA) $7.0 $8.3 $9.3 Bulk Network In Province (Transmission OATT) 110.4 136.0 164.7...

AI summary The table outlines the functional allocation of revenue requirements for various components of the energy system in Nova Scotia for the years 2022, 2023, and 2024. It includes allocations for Generator Related Transmission Assets (GRTA), Bulk Network In Province (Transmission OATT), and the Energy Control Centre, with total revenue requirements increasing over the years.

3 2.1.7 Allocation of Revenue Requirements to Services 4 5 The last step in the cost allocation analysis is to allocate total transmission costs to the services 6 that will be offered under the tariff. As noted above, these are Point-to-Po...

AI summary The document discusses the allocation of transmission revenue requirements to specific services, including Point-to-Point Service, Network Service, and Scheduling, System Control and Dispatch Service. It references the percentage share of usage for Point-to-Point and Network Services and refers to a figure illustrating the cost allocation.

14 Figure 2-4 Transmission Services Revenue Requirements Transmission Services Revenue Requirements Percent Service Share Revenue Requirement ($ millions) 2022 2023 2024 Point-to-Point 16.79% 18.5 22.8 27.7 91.9 113.1 137.1 Network 83.21%...

AI summary Figure 2-4 presents the transmission services revenue requirements for different service shares over the years 2022 to 2024, showing increasing figures for Point-to-Point and Network services, with total revenue requirements rising from 110.4 to 164.7 million dollars.

16 The revenue requirement for each service can also be expressed on a per-unit of usage basis as 17 shown in [Figure 2-5](#page-106-1) . The $/MW-year figures represent the per-unit cost of providing each of the 18 services based on the a...

AI summary The text discusses the revenue requirement for each service expressed on a per-unit of usage basis, referencing a figure and a document titled 'Nova Scotia Power Open Access Transmission Update February 2022.'

1 Figure 2-5 Per Unit Transmission Services Revenue Requirements Per Unit Transmission Services Revenue Requirements Service Revenue Requirement ($ millions) Usage (MW) Per Unit Revenue Requirement ($/MW-year) 2022 Point-to-Point 18.5 330...

AI summary Figure 2-5 presents the per unit transmission services revenue requirements for the years 2022, 2023, and 2024. It includes revenue requirements, usage in MW, and per unit revenue requirements in dollars per MW-year for both Point-to-Point and Network services.

3 2.1.8 Determination of Rates 4 5 The nominal rates for each service are determined by dividing their revenue requirements by 6 respective billing determinant. For Point-to-Point Transmission Service, the approved billing 7 determinant is...

AI summary The document outlines how nominal rates for transmission services are calculated by dividing revenue requirements by billing determinants. For Network Integration Transmission Service, the billing determinant is monthly non-coincident peak (NCP) demand, which NS Power estimates using a coincidence factor derived from a Cost of Service Study (COSS).

PARTIALLY CONFIDENTIAL 2026-2027 GRA Direct Evidence Appendix 12A(2) Page 851 of 1218 REDACTED (CONFIDENTIAL INFORMATION REMOVED) 2022-2024 GRA SR-01 Attachment 1e Page 31 of 32 COSS CA DR-53 Attachment 1 Page 61 of 62 Nova Scotia Power Op...

AI summary The document discusses changes in NS Power's transmission costs and operational factors from 2014 to 2024, including increased investment in transmission assets, changes in depreciation rates, and the impact of wind generation on ancillary services. Operating costs have decreased, but the overall system usage has increased, affecting OATT service rates.

NON-CONFIDENTIAL 1 Request DR-54: 2 3 Please provide any studies or analysis of the drivers of customer service costs by class 4 performed by or for NS Power. 5 6 Response DR-54: 7 8 NS Power has not conducted any studies or analyses of th...

AI summary NS Power has not conducted recent studies on customer service cost drivers by class. The Board's 2013 approval of a formulaic approach for apportioning customer service costs has made periodic empirical studies unnecessary.

Cost of Service Study Process (NSUARB M11475) NSPI Responses to CA Data Requests 1 Response DR-70: 2 3 The proposed study looking at a comprehensive set of ML benefit streams would require 4 significant analytical resources and time, both...

AI summary NSPI argues that a comprehensive study of ML benefit streams would require extensive resources and time, and cannot be completed within the regulatory timeframe. Benefits of ML are dynamic and influenced by various factors. NSPI also clarifies that supplemental energy is not market priced and flows off-peak, while surplus energy is market priced and evaluated daily.

NON-CONFIDENTIAL 1 • Section 7.13.3 of the NSUARB Decision on NS Power's 2022-2024 GRA (M10431) which 2 approves the proposed changes to the interruptible credit. 3 - 4 Under the current 2023 COS, the interruptible credit costs of $11.796...

AI summary The text discusses the approval of changes to the interruptible credit under the 2022-2024 GRA (M10431) by the NSUARB, referencing the 2023 COS and the methodology used in the COSS. It also refers to how demand charges are determined and how they are set to match approved revenues.

Cost of Service Study Process (NSUARB M11475) NSPI Responses to IG Data Requests 1 Request DR-3: 2 3 From the 2024 Load Forecast (released recently as part of another proceeding, but for the 4 purposes of supporting analysis in this one):...

AI summary NSPI is responding to data requests related to the 2024 Load Forecast, providing load forecast data for P10, P50, and P90 scenarios by rate class for 2024 and 2030. NSPI notes that demand by rate class is not modeled at the P10/P50/P90 level and that demand forecasts are not split between firm and interruptible for large industrial customers.

COSS IG DR-10 Attachment 1 Page 1 of 6 Determination of Unit Avoided Marginal Annual Cost of Load Served ($/kW, in 1994 Annual Cost of Load Served ($/kW, in 1994 Annual Avoided Cost rounded to nearest dollar in 1996 % Change from 1996 Benc...

AI summary The document presents calculations related to interruptible credit and annual cost of load served for different years, including comparisons between 1996 and test years 2022-2024. It includes figures on avoided costs, revenue credits, and demand coincident with system peaks. These calculations are used to evaluate financial impacts and system reliability.

Resource Cost, Performance, & Financing Performance Inputs Financing Performance Inputs Financing System Depreciable Lifetime 35 % Financed w/ equity % Financed w/ debt Ongoing Costs Debt Interest rate Fixed O&M Costs ($/kW-yr) $17.69 Cost...

AI summary The document presents a table outlining performance inputs and financing details for a system, including system cost, depreciation lifetime, financing percentages, interest rates, tax assumptions, and levelized costs. It includes data on capital costs, O&M expenses, and PRM adjustments.

1,084,134 $1,030,227 $976,320 $922,413 Taxes Equity Return $1,293,774 $1,239,866 $1,185,959 $1,132,052 $1,078,145 $1,024,237 $970,330 $916,423 $862,516 $808,609 $754,701 $700,794 $646,887 $592,980 $539,072 $485,165 $431,258 $377,351 $323,4...

AI summary The text presents a series of numerical figures related to taxes, equity return, and revenue requirements, including fixed operating and maintenance costs, interest, and depreciation. These figures are likely part of a financial analysis or regulatory filing.

12 Simulated Revenues from 4 OATT MEUs (2023 Test Year) OATT $2,282,459 Energy Balancing and Capacity backup in Wholesale Market BUTU $3,063,902 SPILL ($1,121,076) Total $1,942,826 Energy Balancing and Capacity backup in Renewable to Retai...

AI summary The document presents a table showing simulated revenues from four OATT MEUs in the 2023 test year, including various revenue streams such as energy balancing, standby service, and bundled service under municipal rates. The data includes both positive and negative figures, indicating a complex revenue structure for these MEUs.

NON-CONFIDENTIAL 1 Fixed-generation BUTU and RtR rates are calculated by the same COSS-based embedded 2 cost methodology, however, there is a phase-in adjustment applied to the BUTU rates in 3 2023 to limit the forecast revenue increase to...

AI summary The text explains the methodology for calculating BUTU and RtR rates using a COSS-based embedded cost approach, with a phase-in adjustment in 2023 to limit revenue increases. It also outlines how demand and energy charges are calculated, and summarizes the basis for FAM and non-FAM costs in different rate categories.

PARTIALLY CONFIDENTIAL 2026-2027 GRA Direct Evidence Appendix 12A(2) Page 1059 of 1218 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Cost of Service Study Process (NSUARB M11475) NSPI Responses to PHP Data Requests

AI summary This document relates to the Cost of Service Study Process (NSUARB M11475) and includes NSPI's responses to PHP Data Requests. It is part of a partially confidential appendix in a regulatory proceeding.

PARTIALLY CONFIDENTIAL 2026-2027 GRA Direct Evidence Appendix 12A(2) Page 1060 of 1218 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Cost of Service Study Process (NSUARB M11475) NSPI Responses to PHP Data Requests

AI summary This document outlines the Cost of Service Study Process under NSUARB M11475, with NSPI providing responses to data requests related to Peak Hour Pricing (PHP). The content highlights the procedural and analytical aspects of the study.

PARTIALLY CONFIDENTIAL 2026-2027 GRA Direct Evidence Appendix 12A(2) Page 1061 of 1218 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Cost of Service Study Process (NSUARB M11475) NSPI Responses to PHP Data Requests

AI summary This document outlines the Cost of Service Study Process as part of the NSUARB M11475 proceeding, with NSPI providing responses to data requests related to Peak Hour Pricing (PHP).

PARTIALLY CONFIDENTIAL 2026-2027 GRA Direct Evidence Appendix 12A(2) Page 1062 of 1218 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Cost of Service Study Process (NSUARB M11475) NSPI Responses to PHP Data Requests

AI summary This document outlines the Cost of Service Study Process under NSUARB M11475 and includes NSPI's responses to PHP Data Requests, indicating a regulatory proceeding focused on cost analysis and data provision.

Cost of Service Study Process (NSUARB M11475) NSPI Responses to PHP Data Requests

AI summary The document pertains to the Cost of Service Study Process under NSUARB M11475, focusing on NSPI's responses to data requests related to Peak Hour Pricing (PHP).

PARTIALLY CONFIDENTIAL 2026-2027 GRA Direct Evidence Appendix 12A(2) Page 1068 of 1218 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Cost of Service Study Process (NSUARB M11475) NSPI Responses to PHP Data Requests

AI summary The document discusses the Cost of Service Study Process under NSUARB M11475 and outlines NSPI's responses to PHP Data Requests, which are part of the 2026-2027 GRA Direct Evidence Appendix 12A(2).

PARTIALLY CONFIDENTIAL 2026-2027 GRA Direct Evidence Appendix 12A(2) Page 1069 of 1218 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Cost of Service Study Process (NSUARB M11475) NSPI Responses to PHP Data Requests

AI summary This document outlines NSPI's responses to PHP data requests in the context of the Cost of Service Study Process under NSUARB M11475. It provides information relevant to the regulatory analysis of Nova Scotia Power Inc.'s operations and financial considerations.

Cost of Service Study Process (NSUARB M11475) NSPI Responses to PHP Data Requests

AI summary This document outlines NSPI's responses to data requests related to the Cost of Service Study Process under NSUARB M11475, focusing on PHP (Peak Hour Pricing) data.

Cost of Service Study Process (NSUARB M11475) NSPI Responses to PHP Data Requests 1 Request DR-12: 2 3 Please provide variations of the 2023 Cost Of Service Study Analysis with the following 4 changes: 5 6 (a) PHP included as a standalone...

AI summary NSPI is responding to PHP Data Request DR-12, which asks for variations of the 2023 Cost Of Service Study Analysis with specific changes. The request includes scenarios for PHP as a standalone customer class, functional allocation based on ELCC, and transmission expense allocations. PHP revised part (a) to include specific energy and demand parameters.

NON-CONFIDENTIAL 1 Request DR-19: 2 3 Please provide a detailed description of the current functionalization, allocation, and 4 classification of the Maritime Link in the current COSS. 5 6 Response DR-19: 7 8 The Maritime Link (ML) imports...

AI summary The response to DR-19 explains that the Maritime Link imports are divided into firm, capacity-backed energy, and non-firm Surplus Energy. Import costs are functionalized to Generation and classified based on system load factors and energy demand. Allocation methods are detailed, with demand costs distributed according to coincident contribution to system peaks and energy costs based on annual or monthly energy requirements.

Cost of Service Classification of the Maritime Link Strawman Report 1 The purpose of this Report is to summarize the various options available with respect to the Cost 2 of Service allocation of the Maritime Link for the purposes of facili...

AI summary This report outlines the cost of service classification options for the Maritime Link, aiming to facilitate consensus among stakeholders. The report emphasizes that cost of service studies do not affect revenue recovery but focus on fair revenue apportionment among customer classes. NS Power seeks input by January 27, 2017, and plans to discuss the matter in a February 2017 meeting.

Cost of Service Classification of the Maritime Link Strawman Report - from the UARB's 2013 COS decision regarding this matter.[11](#page-180-0) 1 In its 2013 COS Decision, the - 2 UARB supported NS Power's proposed treatment of wind purcha...

AI summary The 2013 Cost of Service (COS) decision by the UARB supported NS Power's treatment of wind purchases and biomass generation, but explicitly excluded the Maritime Link cost allocation from consideration. No proposals were made regarding this matter during the proceeding.

Cost of Service Study Process (NSUARB M11475) NSPI Responses to SBA Data Requests 1 Request DR-1: 2 3 For each generating unit, please provide: 4 5 (a) Annual revenue requirements for fixed costs 6 7 (b) Annual O&M costs 8 9 (c) Nameplate...

AI summary NSPI responded to data requests regarding the Cost of Service Study (COSS) process by explaining that it does not track annual revenue requirements and O&M costs for each generating unit separately. It also noted that depreciation and O&M costs are grouped into plant types and shared costs are included in the 'OM&G' tab of a prior general rate application.

NON-CONFIDENTIAL - 1 Lines, are classified to demand and customer as determined in Exh 3c, Exh 3e, and Exh 3g. Please - 2 refer to section "3. Distribution system sub-functionalization and classification" of the evidence - 3 filed by Conce...

AI summary The document discusses the classification of various infrastructure investments into demand and customer categories, based on evidence provided in the 2023-2024 GRA. Specific classifications include poles and wires, substations, and streetlights, with references to attachments and exhibits for detailed breakdowns.

NON-CONFIDENTIAL 1 Request DR-5: 2 3 Verify the amount of assets and annual revenue requirement associated with Maritime Link 4 related NS Power transmission, distinguishing NS Power owned transmission. 5 6 Response DR-5: 7 8 NSPML is a se...

AI summary The response to Request DR-5 clarifies that Maritime Link (NSPML) is a separate legal entity from NS Power, and its transmission costs are recovered under the ML agreement. NS Power does not include these assets in its rate base until criteria set by the Board are met. The non-regulated net book value of the transmission assets was $37.5 million as of December 31, 2023.

COSS SBA DR-6 Attachment 1 Page 7 of 24 281050 LT ACCRUED PENSION LIAB NSPI 283270 LT REGULATORY EMISSION COMPLIANCE 283300 LT UNEARNED REVENUE LIAB 283450 LONG TERM ACCRUED INTEREST 283500 LT DSU RSU 283900 LT LIABILITIES OTHER 283950 LT...

AI summary The document presents a list of long-term liabilities and revenue-related accounts, including pension liabilities, regulatory compliance costs, accrued interest, and liabilities related to demand-side management. It also includes revenue and cost recovery entries related to time-of-use pricing, small generators, and other regulatory matters.

COSS SBA DR-6 Attachment 1 Page 9 of 24 414540 REG LARGE GENERAL FAM AA FUEL COST 414550 REG LARGE GENERAL FAM BA FUEL COST 414610 REG GENERAL TIME OF USE NON FUEL DEMAND BASE 414620 REG GENERAL TIME OF USE NON FUEL ENERGY ALLHOURS 414630...

AI summary The document lists various rate codes related to fuel costs, time-of-use pricing, demand base, energy charges, and revenue for different customer classes, including large, small, and medium industrial and general customers. These codes are part of a regulatory proceeding and appear to be associated with cost recovery and rate structures.

COSS SBA DR-6 Attachment 1 Page 12 of 24 455300 OTHER INCOME SALVAGE 455350 OTHER INCOME MISC REVENUE 502050 REG FUEL GAS CONSUMED 502100 REG FUEL GAS CONSUMED FX 502150 REG FUEL GAS CONSUMED COMMODITY DERIV 502160 REG FUEL GAS SOLD 502170...

AI summary The text presents a list of financial and operational categories related to fuel consumption, purchased power, and grid sales, including various types of fuel and associated expenses and revenues. These categories are likely used for accounting and regulatory reporting purposes.

3.2.13 Miscellaneous Revenue and Recoveries Revenues from joint partnerships in wind farms (including the cost of NS Power's ownership which is applied to purchased power) and any other fuel-related miscellaneous revenues. These revenues i...

AI summary This section outlines miscellaneous revenue sources, including revenues from joint partnerships in wind farms and steam sales. It references documents such as the COSS SBA DR-7 and the FAM POA Main Document, which pertain to revenue recording and fuel-related adjustments.

417300 REG GRID SALES REVENUE 503200 REG NATURAL GAS REVENUE 503250 REG NATURAL GAS REVENUE FX 503300 REG WIND RECEIVABLES PURCHASED POWER 503350 REG WIND RECEIVABLES FUEL FOR GENERATION 535850 MISC REVENUE These revenues will offset FAM-e...

AI summary The document lists various revenue accounts related to grid sales and natural gas, which are intended to offset FAM-eligible fuel and purchased-power costs.

classes. The 2023-2024 COSS SBA DR-7 Attachment 1 Page 32 of 33 PARTIALLY CONFIDENTIAL 2026-2027 GRA Direct Evidence Appendix 12A(2) Page 1211 of 1218 REDACTED (CONFIDENTIAL INFORMATION REMOVED) FAM POA Main Document (Redline) – Revision 1...

AI summary The text defines key terms related to the GRA Period, GRLF Revenue, and associated financial mechanisms, including the calculation of over/under recovery amounts and the handling of residual balances from prior years. It also introduces NSPEMI, a subsidiary of NS Power, and references financial reports and Oracle data.

PARTIALLY CONFIDENTIAL 2026-2027 GRA Direct Evidence Appendix 12A(2) Page 1212 of 1218 REDACTED (CONFIDENTIAL INFORMATION REMOVED) COSS SBA DR-7 Attachment 1 Page 33 of 33 FAM POA Main Document (Redline) – Revision 11 / February 2023 Prior...

AI summary The document outlines various financial and operational terms related to energy management and billing, including accumulated interest, balancing account adjustments, purchased power costs, system requirements, real-time pricing charges, and water royalties. These terms are used in the context of rate calculations and financial reporting for energy providers.

The GRA Decision provided as follows: [361] In this proceeding, several concerns were raised about NS Power's cost of service methodologies applied in this GRA. These concerns included the use of the minimum system study for the classifica...

AI summary The GRA Decision addresses concerns about NS Power's cost of service methodologies, including the use of the minimum system study and LF/3CP method for cost classification. The Board agrees to update the COSS and Line Loss Study to reflect recent system developments and directs semi-annual progress reports starting in 2024.

Agenda - 1. Introduction and Project Description - 2. Generic Background on Cost Allocation Methodologies - 3. NS Power's Existing COSS Methodology - 4. Effect of Transitional and Technological Changes on COSS - 5. Survey - 6. Next Steps

AI summary The agenda outlines the topics to be discussed in a regulatory proceeding, including an introduction, background on cost allocation methodologies, NS Power's existing cost of service study (COSS) methodology, the impact of transitional and technological changes on COSS, a survey, and next steps.

Purpose of the January 18th Session (Kick-off) - Canvass stakeholders to determine the parts of NS Power's COSS methodology that need to be explained in greater detail in future tech sessions. Future technical sessions will assist stakehol...

AI summary The January 18th session aims to engage stakeholders in reviewing NS Power's Cost of Service Study (COSS) methodology, identify areas requiring updates due to developments since 2013, and determine the implications of proposed changes on allocated costs. The session will also establish a timeline for future discussions.

Revenue-related Attributes: - 1. Effectiveness in yielding the utility's total revenue requirement, under the fair return standard, without socially undesirable expansion of rate base or socially undesirable level of product quality or saf...

AI summary The text outlines three key attributes related to revenue in a regulatory context: effectiveness in achieving the utility's revenue requirement under a fair return standard, stability and predictability of revenue and rates, and historical continuity of rate structures.

Agenda - 1. Introduction and Project Description - 2. Generic Background on Cost Allocation Methodologies - 3. NS Power's Existing COSS Methodology - 4. Effect of Transitional and Technological Changes on COSS - 5. Survey - 6. Next Steps

AI summary The agenda outlines the topics to be discussed in a proceeding, including the introduction of a project, background on cost allocation methodologies, NS Power's existing cost of service study methodology, effects of transitional and technological changes on the methodology, a survey, and next steps.

COSS : Rate Base vs Revenue Requirement. The books and records of the Company, save dedicated facilities, are not kept at a rate class level, so class level costs must be developed.

AI summary The document discusses the challenge of determining class-level costs for the Company, as its books and records are not maintained at a rate class level, necessitating the development of such costs.

Price Level The total amount of revenue needed from all customers classes for the utility to recover its expenses and earn its allowed rate of return.

AI summary The text defines the price level as the total revenue required from all customer classes to allow the utility to recover its expenses and earn its allowed rate of return.

Revenue responsibilities Determines the revenue responsibilities among rate classes and individual customers. Cost of Service Revenue Requirement Rate Design

AI summary The document discusses revenue responsibilities among rate classes and individual customers, focusing on the Cost of Service Revenue Requirement and Rate Design.

2016 Renewable to Retail Hearing (M06214) - In response to NSUARB IR-01 and Multeese DR-30 NSPI discussed treatment of RtR rates and revenues in COS. - Test year RtR revenues to be treated as an offset to the test year revenue requirement...

AI summary NSPI discussed the treatment of Renewable to Retail (RtR) rates and revenues in the Cost of Service (COS) during the 2016 Renewable to Retail Hearing (M06214). RtR revenues are to be treated as an offset to the revenue requirement from above-the-line classes, with non-fuel cost charges determined iteratively.

Price Level The total amount of revenue needed from all customers classes for E1 to recover its expenses.

AI summary The text refers to the total revenue required by E1 from all customer classes to recover its expenses, highlighting the financial aspect of cost recovery in utility services.

Revenue responsibilities Determines the revenue responsibilities among rate classes and individual customers. Cost of Service Revenue Requirement Rate Design (cent /kWh Rider)

AI summary The document discusses the determination of revenue responsibilities among rate classes and individual customers, focusing on the Cost of Service Revenue Requirement Rate Design, measured in cents per kWh rider.

Retain System Load Factor (SLF) method for allocating legacy generation resource costs to energy - Existing coal and combined cycle unit costs split between capacity and energy - All thermal unit energy costs (not fuel, but also including...

AI summary The document proposes retaining the System Load Factor (SLF) method for allocating legacy generation resource costs to energy. It outlines how existing coal and combined cycle unit costs are split between capacity and energy, and how energy costs are allocated equally on an hourly basis. The premise is that all customers consuming energy in the same hour should pay the same rate for that energy.

1. Purpose During the April 10, 2024 session, comments were made that referenced the Probability of Dispatch (POD) method analyzed in the New Brunswick Power Class Cost Allocation Study (Matter 554). NB Power's findings are that the POD me...

AI summary During the April 10, 2024 session, comments referenced the Probability of Dispatch (POD) method from the New Brunswick Power Class Cost Allocation Study (Matter 554). NB Power's analysis indicates that the POD method would result in a slightly higher revenue requirement for residential customers compared to other customers, with supporting evidence provided in several exhibits.

2.4 Marginal Cost Method 5 During the procedural conference of June 28, 2023, the final approved scope listed the marginal 6 cost allocation model as optional. Marginal cost modeling has the advantage of being relatively 7 simple to implem...

AI summary The marginal cost allocation model is deemed unsuitable for NB Power's class cost allocation study due to its volatility, inaccuracy in reflecting long-term costs, and confidentiality concerns. E3's analysis highlights discrepancies between marginal costs and actual costs, and no vertically integrated Canadian utility uses this method for CCAS.

Issue le-Unconventional generation, including PPAs. Maritime Link; DDA? SBA View - The SBA discussion of Issue 1 a and 1 a(i) addresses the PP As and special function transmission such as the Maritime Link. The SBA does not believe that th...

AI summary The SBA discusses Issue 1 a and 1 a(i), focusing on PPAs and special function transmission like the Maritime Link. It argues that the DDA should not influence the cost allocation of investment cost recovery but may affect total revenue requirements.

Interplay between bundled and unbundled service revenue requirements - Test year RtR and Wholesale Market revenues are to be treated as an offset to test year revenue requirement from the ATL classes on a cost itemized basis in exhibits 4...

AI summary The text discusses the treatment of Test year Revenue to Rate (RtR) and Wholesale Market revenues as an offset to the revenue requirement from the ATL classes on a cost itemized basis. It also outlines the determination of RtR and Wholesale non-fuel cost charges on an iterative basis with the apportionment of net revenue requirement to the ATL classes.

COSS Model Exhibit Purpose 1 Summary of Existing and Proposed Revenue to Expense Ratio Ratios 2 Rate Base Functionalization & Classification 3 Rate Base Allocation 4 Operating Expense Functionalization 5 Operating Expense Classification 6...

AI summary The COSS Model is being analyzed through various runs, with specific changes to classifications and allocations of expenses and revenue. Key changes include the classification of PHP as a separate rate class, grid-scale storage by ELCC factor, and adjustments to transmission and generation classifications.

Overview of COSS Model Runs - ➤ We will begin with the model runs with less complex modifications and move toward the more complex models and NSP's Positions - ➤ Each COSS model includes a Summary tab that provides rate base and costs by f...

AI summary The document outlines the approach to reviewing COSS model runs, starting with less complex modifications and moving to more complex ones, with a focus on NSP's positions. Each model includes a Summary tab showing rate base and costs by function and classification, along with variance data and changes in the Revenue to Expense Ratio.

4. PHP as a Separate ATL Rate Class - > Purpose: Move PHP from a BTL rate class to a new interruptible ATL rate class. - ➤ Model Notes: This model is the same as PHP DR-12 part a). Loads are shifted from the BTL rate class to ATL rate clas...

AI summary The proposal to move PHP from a BTL rate class to a new interruptible ATL rate class is discussed. This change would affect the SLF calculation and increase the share of costs allocated by energy. NS Power supports the creation of a separate class if service is moved to ATL from BTL, but has not determined its position on PHP's assumed demand level.

5. Classify Grid Scale Storage by ELCC Factor Change in Total Allocated Costs ($000) Revenue to Expense Ratio Demand Energy Cust. Total Approved 2023 Scenario Change ( 1) DOMESTIC 645 -528 -0 117 97.63 97.62 -0.01 ( 2) SMALL GENERAL 34 -36...

AI summary The document presents a table analyzing the change in total allocated costs and revenue to expense ratios across various customer classes and scenarios, with a focus on the classification of grid-scale storage by ELCC factor.

Simulated Energy Balancing and Standby Demand Costs Compared: Wholesale vs RtR Markets Bottom Energy Block Charges Usage Revenue (c/kWh or $/kW) Amount c/kWh Monthly Load Factor 50.0% BUTU & SPILL Wholesale Market Annual Energy Topup (MWhs...

AI summary The document compares simulated energy balancing and standby demand costs in wholesale and retail (RtR) markets. It highlights differences in annual energy topup, spill, and revenue, with the retail market showing a 166.2% variance compared to the wholesale market.

Transmission Revenue Requirement: Depreciation Calc (in millions of $'s) OATT Gross Plant Value WACC Amount Transmission $1,228.3 Less Distr-related Invest. ($229.8) Non-depreciable land ($12.9) Subtotal $985.7 X 2.39% = $23.5 Transmission...

AI summary The document presents a depreciation calculation for transmission revenue requirement under OATT, comparing figures from the Cost of Service Study (COSS) and the accounting system. It highlights a differential of $8 million between the two methods, attributed to the formulaic approach under OATT versus accounting costs under COSS.

• 2023 as corrected after being filed Asset Category Generation Related Transmission Assets: Gross Plant (Note 1) Net Plant (Note 1) OM&G Expense Depreciation Expense Int., Taxes & Return Exp FCR Deferral Total Expenses Step Up Transformer...

AI summary The document presents tables with financial and operational data related to transmission assets, including Gross Plant, Net Plant, OM&G expenses, depreciation, and total expenses for various asset categories in 2023. The data is corrected and amended, showing figures for Generation Related Transmission Assets, Bulk Network, and Scheduling, System Control & Dispatch.

REDACTED (CONFIDENTIAL INFORMATION REMOVED) 2026-2027 GRA Direct Evidence Appendix 12A(3) Page 279 of 310

AI summary The text refers to a 2026-2027 GRA Direct Evidence Appendix 12A(3) Page 279 of 310, indicating it is part of a regulatory proceeding related to rate applications and cost of service studies.

Proposed Amendment to OATT Revenue Req - In general, a direct application of transmission cost requirement, as a data input into transmission rate under the OATT, would have the following effects. - It would help eliminate differences in t...

AI summary The proposed amendment to the OATT revenue requirement aims to align transmission revenue requirements between OATT and COSS by using transmission cost requirements as a data input. The amendment would only slightly alter the computation process, primarily changing entry-level costs in the 'Revenue' tab and removing the redundant O&M tab.

Revenue-related Attributes: - 1. Effectiveness in yielding the utility's total revenue requirement, under the fair return standard, without socially undesirable expansion of rate base or socially undesirable level of product quality or saf...

AI summary The text outlines three key attributes related to revenue in a regulatory context. These include ensuring revenue meets the utility's needs under a fair return standard, maintaining revenue stability and predictability, and ensuring rate stability with historical continuity.

1.3.1 REVENUE RELATED Meeting revenue requirement implies that customer rates should be set so as to yield sufficient revenues for the utility to recover its approved costs. The recoverable costs that make up the company's revenue requirem...

AI summary Setting customer rates to meet the utility's revenue requirement ensures the recovery of approved costs, including operating expenses, maintenance, administration, amortization, and the cost of capital, which includes debt interest and return on equity.

4 Table 2 – Summary of NS Power Proposed Methodology Status Quo Change Generation • Allocation except for treatment of purchased power • No initial classification to energy for environmental and fuel conversion reasons • Use system load fa...

AI summary NS Power proposes changes to its methodology for classifying and allocating costs related to generation, transmission, and distribution. Key changes include refunctionalizing radial-to-generation, using system load factors for classification, and creating new storage sub-functions. These changes aim to improve cost allocation and align with updated regulatory practices.

5.1.1.3 ELENCHUS OPINION - Elenchus supports NS Power's proposed methodology for functionalizing general - Transmission rate base and revenue requirement. - The distinction that NS Power makes between EHV and HV transmission assets is not...

AI summary Elenchus supports NS Power's methodology for functionalizing general transmission rate base and revenue requirement, but questions the distinction between EHV and HV transmission assets, arguing that the evidence does not justify excluding HV cost responsibility from EHV customers.

7.7.1 CHANGES TO ALIGN BUNDLED AND UNBUNDLED SERVICES - 7 NS Power is proposing to revise the calculation of the transmission revenue requirement - 8 underpinning the Open Access Transmission Tariff ("OATT") to make it consistent with - 9...

AI summary NS Power is proposing to revise the OATT transmission revenue requirement calculation to align it with the cost of service study. The current OATT method does not include radial-to-generation costs, and reclassifying these costs from transmission to generation will improve alignment. Additionally, OATT rates are based only on demand, leading to misalignment in cost classification when using the system load factor.

8 CONCLUSIONS 2 As stated in the Introduction the goal of this process was to identify appropriate changes 3 to NS Power's COSS in light of developments including the greater integration of wind 4 and other renewables, the addition of a gr...

AI summary The document discusses the need for refinements to NS Power's Cost of Service Study (COSS) methodology due to changes in technology and generation mix, such as increased renewables and gas-fired generation. It emphasizes that the fundamental principles of cost allocation remain unchanged, but adjustments are necessary to equitably assign costs to customer classes.

Nova Scotia Power Inc. F0-01 BMnlated Statements of Famion@ Years Ended December 31st Millions of Dollars

AI summary The text presents Nova Scotia Power Inc.'s financial statements for the years ended December 31st, with figures reported in millions of dollars. It is part of a regulatory proceeding, likely related to financial reporting and regulatory oversight.

2026-2027 Financial Outlook 2 (1) (2) (3) (4) (5) (6) (7) Present Present Proposed Proposed Compliance Actual Forecast Rates Rates Rates Rates 3 2024 2024 2025 2026 2027 2026 2027 4 5 Revenue 6 7 Electric Other $1,762.6 32.8 $1,813.1 40.7...

AI summary The 2026-2027 financial outlook presents revenue and cost projections for the utility, including revenue from electric and other sources, cost of operations, earnings from operations, and net earnings before dividends. The table shows trends in fuel costs, depreciation, and deferral accounts.

2026-2027 Financial Outlook 1 2026-2027 Financial Outlook (1) (2) (3) (4) Present (5) Present (6) Proposed (7) Proposed 2 Compliance 2024 Actual 2024 Forecast 2025 Rates 2026 Rates 2027 Rates 2026 Rates 2027 3 Assets 4 Fixed assets (net) 4...

AI summary The 2026-2027 Financial Outlook presents a detailed breakdown of assets, liabilities, and equity for a given entity, including forecasts for fixed and current assets, liabilities, and equity. The table outlines the financial position for 2024, 2025, and projected figures for 2026 and 2027.

42 Total Electric Revenue

AI summary The text refers to 'Total Electric Revenue,' indicating a focus on financial metrics related to electricity revenue. No detailed arguments or discussions are present in the provided text.

6 Submission: Goods/Service Goods/Service CAD $ Value Short Description Provider Receiver _ NS Power NS Power Energy 2024 - Gas Sales Marketing Inc. Emera Energy NS Power 2024 - Gas Purchased Brooklyn Power NS Power 2024 – Power Corporatio...

AI summary The submission includes tables detailing financial transactions, such as gas and power sales and purchases, and provides information on export and import power calculations. It also references confidential attachments related to fuel supply studies and power calculations over specific financial timeframes.

3.2 Allowable Fuel and Purchased-Power Costs This section of the POA provides a framework for the fuel and purchased-power costs eligible for recovery through the FAM. Those costs will include allowable fuel expenses plus purchased-power e...

AI summary This section outlines the framework for allowable fuel and purchased-power costs eligible for recovery through the Fuel Adjustment Mechanism (FAM). It includes normal, recurring, non-capital expenses, discrepancies supported by surveys and reports, and exceptional costs reviewed by the Small Working Group. These costs are subject to audit and approval by the Nova Scotia Utility and Review Board.

3.2.13 Miscellaneous Revenue and Recoveries Revenues from joint partnerships in wind farms (including the cost of NS Power's ownership which is applied to purchased power) and any other fuel-related miscellaneous revenues. These revenues i...

AI summary This section discusses miscellaneous revenues from joint partnerships in wind farms, power exports, natural gas resales, and steam sales. It outlines the accounts used to record these revenues, including those related to NS Power's ownership in wind farms and steam sales at specific locations.

7.0 Import Power The methodology used to forecast the price of power imports into Nova Scotia from New Brunswick for the 2020-2022 Rate Stability Period assumes that all NB to NS imports are purchased from ISO New England, including transm...

AI summary The methodology for forecasting power imports from New Brunswick to Nova Scotia during the 2020-2022 Rate Stability Period assumes purchases from ISO New England, including transmission and losses. Import prices are based on on-peak and off-peak forward prices from the New England Power Pool, with adjustments made for system constraints and known changes.

Q-7 NATURAL GAS DETAIL REPORT ( Confidential ) - Natural gas purchase quantities by supplier - Prices paid for quantities purchased - Cost/benefit of settled hedges applicable to purchases - Quantities consumed to generate electricity, sep...

AI summary This confidential Q-7 Natural Gas Detail Report outlines the purchase and sale of natural gas, including quantities, prices, hedge settlements, and costs. It separates data by generation units and includes financial metrics such as net margin, inventory changes, and forecasts for current and future periods.

Total FAM Deferral (Over)/Under‐Recovery Figures presented are rounded to two decimal place which may cause $0.1M in rounding differences on some line items. The FAM Budget reflects the XXX budget filed with the Board on Month Day, Year. C...

AI summary The document discusses the Total FAM Deferral (Over)/Under-Recovery, presenting figures rounded to two decimal places. It references the FAM Budget filed with the Board and mentions the accumulation of unrecovered FAM balances for Nova Scotia Power Inc. as of a specific date.

NSPI has a contractual obligation to pay NSP Maritime Link Inc. ("NSPML"), a related party, for the use of the Maritime Link over approximately 38 years from its January 15, 2018, in-service date. On November 29, 2024, NSPML received NSEB...

AI summary NSPI is required to pay NSPML for the use of the Maritime Link over 38 years. NSEB approved NSPML to collect up to $197 million from NSPI in 2025, including $158 million from the annual cost assessment and $39 million for repaying a federal loan guarantee.

Guarantees and Letters of Credit As at June 30, 2025, the Company had $7 million USD and $4 million CAD of letters of credit outstanding (December 31, 2024 - $7 million USD and $3 million CAD). As at June 30, 2025, the Company had $89 mill...

AI summary As of June 30, 2025, the Company had $7 million USD and $4 million CAD in letters of credit outstanding, and $89 million USD in guarantees issued on behalf of NSPEMI, down from $104 million USD in 2024.

Net periodic costs prior to the effects of capitalization consisted of the following: For the Three months ended Six months ended millions of dollars June 30 June 30 2025 2024 2025 2024 Defined benefit pension plans Service cost $ 3 $ 3 $...

AI summary The text presents a table detailing net periodic costs related to defined benefit pension plans and non-pension benefits plans for the three and six months ended June 30, 2025, and 2024. It includes service costs, expected return on plan assets, interest costs, and amortization of actuarial losses.

2026-2027 GRA OP-01 Attachment 02 Page 17 of 19 REDACTED (CONFIDENTIAL INFORMATION REMOVED) For the three months ended June 30, 2025, NSPI issued 0.04 million common shares (2024 – 0.04 million common shares) to Emera for total considerati...

AI summary NSPI issued 0.04 million common shares to Emera for $0.4 million in both the three and six months ended June 30, 2025. Additionally, NSPI returned $340 million of capital to Emera without reducing the number of shares outstanding. As of June 30, 2025, NSPI owed $179 million to Emera and affiliates, up from $150 million as of December 31, 2024.

Significant changes in the Consolidated Balance Sheets between December 31, 2024 and June 30, 2025 include: Total millions of dollars Increase (Decrease) Explanation of Increase (Decrease) Assets Derivative instruments (current and long-te...

AI summary The Consolidated Balance Sheets show significant changes between December 31, 2024, and June 30, 2025, including increases in derivative instruments and receivables, decreases in regulatory assets and goodwill, and changes in liabilities and equity due to FX translation, debt issuance, and impairment charges.

Florida Electric Utility Three months ended Six months ended For the June 30 June 30 millions of USD (except as indicated) 2025 2024 2025 2024 Operating revenues – regulated electric $ 839 $ 672 $ 1,488 $ 1,220 Regulated fuel for generatio...

AI summary The document presents financial data for Florida Electric Utility and Canadian Electric Utilities, including operating revenues, fuel costs, and contribution to consolidated net income for the periods ending June 30, 2025, and 2024. It highlights the impact of foreign exchange rates on CAD earnings and provides details on changes in operating revenues, fuel costs, and other financial factors.

Use of Management Estimates The preparation of unaudited condensed consolidated interim financial statements in accordance with USGAAP requires management to make estimates and assumptions. These may affect the reported amounts of assets a...

AI summary The document discusses the use of management estimates in the preparation of unaudited condensed consolidated interim financial statements under USGAAP. Key areas include rate-regulated assets, pension benefits, unbilled revenue, and impairment charges. A significant impairment charge of $75 million CAD was recognized in Q2 2025 related to the pending sale of NMGC.

(2) Revenue related to Brunswick Pipeline's service agreement with Repsol Energy. (3) Revenue which does not represent revenues from contracts with customers. (4) Includes gains (losses) on settlement of energy related derivatives, which d...

AI summary The text references revenue from Brunswick Pipeline's service agreement with Repsol Energy, as well as revenue and gains/losses from energy-related derivatives that are not considered revenue from customer contracts.

2026-2027 GRA OP-01 Attachment 4 Page 30 of 37 REDACTED (CONFIDENTIAL INFORMATION REMOVED) As at December 31, 2024 millions of dollars Level 1 Level 2 Level 3 Total Assets Regulatory deferral: Commodity swaps and forwards $ 15 $ 3 $ - $ 18...

AI summary The document presents a financial summary of assets and liabilities related to commodity and foreign exchange derivatives as of December 31, 2024. It highlights significant amounts in regulatory deferral and HFT derivatives, with total assets at $166 million and total liabilities at $617 million, resulting in a net liability of $451 million. A note mentions the pending sale of NMGC and its classification as held for sale.

15. RELATED PARTY TRANSACTIONS In the ordinary course of business, Emera provides energy and other services and enters into transactions with its subsidiaries, associates and other related companies on terms similar to those offered to non...

AI summary Emera engages in intercompany transactions with subsidiaries and related parties, including energy and service agreements. Key transactions include Maritime Link assessments, natural gas transportation capacity purchases, and asset sales. These transactions are reported in financial statements and are eliminated on consolidation, with exceptions for net profit between regulated and non-regulated entities.

2. Quarterly test year figures are based on an allocation of the annual test year amounts as these amounts are not profiled quarterly. As at June 30 millions of Canadian dollars 2025(1) Unregulated Retained Earnings Unregulated retained ea...

AI summary This text provides quarterly test year figures for unregulated retained earnings, property, plant and equipment, other assets, deferred income taxes, and related parties for June 30, 2025. The figures are based on an allocation of annual test year amounts due to the lack of quarterly profiling. Certain adjustments are forecast due to a cybersecurity incident and its response.

Observations - ◼ NSPI Finance & Accounting Cost as Percent of Revenue in 2024 is 0.18 percentage points below (or better than) the industry group median - ◼ NSPI Finance & Accounting Cost as Percent of Revenue decreased 0.03 percentage poi...

AI summary This section discusses NSPI's Finance & Accounting Cost as a percentage of revenue in 2024, showing it is below the industry median and has decreased slightly over the past few years. Despite a 6% nominal increase in finance costs from 2019 to 2023, regulated revenue grew by 17% during the same period.

NSP 2022 GRA Settlement Details - New rates will result in $160M in incremental nonfuel revenues through 2024 - No change to midpoint ROE of 9.0% or earnings band of 8.75% - 9.25%

AI summary The NSP 2022 GRA Settlement Details outline new rates that will generate $160M in incremental nonfuel revenues through 2024, with no changes to the midpoint ROE of 9.0% or the earnings band of 8.75% - 9.25%.

Tampa Electric - Filed in April 2024 for new rates effective January 1, 2025 - o Request included increased revenue requirements of $297M USD in 2025, $100M USD in 2026 and $72M USD in 2027; - o 11.50% ROE midpoint up from the current 10.2...

AI summary Tampa Electric filed in April 2024 for new rates effective January 1, 2025, requesting increased revenue requirements of $297M USD in 2025, $100M USD in 2026, and $72M USD in 2027, with a 11.50% ROE midpoint and maintaining the current 54% equity thickness.

Nova Scotia Power - In April 2024, the UARB approved the provincial government's proposal to acquire $117 million of the NSPI FAM balance and collect if from rate payers over 10 years - Proceeds were received on April 30th

AI summary In April 2024, the UARB approved the provincial government's proposal to acquire $117 million of the NSPI FAM balance, to be collected from rate payers over 10 years. Proceeds were received on April 30th.

Recent Regulatory Activity Filed in April 2024 for new rates effective January 1, 2025. Request included increased revenue requirements of $297M USD in 2025, $100M USD in 2026 and $72M USD in 2027; an 11.50% ROE midpoint – up from the curr...

AI summary A rate filing was submitted in April 2024 for new rates effective January 1, 2025, requesting increased revenue requirements of $297M USD in 2025, $100M USD in 2026, and $72M USD in 2027. The request also includes an increase in the return on equity (ROE) midpoint from 10.20% to 11.50% and maintains the current 54% equity thickness.

2. Earnings Growth • Translate rate base growth into 5-7% adjusted EPS 1 growth through 2027 by managing capital deployment with timing of regulatory filings and through prudent cost management

AI summary The document outlines a strategy to achieve 5-7% adjusted EPS growth through 2027 by translating rate base growth into earnings through careful management of capital deployment, timing of regulatory filings, and prudent cost management.

Additional Drivers of Cash Flow and Credit Metric Improvement - $117M CAD securitization of NSPI's unrecovered fuel costs, by the NS government in April 2024 discussions on further securitizations continue - 6.9% rate increase at NSPI effe...

AI summary The text outlines additional drivers of cash flow and credit metric improvements, including a $117M CAD securitization of NSPI's unrecovered fuel costs, a 6.9% rate increase at NSPI effective January 1, 2024, and new base rates at various utilities. It also mentions continued strong performance of regulated operations.

Recent Regulatory Activity Filed in April 2024 for new rates effective January 1, 2025. Request included increased revenue requirements of $297M USD in 2025, $100M USD in 2026 and $72M USD in 2027; an 11.50% ROE midpoint – up from the curr...

AI summary A rate filing was submitted in April 2024 for new rates effective January 1, 2025, requesting increased revenue requirements of $297M USD in 2025, $100M USD in 2026, and $72M USD in 2027, along with an increase in the return on equity midpoint from 10.20% to 11.50%. The hearing was completed in August 2024, with a decision expected in November 2024.

Confident in our portfolio of premium assets to deliver reliable earnings, cash flow and dividend growth - 8% increase in adjusted earnings per share1 ("adjusted EPS") in Q3 2024 compared to Q3 2023 - Continued balance sheet strengthening...

AI summary The document highlights a 8% increase in adjusted EPS for Q3 2024, balance sheet strengthening through the securitization of $500M in fuel costs at Nova Scotia Power, and growth guidance of 5%-7% adjusted EPS through 2027 and 7%-8% rate base growth through 2029.

Tampa Electric - Filed in April 2024 for new rates effective January 1, 2025 - o Request included increased revenue requirements of $297M USD in 2025, $100M USD in 2026 and $72M USD in 2027; - o 11.50% ROE midpoint up from the current 10.2...

AI summary Tampa Electric has filed for new rates effective January 1, 2025, requesting increased revenue requirements of $297M USD in 2025, $100M USD in 2026, and $72M USD in 2027. The request includes a 11.50% ROE midpoint, up from the current 10.20%, and maintaining a 54% equity thickness. A staff recommendation is expected on November 22nd, with a hearing on December 3rd.

Tampa Electric - Filed in April 2024 for new rates effective January 1, 2025 - o Request included increased revenue requirements of $297M USD in 2025, $100M USD in 2026 and $72M USD in 2027; - o 11.50% ROE midpoint up from the current 10.2...

AI summary Tampa Electric filed a request in April 2024 for new rates effective January 1, 2025, including increased revenue requirements of $297M USD in 2025, $100M USD in 2026, and $72M USD in 2027. The request includes a 11.50% ROE midpoint, up from the current 10.20%, and maintaining the current 54% equity thickness. A staff recommendation is expected on November 22nd, with a hearing on December 3rd.

REDACTED (CONFIDENTIAL INFORMATION REMOVED) 2026-2027 GRA OP-12 Attachment 1 Page 402 of 684 1 Deliver 7%-8% Rate Base CAGR Through 2029 Translate Rate Base Growth Into 5%-7% Adjusted EPS 1,2 Growth Through 2027 Deliver Sustainable Dividen...

AI summary The document outlines financial and operational targets for a utility company, including a 7%-8% rate base CAGR through 2029, 5%-7% adjusted EPS growth through 2027, sustainable dividend growth of 1%-2%, a target payout ratio of ~80% by 2027, and achieving credit metrics on a sustainable basis.

Clear Financial Objectives Drive Reliable Outcomes Deliver 7%-8% Rate Base CAGR Through 2029 Translate Rate Base Growth Into 5%-7% Annual Adjusted EPS 1 Growth Through 2027 2 2 3 Deliver Sustainable Annual Dividend Growth Of 1%-2% Achieve...

AI summary The document outlines financial objectives including a 7%-8% annual rate base growth through 2029, translating into 5%-7% adjusted EPS growth through 2027, sustainable dividend growth of 1%-2%, and a target payout ratio of ~80% by 2027. It also emphasizes achieving credit metrics on a sustainable basis.

Emera's capital program Delivers exceptional value to customers Drives top-tier rate base growth 1 Supports target annual adjusted EPS 2 growth of 5%-7% through 2027 3 7%-8% Rate Base CAGR through 2029 1 Compared to Canadian Utility Peers...

AI summary Emera's capital program aims to deliver value to customers by driving rate base growth and supporting a target annual adjusted EPS growth of 5%-7% through 2027. The program forecasts a 7%-8% rate base CAGR through 2029.

Emera's capital program - Delivers exceptional value to customers - Drives top-tier rate base growth 3 - Supports target adjusted EPS growth of 5%-7% through 2027 80% Capital plan to be invested in Florida 2 Includes Corporate, Emera Newfo...

AI summary Emera's capital program focuses on delivering value to customers, driving rate base growth, and supporting earnings per share growth targets through strategic investments, with 80% of the plan directed toward Florida.

2025 Cash Flow Catalysts - $750M USD sale of NMGC - $185M USD new base rates at TEC - Lower corporate costs and other business growth

AI summary The 2025 Cash Flow Catalysts include a $750M USD sale of NMGC, $185M USD in new base rates at TEC, and reductions in corporate costs alongside business growth.

Peoples Gas 1 General rate application expected March 31, 2025 Anticipate requesting revenue requirements of $90M - $110M USD in 2026 and $25M - $40M USD in 2027 Anticipate requesting 11.1% ROE midpoint New rates expected January 1, 2026

AI summary Peoples Gas anticipates submitting a general rate application by March 31, 2025, requesting revenue requirements of $90M - $110M USD in 2026 and $25M - $40M USD in 2027. The company expects a 11.1% ROE midpoint and new rates to take effect on January 1, 2026.

Rate Case $281M USD total revenue increase 2 Increase in ROE midpoint to 10.5% from 10.2% and no change to equity thickness 99% of operating expenses and capital expenditures approved No stay out period required

AI summary The rate case includes a $281M USD total revenue increase, an increase in the ROE midpoint to 10.5%, approval of 99% of operating expenses and capital expenditures, and no stay out period required.

Financial Highlights 5 % - 7 % Target adj. EPS CAGR through 2027 7%-8% Forecasted rate base growth through 2029 1%-2% Annual dividend growth target

AI summary The financial highlights section outlines key financial targets, including a 5% to 7% adjusted earnings per share compound annual growth rate through 2027, a 7% to 8% forecasted rate base growth through 2029, and a 1% to 2% annual dividend growth target.

Recent Regulatory Activity The FPSC reached a final decision in December 2024 approving new revenues of $281M ($185M in 2025, $87M in 2026 and $9M in 2027). This reflects a 10.5% ROE midpoint (up from 10.2%) and a 54% equity thickness (unc...

AI summary The FPSC approved new revenues of $281M for Tampa Electric, with a 10.5% ROE midpoint and 54% equity thickness. Operating expenses and capital expenditures were substantially approved, and there is no stay out requirement.

Regulatory Arrangements PGS filed a test year letter with the FPSC in January 2025. PGS anticipates filing a general rate application in March 2025 requesting a revenue requirement of approximately $90 to $110 million and subsequent year a...

AI summary PGS filed a test year letter with the FPSC in January 2025 and plans to submit a general rate application in March 2025, requesting a revenue requirement of approximately $90 to $110 million, with a subsequent adjustment for 2027 of $25 to $40 million and a requested 11.1% return on equity.

Rate Case $281M USD total revenue increase 3 Increase in ROE midpoint to 10.5% from 10.2% and no change to equity thickness of 54% 99% of operating expenses and capital expenditures approved No stay out period required Storm Cost Recovery...

AI summary The rate case approved a $281M USD revenue increase, raised ROE midpoint to 10.5%, and allowed recovery of $464M USD in storm costs over an 18-month period starting March 1, 2025. 99% of operating expenses and capital expenditures were approved, and no stay out period was required.

FX NORMALIZED FFO ADJUSTED LEVERAGE 1 TRANSITION $185M USD of new base revenues at TEC , partially offset by rate base investment $700M USD of proceeds from NMGC sale used to retire Holdco debt $500M of thermal asset securitization reduces...

AI summary The text discusses financial strategies involving new base revenues, proceeds from the sale of NMGC, and thermal asset securitization, all aimed at strengthening credit metrics and supporting an investment grade rating.

FFO ADJUSTED LEVERAGE TRANSITION $87M USD of new base revenues at TEC , partially offset by rate base investment $80M CAD of new base revenues at NSPI and a further $200M of thermal asset securitization $104M USD of new base revenues at PG...

AI summary The FFO Adjusted Leverage Transition section outlines new base revenue figures for TEC, NSPI, and PGS, including USD and CAD amounts, partially offset by rate base investments and thermal asset securitization.

PGS 2026 Revenue Requirement + 2027 Subsequent Year Adjustment 2026 2027 Rate Base Growth 48 - Depreciation 19 6 O&M 23 - Taxes Other Than Income Taxes 9 7 Cost of Capital 15 14 Revenue Growth, excluding CI/BS1 Rider (10) - BASE REVENUE RE...

AI summary The document outlines the 2026 Revenue Requirement and the 2027 Subsequent Year Adjustment for PGS, including details on rate base growth, depreciation, operating and maintenance costs, taxes, cost of capital, and net revenue required.

FX NORMALIZED TRAILING 12 MONTHS CFO PRE-WC / DEBT 1 + HOLDCO / TOTAL DEBT - ✓ Sale of LIL 2 investment delivered $1.2B of proceeds 3 for Holdco deleveraging - ✓ Raised $0.9B of common equity content 4 - ✓ Securitized $617M of NSPI fuel co...

AI summary The text outlines financial activities and strategies related to debt management, including the sale of an investment, equity raises, securitization of fuel costs, and revenue collection from various projects. These actions are aimed at deleveraging and financial stability.

PGS 2026 Revenue Requirement + 2027 Subsequent Year Adjustment 2026 2027 Rate Base Growth 48 - Depreciation 19 6 O&M 23 - Taxes Other Than Income Taxes 9 7 Cost of Capital 15 14 Revenue Growth, excluding CI/BS1 Rider (10) - BASE REVENUE RE...

AI summary The document presents the 2026 Revenue Requirement and 2027 Subsequent Year Adjustment for PGS, including details on rate base growth, depreciation, O&M, taxes, cost of capital, and net revenue required. The table outlines financial figures for both years.

Peoples Gas 1 General rate application filed March 31, 2025 Requesting a total revenue increase of approximately $130M USD 2 Requesting an increase in ROE midpoint to 11.1% from 10.15% and no change to equity thickness of 54.7% 84% of the...

AI summary Peoples Gas has filed a general rate application requesting a $130M USD revenue increase and a higher return on equity midpoint. 84% of the requested increase was granted in the 2023 rate case, with new rates expected to take effect in January 2026.

Rate Case $281M USD total revenue increase 3 Increase in ROE midpoint to 10.5% from 10.2% and no change to equity thickness of 54% 99% of operating expenses and capital expenditures approved No stay out period required Storm Cost Recovery...

AI summary The rate case includes a $281M USD revenue increase, a raise in ROE midpoint to 10.5%, approval of 99% of operating expenses and capital expenditures, and approval to recover $464M USD in storm costs over an 18-month period starting March 1, 2025.

FX NORMALIZED TRAILING 12 MONTHS FFO / DEBT 1 + HOLDCO / TOTAL DEBT - ✓ Sale of LIL 3 investment delivered $1.2B of proceeds 4 for Holdco deleveraging - ✓ Raised $0.9B of common equity content 5 - ✓ Securitized $617M of NSPI fuel costs, an...

AI summary The text outlines financial activities and strategies related to debt management, including the sale of the Labrador Island Link investment, equity raises, securitization of fuel costs, and revenue collection from Tampa Electric and New Mexico Gas. These actions aim to deleverage Holdco and manage financial obligations from storms.

2025 → 2026 2026 → 2027 $87M USD of new base revenues at TEC , partially offset by rate base investment $80M CAD of new base revenues at NSPI and a further $200M of thermal asset securitization $104M USD of new base revenues at PGS , parti...

AI summary The document outlines new base revenue figures for various entities, including TEC, NSPI, and PGS, with some revenues partially offset by rate base investments and regulatory lags. New data center revenue is expected to offset regulatory lag at TEC.

1 6 High-Quality Regulated Utilities 2.6 Million Customers2 $43 billion Total Assets2 $20 billion 5-year Capital Plan3 ~80% Capital Plan Focused in Florida 7-8% Rate Base CAGR Growth Through 2029 5-7% Target Avg Annual Adj. EPS4 Growth Thr...

AI summary The document outlines key financial and operational metrics for a regulated utility, including 2.6 million customers, $43 billion in total assets, and a $20 billion 5-year capital plan focused largely in Florida. The utility targets 5-7% average annual adjusted EPS growth and 1-2% annual dividend growth, with 18 years of consecutive dividend growth.

Peoples Gas General rate application filed March 31, 2025 Requested revenue requirements of $104M USD in 2026 and $27M USD in 2027 Requested 11.1% ROE midpoint (from current 10.15%) Hearings scheduled for September 9-12, 2025 with final de...

AI summary Peoples Gas has filed a general rate application requesting revenue requirements of $104M USD in 2026 and $27M USD in 2027, along with an increase in the requested return on equity midpoint from 10.15% to 11.1%. Hearings are scheduled for September 2025, with a final decision expected in Q4 2025 and new rates to take effect on January 1, 2026.

Regulatory Arrangements PGS filed a general rate application on March 31, 2025, requesting revenue requirements of approximately $104 million and subsequent year adjustment for 2027 of approximately $27 million. Also requested a 11.1% ROE...

AI summary PGS submitted a general rate application requesting revenue requirements of approximately $104 million and a subsequent year adjustment of $27 million, along with a requested increase in ROE from 10.15% to 11.1%. The hearing is set for September 9-12, 2025, with a decision expected in Q4 2025 and new rates to begin on January 1, 2026.

Peoples Gas - Settlement agreement filed in August 2026 reflecting: - Revenue increase of $97M USD through 2028 (inclusive of CIBS rider) - $67M USD in 2026 - $25M USD in 2027 and - $5M USD in 2028 - Represents 81% of revised ask - ROE of...

AI summary A settlement agreement for Peoples Gas, filed in August 2026, includes a revenue increase of $97M USD through 2028, with an 81% approval of the revised ask. The return on equity (ROE) is set at 10.3%, up from 10.15%, with equity thickness remaining at 54.7%. The final order is expected in Q4 2025, with new rates effective January 1, 2026.

Rate Case - $281M USD total revenue increase1 - Increase in ROE midpoint to 10.5% from 10.2% and no change to equity thickness - 99% of operating expenses and capital expenditures approved - No stay out period required

AI summary The Rate Case involves a $281M USD revenue increase, an increase in the ROE midpoint to 10.5%, approval of 99% of operating expenses and capital expenditures, and no stay out period required.

Reinvested Cash Flows Growing cash from operations

AI summary The document discusses growing cash from operations, indicating an increase in the company's operational cash flow, which may be relevant for financial planning and investment decisions.

Recent Regulatory Activity The FPSC reached a final decision in December 2024 approving new revenues of $281M ($185M in 2025, $87M in 2026 and $9M in 2027). This reflects a 10.5% ROE midpoint (up from 10.2%) and a 54% equity thickness (unc...

AI summary The FPSC approved new revenues of $281M for Tampa Electric, with a 10.5% ROE midpoint and 54% equity thickness. Operating expenses and capital expenditures were substantially approved, and there is no stay out requirement.

Regulatory Arrangements PGS filed a general rate application on March 31, 2025. In August 2026, PGS filed settlement agreement reflecting: - Revenue increase of $97M USD through 2028 (inclusive of CIBS rider) - $67M USD in 2026 - $25M USD...

AI summary PGS filed a general rate application on March 31, 2025, and a settlement agreement in August 2026, proposing a revenue increase of $97M USD through 2028, including a CIBS rider, and increasing ROE to 10.3%. The final order is expected in Q4 2025 with new rates effective January 1, 2026.

Update on Progress in 2023 Last year we highlighted Management's planned actions and next steps for 2023. We have executed against this plan and have and have improved and stabilized both the business and financial risk profiles of NSPI: -...

AI summary NSPI has stabilized its business and financial risk profiles in 2023 by receiving UARB approval for the GRA settlement, aligning with the Province on decarbonization mandates, securing government funding for prior period fuel costs, and focusing capital investments on reliability.

Financial Performance - Growing cash flow profile supported by strong customer growth and tax benefits in support of energy storage investments. - Decreased debt and improved credit metrics in 2024 due to sale of $117 million FAM asset to...

AI summary The financial performance section highlights improved cash flow and credit metrics due to asset sales, federal fuel funding, and a successful General Rate Application, with forecasts of strong adjusted cash flow to debt and EBIT coverage ratios through 2026.

Update on Progress in 2024 Last year we highlighted Management's planned actions and next steps for 2024. We have executed against this plan and have improved and stabilized both the business and financial risk profile of Nova Scotia Power...

AI summary Nova Scotia Power has made progress in 2024 by negotiating federal and provincial funding for prior period fuel costs, securing a loan guarantee increase, and receiving approvals for capital investments and a storm rider. They are also working on the 2030 Clean Power Plan and preparing for a General Rate Application expected to take effect in 2026.

Why Invest in Emera PREMIUM PORTFOLIO OF REGULATED UTILITIES FOCUSED IN FLORIDA ~70% of adjusted net income,1 excluding Corporate costs, comes from Florida ~80% of capital plan through 2029 is being invested in Florida, supporting strong c...

AI summary Emera highlights its focus on Florida's regulated utilities, noting that 70% of adjusted net income comes from Florida and 80% of its capital plan through 2029 is invested there. The company emphasizes its strategic position and operational excellence in delivering growth for investors.

ACTIVITIES OF THE AUDIT COMMITTEE IN 2024 The Audit Committee met five (5) times in 2024. In accordance with its mandate as set out in the Audit Committee Charter, the Audit Committee performed the following key functions in 2024: - 1. Rev...

AI summary The Audit Committee met five times in 2024 and performed various functions including reviewing accounting and disclosure issues, credit and market price risk reports, tax reports, compliance reports, and financial statements. They also evaluated the performance of the Chief Financial Officer and external auditors, and approved updates to internal audit policies and fees for EY.

Energy & Utility Industry Alliant Energy Corp. Ameren Corp. Atmos Energy Corp. Avangrid Inc. Black Hills Corporation CenterPoint Energy, Inc. CMS Energy Corp. DTE Energy Company Evergy, Inc. Eversource Energy NiSource Inc. OGE Energy Corp....

AI summary The document lists several US-based energy companies and explains that Emera's compensation benchmarking considers both Canadian and US comparator groups, taking into account the company's significant US operations and the impact of currency fluctuations on executive pay.

PERFORMANCE SHARE UNIT PLAN The PSU Plan is designed to retain and incentivize employee participants by allowing senior management and key employees in specific roles to participate in the long-term success of the Company. A PSU is a notio...

AI summary The Performance Share Unit (PSU) Plan is designed to retain and incentivize senior management and key employees by linking their compensation to the long-term success of the company. PSUs are tied to the value of Emera common shares and financial performance targets, with payouts determined by a performance factor based on achieved objectives and the share price at the end of the three-year vesting period.

REDACTED (CONFIDENTIAL INFORMATION REMOVED) 2026-2027, GRA OP-13 Attachment 1 Page 91 of 115 The Relative TSR metric measures Emera's TSR against the average of the below Canadian custom peer group, which is comprised of close industry pee...

AI summary The Relative TSR metric evaluates Emera's Total Shareholder Return against a Canadian custom peer group, which includes close industry competitors. The committee acknowledges the difficulty in forming an appropriate peer group due to the limited number of investor-owned utilities in Canada.

The threshold, target and stretch levels and results are shown in the table below: Metrics Weighting Threshold (50%) Target (100%) Stretch (200%) Compensation EPS: three-year 75% compound annual growth rate 3% 6% 9% Relative Total Sharehol...

AI summary The document outlines performance metrics for 2022, including Compensation EPS and Relative Total Shareholder Return, with threshold, target, and stretch levels. Adjustments were made to EPS figures to reflect the impact of the sale of Labrador-Island Link and other factors, resulting in a weighted performance result of 51.4%.

The following table shows the changes to accumulated value from January 1, 2024 to December 31, 2024 for the NEOs who participated in the Pension Plan on a defined contribution basis. Name Accumulated value at start of year ($) Compensator...

AI summary The table outlines the changes in accumulated value for Named Executive Officers (NEOs) in the Pension Plan on a defined contribution basis from January 1, 2024, to December 31, 2024, including both compensatory and non-compensatory changes.

Deferred Share Unit Plan The Deferred Share Unit ("DSU") Plan is another component of Emera's Long-term Incentive Program for senior leaders. A DSU is a notional share unit that is based on the value of an Emera common share – the value of...

AI summary The Deferred Share Unit (DSU) Plan is part of Emera's Long-Term Incentive Program for senior leaders. DSUs are notional shares that correlate with Emera's common shares and earn dividend equivalents. They are deferred until the participant leaves the company and are paid based on the average share price over 50 trading days. Special DSU awards may be made for significant achievements, but none were given to NEOs in 2024.

The table below identifies how much of the short-term incentive for 2024 that each NEO elected to allocate to DSUs: Name Percentage of 2024 annual incentive elected to deferred share units (%) Dollar amount of 2024 annual incentive elected...

AI summary The table outlines the allocation of short-term incentives for 2024 by each Named Executive Officer (NEO) to Deferred Share Units (DSUs), including the percentage and dollar amount elected by each individual.

Scott Balfour Resignation All unvested PSUs, RSUs and stock options are forfeited. Terminated for cause All unvested PSUs, RSUs and stock options are forfeited. Terminated without cause Entitled to a lump sum equal to 24 months' compensati...

AI summary This section outlines the terms and conditions for Scott Balfour's resignation, termination, change of control, and retirement, including the handling of unvested PSUs, RSUs, and stock options under different scenarios.

1 Requirement: 2 3 "Proof of Revenues", similar to that provided in Appendix 6 of the Company's 4 Compliance Filing dated April 29, 2005. Include a table showing the components of 5 the change in required revenues for the test year. 6 7 Su...

AI summary The document outlines a requirement for submitting 'Proof of Revenues' similar to Appendix 6 of the Company's Compliance Filing dated April 29, 2005, including a table showing the components of the change in required revenues for the test year. Attachment 1 provides the Proof of Revenue calculations.

5 Submission: 6 7 Electric revenues are billed on a systematic basis over a one or two-month period. At the 8 end of each calendar month, the Company estimates the energy delivered to customers 9 since the date their meter was last read an...

AI summary The submission discusses how electric revenues are billed systematically over one or two-month periods, with unbilled revenue estimated at the end of each calendar month based on factors like generation, customer usage, weather, and line losses. The estimate may differ from actual results, and a table is referenced showing unbilled revenue receivable on the balance sheet.

2026-2027 Financial Outlook 1 (1) (2) (3) (4) (5) (6) (7) 2 Compliance Rates 2024 Actual 2024 Present Rates 2025 Present Rates 2026 Present Rates 2027 Proposed Rates 2026 Proposed Rates 2027 3 4 Net Regulated Plant in Service $4,455.8 $4,6...

AI summary The 2026-2027 Financial Outlook presents a table with various financial metrics, including Net Regulated Plant in Service, Net Utility Fixed Assets, Deferred Charges & Credits, and the Regulated Rate Base. It also includes details on the Weighted Average Cost of Capital and Total Revenue Requirement for different years.

REDACTED (CONFIDENTIAL INFORMATION REMOVED) NS Power 2026-2027 General Rate Application CONFIDENTIAL (Attachments Only) SR-01 1 Requirement: 2 3 Cost of Service Study 4 5 Submission: 6 7 The Cost of Service Study and other calculations aff...

AI summary NS Power's 2026-2027 General Rate Application includes a Cost of Service Study methodology, detailing cost allocation between above-the-line (ATL) and below-the-line (BTL) rate classes, with a focus on the Backup/Top-up (BUTU) class transition to embedded-cost methodology. The study uses revenue-to-cost (R/C) ratios to identify inter-class inequities and aligns with the Board's 2022 decision (M09940) on BUTU tariff amendments.

% Non-fuel related in aggregate ¢/kWh 6.287 5.743 -0.544 -8.7% Total ¢/kWh 14.908 14.956 0.048 0.3% Page 27 of 41 REDACTED (CONFIDENTIAL INFORMATION REMOVED) 2026-2027 GRA SR-01 Attachment 8 Page 28 of 41 RATE SCHEDULES 2025 2026 Variance...

AI summary The document compares 2025 and 2026 rate schedules, showing a 12.3% increase in fuel costs, elimination of FAM AA (Fuel Adjustment Mechanism Annual Adjustment), and removal of SCRR (System Cost Recovery Rider). Non-fuel costs decreased by 15.8%, while DSM PCR (Demand Side Management Cost Recovery Rider) remained stable. Total rates fell slightly (-0.3%) due to FAM AA removal and SCRR elimination.

electronically. REDACTED (CONFIDENTIAL INFORMATION REMOVED) 2026-2027 GRA SR-01 Attachment 10 has been filed electronically. REDACTED (CONFIDENTIAL INFORMATION REMOVED) 2026-2027 GRA SR-01 Attachment 11 has been filed electronically. REDAC...

AI summary The document discusses the 2026 embedded cost of ancillary services, specifically voltage control and reactive support services revenue requirement, as part of the 2026-2027 GRA SR-01 Attachment 12.

CONFIDENTIAL (Attachment Only) 1 Request IR-7: 2 3 2026-2027 GRA Direct Evidence, DE-03-DE-04, section 4; SR-02 Attachment 1. 4 5 (a) The load forecast provided for use in the 2026-2027 GRA is dated April 30, 2024. 6 NSPI has since complet...

AI summary The document outlines a series of information requests (IR-7) related to the 2026-2027 Gas Rate Agreement (GRA) by Nova Scotia Power Inc. (NSPI). NSPI responds that the 2026-2027 GRA rates were developed using the best available information, including the April 30, 2024 load forecast, and that discussions with customer representatives began in early 2025.

CONFIDENTIAL (Attachment Only) 1 isolation can lead to misalignment of the build up of the revenue requirement and confusion 2 in the regulatory process. 3 4 (b) The FAM has a built-in actual adjustment and balancing adjustment for the pur...

AI summary The text discusses the potential misalignment between revenue requirement and the regulatory process due to isolation. It highlights the Fuel Adjustment Mechanism (FAM) designed to align actual fuel costs with customer payments, using the same load forecast for revenue requirement and rates. It also notes the absence of energy or capacity from the RTR market and mentions EV peak and energy contributions since 2020.

2026-2027 General Rate Application (M12451) NSPI Responses to Bates White Information Requests 1 covered in the recent arbitration with Nordex. These repairs are scheduled to be completed 21 process for establishing the FAM riders to colle...

AI summary The document outlines NSPI's responses to Bates White Information Requests related to the 2026-2027 General Rate Application. It discusses the Fuel Adjustment Mechanism (FAM) and its riders, including the collection of prior period balances and their impact on revenue requirements and corporate financing.

7 8 Please refer to Figure 2 below for a breakdown of the forecast GHG OBPS compliance 9 costs and air emission compliance costs for the GRA period. 10

AI summary The text references a figure that provides a breakdown of forecast GHG OBPS compliance costs and air emission compliance costs for the GRA period.

2026-2027 General Rate Application (M12451) NSPI Responses to Bates White Information Requests

AI summary This document outlines NSPI's responses to information requests from Bates White regarding the 2026-2027 General Rate Application (M12451). It is part of a regulatory proceeding concerning rate applications and financial considerations.

1 REDACTED (CONFIDENTIAL INFORMATION REMOVED) 2026-2027 GRA BW IR-17 Confidential Attachment 1 has been filed electronically. 1 Request IR-18: 2 3 2026-2027 GRA Direct Evidence, DE-03-DE-04, pages 79-80. 4 5 (a) Please confirm that as an A...

AI summary The document outlines a request (IR-18) related to the 2026-2027 General Rate Application (GRA) by PHP, an ATL customer, regarding payments for FLG costs, a receivable purchased by Invest Nova Scotia, and assumptions about load, interruptible volumes, and the interaction of wind farm output with PHP's costs. A response references a prior Board decision in M12004 and M11902.

The CA commented: Regarding the shift of items (a) to (c), the Consumer Advocate acknowledges that these costs are reasonably collected through the FAM. However, the Consumer Advocate respectfully states that these proposed changes to the...

AI summary The Consumer Advocate agrees that some costs can be collected through the FAM but suggests deferring changes to the POA to NS Power's next GRA, as these costs were included in the previous GRA's revenue requirement. A new cost item is deemed reasonable for immediate collection through the FAM.

In its Reply Submission, NS Power disagreed with this reasoning: Had NS Power's approved revenue requirement been based on its costs to serve customers and not a legislative cap, then NS Power would generally agree that it would not be app...

AI summary NS Power disagrees with the reasoning that OM&G costs should not be moved to the FAM until the next GRA, arguing that current rates create a revenue shortfall. The Board agrees with stakeholders that reclassifying these costs would be inappropriate and states that Bill 212 does not justify departing from this principle. The Board also notes potential changes in OM&G costs since the GRA estimates and emphasizes that the intent of Bill 212 is to limit costs to the legislated cap.

REDACTED 1 (c) Please refer to Attachment 4, which contains the revised rates, which originally was filed 2 in the 2026-2027 GRA SR-01 Attachment 8. 3 4 (d) Please refer to the revised proof of revenue in the updated 2026-2027 GRA OR-01 5...

AI summary The text discusses revisions to the 2026-2027 General Rate Application (GRA), including changes to the interruptible credit for PHP, which resulted in a reduction of annual credits by approximately $0.9 million in 2026 and $0.8 million in 2027. It also mentions a correction to the Distribution Cost Adder for the Large Industrial Rate (LIR) and the impact on revenue redistribution among rate classes.

Business Risk: Excellent We assess NSPI's business risk profile as excellent, reflecting our assessment of the regulated accounting for company's operations being in low-risk country such as Canada, are rate-regulated. NSPI's business risk...

AI summary NSPI's business risk is assessed as excellent due to its regulated operations in Canada, transparent UARB regulatory framework, and stable customer base. The UARB's fuel adjustment mechanism allows cost recovery, and NSPI's regulated model ensures timely rate determinations and recovery of prudently incurred costs.

Table 1 Industry Sector: Electric Nova Scotia Power Inc. Maritime Electric Co. Ltd. Tucson Electric Power Co. Hawaiian Electric Industries Inc. Inc. Ltd. Co. Industries Inc. Ratings as of April 6, 2020 BBB+/Stable/(A-2) BBB+/Stable/ A-/Neg...

AI summary The document presents a financial comparison of Nova Scotia Power Inc. and other electric utility companies, including metrics such as revenue, EBITDA, interest coverage, and debt ratios. The table highlights Nova Scotia Power's financial position relative to its peers, with a focus on key financial indicators and risk assessments.

Table 2 Nova Scotia Power Inc Financial Summary Industry Sector: Electric Fiscal year ended Dec. 31 2019 2018 2017 2016 2015 (Mil. C$) Revenue 1,430.0 1,440.0 1,338.0 1,356.0 1,417.3 EBITDA 513.0 549.8 554.2 510.3 549.0 Funds from operatio...

AI summary Table 2 presents a financial summary of Nova Scotia Power Inc. over the fiscal years 2015 to 2019, highlighting key financial metrics such as revenue, EBITDA, funds from operations, and debt. The summary indicates that liquidity is deemed adequate.

Financial Risk: Significant We assess NSPI's financial risk profile using our medial volatility financial benchmark tables rather than the financial benchmarks we use for a typical corporate issuer, which reflects the company's lower-risk...

AI summary NSPI's financial risk is significant due to lower-than-expected FFO to debt in 2020, driven by a warmer winter and pandemic impacts. The fuel stability plan and large capital program are expected to pressure credit metrics through 2022. A new base rate filing is anticipated in 2023.

Table 3 Nova Scotia Power Inc Financial Summary Industry sector: electric Fiscal year ended Dec. 31 2020 2019 2018 2017 2016 (Mil. C$) Revenue 1,494.0 1,430.0 1,440.0 1,338.0 1,356.0 EBITDA 529.0 513.0 549.8 554.2 510.3 FFO 380.2 381.4 408...

AI summary Table 3 presents a financial summary of Nova Scotia Power Inc. over the years 2016 to 2020, including revenue, EBITDA, FFO, interest expenses, capital expenditures, and various financial ratios. The data shows trends in financial performance and debt levels.

Overview Key strengths Key risks Low-risk, vertically integrated regulated electric utility with no exposure to nonutility operations. Energy transition risks through its operations in electric generation, which are primarily coal, natural...

AI summary The overview discusses Nova Scotia Power Inc. (NSPI) as a low-risk, vertically integrated utility with a credit-supportive regulatory framework, but highlights energy transition risks due to reliance on fossil fuels. It expects NSPI to maintain financial performance with modest sales growth and capital spending of about $510 million over 2022-2024.

2026-2027 GRA Cleary IR-1 Attachment 5 Page 2 of 10 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Nova Scotia Power Inc. NSPI is a lower-risk, regulated, vertically integrated utility that operates under a generally supportive framework. The...

AI summary Nova Scotia Power Inc. (NSPI) is a low-risk, regulated utility operating under supportive mechanisms like the fuel adjustment mechanism (FAM). NSPI filed an updated fuel stability plan with a 2.9% annual base rate increase through 2024, and faces challenges due to limited geographic and regulatory diversity, impacting its credit quality and dependence on the Utility and Review Board (UARB).

Credit Highlights The provincial government of Nova Scotia recently proposed to compensate Nova Scotia Power Inc. (NSPI) about $117 million to offset the deferred fuel cost liability. NSPI generally recovers the incurred fuel cost from cus...

AI summary The provincial government of Nova Scotia proposed compensating Nova Scotia Power Inc. (NSPI) with $117 million to offset deferred fuel cost liability. This compensation will be recovered from customers over 10 years, reducing immediate pressure on customer bills. However, NSPI is expected to recover the remaining $278 million through future rate adjustments, which could increase customer bills.

January 28, 2025 What's new: Nova Scotia Power Inc. (NSPI) recently received a Canadian federal loan guarantee to securitize C$500 million of current and future fuel balances at NSPI; the company used proceeds toward reducing debt at NSPI....

AI summary Nova Scotia Power Inc. (NSPI) received a C$500 million loan guarantee from the Canadian federal government to securitize deferred fuel costs, helping reduce debt and regulatory lag. This, along with provincial support, is expected to improve NSPI's credit measures and reduce rate impacts on customers. S&P Global Ratings revised Emera Inc.'s outlook to stable from negative due to these developments and other initiatives.

Nova Scotia Power Inc. Financial Summary Period ending Dec-31-2018 Dec-31-2019 Dec-31-2020 Dec-31-2021 Dec-31-2022 Dec-31-2023 Reporting period 2018a 2019a 2020a 2021a 2022a 2023a Display currency (mil.) C$ C$ C$ C$ C$ C$ Revenues 1,440 1,...

AI summary This financial summary presents Nova Scotia Power Inc.'s financial metrics from 2018 to 2023, including revenues, EBITDA, FFO, capital expenditures, and debt levels. The data highlights trends in financial performance, including fluctuations in operating cash flow and increasing debt.

Rating Update (CONTINUED) mechanism. Fuel costs are also subject to an independent audit by the NSUARB that could potentially disallow a portion of the fuel-related costs. The Company's BRA also reflects the challenges associated with NSPI...

AI summary The rating update discusses NSPI's challenges with high electricity rates, potential cost recovery issues, and compliance with federal coal phase-out plans. It also notes that operating cash flow supports capex and that NSPI will manage dividends to maintain its debt-to-capital ratio within regulatory limits.

Summary - NSPI's earnings remained stable. The Company operates under a COS model wherein NSPI is allowed to recover all prudently incurred costs from providing electricity and earnings are primarily impacted by the range of ROE and capita...

AI summary NSPI's earnings remained stable under a COS model, with earnings influenced by ROE and capital structure approved by the NSUARB. Lower operating expenses and fuel costs contributed to moderately higher earnings in 9M 2017 compared to 9M 2016. NSPI recovers actual fuel costs via the FAM. The NSUARB's ROE calculations use specific regulatory methods, and earnings above the ROE band are directed to the FAM as per the Electricity Plan Act.

Rating Report Nova Scotia Power Inc. DBRS.COM 11 For the year ended December 31 Earnings Quality/Operating Efficiency 2017 2016 2015 2014 2013 2012 Fuel for generation and purchase power/Revenues 35.7% 36.1% 38.3% 38.0% 41.7% 40.0% EBIT ma...

AI summary The document presents financial and operational metrics for Nova Scotia Power Inc. (NSPI) over several years, including earnings quality, operating efficiency, return on equity, customer growth, and cost structures. It provides data on metrics such as EBIT margin, profit margin, and total costs, along with details on customer accounts and rate base.

2. Regulatory lag NSPI faces some regulatory risk with respect to the timeliness of full cost recovery, although this risk is lower now than when the FAM was not in place. Although the FAM allows the Company to recover fluctuating fuel exp...

AI summary NSPI faces regulatory risk related to the timeliness of full cost recovery, though this risk has decreased since the implementation of the Fuel Adjustment Mechanism (FAM). The FAM allows NSPI to recover fluctuating fuel costs annually with NSUARB approval, and any differences between actual fuel costs and recovered amounts will be resolved post-2022. DBRS Morningstar anticipates reduced fuel price volatility as the Muskrat Falls hydroelectric project begins operations.

Earnings and Outlook 9 months September 30 12 months September 30 For the year ended December 31 (CAD millions) 2019 2018 2019 2018 2017 2016 2015 2014 Revenues 1,066 1,055 1,451 1,440 1,338 1,356 1,417 1,348 Fuel cost1 (480) (460) (659) (...

AI summary The document presents financial data for Nova Scotia Power Inc. (NSPI) over multiple years, including revenues, fuel costs, net revenues, operating costs, and net income. It also outlines the regulated rate base and actual return on equity, highlighting key financial performance metrics and adjustments.

Earnings and Outlook 12 mos. ended September 30 For the year ended December 31 (CAD millions where applicable) 2020 2019 2018 2017 2016 2015 Revenues 1,481 1,430 1,440 1,338 1,356 1,417 Fuel cost1 (685) (663) (639) (477) (490) (543) Net re...

AI summary This table presents financial data for a company over several years, including revenues, fuel costs, net revenues, EBITDA, EBIT, interest expenses, earnings before taxes, and net income. It also includes return on equity and regulated rate base information.

2019 Summary - Earnings for NSPI have been relatively stable, reflecting the regulated nature of its operations. - DBRS Morningstar notes that NSPI has a FAM in place that allows the Company to recover actual fuel costs from customers thro...

AI summary NSPI's 2019 earnings were stable due to its regulated operations and the FAM, which allows recovery of actual fuel costs. EBITDA and EBIT decreased due to lower sales volumes and higher depreciation, but net income increased from a tax recovery. NSPI continued to earn its maximum allowed ROE of 9.25% based on NSUARB calculations, and surplus earnings were applied to the FAM per the Electricity Plan Act.

2020 Summary/Outlook - EBITDA and EBIT for the LTM 2020 remained relatively stable compared with 2019. - Net income before nonrecurring items decreased, however, because of higher income taxes for the period. - The ongoing coronavirus pand...

AI summary NSPI's EBITDA and EBIT for the LTM 2020 remained stable compared to 2019, with net income before nonrecurring items decreasing due to higher income taxes. The coronavirus pandemic had no material impact on NSPI's financial results, as residential usage offset decreased commercial and industrial revenues. DBRS Morningstar expects modest earnings growth due to rate base growth and operating efficiencies, with NSPI likely to achieve its regulated ROE target of 8.75% to 9.25%.

Financial Profile 12 mos. ended September 30 For the year ended December 31 (CAD millions where applicable) 2020 2019 2018 2017 2016 2015 Net income before nonrecurring items 124 138 131 129 130 139 Depreciation & amortization 241 238 225...

AI summary The financial profile outlines key financial metrics for the period ending September 30, 2020, including net income, depreciation, capital expenditures, and cash flow. It also provides insights into free cash flow, debt levels, and financial ratios such as cash flow to total debt and interest coverage.

2020 Summary - Earnings for NSPI have been relatively stable, reflecting the regulated nature of its operations. - DBRS Morningstar notes that NSPI has a FAM in place that allows the Company to recover actual fuel costs from customers thro...

AI summary NSPI's earnings remained stable in 2020 due to its regulated operations and the presence of a Fuel Adjustment Mechanism (FAM) that allows recovery of actual fuel costs. EBITDA and EBIT increased slightly due to higher residential sales and lower operational costs, but net income before nonrecurring items decreased due to higher income taxes.

FAM Balance (CAD millions) 2021 FAM regulatory liability - Balance as at January 1 21 Net under-recovery of current period fuel costs (69) Interest on FAM balance (1) Refund to customers of the reduced Maritime Link assessment recovered in...

AI summary The document provides an overview of the FAM (Fuel Adjustment Mechanism) balance for 2021, including regulatory liability, under-recovery of fuel costs, and an interim assessment payment approved by the NSUARB for the Maritime Link Project. Annual payments for the project were approved for 2020, 2021, and 2022.

2021 Summary - NSPI's key credit metrics were in line with the A (low) rating in 2021. - The Company's cash flow-to-debt ratio improved modestly because of the stronger cash flows for the year. 2 Adjusted for operating leases. 3 Adjusted f...

AI summary In 2021, NSPI maintained key credit metrics aligned with its A (low) rating. Cash flow-to-debt ratios improved slightly due to stronger cash flows, but the company faced a net free cash flow deficit from its capital expenditures, which were funded by commercial paper. NSPI managed its dividend payout to remain within its regulatory capital structure of $80 million.

2022 Summary/Outlook - DBRS Morningstar expects NSPI's key credit metrics to weaken in the near term because base rate increases are capped at 1.8% over 2022 to 2024. - The Company has forecast capex to be at around $525 million for 2022....

AI summary DBRS Morningstar anticipates NSPI's credit metrics will weaken due to capped base rate increases. NSPI has reduced capex to focus on reliability and safety, forecasting around $350 million in 2022. A dispute with the CRA over tax deductions for 2006-2010 could affect operating cash flow. Emera is expected to support NSPI with dividends and equity injections.

2023 Summary/Outlook - EBITDA and EBIT both increased for LTM 2023 because of a base-rate increase of 1.8% effective February 2, 2023, partly offset by higher operating costs and depreciation. - Reported net income includes a $10 million p...

AI summary In 2023, EBITDA and EBIT increased for LTM 2023 due to a 1.8% base-rate increase effective February 2, 2023, although this was partially offset by higher operating costs and depreciation. NSPI expects ROE to be weaker than the allowed 9.0%, and Morningstar DBRS anticipates no significant improvement in financial performance until the next GRA filing.

2022 Summary - NSPI's key credit metrics weakened as expected in 2022 as base-rate increases were capped at 1.8% over 2022 to 2024, and the timing of the dividend payment. - Overall, the Company's key credit metrics are now supportive of t...

AI summary In 2022, NSPI's credit metrics weakened due to capped base-rate increases and dividend timing, though they remain supportive of a BBB rating. Cash flow from operations declined due to lower net income, and the company maintained its dividend within regulatory limits. Gross capex rose to $540 million for reliability and customer growth, funded through CP issuances and credit facilities.

Appendix 2—Regulation - NSPI operates under the NSUARB's regulatory environment using a COS methodology that allows the Company to recover all prudently estimated operating expenses and earn a reasonable return on approved capital investme...

AI summary NSPI operates under the NSUARB's regulatory framework with a target ROE range of 8.75% to 9.25%. In 2022, the Province amended the Public Utilities Act to cap base-rate increases and ROE. NSUARB approved a negotiated settlement for the GRA in 2023, including rate increases and a Storm Rider. NSPI also manages the FAM and submitted a 2024 ACE plan for approval.

NON-CONFIDENTIAL - 1 extreme weather. While NS Power endeavours to provide the most accurate forecast possible, - 2 variances to the GRA forecast are expected. NS Power customers are protected from NS Power - 3 recovering costs through rev...

AI summary NS Power acknowledges that extreme weather may cause variances in its GRA forecast, but customers are protected from cost recovery beyond operating costs due to the legislated cap on return on equity.

1 ($ Thousands) Total Included in Revenue Requirement Non-regulated Expense Interest on Accrued Benefits 2,122 2,094 28 Expected Return on Assets - (2) 2 Straight Line Amortization of: - Past Service Costs - - - - Actuarial Losses / (Gains...

AI summary The document presents a financial table detailing interest on accrued benefits, expected return on assets, and straight line amortization of past service costs and actuarial losses/gains. It also includes settlements and curtailments, with figures categorized into total, included in revenue requirement, and non-regulated expense.

2026-2027 General Rate Application (M12451) NSPI Responses to GT Information Requests 1 Request IR-49: 2 3 Reference: N-6 - 2026-2027 GRA Direct Evidence Appendix 7C Page 51-52 of 58 4 5 Per N-6, (Appendix 7C), page 51-52 of 58, we underst...

AI summary The response to IR-49 discusses a $2 million reduction in 'customer service' costs due to a settlement agreement, referencing GT IR-47 for further details. The reduction is part of a larger $9 million OM&G reduction allocated by NS Power in the settlement with customer representatives.

20 2024 Compliance Revenue 1,680,651,235 NBD Percent 0.320 Net Bad Debt 5,378,084 10% AMI Reduction (537,808) Final Net Bad Debt 4,840,276 NBD as Percentage of Sales 0.288 21

AI summary The table provides compliance data for 2024, including revenue, Net Bad Debt (NBD) percentage, and final net bad debt after a 10% AMI reduction. The NBD as a percentage of sales is reported at 0.288.

CONFIDENTIAL (Attachment Only) 1 Request IR-84: 2 3 Reference: N-3 Page 54. 4 5 As noted in section 9.2.4 (Page 54), Long term income tax receivable. 6 7 (a) Please provide particulars, by year, of the income tax receivable and interest. F...

AI summary The document outlines a request (IR-84) regarding long-term income tax receivable, including details on its funding, and references to NSPI's Notice of Appeal and related submissions to the Tax Court of Canada. It also asks about the anticipated resolution of the dispute and how any refund would be treated.

SUMMARY OF CURVE FITTING RESULTS - PCT SURV BALANCED AREAS PLACEMENT BAND 1957-2023 005 EXPERIENCE BAND 2020-2023 SURVIVOR CURVE RESID RANGE OF MEAS FIT SURVIVOR CURVE RESID MEAS RANGE OF FIT 51.6-S0 49.5-S0.5 47.9-S1 46.8-S1.5 3.65 0 - 58...

AI summary The summary presents curve fitting results for survivor curves across different placement and experience bands from 1957 to 2023. The data includes residuals, measurement ranges, and fit values, with a note that the segment between 85.0 and 15.0 percent surviving is highlighted.

ORIGINAL LIFE TABLE, CONT. AVG AGE RET 29.0 002 EXPERIENCE ANALYSIS PLACEMENT BAND 1929-2023 EXPERIENCE BAND 1990-2023 AGE AT EXPOSURES AT RETIREMENTS PCT SURV BEGIN OF BEGINNING OF DURING AGE RETMT SURV BEGIN OF INTERVAL AGE INTERVAL INTE...

AI summary The document presents a life table with average age at retirement, exposure data, and retirement rates across various age intervals from 1929 to 2023. This data is used for experience analysis and includes survival percentages and retirement ratios for each interval.

The Parties HEREBY AGREE: - 1. This agreement is a "black box settlement" designed to achieve an overall result. The Parties have agreed to this settlement on the basis that it is made without prejudice to the right of any of the Parties t...

AI summary The Parties have entered into a 'black box settlement' regarding depreciation rates for NSPI, with agreed rates to be used in the next general rate application. The settlement does not preclude future arguments at depreciation hearings. NSPI will conduct a study on hydro assets to assess decommissioning and future investment opportunities.

- 3. NSPI is entitled to full recovery of and a return on the prudently incurred investment in its regulated assets regardless of the depreciation methodology employed from time to time. - 4. In lieu of pursuing recovery of the future deco...

AI summary NSPI asserts its right to recover costs and earn a return on prudently incurred investments in regulated assets, regardless of depreciation methods. Instead of pursuing recovery of future decommissioning costs for hydro assets, NSPI will conduct a study to assess retirement, repowering, and optimization opportunities for hydro assets.

8 Human Resources Human resource management, as it pertains to Asset Management practice, can be divided into several separate areas. - Asset Management System Function: As noted above, NS Power's Asset Management Pyramid considers roles r...

AI summary The section discusses human resource management within Asset Management at NS Power, covering areas such as the Asset Management System, capital project execution, operations and maintenance resourcing, and competency management. It highlights the importance of balancing resource constraints with risk management and the use of internal and external resources to meet operational and regulatory requirements.

- 2 the associated test period is an appropriate method to include these costs in revenue requirement. - 3 While this methodology is also subject to forecast variance, forecasting the required GRA - 4 amortization during preparation of the...

AI summary The text discusses the appropriateness of including certain costs in the revenue requirement through an associated test period, noting that forecasting GRA amortization during the test period budget is likely to have lower variance compared to forecasting subsequent GRA charges.

- 6 which may be years away, when preparing the GRA budget for the upcoming test period. 1 Request IR-38: 2 3 Regarding the Deferred Decarbonization Asset (DDA), NS Power states that it plans to 4 securitize the net book value of all asset...

AI summary The document discusses NS Power's plan to securitize the net book value of Deferred Decarbonization Assets (DDA) by December 31, 2025, and the impact on depreciation and revenue requirements. It also outlines the expected timing of the securitization and the anticipated decrease in revenue requirement by approximately $70 million annually.

- 2 be collected through a rider. The revenue requirement of the rider will depend primarily on the - 3 interest rate, repayment term, and repayment structure of securitized debt. - 4 This net savings could be as much as approximately $90...

AI summary The text discusses a potential revenue requirement reduction of up to $90 million over a two-year period through securitization of thermal assets, assuming interest-only repayments at a 4% interest rate. This would reduce the revenue requirement from $140 million to $50 million under the current setup.

NON-CONFIDENTIAL 1 2,356.715 kW in the 2023 COSS (Exh 9b, cell C22) to 2,595,216 kW in the 2026 COSS 2 (Exh 9b, cell C22). 3 4 The Company has not changed the methodology used for the DCA calculations. 5 6 Please refer to CA IR-1 for 7 • t...

AI summary The document discusses the Company's proposal to revise the DCA in the Compliance Filing, aligning with the updated 2026-2027 GRA SR-01 and OR-01 attachments, following the Board's decision on the GRA. The methodology for DCA calculations has not changed.

CONFIDENTIAL (Attachment only) 1 Request IR-1: 2 3 References: PARTIALLY CONFIDENTIAL 2026-2027 GRA CS-01-CS-03 Attachment 1 4 5 Question: 6 7 (a) Please provide all source information, formulas and (if necessary) models used to 8 calculat...

AI summary The document contains a response to an information request regarding the calculation of financial results and ratios for the 2026-2027 General Rate Application. It references various attachments and filings, including the Regulated Rate Base, Net Income attributable to Common Shareholders, and Average Regulated Equity. The response also includes an alternate version of the attachment assuming the securitization of DDA assets does not proceed.

2026-2027 General Rate Application (M12451) NSPI Responses to MPA Information Requests 1 Request IR-5: securitization. NS Power's view is that providing the annual average year-end ratio is not 26 27 relevant, as it is highly dependent on...

AI summary NS Power argues that providing the annual average year-end ratio is not relevant due to timing factors. The company expects continued access to a revolving credit facility and will issue long-term debt as needed. The success of the rate application and securitization of thermal assets is critical to maintaining credit ratings and avoiding negative financial implications.

CONFIDENTIAL (Attachment Only) 1 Request IR-2: 2 3 Please file the regulated and unregulated financial statements of NS Power for the year ended 4 December 31, 2024. 5 6 Response IR-2: 7 8 Please refer to Partially Confidential Attachment...

AI summary The document requests the filing of NS Power's regulated and unregulated financial statements for the year ended December 31, 2024. NS Power refers to Partially Confidential Attachment 1 for the Regulated Financial Statement, Attachment 2 for the Consolidated Financial Statement, and Attachment 3 for the Management Discussion and Analysis.

Regulated electric revenue: Electric revenues, including energy charges, demand charges, basic facilities charges and clauses and riders, are recognized when obligations under the terms of a contract are satisfied, which is when electricit...

AI summary Electric revenues are recognized when electricity is delivered to customers, based on approved rates and metered usage. Unbilled revenue is estimated periodically, considering factors like energy demand, weather, and customer class changes.

Income Taxes and Investment Tax Credits NSPI recognizes deferred income tax assets and liabilities for the future tax consequences of events that have been included in the consolidated financial statements or income tax returns. Deferred i...

AI summary NSPI recognizes deferred income tax assets and liabilities based on enacted tax rates and reviews the likelihood of recovery. Investment tax credits are recorded as a reduction to income tax expense when realization is probable. NSPI collects income taxes from customers, except for deferred income taxes on certain regulatory balances, and classifies interest and penalties related to unrecognized tax benefits in specific expense categories.

Maritime Link: The Maritime Link is a $1.8 billion (including AFUDC) transmission project, including two 170-kilometre sub-sea cables, connecting the island of Newfoundland and Nova Scotia. The Maritime Link entered service on January 15,...

AI summary The Maritime Link is a $1.8 billion transmission project connecting Newfoundland and Nova Scotia, which became operational in 2018. NSPML received UARB approval in November 2024 to recover up to $197 million from NSPI in 2025, including a $158 million annual cost assessment and a $39 million supplemental assessment for federal loan guarantee repayment.

Credit Risk The Company is exposed to credit risk with respect to amounts receivable from customers and derivative assets. Credit risk is the potential loss from a counterparty's non-performance under an agreement. The Company manages cred...

AI summary The Company manages credit risk by assessing counterparty performance, requiring deposits or collateral, and using agreements such as ISDA and NAESB to mitigate exposure. As of December 31, 2024, the maximum credit risk exposure was $448 million, with $56 million in past-due financial assets and an allowance for credit losses of $2 million.

The Company's concentrations of risk as at December 31, consisted of the following: As at 2024 2023 millions of % of total millions of % of total dollars exposure dollars exposure Receivables, net Residential $ 206 45% $ 183 42% Commercial...

AI summary The document outlines the Company's concentrations of risk as of December 31, focusing on receivables and derivative instruments. Residential and commercial receivables are the largest components, while cash collateral and credit ratings are also highlighted as significant risk factors.

For the years ended December 31 the aggregate financial position for all pension plans where the PBO or, for post-retirement benefit plans, the APBO, exceeds the plan assets is as follows: millions of dollars 2024 2023 Plans with PBO/APBO...

AI summary The text provides a summary of the financial position of pension plans where the Projected Benefit Obligation (PBO) or Accumulated Benefit Obligation (ABO) exceeds plan assets for the years ended December 31, 2024 and 2023. It outlines the amounts of PBO/APBO, fair value of plan assets, and the funded status for defined benefit pension plans and non-pension benefit plans.

The ABO for the defined benefit pension plans was $1,270 million as at December 31, 2024 (2023 – $1,260 million). The aggregate financial position for those plans with an ABO in excess of the plan assets for the years ended December 31 is...

AI summary The ABO for the defined benefit pension plans was reported as $1,270 million as of December 31, 2024, an increase from $1,260 million in 2023. The financial position of these plans, where ABO exceeds plan assets, is outlined for the years ended December 31.

NSPI's net periodic benefit cost (recovery) as at December 31 included the following: millions of dollars 2024 2023 Defined benefit Non-pension Defined benefit Non-pension Service cost $ pension plans 10 $ benefit plans 1 $ pension plans 8...

AI summary NSPI's net periodic benefit cost (recovery) as of December 31 includes service cost, interest cost, expected return on plan assets, and amortization of actuarial losses. The expected return on plan assets is calculated using a five-year smoothed market-related value of plan assets, with investment gains or losses recognized over five years.

Investments in Emera Incorporated or NSPI As at December 31, 2024 and 2023, the assets related to the pension funds do not hold any material investments in Emera or NSPI securities. However, as a significant portion of assets for the benef...

AI summary As of December 31, 2024 and 2023, pension fund assets do not hold material investments in Emera or NSPI securities. However, due to pooled assets, there may be indirect investments in these securities.

The net investment in heat pump and other equipment leases consist of the following: As at December 31 December 31 millions of dollars 2024 2023 Minimum lease payments to be received $ 39 $ 53 Less: Unearned finance lease income 7 12 Net i...

AI summary The text outlines the net investment in heat pump and other equipment leases as of December 31, 2024, and December 31, 2023, detailing minimum lease payments, unearned finance lease income, and the recognition of unearned income over the lease term. Customers may purchase the leased equipment at the end of the lease for a nominal fee.

As at December 31, 2024, future minimum lease payments to be received for each of the next five years and in aggregate thereafter are as follows: millions of dollars 2025 2026 2027 2028 2029 Thereafter Total Minimum lease payments to be re...

AI summary The text presents a table showing future minimum lease payments to be received by the company for each of the next five years and in aggregate thereafter, as of December 31, 2024. The section title 'RELATED PARTY TRANSACTIONS' suggests that the following content will discuss transactions involving related parties.

Regulatory and Political Risk NSPI is subject to complex legislative and regulatory frameworks that impact matters such as industry, business, rates and cost structures, revenue requirements, allowable ROE, capital structure, rate base and...

AI summary NSPI operates under a complex regulatory framework that affects its rates, costs, and operations. Regulatory approval is required for rate changes, and delays or disallowances could cause financial harm. Changes in government or policy could also impact regulatory stability and outcomes, potentially leading to a Material Adverse Effect.

E. Guarantees and Letters of Credit As at December 31, 2024, the Company had $104 million USD (2023 – $104 million USD) of guarantees outstanding with terms of varying lengths, all of which are issued on behalf of its subsidiary, NSPEMI. A...

AI summary As of December 31, 2024, the Company had $104 million USD in guarantees and $7 million USD and $3 million CAD in letters of credit outstanding, all issued on behalf of its subsidiary, NSPEMI.

FAM Application: On April 17, 2024, the UARB approved the sale of $117 million of the FAM regulatory asset to Invest Nova Scotia, a provincial Crown corporation. On April 30, 2024, the transaction closed and the $117 million was remitted t...

AI summary The UARB approved the sale of $117 million of the FAM regulatory asset to Invest Nova Scotia, which was completed on April 30, 2024. NSPI is now collecting amortization and financing costs from customers over 10 years and remitting the amounts to Invest Nova Scotia quarterly.

Defeasance Upon privatization of the former provincially owned Nova Scotia Power Corporation ("NSPC") in 1992, NSPI was appointed to manage and administer a portfolio of defeasance securities. The securities provide principal and interest...

AI summary The text discusses the defeasance securities managed by Nova Scotia Power Inc. (NSPI) on behalf of Nova Scotia Power Finance Corporation (NSPFC) following the privatization of Nova Scotia Power Corporation in 1992. The securities, totaling $200 million as of 2024, are held in trust and used to service defeased debt, with a significant portion invested in related debt to eliminate risk.

Regulatory and Political Risk NSPI is subject to complex legislative and regulatory frameworks that cover material aspects of their businesses. These frameworks influence key factors such as rates and cost structures, revenue requirements,...

AI summary NSPI operates under a complex regulatory framework that impacts rates, cost recovery, and capital investments. Regulatory approvals are required for significant business changes, and delays or disallowances could lead to Material Adverse Effects. Changes in government or policy could also impact regulatory stability and outcomes.

Commercial Relationships Risk The Company is exposed to commercial relationships risk in respect of its reliance on certain key partners, suppliers and customers. For the year ended December 31, 2024, NSPI's five largest customers contribu...

AI summary NSPI faces commercial relationships risk due to its reliance on key partners, suppliers, and customers. Its five largest customers contributed 9% of electric revenues in 2024, and losing a major customer could significantly impact revenues and result in a Material Adverse Effect.

5 Figure 6 – Main transformer installation for Spider Lake BESS site. 7 8 As directed by the Board in its Order regarding M11539, NS Power will provide a detailed interim 9 update report to the NSUARB and stakeholders by September 30, 2025...

AI summary NS Power is required to provide an interim update report to the NSUARB and stakeholders by September 30, 2025, detailing actual project costs, external funding developments, and projected completion dates for the three BESS Project sites, as directed by the Board in its Order regarding M11539.

1 Request IR-15: 2 3 Reference: Exhibit N-3 GRA Direct Evidence, Section 2.1 Electricity Rate Impact 4 - 5 On page 16, NS Power stated that it is seeking approval for a total revenue requirement of - 6 $2.0 billion in 2026 and $2.0 billion...

AI summary The request seeks NS Power's actual regulated revenues and expenditures from 2020 to 2025, including forecasts and actuals for 2025, in relation to their revenue requirement of $2.0 billion for 2026 and 2027.

1 4 • The amounts in reference 1 represent the amounts attributable to above-the-line 5 customers (ATL) on a smoothed basis as seen in part (a). 6 • The amounts in reference 2 represent the total fuel and purchased power forecasts for 2026...

AI summary The text references different financial figures related to fuel and purchased power forecasts for 2026 and 2027, distinguishing between above-the-line (ATL) and below-the-line (BTL) customers, and mentions the inclusion of additional fuel costs for four OATT MEUs under the Municipal Tariff.

The other main driver of the increase in the under-recovery in the FAM balance is the increase in forecast FAM fuel costs for the remainder of the year, i.e. September to December 2025. This is primarily due to the forecast used in develop...

AI summary The increase in under-recovery in the FAM balance is driven by higher forecasted fuel costs for the remainder of 2025, as the forecast used in monthly FAM reports did not account for the SO2 emissions CoV cost savings, unlike the GRA filing forecast completed in April 2025.

2026-2027 GRA NSEB IR-46 Attachment 1 has been filed electronically. 1 Request IR-47: 2 3 Reference: Exhibit N-3 GRA Direct Evidence, Section 1.5.6 NSEISO Transition, p.75, 4 Exhibit N-6 Appendix 7A 5 (a) Please provide a breakdown of the...

AI summary The document references a request for a breakdown of costs removed from NS Power's revenue requirement due to the transition of responsibilities to the Nova Scotia Independent Energy System Operator, as well as an inquiry about the likelihood of transition phases occurring on specified dates.

REDACTED 1 Request IR-51: 7 initiatives or processes to increase efficiencies and reduce costs for customers. 8 9 Response IR-54: 10 11 In addition to the numerous initiatives identified in s. 1.5.7, which will continue throughout the 12 2...

AI summary The response outlines various initiatives and processes aimed at increasing efficiencies and reducing costs for customers, including the GRA process, cost-saving efforts, and collaborations with stakeholders to achieve savings through measures like the purchase of receivables and adjustments to sulphur emission regulations.

CONFIDENTIAL (Attachment Only) relatively disproportionate output. Perhaps most importantly, the role they play within Nova Scotia's social, economic, environmental, and political framework is what truly makes them unique and why any decis...

AI summary NS Power argues that decommissioning costs for certain assets should not be included in customer rates at this time, as there is insufficient clarity on the likelihood and extent of decommissioning. They propose a measured approach to mitigate rate pressure while initiating a broader discussion involving all stakeholders.

2026-2027 GRA NSEB IR-85 Confidential Attachment 1 has been removed due to confidentiality. 1 Request IR-86: 24 (vii) 370.10 – Distribution Plant, Meters – AMI 25 26 (viii) 373.00 – Distribution Plant, Street Lighting and Signal Systems 27...

AI summary The document discusses the response to a request regarding depreciation and accretion expense reductions in 2026 and 2027 due to a settlement agreement. The reductions are attributed to changes in depreciation rates, including the removal of hydro reconnaissance costs, contingency costs from decommissioning estimates, and inflation adjustments.

REDACTED 1 Request IR-96: 2 3 Reference: Exhibit N-3 GRA Direct Evidence, 9.3 Maritime Link Capital Applications 4 5 On page 60, NS Power addresses the Board's directive from the 2023-2024 GRA Decision 6 regarding inclusion of four Maritim...

AI summary The document discusses a request for detailed breakdowns of benefits and costs related to the Maritime Link transmission projects, including depreciation, financing costs, and energy purchases. It also asks for estimated costs of energy generation without using Maritime Link energy and capital costs for the projects.

Earnings Outlook Earnings for NSPI have generally been very stable, reflecting the regulated nature of its operations. The Company has a FAM in place that allows it to recover actual fuel costs from customers through annual rate adjustment...

AI summary NSPI's earnings have been stable due to its regulated operations and a Fuel-Adjustment Mechanism (FAM) that recovers fuel costs. Earnings rose in 2023 due to a 1.8% base-rate increase, but ROE was below the approved band. Financial improvement is expected with the next General Rate Application (GRA) in 2026.

Liquidity (CAD millions as at September 30, 2024) Amount Drawn/Letter of Credit Available Expiry Cash & cash equivalents 3 - 3 N/A Committed revolving facilities 800 291 509 June 2029 Total 803 291 512 - We consider the Company's liquidity...

AI summary The document presents the company's liquidity position as of September 30, 2024, showing cash and committed revolving facilities. It states that liquidity is adequate to support operating requirements.

REDACTED 1 Request IR-124: 2 3 Reference: Exhibit N-3, 11.2 Revenue Requirement Categories 4 5 Please reproduce Figure 11-1 with additional columns to show the revenue breakdown for 6 each of 2023, 2024, and 2025. 7 8 Response IR-124: 9 10...

AI summary The response to Request IR-124 provides a revenue breakdown for 2023, 2024, and 2025, noting that NS Power earned below its allowed return on equity range in these years and expects to continue doing so in 2025. The equity ratio was also below the approved 40 percent, affecting the return on equity element of the revenue requirement.

NON-CONFIDENTIAL Category ($ Million) 2023 2024 2025 2026 2027 Fuel & Purchased Power $777.0 $509.2 $918.6 $918.4 OM&G 326.0 328.5 351.8 357.9 Demand Side Management 50.0 57.5 63.8 63.8 Expense Depreciation and Accretion 265.4 275.8 282.4...

AI summary The text presents a table outlining financial categories and their values for various years, including Fuel & Purchased Power, OM&G, Demand Side Management, and others. It references a request for information regarding employee transfers from NS Power to the NSIESO and mentions specific exhibits and applications related to the revenue requirement.

1 2027 COSS Change on Total Allocated Costs in $ Million Revenue to Expense Ratio 2 development of the PHP ATL Tariff to be filed with the Board by the end of 2025. 3 4 The Company has proposed a deferral mechanism "PHP Deferral" for, amon...

AI summary The document discusses the development of the PHP ATL Tariff to be filed with the Board by the end of 2025 and the proposed 'PHP Deferral' mechanism for revenue variances between the assumed and approved tariffs. The request asks for clarification on the assumptions and how revenue variances would be isolated.

6 charge would be recovered through an increase in the energy charge. Request IR-134: Reference: Exhibit N-3 GRA Direct Evidence, Section 13 Rate Design On page 81, NS Power stated: If the customer charges were to be set directly based on...

AI summary The document discusses the increase in customer charges, attributing a 50% rise in 2026 to the settlement agreement setting the charge at 75% of the proposed increase from the 2023/2024 GRA Application, along with higher investments in smart grid enhancements and AMI. A single-digit increase in 2027 is expected due to continued cost factors.

Request IR-138: Reference: OATT Updates SR-01 Attachment 1e On page 42 of 42, NS Power stated: … NS Power conducted an analysis of historical day-ahead dispatch plans for the years 2021 to 2023. On average, the Combustion Turbines (CTs) we...

AI summary NS Power adjusted the cost allocation for 30-Minute Supplemental Reserve in the GRA application based on historical data showing Combustion Turbines (CTs) fulfilled 35% of the requirement. A question was raised regarding the dollar impact of this adjustment.

(a) Please refer to the following figure; only OATT Schedules 5 and 6 are impacted by this change. OATT Revenue (as proposed in 2026-2027 GRA) OATT Revenue (fully cost based) Dollar Impact 24 the-line rate class. The Domestic class share i...

AI summary The document discusses changes in the classification of generation and transmission costs under the proposed Cost of Service Study (COSS) methodology, which shifts more costs to demand classification, affecting the responsibility distribution among rate classes. This impacts OATT Schedules 5 and 6, altering the Domestic class share and reducing the shares of Large Industrial and Large General rate classes in the 3CP metric.

(c) Please see the table below. Prior to 2023, NS Power did not include separate amounts for Level 1 & 2 and Level 3 & 4 storm restoration expense in revenue requirement. Total Storm OM&G in Level 1 & 2 Level 3 & 4 Revenue Year ($ million)...

AI summary Prior to 2023, NS Power did not include separate amounts for Level 1 & 2 and Level 3 & 4 storm restoration expenses in revenue requirement. The table shows the total storm OM&G in revenue requirement from 2020 to 2027, with changes starting in 2023. NS Power is not proposing changes to the DSM rider amounts for 2026 or 2027 but is proposing changes to how the Balance Adjustment (BA) is calculated.

NON-CONFIDENTIAL The consensus GRA change to the DCRR framework: - Aligns the Rider cost recovery processes resulting in a more transparent and complete Rider framework; [2](#page-171-0) - Extends the recovery/refund period for end-of-Term...

AI summary The GRA change to the DCRR framework aims to improve transparency and reduce volatility in rate impacts by extending the recovery/refund period for end-of-Term variances. The 2027 DSM expense is set at $63.8 million based on the legislated 2026 amount. NS Power is involved in DSM Plan development through the DSM Advisory Group.

M12273 – NS Power, Cybersecurity Incident Monthly Update 2, page 3. October 1, 2025. 1 associated expenditures in its revenue requirement. As provided in part (c), NS Power's 2 they are imposing on the system associated with their chosen m...

AI summary The document discusses the inclusion of expenditures related to AMI project costs in NS Power's revenue requirement, arguing that isolating certain costs as 'not directly required' is flawed. Reference is made to NS Power's response in NSEB IR 145.

NON-CONFIDENTIAL 1 Request IR-1: 9 Question: 10 11 Please confirm that, should PHP elect to take service under an Above-the-Line Rate in 2026 12 and/or 2027, PHP will not be allocated any DSM costs as part of NS Power's DSM Rider 13 applic...

AI summary The document includes a request and response related to the allocation of DSM costs under an Above-the-Line Rate for PHP in 2026 and 2027, and a request for confirmation regarding energy requirements and revenue for the Large Industrial and PHP classes in 2026.

2026-2027 GRA Synapse IR-4 Attachment 1 Page 4 of 24 REDACTED (CONFIDENTIAL INFORMATION REMOVED) - 4 - following four primary areas relating to Cost of Service Methodology to be addressed during the generic hearing: - 1. Methods of attribu...

AI summary The document outlines four primary areas of Cost of Service Methodology to be addressed during a generic hearing, including cost attribution, cost-relating methods, seasonal cost allocation, and customer class cost allocation. The Company proposed using the Equivalent Peaker method, unbundling transmission costs, modifying the Cost of Service Study presentation, and allocating fuel costs monthly.

generation plant would have to be converted to current cost levels. Since NSPI is not required to revalue its assets each year, it is the opinion of the Board that the equivalent peaker method is not 2026-2027 GRA Synapse IR-4 Attachment 1...

AI summary The Board evaluates methods for determining cost of service for generation and transmission assets. It rejects the equivalent peaker method for asset revaluation and supports classifying fixed costs based on annual system load factor. Transmission line rate-base assets are not separated from generation, and the Board requests NSPI to provide long run marginal costs for future rate hearings.

Seasonality The Board is of the opinion that seasonal cost variations must be defined within the context of the approved cost of service methodology. 2026-2027 GRA Synapse IR-4 Attachment 1 Page 23 of 24 REDACTED (CONFIDENTIAL INFORMATION...

AI summary The Board emphasizes the need to define seasonal cost variations within the approved cost of service methodology. It outlines how fixed costs should be classified based on energy and demand factors, and directs the use of a '3 Coincident Peak' method for allocating fixed costs. The Board also requests detailed information on long run marginal costs and load factors in future studies.

2026-2027 General Rate Application (M12451) NSPI Responses to Synapse Information Requests 1 Request IR-10: 2 3 Refer to GRA Direct Evidence p.81. Identify the tab and cells in the Company's COSS(s) 4 indicating that if "customer charges w...

AI summary The document details NSPI's responses to Synapse's information requests regarding the 2026-2027 General Rate Application. It references specific exhibits and pages in the COSS to locate information on customer charges, energy rates, and revenue requirements. The requests include explanations on rate structures and how revenue is determined between energy and demand charges.

NON-CONFIDENTIAL 1 Request IR-1: 2 3 (a) Where NS Power has not included forecasted recovery of securitization costs in its 4 revenue requirement and base rates, is it correct that NS Power plans to recover these 5 costs through a rider? I...

AI summary NS Power plans to recover securitization costs through a rider rather than in base rates, citing requirements from credit rating agencies and bondholders. The response acknowledges that factors such as recovery term, financing rate, and timing of debt issuance will influence the rate impact, which is requested by customer class.

MODELING APPROACH Capacity expansion and production cost optimization modeling developed least-cost portfolios for each scenario. The scenarios are compliant with current legislation, including the 2030 environmental policy targets of coal...

AI summary The modeling approach outlines scenarios for capacity expansion and production cost optimization, aligning with 2030 environmental policy targets and net zero goals. Each scenario considers factors like electrification pace, resource strategy, and the Atlantic Loop, with results focusing on minimizing total system costs through Net Present Value of Revenue Requirement (NPVRR).

The Parties HEREBY AGREE: - 1. This agreement is a "black box settlement" designed to achieve an overall result. The Parties have agreed to this settlement on the basis that it is made without prejudice to the right of any of the Parties t...

AI summary The Parties have reached a 'black box settlement' regarding depreciation rates for NSPI, agreeing to specific rates for wind turbine assets and reserving rights for future hearings. NSPI will conduct a study on hydro assets to assess decommissioning and optimization opportunities, with any resulting proposals subject to UARB approval.

- 3. NSP[ is entitled to full recovery of and a return on the prudently incurred investment in its regulated assets regardless of the depreciation methodology employed from time to time. - 4. In.lieu of pursuing recovery of the future deco...

AI summary NSP is entitled to full recovery of prudently incurred investments in regulated assets regardless of depreciation methods. NSPI will conduct a study on hydro assets to assess decommissioning obligations, reinvestment, and repowering opportunities, with any resulting proposals subject to DARB approval.

- 3. NSPI is entitled to full recovery of and a return on the prudently incurred investment in its regulated assets regardless of the depreciation methodology employed from time to time. - 4. In lieu of pursuing recovery of the future deco...

AI summary NSPI is entitled to recover prudently incurred investments in regulated assets regardless of depreciation methods. Instead of recovering decommissioning costs for hydro assets as proposed, NSPI will conduct a study to assess future obligations, reinvestment, and repowering opportunities for hydro assets.

NON-CONFIDENTIAL 1 Request IR-25: 16 costs are also largely not within the control of NS Power as it must incur costs in response to issues 17 and evidence raised and the costs themselves are not just those of NS Power, but include those o...

AI summary The document discusses the challenges NS Power faces in forecasting costs related to the General Rate Application (GRA), highlighting that these costs are not fully within their control and involve other entities such as the Consumer Advocate and the Board. It also references the unpredictability of expenses for large hearings as noted in the Board's Annual Accountability Report.

- 2 the associated test period is an appropriate method to include these costs in revenue requirement. - 3 While this methodology is also subject to forecast variance, forecasting the required GRA - 4 amortization during preparation of the...

AI summary The text discusses the appropriateness of including costs in the revenue requirement through an associated test period, noting that forecasting GRA amortization during the test period budget is likely to have lower variance compared to forecasting subsequent GRA charges.

- 6 which may be years away, when preparing the GRA budget for the upcoming test period. 1 Request IR-38: 2 3 Regarding the Deferred Decarbonization Asset (DDA), NS Power states that it plans to 4 securitize the net book value of all asset...

AI summary NS Power plans to securitize the net book value of assets within the Deferred Decarbonization Asset (DDA) by December 31, 2025, which would reduce depreciation expenses by $26.6 million annually. The securitization is expected to occur in Q1 2026, pending regulatory approval and credit rating agency feedback. This will lead to a $70 million annual reduction in revenue requirements, primarily due to lower depreciation and financing costs.

- 2 be collected through a rider. The revenue requirement of the rider will depend primarily on the - 3 interest rate, repayment term, and repayment structure of securitized debt. - 4 This net savings could be as much as approximately $90...

AI summary The document discusses the potential revenue savings from securitizing unrecovered net book value of thermal assets, estimating up to $90 million in savings over a two-year period if initial repayments are interest-only at a 4% rate, compared to the current $140 million revenue requirement.

urn of 7.5% represents an upper bound for the cost of equity to regulated utilities (before adding 0.50% for flotation costs), since they are less risky than the average company in the market. Figure 11 shows that the world market MRP, as...

AI summary The text discusses the estimation of the market risk premium (MRP) and expected market returns, highlighting that the 7.5% cost of equity for regulated utilities is an upper bound. It compares historical MRP figures for Canada, the U.S., and globally, noting that Canadian figures are slightly lower than U.S. figures. The analysis is supported by a Globe and Mail article discussing the performance of the iShare S&P/TSX 60 Index ETF (XIU).

reater risk than Canadian utilities, while Appendix C of my evidence shows that U.S. utilities have higher betas, despite the fact they have higher equity ratios (and lower financial risk) on average. The top portion of Table 8 provides bo...

AI summary The text discusses estimating beta for Canadian utilities, noting variations in beta estimates over time and comparing them to U.S. utilities. It provides beta estimates as of December 31, 2024, and references prior estimates from 2022 and 2023. The analysis highlights the volatility of beta estimates and their implications for cost-of-capital parameters.

Discounted Cash Flow (DCF) Growth Estimates During every proceeding that I have been involved in, utilities' experts have relied upon analyst growth estimates despite the well-known concerns about the overly optimistic nature of such forec...

AI summary The text critiques the use of analyst growth estimates in DCF models, highlighting their tendency to be overly optimistic due to the influence of sell-side analysts. It references the Alberta GCOC 2018 decision to emphasize that such estimates often exceed realistic economic growth rates for mature utilities.

1.1 Purpose and scope - Doane Grant Thornton LLP ("we", "us", "our", or "Doane Grant Thornton") has been engaged by the Nova Scotia - Energy Board (the "Board" or "NSEB") for the review of Nova Scotia Power Incorporated ("NS Power", "NSPI"...

AI summary Doane Grant Thornton LLP was engaged by the Nova Scotia Energy Board to review Nova Scotia Power Incorporated's 2026-2027 General Rate Application. The review includes components such as revenue requirement, operating costs, amortization, tax expenses, interest, and rate base, excluding certain items like fuel and demand side management.

4 Figure 1 – Summary of findings, observations and conclusions # Report section Findings, observations, and conclusions 2. Revenue requirement We have addressed the major components of revenue requirement detailed above with the exception...

AI summary The report summarizes findings related to revenue requirement, noting that major components have been addressed except for fuel and purchased power, FAM cost deferral, DSM expense, depreciation and accretion, and return on equity, which are outside the scope of the review.

2.1 Scope - Revenue requirement reflects the amount of revenue NS Power must collect in a test year in order to cover the costs - of providing service to its customers, inclusive of a fair return for NS Power's shareholders. Revenue requir...

AI summary The scope of the report outlines the revenue requirement for NS Power, which includes various cost categories such as fuel and purchased power, operating expenses, DSM costs, depreciation, regulatory amortization, taxes, interest, and return on equity. However, the report does not address the reasonableness of fuel and purchased power, FAM expense, or return on equity components.

2.2 Procedures - Our procedures with respect to NS Power's revenue requirement calculations were focused on the assessment of the - reasonableness and accuracy of the calculation, the reasonableness of the underlying assumptions including...

AI summary The procedures focused on assessing the reasonableness and accuracy of NS Power's revenue requirement calculations, including recalculations and reviews of forecast methodologies and internal consistency of financial schedules from the September 2025 filing.

2.3 Analysis - Based on the evidence included in the Company's Application, NS Power has indicated that its revenue requirement - for 2026F is $1.98 billion and $2.04 billion for 2027F. These requirements are based on the proposals that th...

AI summary The document outlines NS Power's revenue requirements for 2026 and 2027, which are set at $1.98 billion and $2.04 billion respectively, based on the company's proposals. The figures are presented in a table referenced in the document.

- 3 Figure 2 Breakdown of Forecast Revenue Requirement by Category ($ millions) 2026F 2027F Notes Fuel & purchased power 918.6 918.4 [1] FAM fuel cost deferral 8.9 (10.7) [1] OM&G 351.8 357.9 Demand side management expense 63.8 63.8 [1] De...

AI summary The document presents a forecast revenue requirement breakdown for 2026 and 2027, highlighting categories such as fuel and purchased power, FAM fuel cost deferral, OM&G, and return on equity. It notes that certain items are outside the scope of the analysis, including fuel and purchased power, FAM fuel cost deferral, DSM expense, and return on equity.

7 2.4 Conclusion 4 8 Our specific comments on matters included in our scope of work related to revenue requirement are outlined 9 in the various individual sections of this report. 2 N-3 – M12451: 2026-2027 General Rate Application, Septem...

AI summary The conclusion section refers to specific comments on revenue requirement matters and cites a general rate application (M12451) from September 18, 2025, page 74.

18 20 Pension expense figures were provided by NS Power's actuary, Telus Health (formerly Lifeworks). Per a letter from 21 Telus Health, we confirmed that current service cost, including both payroll matching DC and defined benefit DB 22 p...

AI summary The document provides pension expense figures for NS Power, including allocations to labour and pension expenses for 2026F and 2027F. The decrease in pension expense from 2024C to 2027F is attributed to changes in the discount rates used for actuarial estimates of benefit costs.

3 5.1 Scope - 4 Taxes include corporate income tax expense and grants in lieu of property taxes. Included in revenue requirement 5 are the following amounts related to tax expense:

AI summary The scope section outlines that taxes include corporate income tax expenses and grants in lieu of property taxes, with specific amounts related to tax expenses included in the revenue requirement.

23 5.3.2 Income tax expense 24 As detailed in the following table, the Company's total corporate income tax expense increases over the period such 25 that a recovery of $20.7 million is forecasted for 2026 with an income tax expense of $4....

AI summary The document discusses the forecasted increase in the Company's corporate income tax expense, with a recovery of $20.7 million expected in 2026 and an income tax expense of $4.6 million forecasted for 2027. Two footnotes reference the 2026-2027 GRA FO-01 and FO-08 documents.

5.4 Conclusion We have reviewed taxes including income taxes and grants in lieu of property taxes included in NS Power's 2024 Actuals and 2025 Budget, as well as 2024C, 2026 Forecast, and 2027 Forecast. Our procedures included recalculatin...

AI summary The review of NS Power's tax forecasts for 2026 and 2027 indicates that the amounts are reasonable, with grants in lieu of property taxes being the primary driver. Income taxes are expected to offset a portion of these grants.

2 7.1 Scope - 3 Rate base represents the investment made by NS Power in assets required to provide service to customers. Included - 4 in rate base are physical assets such as power plants, wind turbines, power lines, vehicles, buildings an...

AI summary The rate base includes physical and financial assets invested by NS Power to provide service to customers, and it is a core component in determining the company's revenue requirement as it reflects financing costs related to its investments.

NS Power GRA, page 41, lines 9 to 13. 1 ALG procedure to a large reserve surplus. For clarity, the reserve deficiency for these 2 assets does not go away. It must still be addressed by future customers through 3 securitization, the context...

AI summary The text discusses the need to address reserve surpluses and deficiencies in NS Power's GRA, emphasizing the importance of an updated depreciation study. It highlights that reserve deficiencies will persist and must be addressed through securitization. The Board is recommended to direct NS Power to file updated balances and consider alternative means of recovering surplus in the future.

Q: What is NS Power's current proposal in this case? A: NS Power outlined its proposal regarding securitization at pages 52 and 53 of its GRA, as follows: The increase in NS Power's average capital assets due to capital investment is parti...

AI summary NS Power proposes to securitize approximately $700 million of DDA assets by December 2025, contingent on regulatory approval and credit rating agency processes. If securitization is delayed, NS Power requests deferral of depreciation and financing costs. Otherwise, the assets will be included in the rate base and revenue requirement to recover prudently incurred costs.

Q: Do you recommend approval of NS Power's proposed securitization? A: Yes, in principle I have no issues with the proposal to securitize the costs in question for the reasons stated earlier. However, I am unable to review the results of t...

AI summary The respondent supports the principle of approving NS Power's securitization proposal but recommends a full review of the final transaction details. They oppose deferring depreciation and financing costs at WACC if the securitization is delayed, emphasizing the need for timely completion to ensure rate certainty for customers. They also recommend the Board assess the reasons for delays as a condition of approval.

Accounting, Finance, Tax and Regulatory Consultant January 2016 – Present Emrydia Consulting Corporation (owner) - Preparation of evidence and expert testimony both written and oral on a variety of areas, including cost-of-service, revenue...

AI summary The document outlines the professional experience of an accounting, finance, tax, and regulatory consultant with Emrydia Consulting Corporation since 2016. The individual has prepared evidence, expert testimony, and conducted studies on topics such as cost-of-service, revenue requirement, depreciation, and cost of capital.

Regulatory Specialist (Consultant) November 2012 – July 2015 AltaLink L.P. - Drafted or coordinated the drafting of AltaLink's 2012/2013 Deferral Account Application and 2015/2016 GTA, including responses to information requests, updates t...

AI summary The individual served as a Regulatory Specialist for AltaLink L.P. from 2012 to 2015, drafting and coordinating various regulatory applications, assisting in proceedings, and improving internal processes related to reporting and cost management.

LIST OF MAJOR REGULATORY PROCEEDINGS BY REGULATOR ((Includes proceedings where testimony was filed, material submissions were prepared, or where testimony is expected to be filed) - 1. New York State Public Service Commission - a. New York...

AI summary The text lists major regulatory proceedings in New York, Mississippi, and North Carolina, focusing on rate applications, cost-of-service studies, and merger assessments. These proceedings involve various utility companies and address issues such as revenue requirements, infrastructure, cost-of-capital, and rate design.

4. Public Service Commission of South Carolina a. Kiawah Island Utility Company – Application for Authority to Adjust and Increase Its Retail Electric Rate Schedules, Tariffs, and Terms and Conditions – Docket No. 2025-343-WS – Cost of ser...

AI summary The Public Service Commission of South Carolina is handling an application by Kiawah Island Utility Company to adjust and increase its retail electric rate schedules, tariffs, and terms and conditions. The proceeding involves cost of service, revenue allocation, rate design, and shared services.

5. Public Utilities Commission of Ohio - a. Aqua Ohio Wastewater, Inc. and Aqua Ohio, Inc. ("Aqua" or "Utility") Application for Approval of Distribution Water and Wastewater rates - 25-0593- ST-AIR and 25-0594-WW-AIR – Revenue requirement...

AI summary The document outlines several regulatory proceedings involving Aqua Ohio Wastewater, Inc., Ohio Power Company, First Energy Ohio, and Dominion Energy Ohio, focusing on rate approvals, revenue requirements, and cost-of-service matters.

7. Nova Scotia Energy Board - a. Nova Scotia Power 2026 General Rate Application Depreciation and revenue requirement matters. - 8. Maryland Public Service Commission - a. Potomac Electric Power Company 2025 Rate Case Docket No. 9820 Reven...

AI summary The document lists various regulatory proceedings across Nova Scotia, Maryland, and New Brunswick, focusing on rate applications, revenue requirements, depreciation, cost-of-capital, and deferral account matters. These proceedings involve multiple utility companies and regulatory bodies.

11. Manitoba Public Utilities Board a. Manitoba Hydro – 2023-2025 General Rate Application – Revenue requirement, depreciation, information technology, and cost-of-service matters. Tel: 403-869-9294 / 725-500-0255 / E-mail: [dustin@emrydia...

AI summary This section outlines a general rate application by Manitoba Hydro for the period 2023-2025, covering revenue requirement, depreciation, information technology, and cost-of-service matters.

12. Northwest Territories Public Utilities Board - a. Naka Power (NWT) Ltd. 2025 General Rate Application Revenue requirement, cost-of-capital, depreciation, and cost-of-service. - b. Northwest Territories Power Corporation 2024-26 General...

AI summary The Northwest Territories Public Utilities Board is handling multiple rate applications and related matters from various utility companies, including revenue requirements, cost-of-capital, depreciation, and cost-of-service issues.

13. Alberta Utilities Commission - a. ATCO Electric Ltd. 2026-2027 General Tariff Application Proceeding 30323 – Revenue requirement, depreciation, income tax, and related matters. - b. ATCO Electric and ATCO Gas Review and Variance Applic...

AI summary This section lists multiple regulatory proceedings handled by the Alberta Utilities Commission, covering topics such as revenue requirements, depreciation, income tax, alternative rate plans, and cost-of-capital. These proceedings involve various utilities and regulatory matters related to tariff applications and cost recovery.

Q. Please describe the fuel cost-related rate increases sought by NSPI in the current 2 Application. 1 NSPI is proposing average annual smoothed fuel rate increases for the total of FAM 3 classes of 2.3% in 2026 and -1.7% in 2027. These in...

AI summary NSPI is seeking fuel cost-related rate increases of 2.3% in 2026 and -1.7% in 2027, based on the BCF and AA/BA portions of its revenue requirement. These include BCF amounts of $1.8 billion over two years, with AA rider values at zero and BA rider values at $17.0 million in 2026 and $16.7 million in 2027. FLG costs will be incorporated into the BCF starting in 2026.

1 to interest and principal on the $500 million FLG are $41.5 million and $40.6 million, 2 respectively.21 As noted in the M11902 decision, the Board found: 22 3 … the Board finds that the recovery of payments relating to NSPML's approved...

AI summary The text discusses the recovery of payments related to a regulatory asset from NS Power's customers over the next 28 years, associating these payments with future service from the Maritime Link rather than historical costs. It also mentions the deferral of FAM costs and the forecasted liability at the end of 2026 and 2027.

Response to NSPI (BW) IR-10 (b). 1 weighted-average cost of capital, which is currently 6.66%.24 NSPI expects to incur 2 interest expense on the deferral of $1.0 million in 2026 and $1.3 million.25 3 Q. Does the 2026-2027 GRA Application h...

AI summary NSPI has received support from customer representatives for its 2026-2027 GRA Application, following an extensive collaborative process that led to a settlement agreement involving various customer advocates and municipal electric utilities.

"impossible." 36 Additionally, the Settlement Agreement included fuel and purchased Date Filed: December 2, 2025 Page 12 power costs. 37 "Board Letter re: Response to NSPI's letter," M12451, September 5, 2025, page 4. "Amended Hearing Orde...

AI summary The document discusses NSPI's methodology for forecasting fuel and purchased power costs for the 2026-2027 GRA period, using the PLEXOS model and publicly available commodity price forecasts. It also references a Settlement Agreement that included fuel and purchased power costs, as well as related regulatory documents and orders.

VI. Assessment of NSPI's AA and BA Adjustments - Q. What is the purpose of this section of your Evidence? - A. In this section, we review NSPI's presentation and calculation of the overall rate increases for fuel and purchased power costs...

AI summary This section discusses NSPI's AA and BA adjustments for 2026 and 2027, noting that AA amounts are zero, while BA amounts are $17.0 million and $16.7 million respectively. These figures are subject to revision and will be finalized in an upcoming filing. The Settlement Agreement supports efforts to smooth rate changes, and NSPI plans to file AA/BA calculations in Q4 2025.

Credit-related Issues Raised in the Application - Like all utilities, NSPI makes use of both debt and equity in its capital structure. Several issues were - raised relevant to debt in the Application: - A. NSPI's credit rating is currently...

AI summary NSPI argues that approval of its requested Revenue Requirements for 2026 and 2027 and average rate increases is essential to improving its credit ratings, which are currently at the low end for North American utilities. It also claims that resolving the proposed securitization of the Decarbonization Deferral Account will contribute to this improvement.

Issues Addressed in this Report - The cost of debt is an important component of Revenue Requirement, representing over 5% of the total - for both 2026 and 2027. - NSPI argued in its application that a significant driver of the cost of its...

AI summary The report discusses the importance of the cost of debt in the Revenue Requirement for NSPI, highlighting credit ratings and securitization of DDA assets as key factors. NSPI argues that its credit rating, influenced by the GRA and financial performance, affects its cost of debt, and that securitization is necessary to improve finances. The report will examine these claims and their impact on ratepayers.

4. NSPI's Requests and Associated Costs - NSPI has claimed that approval of its requests is required to prevent a credit downgrade and a - consequent increase in the utility's cost of debt. - S&P has indicated that if FFO:Debt is consisten...

AI summary NSPI has requested regulatory approval for changes in revenue requirements and rates for 2026 and 2027 to prevent a credit downgrade. A downgrade could increase the utility's cost of debt, which would be passed on to ratepayers. NSPI's proposed changes, along with a securitization transaction for the DDA, are expected to achieve FFO:Debt ratios of 12.3% and 12.8% in 2026 and 2027, respectively, potentially avoiding a downgrade.

9 7 - As can be seen, NSPI would be generating $188 million of incremental revenue if all requests were - 10 granted. If requests were not granted, then NSPI would be in danger of barely missing the 10% target for - 11 FFO:Debt in one of t...

AI summary The text discusses the potential revenue impact on NSPI if all requests are granted, highlighting that it would generate $188 million in incremental revenue. If not granted, NSPI may miss the 10% FFO:Debt target in one of two years.

Consequences of a Downgrade - NSPI has a portfolio of more than $3 billion of long-term debt outstanding. However, as mentioned - above, the interest rate on those instruments is fixed, and a downgrade would not change those. New - debt is...

AI summary A downgrade in NSPI's credit rating would significantly increase borrowing costs, potentially leading to higher annual costs for customers. NSPI is forecasting a $250 million bond issue in 2027, and a downgrade could increase the interest rate by at least 2.0%, adding approximately $5 million annually. Refinancing and other obligations could add up to $25 million or more per year, with long-term implications for ratepayers.

6. Summary Observations - Is NSPI in danger of a credit downgrade if the requested rate increases are denied? - NSPI is currently rated by S&P Global at BBB- (with a similar rating from DBRS). This is the lowest level - that is still "inve...

AI summary The document discusses concerns about Nova Scotia Power Inc. (NSPI) potentially facing a credit downgrade if requested rate increases are denied. It highlights the financial impact of such a downgrade, including higher debt costs and covenant breaches, while also questioning whether ratepayers should accept higher rates to achieve credit rating upgrades.

10 Q. Do the results of the Basic Customer COSS impact the Company's determination of 11 revenue responsibilities by rate class? A. Yes. Table 2 compares required class revenue increases based on the Company's COSS 34 12 and based on the b...

AI summary The results of the Basic Customer Cost of Service Study (COSS) impact the Company's determination of revenue responsibilities by rate class. The Company's revenue allocation methodology shows different required revenue increases for the domestic class based on the COSS versus the basic-customer COSS.

next phase of Nova Scotia's energy transformation will be complex and is made even more challenging given the current inflationary pressures and the affordability challenge facing many Nova Scotians. The cyber attack also presents a challe...

AI summary Nova Scotia's energy transformation faces challenges due to inflation and affordability issues, compounded by a recent cyber attack. Nova Scotia Power assures the Board that the GRA does not include cyber attack costs and emphasizes efforts to avoid rate increases, including financial arrangements and projects like the Maritime Link and Battery Energy Storage System.

ons, beneficial financing arrangements in relation to the Battery Energy Storage System and the NS-NB Reliability Intertie, and the proposed securitization of approximately $704 million in rate base. The process Nova Scotia Power undertook...

AI summary Nova Scotia Power submitted a General Rate Application (GRA) that includes updates to studies and outlines work to fulfill Board directives. The GRA was developed through inclusive and transparent processes involving customer representatives and resulted in a consensus application. The company argues that the proposed outcomes are in the public interest and just and reasonable.

1. Affordability: Low-Income Households require support to survive a rate hike The issue of affordability most affects low-and-modest-income households. They are the ones who face disconnection most often, and who most often must choose am...

AI summary The document highlights the affordability challenges faced by low-and-modest-income households in Nova Scotia due to rising energy costs. It references Ontario's Electricity Support Program and recommends the adoption of a similar Home Energy Affordability Program in Nova Scotia. The program includes on-bill credits, arrears management, and energy efficiency initiatives. Despite recommendations from the Energy Poverty Task Force, the government has not acted on this proposal.

[OUTAGE](https://www.nspower.ca/outages) CENTRE [WAYS](https://www.nspower.ca/ways-to-pay) TO PAY START, STOP, MOVE [SERVICE](https://www.nspower.ca/your-home/create-manage-account/start-stop-move) [CUSTOMER](https://www.nspower.ca/custome...

AI summary Nova Scotia Power has reached a settlement with customer representatives regarding an upcoming General Rate Application (GRA). The GRA includes rate increases for 2026 and 2027, supported by reliability investments. The settlement includes the continuation of a 9% Return on Equity target and a 40% maximum equity thickness. The NSEB will evaluate the GRA and determine future rates.

A. SUMMARY The Public Utilities Regulatory Authority (Authority or PURA) approves an annual revenue requirement for The United Illuminating Company (UI or Company) in the amount of $450,789,348 for the rate year November 1, 2025, through O...

AI summary The Public Utilities Regulatory Authority (PURA) approves a revenue requirement of $450,789,348 for The United Illuminating Company for the rate year 2025-2026. This includes a reduced return on equity of 9.25%, down from the 10.5% proposed by the Company. The Company may recover additional executive compensation if certain performance targets are met.

C. CONDUCT OF THE PROCEEDING On October 1, 2024, UI submitted formal notice of its intent to file an application to amend its existing rate schedule. On November 12, 2024, the Company filed the 1 The 9.10% ROE reflects a 47 basis points re...

AI summary The document outlines the procedural steps taken by the Authority in handling UI's application to amend its rate schedules, including hearings, audits, and the submission of motions and briefs. Key events include the filing of the application, revenue audits, public comment hearings, and the issuance of a proposed final decision.

E. POSITION OF THE PARTIES AND INTERVENORS The Company seeks an increase in revenues of $105.4 million. Application, p. 2. UI attributes the revenue deficiency to four categories of factors driving its request, including, alleged methodolo...

AI summary The Company is requesting a $105.4 million revenue increase, citing issues with previous rate-setting methodologies, unrecovered costs, inflationary pressures, and environmental remediation expenses. The Company later reduced its request to $63.7 million, claiming it is sufficient to maintain service quality in Connecticut.

A. SUMMARY Rate base is a fundamental concept of cost-of-service ratemaking. Rate base is the investor-supplied facilities and other investments necessary to supply a utility service to consumers in a safe, reliable, and cost-effective man...

AI summary Rate base is central to cost-of-service ratemaking, representing the capital on which a return is earned. It is determined by proving that the utility's plant is in use and serving the public and that the capital investment was prudent and reasonable. Legal precedents and statutes support this approach.

1. Summary of Approved Plant-in-Service The Authority approves plant-in-service of $2,602,275,909. The Company proposes a pro forma Test Year plant-in-service value of $2,492,361,817. [9](#page-15-3) Late Filed Ex. 1, Att. 3 ("3-GrossPlant...

AI summary The Authority approves a plant-in-service value of $2,602,275,909 but rejects $136,785,335 of the Company's requested plant-in-service due to insufficient evidence demonstrating that these projects are used and useful. The Company also proposes various plant additions and a 13-month average for its revenue requirement.

22-08-08 Decision, p. 12; Late Filed Ex. 1, Att. 2, Sch. B-1.0. 9 The ending Test Year plant-in-service balance originally requested in the Company's Application was $2,494,327,737. This amount was subsequently reduced to $2,492,095,978 in...

AI summary The text discusses discrepancies in the Test Year plant-in-service balance figures submitted by the Company, noting differences between the originally requested amount, the final updated amount, and the value referenced in the Decision. The discrepancy is attributed to the Plant Model using a different amount than the one in the revenue requirement schedules. The text also references accumulated depreciation related to the approved plant-in-service.

i. Test Year Beginning Balance Correction The ending Test Year (2023) gross plant-in-service included in the Company's Plant Model does not agree with the plant-in-service listed on Schedule B-2.0 of the Company's Revenue Requirement Model...

AI summary The ending Test Year (2023) gross plant-in-service listed in the Company's Plant Model does not match the amount on Schedule B-2.0 of the Revenue Requirement Model, with a difference of $265,839. No explanation was provided, so the discrepancy has been removed from the Plant Model.

r No. 23); Decision, June 30, 2021, Docket No. 20-07-01, PURA Implementation of Section 3 of Public Act 19-35, Renewable Energy Tariffs and Procurement Plans (20-07-01 Decision) p. 54 (Order No. 22)). With respect to the Residential Renewa...

AI summary The Authority ordered UI to recover reasonable and prudently incurred expenses related to the RRES and NRES Programs through the Rate Adjustment Mechanism. UI argues that it does not recover capital costs through RAM and contends that recovery in base rates is appropriate to avoid intergenerational inequities.

2024 for the Municipal Dashboard, as discussed in Section [IV.B.4.b.iii,](#page-19-0) above. The Authority directed UI to seek recovery of these costs through the applicable RAM proceeding, stating: The Authority directs . . . UI to submit...

AI summary The Authority directed UI to recover costs related to the implementation of a LIDR through the Revenue Adjustment Mechanisms (RAM) proceeding, requiring submission of prudently incurred costs as separate line items in annual reviews. This follows guidance from the 2022 System Planning Decision.

ii. Collections Lag The Collections Lag is a component of the Company's proposed revenue lag computation. Interrog. Resp. RSR-266, Att. 1. In the instant proceeding, the Company proposes the same collections lag of 44.27 days that it used...

AI summary The Company proposes a collections lag of 44.27 days based on 2021 data, but the Authority finds this reliance on outdated data unpersuasive. Using 2023 data, the collections lag is 41.86 days, leading to a reduction in CWC by $1,769,819.

iii. Payment Lag Similar to the Collections Lag, the payment processing lag is a component of the Company's proposed revenue lag computation. Interrog. Resp. RSR-266, Att. 1. For purposes of the Company's calculation, UI assumed a payment...

AI summary The Authority rejects the Company's proposed payment lag adjustment of $734,365 due to a lack of evidentiary support. The Company assumed a one-day payment lag without justification, and this assumption is inconsistent with the data, particularly for 'Wires/ACH' payments described as same-day.

4. Regulatory Asset/Liability Related Adjustments The Company reports deferred income tax (DIT) asset balances related to regulatory assets and liabilities of $649,895 as of October 31, 2025, and $3,561,820 as of October 31, 2026. Late Fil...

AI summary The document discusses adjustments to the Company's deferred income tax (DIT) assets related to regulatory assets and liabilities, including reductions based on exclusions from rate base and changes in reserves. The Authority reduces the proposed ADIT by a calculated percentage, allowing a final amount of $308,067 in the average rate base.

3-01-19 Decision), pp. 174–175 (Order No. 14). UI further argues that its deferral of infrastructure replacement programs and projects will create another large bubble of projects in future years. Id. Importantly, the Company has an ongoin...

AI summary The document discusses the Company's obligation to prudently invest in infrastructure and comply with regulatory decisions, while highlighting concerns about deferred projects creating future costs. It also references the need for reasonable returns on investments and the importance of ensuring that ratepayers are not unfairly burdened with future capital costs.

ii. Water Heater Rental Program As also discussed in Section [VI.A.17.j,](#page-185-0) [Water Heater Rental Program,](#page-185-0) below, in the Company's last rate case the Authority ordered UI to close participation to new customers in i...

AI summary The Water Heater Rental Program was ordered to be phased out by the Authority due to its unsustainability. The Company requested a new cost recovery mechanism for the phase-out, but the Authority declined and directed the program's phase-out to be completed by September 1, 2025.

1. Summary Allowable operating expenses must "reflect prudent and efficient management of the franchise operation." General Statutes § 16-19e(a)(5). Therefore, those expenses that are reasonable and necessary to provide service to the publ...

AI summary The document outlines the criteria for allowable operating expenses, emphasizing the need for prudence and efficiency. The Company proposed O&M expenses of $184,902,644, but the Authority approved $166,405,683 after adjustments, citing the need for expenses to be reasonable, necessary, and supported by evidence.

b. Active and Final Collections The Company proposes a $237,748 expense for the Rate Year for Active and Final Collections, which is the Company's $226,457 Test Year amount, a ($6,620) pro forma adjustment to the Test Year amount attribute...

AI summary The Company proposed a $237,748 expense for Active and Final Collections, including a $17,911 inflation adjustment. The Authority rejected the inflation adjustment as not reasonable or measurable and approved $219,837 instead, citing insufficient evidence to support the adjustment and noting that collections expenses are influenced by variables like commissions and future RFPs for legal collections.

d. Audit Expense The Company seeks to recover $1,124,867 in direct audit expenses for the Rate Year, which is the Company's $1,040,122 reported Test Year expense plus an $84,745 inflation adjustment. Late Filed Ex. 1, Att. 2 Supp., Sch. WP...

AI summary The Company seeks to recover $1,124,867 in audit expenses for the Rate Year, but the Authority allows only 50% of the direct audit expenses, excluding an $84,745 inflation adjustment. The Authority determines that shareholders should bear the remaining 50% of the audit costs, citing the interests of ratepayers and stakeholders.

unlawful or unwarranted legal outcomes that affect the Company's ability to provide safe and reliable service to customers and meet its underlying public-service obligation." Interrog. Resp. OCC-561. The Company has already litigated an ad...

AI summary The Company has already litigated an appeal of the 22-08-08 Decision, which was largely dismissed by the Superior Court, resulting in nonrecurring legal expenses that will not recur in the Rate Year.

d. Storm Reserve Lastly, the Company is not requesting any changes to its $2,000,000 storm reserve currently collected in rates to offset major storm expenses. Late Filed Ex. 1, Att. 2 Supp., Sch. WP C-3.07a; Revenue Requirements Panel Reb...

AI summary The Company is not requesting changes to its $2,000,000 storm reserve, which is used to mitigate rate shocks from major storm recovery costs. The Authority approves the continuation of the reserve, noting its effectiveness in encouraging the Utility Industry to prepare for potential storms.

11. Non-hardship Uncollectible Expense The Company proposes a total non-hardship uncollectible expense of $4,320,426 for the Rate Year, which is the Company's $3,452,950 Test Year expense, a ($109,926) pro forma adjustment, plus a $977,402...

AI summary The Company proposes a non-hardship uncollectible expense of $4,320,426 for the Rate Year, based on a seven-year average. The Authority approves $3,408,824, using a five-year average from 2020 to 2024, arguing that it better reflects current trends and excludes outdated data. The Company disputes the use of company-wide data instead of distribution-only data for the calculation.

ii. Interim Period FTEs The Authority finds that the Company's proposed 141 Interim Period FTEs are reasonable. The Company explained that its projection of 69 Interim Period FTEs in its rate application was an accurate estimate at the tim...

AI summary The Authority deems the Company's proposed 141 Interim Period FTEs reasonable but expresses concern about employee transfers between UI and service companies, fearing ratepayers may be compensating UI for temporary transfers. The Company is directed to submit regular compliance filings detailing employee transfers until the next rate amendment.

The Company proposes combined medical, dental, and vision expenses of $8,550,076 in the Rate Year. Late Filed Ex. 1, Att. 2 Supp., Sch. WP C-3.16. Based on the evidence presented, the Authority finds sufficient evidence of $8,491,169 in th...

AI summary The Company proposed combined medical, dental, and vision expenses of $8,550,076 for the Rate Year. The Authority found sufficient evidence for $8,491,169 and allowed the Company to recover that amount in its revenue requirement.

243,865, and a portion of compensation expense for 54 AMC and ASC executives was allocated to the Company for a total of $2,831,543. Late Filed Ex. 23, Att. 1, 2023 Test Year; Hr'g Tr., 546:23–547:2. Executive compensation is allocated to...

AI summary The document discusses the allocation of executive compensation for the Company, including fixed and variable components, and how a portion is recovered in base rates. It outlines the use of consumption drivers and the Massachusetts formula for allocation, and notes that only 75% of UI executive compensation is approved for recovery in base rates.

ny must be similarly responsible to the customers who provide it with revenue, and the Authority is empowered to make "pragmatic adjustments" that ensure a balance between investor and consumer interests. Woodbury Water Co., 174 Conn. at 2...

AI summary The Authority requires the Company to meet specific performance metrics to earn full revenue for executive compensation. The Company claims success in two metrics but argues the third is beyond its control. The OCC suggests adjustments due to data-sharing with DSS, which affects the relevance of certain metrics.

a. Summary The Authority includes the amortized recovery of certain deferred costs, with carrying costs, as expenses in the Company's revenue requirement. This method of recovery outside of rate base will allow the Company to recover its o...

AI summary The Authority permits the amortized recovery of certain deferred costs as expenses in the Company's revenue requirement over a three-year period. If the Company does not amend its rate schedules by 2028, it must account for any overcollection and propose a revised rate adjustment mechanism (RDM) rate in its 2029 filing.

Table 55: Deferral Rate Year Beginning Balances Reported Balance, October 31, 2025 Adjustment Approved Balance, November 1, 2025 Deferred Expense ($) ($) ($) Pension - Deferral 6,767,774 229 6,768,003 Pension - Interim Period 1,853,470 (26...

AI summary Table 55 presents the beginning balances of deferred expenses as of October 31, 2025, with adjustments and approved balances for November 1, 2025. It includes various categories such as pension, OPEB, storm-related deferrals, and other regulatory and program-related expenses.

c. OPEB The Authority approves an OPEB credit of ($1,175,847), which is to be amortized over a three-year period, resulting in a Rate Year credit of ($391,949). The Company reported a $1,576,130 deferred OPEB liability accrued as of August...

AI summary The Authority approves an OPEB credit of $1,175,847 to be amortized over three years, resulting in a Rate Year credit of $391,949. This follows the Company's reported deferred OPEB liability of $1,263,859 as of October 31, 2025, and adjustments made to remove $200,322 in net carrying credits.

i. Summary of Allowed New Storm Deferrals The new storm deferral allowed for recovery as a deferred expense is the sum of the Storm Deferral Refund and the Thunderstorm Deferral. [Table 57](#page-173-0) shows the allowable balance for reco...

AI summary The new storm deferral allowed for recovery as a deferred expense includes the Storm Deferral Refund and the Thunderstorm Deferral, with a total allowable balance for recovery of $48,843 as shown in Table 57.

Table 61: Storm Deferral Refund Expenses Proposed ($) Adjustment ($) Approved ($) Tropical Storm Elsa (7,896) - (7,896) Hurricane Henri 97,782 (10,592) 87,190 Storm Izzy 76,010 (38,427) 37,583 Blizzard 14,656 - 14,656 Flooding Event 1,292,...

AI summary Table 61 outlines the proposed, adjustment, and approved amounts for various storm deferral refund expenses, including Tropical Storm Elsa, Hurricane Henri, Storm Izzy, Blizzard, Flooding Event, and Hurricane Lee, with a total adjustment of $135,172. The section also mentions a carrying charge adjustment related to storm deferral refunds.

h. Fee Free Program The Company proposes to amortize a ($1,852,863) credit related to the difference between its actual credit card transaction fee costs and the amount embedded in distribution rates for such costs as ordered in the 22-08-...

AI summary The Company seeks to amortize a $1,852,863 credit related to credit card transaction fees, as ordered in the 22-08-08 Decision. The Authority adjusted this credit by $308,376 and added a carrying credit of $228,227, resulting in a $2,389,466 deferred credit to be amortized over three years, representing a $796,489 Rate Year credit.

VII. APPROVED REVENUE REQUIREMENT [Table 76,](#page-194-3) below, summarizes the various components of the Company's approved revenue requirement, as adjusted by the Authority, and provides the total approved revenue requirement for the Ra...

AI summary This section presents the approved revenue requirement for the Company, as adjusted by the Authority, and outlines the components that contribute to the total approved revenue requirement for the Rate Year.

Table 76: Approved Revenue Requirement Section Revenue Component Amount ($) IV.A Allowed Rate Base 1,354,956,818 V.A Weighted Average Cost of Capital 7.040% Allowed Cost of Capital 95,388,960 Allowed Expenses: VI.A Operations & Maintenance...

AI summary Table 76 outlines the Approved Revenue Requirement, including the allowed rate base, cost of capital, and various expenses such as operations, depreciation, and taxes. Section VIII introduces the topic of rate design, indicating a focus on how rates are structured.

2. UI's Delivery & Customer Forecasts The Company utilized econometric modeling for its sales forecasts for all rate classes, with the exception of street lighting. Econometric modeling applies statistical techniques, such as linear regres...

AI summary UI used econometric modeling and historical data to forecast electric delivery and customer growth, factoring in variables like price, weather, and economic trends, while adjusting for distributed energy resources and electrification impacts. The forecast shows a slight increase in residential customers and a decline in industrial and street lighting customers.

to propose use of the NCP and 1CP allocators, was published in 1992, prior to the advent of AMI, which enables more cost-reflective allocators. Palmer Surrebuttal PFT, p. 12; Hr'g Tr., 1496:22–1497:5. CIEC opposes the Company's proposed re...

AI summary The document discusses the allocation of costs using NCP and 1CP allocators, with CIEC opposing the Company's proposed revenue allocation and suggesting a tolerance band. The Authority agrees with the OCC that alternative demand allocators are more cost-reflective, but accepts the use of NCP allocators due to the difficulty of incorporating load-carrying capacity adjustments. The Authority also directs the adoption of an alternative substation allocator for demand-related costs.

(125% of the class average increase) or the rate increase at equal rates of return (whichever is lower). Interrog. Resp. OCC-362, Att. 38 Second Rev. Supp. The Company then eliminates rate decreases (which occur in cases where the revenue...

AI summary The document discusses two revenue allocation approaches for rate classes. The Company's method involves eliminating rate decreases and manually adjusting residential rates to balance revenue, resulting in 50% of the class-wide average increase. The Authority prefers an alternative approach that uses a minimum increase threshold and adjusts excess revenue proportionally, adhering to a 75/125 rule.

Table 83: Alternative Revenue Allocation Approach Step Company's Approach Alternative Approach Allocate to each class the lesser of the: (1) Allocate to each class the greater of the: maximum allowable increase under 75/125 (1) minimum all...

AI summary Table 83 outlines an alternative revenue allocation approach, comparing the company's method with an alternative that uses different rules for allocating revenue increases and decreases. The approach involves calculating revenue shortfalls or excesses and distributing them proportionally based on base revenue. The Authority was unable to evaluate a third scenario due to lack of information on manual adjustments.

Figure 2, below, shows the rate increases for each rate class, using the Company's proposal and the adjusted ACOSS with alternative revenue allocation. The percentage increases shown in Figure 2 are based on the Company's proposed increase...

AI summary Figure 2 compares rate increases proposed by the Company with those from the adjusted ACOSS using alternative revenue allocation. The percentage increases shown are based on the Company's proposal and do not reflect the actual increases that will be approved. The Company is required to make additional adjustments to the adjusted ACOSS, which are not reflected in the figure.

1. Time of Use Rates In the Company's previous rate case, the Authority directed the Company to propose TOU rates with a shorter, more concentrated on-peak time, an appropriate price differential between on- and off-peak rates consistent w...

AI summary The Company's proposal for Time of Use (TOU) rates includes near-term opt-in rates and end-state opt-out rates, but lacks a concrete implementation date. It also proposes using the ACOSS results to allocate revenue requirements, though the Authority identified anomalies in the rate design model.

1. Revenue Decoupling Mechanism The Authority approves the revenue elements included herein to be included as "other revenues" for purposes of the Company's Revenue Decoupling Mechanism (RDM) calculation. Generally, an EDC may only charge...

AI summary The Authority approves the inclusion of 'other revenues' in the Company's Revenue Decoupling Mechanism (RDM) calculation. These revenues include late payment fees, reconnect service fees, and others. The Authority defines 'allowed distribution revenues' and 'actual distribution revenues' and ensures that the Company's RDM calculation aligns with these definitions. The RDM is used to adjust rates annually based on over- or under-recovery of distribution revenues.

2. Earnings Sharing Mechanism The Company proposes that its earnings sharing mechanism (ESM) continue as it is currently constructed with two adjustments: (1) the ESM calculation should reflect UI's actual equity ratio, not its authorized...

AI summary The Company proposes adjustments to its Earnings Sharing Mechanism (ESM), including reflecting its actual equity ratio and including disallowed expenses. The Authority rejects these proposals, maintaining the existing 50/50 split between ratepayers and shareholders for over-earnings above the allowed ROE, citing concerns over capital structure balance and legal principles.

d. Maintenance Carrying Charge Adjustment for Vegetation Management Costs The maintenance carrying charge is a component of the FCC pole attachment rental rate formula, the purpose of which is to ensure that attachers pay the pole owner 13...

AI summary The maintenance carrying charge adjustment for vegetation management costs involves a correction in the reporting of costs from FERC Account 592 to 593, leading to an increase in the maintenance carrying charge factor and pole attachment rates. NECTA argues that UI should use the original data for transparency, but the Authority supports the correction for accuracy.

4. Pleasure Beach Island The Company serves two customers located on Pleasure Beach Island (PBI) the WICC radio station and a pavilion owned by the City of Bridgeport. Ex. UI-RRP-1, p. 134. In its application, the Company states that it in...

AI summary The Company serves two customers on Pleasure Beach Island with a solar-plus-Battery Energy Storage System (BESS) microgrid project, but clarified it will not be used before the end of the Rate Year. The Authority previously approved the project as a cost-effective solution and authorized deferred accounting to track its costs, which will be reviewed for prudence and reasonableness in the next rate case proceeding.

A. CONCLUSION The Authority approves an annual revenue requirement for UI in the amount of $450,789,348 for the rate year commencing November 1, 2025. This represents an increase of $65,924,348 from the Company's currently authorized reven...

AI summary The Authority approves an annual revenue requirement of $450,789,348 for UI, an increase from the current $384,865,000. This includes an allowed return on equity of 9.45%, reduced by 20 basis points to 9.25% due to performance and management issues. The Authority also addresses cost allocation, rate design, revenue adjustment mechanisms, and customer service.

NOVA SCOTIA UTILITY AND REVIEW BOARD IN THE MATTER OF: THE PUBLIC UTILITIES ACT -and- IN THE MATTER OF: AN APPLICATION by Nova Scotia Power Incorporated ("NSPI") for Approval of Depreciation Rates to be applied to various classes of deprec...

AI summary Nova Scotia Power Incorporated (NSPI) has applied for approval of depreciation rates to be applied to various classes of depreciable property of the Company under the Public Utilities Act.

20 Q. DOES THE COMPANY'S PRODUCTION PLANT DEPRECIATION EXPENSE 21 REQUEST REPRESENT A SIGNIFICANT REVENUE REQUIREMENT? 22 A. Yes. The Company requests $82.5 million for annual Production plant depreciation expense.4 23 This level of reques...

AI summary The Company requests $82.5 million annually for production plant depreciation, which depends on proposed life spans and net salvage values set by the Board for generating units.

11 Q. IS THIS POSITION REGARDING THE RETENTION OF ALL EXISTING 12 GENERATION SIGNIFICANT? 13 A. Yes. Regulators have found that there should be a consistent position presented by 14 utilities between their future plans for meeting load and...

AI summary The position regarding the retention of all existing generation is significant as it ensures consistency between a utility's future load plans and the expected useful life of generating facilities, aligning with depreciation principles and avoiding intergenerational inequity.

29 Q. IS THE COMPANY'S POLICY CORRECT? 30 A. No. Depreciation in a regulated arena has a different meaning than for an 31 unregulated company. Depreciation for a regulated entity does not stand on its own, 106 Response to DUC IR-024. 107 R...

AI summary The company's policy of unilaterally ceasing depreciation after a rate proceeding is incorrect. Depreciation for regulated entities is integrated into the ratesetting process and cannot be unilaterally changed. The policy would effectively set the depreciation rate to zero, which is inappropriate.

UTILITY RATE PROCEEDINGS IN WHICH TESTIMONY HAS BEEN PRESENTED BY JACOB POUS ALASKA Central Power & Light Company 12820 Factoring, Depreciation Depreciation, Cash Working Capital, Pension, OPEB, Factoring, Demonstration and Selling Expense...

AI summary The text lists utility rate proceedings involving Central Power & Light Company and other entities, with details on various financial and operational matters such as depreciation, pension, and factoring. These proceedings include rate cases and expenses related to different utilities.

Q SHOULD THE CONTINGENCY COST BE EXCLUDED FROM THE DECOMMISSIONING COST ESTIMATES? A Yes. The contingency cost unnecessarily increases the estimated cost to decommission the production plants. The contingency cost does not reflect a real c...

AI summary The contingency cost should be excluded from decommissioning cost estimates as it artificially inflates costs for current ratepayers without reflecting real expenses. The contingency factor is an add-on based on judgment and experience, not a specific cost, and its inclusion may lead to higher depreciation rates if estimates are accurate.

EMPLOYMENT EXPERIENCE. A I graduated from Oakland University in 1969 with a Bachelor of Science degree with a major in Engineering. In 1978, I received the degree of Master of Business Administration with a major in Finance from Wayne Stat...

AI summary The individual graduated with a degree in engineering and an MBA in finance, worked in engineering and operations at Detroit Edison, later moved to rate and revenue requirement areas, and has extensive experience in regulatory proceedings, including utility depreciation rates and rate structures.

Q HAVE YOU PREVIOUSLY APPEARED BEFORE A REGULATORY COMMISSION? A Yes. I have testified on behalf of DECo in its steam heating and main electric cases. In these cases I have testified to rate base, income statement adjustments, changes in b...

AI summary The individual has previously testified before various regulatory commissions across multiple U.S. states and Canadian provinces, including Nova Scotia, on topics such as rate design, revenue requirement, cost of service, and financial integrity. They have also testified on deregulation issues and merger-related matters.

This is a Decision and Order of the Ontario Energy Board (OEB) regarding a generic proceeding initiated on its own motion to consider the cost of capital and other matters for electricity transmitters, electricity distributors, natural gas...

AI summary The Ontario Energy Board (OEB) has finalized the cost of capital parameters for electricity transmitters, distributors, natural gas utilities, and rate-regulated generators, effective January 1, 2025. Key parameters include a 9.00% return on equity, 4.51% deemed long-term debt rate, and 3.91% deemed short-term debt rate. The new framework will be reviewed in five years, and Q2 2025 prescribed interest rates for deferral and variance accounts and construction work in progress accounts have been set.

s generic proceeding. As noted previously and again in Section 3.6 of this Decision, utilities can file evidence in individual rate hearings to support any changes due to their specific circumstances. The OEB does not agree with the claim...

AI summary The OEB disagrees with the claim that lower deemed ROE and equity ratios for Ontario utilities compared to U.S. peers undermine the FRS. It finds that Ontario utilities have accessed capital on favorable terms and that the current Cost of Capital Framework balances utilities' financial needs with fair returns for investors.

the necessity to allow a fair and stable return that is critical to maintaining investor confidence and securing the necessary funding to support safe and reliable electricity and natural gas service. The OEB is of the view that maintainin...

AI summary The OEB maintains that the current formula for return on equity (ROE) does not constitute economic rent to ratepayers and supports the application of ROE to all utilities. It emphasizes the need for a stable regulatory environment and is not persuaded to reduce the 2009 Cost of Capital Framework significantly at this time.

Electricity Distributors and Transmitters The 2009 Report affirmed the deemed equity ratio of 40% equity / 60% debt for electricity distributors. Since the 2009 Report, the OEB has extended the deemed equity ratio of 40% to electricity tra...

AI summary The 2009 Report established a 40% equity / 60% debt deemed capital structure for electricity distributors, which the OEB has extended to transmitters. The OEB maintains this approach as it provides a standardized framework for rate-setting, balances fairness, and safeguards ratepayers from financial distortions.

EPCOR Natural Gas EPCOR Natural Gas's current approved equity ratio is 36% for its South Bruce service territory and 40% for its Aylmer service territory. The deemed debt component includes a deemed 4% component for short-term debt for bot...

AI summary EPCOR Natural Gas has approved equity ratios of 36% and 40% for its South Bruce and Aylmer service territories, respectively. The Office of the Energy Board (OEB) determines long-term debt costs based on actual debt costs and the lower of the DLTDR or the weighted average cost of actual long-term debt, applying this only when there are material variances affecting revenue requirements.

Expert Report Proposals LEI recommended that transaction costs be considered as operating expenses, as this approach is more suitable for the nature of the expense, which may fluctuate from year to year. LEI also noted the irregularity in...

AI summary LEI recommended that transaction costs be classified as operating expenses due to their fluctuating nature, while Concentric, Nexus, and Dr. Cleary argued that these costs should be recovered in rates through the embedded cost of long-term debt, as per the OEB's current practice. They also raised concerns about potential non-compliance with IFRS if transaction costs are treated as operating expenses.

Submissions Several ratepayer groups and OEB staff disagreed with LEI and submitted that the current approach of recording the actual transaction cost as an interest expense and amortizing the transaction cost over the term of the debt ins...

AI summary Ratepayer groups and OEB staff disagree with LEI's approach to recording debt transaction costs, supporting instead the current method of amortizing these costs over the term of the debt instrument. CCC and OEA also support the current approach, while CCMBC agrees with LEI that these costs should be included as OM&A costs in the revenue requirement.

Submissions OEB staff agreed with LEI and Concentric that the OEB should commit to reviewing the cost of capital policy every five years. OEB staff submitted that this issue is about balance and weighing the costs of performing an update o...

AI summary The document discusses the frequency of cost of capital policy reviews by the OEB, with various stakeholders proposing different intervals, ranging from three to ten years. There is a consensus on conducting reviews every five years, but some entities suggest more frequent or less frequent intervals based on their analysis and market considerations.

Findings The cost of capital parameters of ROE, DSTDR, and DLTDR are applicable to utilities rebasing rates for 2025 (if cost of capital is in scope). For other utilities, the new cost of capital parameters will be implemented on a one-tim...

AI summary The OEB determines that the current 2009 Cost of Capital Framework meets FRS, allowing the new framework to be implemented alongside other cost-of-service reviews. Variance accounts for 2025 rate adjustments will be addressed in IRM and Custom IR applications. Prescribed interest rates for DVAs and CWIP are effective April 1, 2025, and will be updated quarterly.

Schedule C – Revised Methodology – Cost of Capital The revised methodology for calculating the cost of capital is summarized in Table 2 below.

AI summary The document introduces a revised methodology for calculating the cost of capital, as outlined in Table 2. This section provides an overview of the updated approach used in determining the cost of capital for regulatory proceedings.

Implementation Changes to the cost of capital parameters from the 2009 Report were implemented when a utility filed a cost-based rates application (i.e., upon rebasing)[.129](#page-141-5) 124 OEB Letter, Updated Inputs to the OEB's Prescri...

AI summary The OEB updates cost of capital parameters annually, based on macroeconomic conditions. These parameters are used in rate-setting, and any formulaic approach for calculating ROE must align with the FRS. The OEB ensures that the parameters reflect market conditions and meet the FRS.

Table F.1: First Stage Regressions for Various Instruments Model: (1) (2) (3) Variables IV Rounding (50bp) × Sign = -1 -0.3105 (0.3106) IV Rounding (50bp) × Sign = 1 -0.3531 (0.3139) IV Rounding (500bp) × Sign = -1 0.0674 (0.1466) IV Round...

AI summary Table F.1 presents first-stage regressions for various instruments, including IV rounding and test year variables. The results show statistically significant coefficients for certain IV rounding interactions and the test year, with clustered standard errors and fit statistics provided for each model.

inning in 2021, Ms. Morgan and Bates White reviewed Mississippi Power Company's (MPC's) Capital Plan and EDP filings since they are required pursuant to Amended Rule 29. KAREN MORGAN, CFA Page 2 of 6 In Nova Scotia, Ms. Morgan testified in...

AI summary Karen Morgan testified before the Nova Scotia Utility and Review Board on rate applications by Nova Scotia Power Inc. and NSP Maritime Link. She also provided testimony in Mississippi on behalf of the Mississippi Public Utilities Staff regarding rate rider assessments for Atmos Mississippi.

Selected other work Client Issue Date International Arbitration (various) Damages 2021–2024 Nebraska Public Service Commission Advisor 2020, 2025 Ontario Power Generation Construction Cost Estimation 2020–2021 Nova Scotia Utility and Revie...

AI summary This section presents a list of various legal and regulatory engagements involving different clients and issues across multiple jurisdictions, including arbitration, utility regulation, and financial assessments, spanning from 2000 to 2025.

EQUAL LIFE GROUP EQUAL LIFE GROUP COMPOSITE REVENUE TEST AVERAGE REMAINING FUTURE REQUIREMEN YEAR ORIGINAL COST BOOK RESERVE LIFE ACCRUALS DEPRECIATION RATE RETURN T RATE BASE 2026 5,936,133,917 1,523,817,454 31.9 4,412,316,459 2027 5,966,...

AI summary The document presents a table with financial data related to the Equal Life Group, including original costs, book reserves, remaining life, future accruals, depreciation, revenue requirements, and rate base for various years from 2026 to 2050. It outlines depreciation methods and financial projections over time.

e Energy Request for Change in Distribution Rates. On behalf of the NH Office of Consumer Advocate. January 23, 2025 and June 4, 2025. Issues covered: cost-of-service study, residential rate design. Massachusetts Department of Public Utili...

AI summary The text outlines various testimonies provided by Caroline Palmer and others in different regulatory proceedings across multiple jurisdictions. These testimonies cover topics such as cost-of-service studies, residential rate design, revenue requirement, and stranded cost rate design, and were presented on behalf of various consumer advocacy and legal offices.

Section 2: Overview of Cost Allocation Cost allocation studies serve the following main purposes: - to allocate the costs to provide service to the various customer rate classes based on cost causation principles - to assess the reasonable...

AI summary This section outlines the purposes and processes of cost allocation studies, which are used to allocate distribution and operational costs to customer rate classes based on cost causation principles. The studies assess the reasonableness of rates and support rate design. A three-step process—functionalization, categorization, and allocation—is described for assigning costs to rate classes.

2.1 Financial Information Requirements A cost allocation study will allocate the test period rate base and revenue requirement to the various customer groups. The basic financial information required to perform a cost allocation study is e...

AI summary A cost allocation study is required to distribute the test period rate base and revenue requirement among customer groups. Financial data must be extracted from the Uniform System of Accounts (USoA) as outlined in the Accounting Procedures Handbook, Article 220. Load research and customer-related data are also needed for cost allocation.

4.3 Initial Recommendations Given the fact that the USoA is set up in a functional sequence and provides an adequate level of granularity to reasonably functionalize the revenue requirement and rate base, Staff recommends that the function...

AI summary Staff recommends functionalizing the revenue requirement and rate base at the account level under the Uniform System of Accounts (USoA) to ensure consistency and simplify filings. Utilities should reclassify depreciation balances to the rate base account if documentation is available, otherwise prorate based on gross plant balances.

5.2.3 Categorization Method to Review Class Revenue-to-Cost Ratios The other major objective of the forthcoming cost allocation filings is to assess the revenue-to-cost ratios for the various customer rate classes of each distributor. It m...

AI summary The document discusses the recommended approach for categorizing revenue-to-cost ratios for customer rate classes. It suggests using either the Zero-Intercept or Minimum System Method, both of which are accepted by Canadian regulators. Stakeholder input will be sought to determine the most suitable method, and default categorization figures will be proposed based on a consultant's survey.

7.1 Background Some components of the revenue requirement cannot be either directly allocated, or allocated to customer rate classes by using the three-step process described in Section 2 of this paper. Instead, other methods are commonly...

AI summary The document discusses methods for allocating revenue requirements that cannot be directly allocated using the three-step process. These include pro rata allocations, labour ratios, and detailed analyses. Expenses such as general plant, administrative expenses, working capital allowance, and taxes are included in this category.

7.6.2 Options Some miscellaneous revenues can be directly allocated as per Appendix 1 of this report. These revenues include Account 4225 (Late Payment Charges) and Account 4235 (Miscellaneous Service Charge). The options commonly used to...

AI summary The text discusses options for allocating miscellaneous revenues, including direct allocation based on specific accounts and alternative methods such as proportional allocation to the distribution rate base or detailed analyses.

7.6.3 Initial Recommendations Considering materiality and simplicity in implementation, it is recommended that allocation in proportion to the allocated distribution rate base be the standard for allocating miscellaneous and other non-dire...

AI summary The recommendation suggests allocating miscellaneous and non-directly assignable revenues in proportion to the allocated distribution rate base, emphasizing simplicity and materiality in implementation.

9.2 Cost Allocation Filing Period A cost allocation study is performed by using the Board-approved revenue requirement and data for a one-year reference period or "test year". A decision is required on the appropriate test year for the cos...

AI summary This section outlines the process for conducting a cost allocation study, using the Board-approved revenue requirement and data from a one-year reference period. Staff recommends using the 2006 revenue requirement as a starting point, with adjustments for non-utility operations and non-recurring regulatory accounts. Stakeholder input is requested on additional potential adjustments.

9.4 Inputs to the Model The inputs to the OEB cost allocation review filing model will be discussed as the modeling proceeds. Final recommendations will be made in the third phase of the consultations. To assist users, it is anticipated th...

AI summary The OEB cost allocation review filing model will incorporate standardized features like direct assignments and customer allocators based on Board-approved methodologies. Distributors may need to file utility-specific data, including trial balances and load profiles, to support the revenue requirement and rate class calculations.

9.6 Output of the Model The details of the various outputs from the cost allocation filing model will be finalized during the third phase consultations. A standard set of outputs from the filing model will be prescribed. Given the key obje...

AI summary The document outlines the standard outputs from the cost allocation filing model, including revenue-to-cost ratios, fixed monthly charges, and unit costs. The model will be run twice using different methodologies, and additional technical information will be provided for stakeholder review. Audit trails and future rate design considerations are also mentioned.

1.7 Model Runs to be Filed Distributors will be required to submit a Run 1 and a Run 2 of the filing model. Run 1 will generally be based on the distributor's approved 2006 rate classifications including any approved interim rates. Special...

AI summary Distributors must submit two model runs (Run 1 and Run 2) based on approved rate classifications, with special rules for merging distributors. Run 2 must include specific rate classification changes identified in the report. Model filings should remain consistent, with exceptions documented. Run 3 is optional and must include explanations for changes. Alternative data methods are allowed if better data is available and must be documented.

3.1 Load Data - General Requirements All distributors are generally expected to provide reasonable supporting load data for each separate rate classification to be modeled in Run 1, 2 or 3 of the cost allocation filing. Distributors consid...

AI summary This section outlines the general requirements for load data submission by distributors in cost allocation filings. Distributors must provide reasonable load data for each rate classification modeled in Runs 1, 2, or 3. Specific guidelines are provided for different classifications, including the use of interval meter data and approved load profiles. Special provisions apply to GS<50 kW and Unmetered Scattered Load classifications.

3.5.2 Directions – Additional Model Output For purpose of sensitivity analysis, the filing model should include an output to show the difference in revenue based on using the approved kWhs from the 2006 EDR model and the normalized kWhs pr...

AI summary The document outlines requirements for sensitivity analysis in a filing model, emphasizing the use of approved kWhs from the 2006 EDR model and normalized kWhs from the filer's load data service provider. It also highlights the need to adjust for losses in billing data and explains how distributors should compare methodologies in their cost allocation filings.

Step 2) CATV Battery Mats For CATV power supplies (excluding any battery mat component), a flat load shape must be used for the present filings. A separate load shape must be applied to the weather-normalized consumption of CATV power supp...

AI summary The document outlines requirements for load shapes related to CATV battery mats in rate filings. Distributors must use a flat load shape for CATV power supplies and a separate load shape for battery mats. Adjustments may be needed for revenue requirement figures if battery mats were not considered in prior filings. A flexible approach is encouraged, with explanations provided in the Filing Summary.

4.1.1 Background Cost allocation studies are generally performed using data for a one year reference period or "test year". For the purpose of the upcoming filings, the revenue requirement (as defined below) and the data underlying the app...

AI summary Cost allocation studies are based on a one-year reference period, and the 2006 distribution rates will be used for upcoming filings. Adjustments approved by the Board to the 2006 EDR revenue requirement must be reflected in the cost allocation filing.

4.1.3 Direction - Distributors that used a forward test year in the 2006 EDR applications For distributors that had earlier filed using a forward test year (i.e. Hydro One Networks Inc., Hydro Ottawa Limited, and Toronto Hydro-Electric Sys...

AI summary Distributors that used a forward test year in their 2006 EDR applications must use the trial balance from the Board-approved 2006 rates for cost allocation filings. They should not make additional adjustments, and must regroup trial balance accounts if detailed information was not provided. Non-utility operations and non-recurring regulatory accounts should be excluded, as well as adjustments for smart meters.

4.1.4 Direction – Distributor(s) that will not have approved 2006 rates at the time of its cost allocation filing In the case of any distributor that does not have approved 2006 rates at the time of its cost allocation filing, the distribu...

AI summary Distributors without approved 2006 rates must use their 2004 trial balance for cost allocation filings. Adjustments include averaging net fixed assets from 2003 and 2004, applying the 2005 MBRR and PILs, and removing non-utility and non-recurring costs. Revenue is based on current approved rates and 2004 customer and usage data.

4.1.6 Direction - Adjustments to the Trial Balance Except where may be specifically required in this Report, pro forma adjustments to the revenue requirement and cost structure supporting the approved 2006 rates are not to be made in the c...

AI summary The document specifies that pro forma adjustments to the revenue requirement and cost structure for the approved 2006 rates should not be made in cost allocation filings, except in cases where significant operational changes impact the revenue requirement and rates, which must be disclosed and discussed in the Filing Summary.

4.2.1 Background A key output of the cost allocation filing will be a comparison of revenues and costs by rate classification. To the extent possible, revenues and costs should be determined on the same basis. It is therefore important tha...

AI summary The cost allocation filing will produce a comparison of revenues and costs by rate classification, emphasizing the importance of defining 'revenue' accurately to ensure consistency between revenues and costs.

4.2.2 Direction - Definition of Revenue for Cost Allocation Filings The service revenue requirement on sheet 5-1 of the distributor's approved 2006 EDR model will be the basis of ensuring all the proper costs have been included in the cost...

AI summary The document outlines the definition of revenue for cost allocation filings, specifying that the revenue per rate classification from the approved 2006 EDR model must be used. It details the components of revenue, including base revenue, revenue off-sets, and CDM allocations, while excluding certain adjustments like regulatory asset adders and smart meter adjustments.

7.2 Direction – Identification of Accounts For the cost allocation filings, functionalized grouped costs will be ultimately classified into one of the four components: - 100% demand-related - 100% customer-related - joint related (both cus...

AI summary This section outlines the classification of functionalized grouped costs into four categories: 100% demand-related, 100% customer-related, joint related, and pro-rata related. Examples include metering and billing as customer-related, distribution stations as demand-related, and joint costs like poles and transformers. Pro-rata related costs are allocated based on specific methods outlined in Chapter 10.

10.1 Introduction Some components of the revenue requirement cannot be directly allocated, or allocated to customer rate classifications by using the functionalization, categorization and allocation process described earlier. Instead other...

AI summary The document discusses methods for allocating revenue requirements when direct allocation is not feasible, including pro rata allocation and detailed analyses. It lists various expenses and capital expenditures that fall into this category, such as administrative expenses, working capital allowance, and conservation costs.

10.5.2 Direction – Allocation of PILs, Other Taxes, Cost of Debt, and Return on Equity A pro rata allocation of next fixed assets will be used to allocate PILs, Other Taxes, Cost of Debt, and Return on Equity.

AI summary A pro rata allocation method will be used to distribute PILs, Other Taxes, Cost of Debt, and Return on Equity among next fixed assets.

10.6.1 Background Bad debt expense consists of the amounts of uncollectible revenues. Many distributors monitor their bad debt write-offs at the rate classification level. The Accounting Procedures Handbook (Article 220) requires distribut...

AI summary The document discusses the allocation of bad debt expenses to customer rate classifications, recommending a method based on historical write-offs. It notes lack of stakeholder consensus and addresses concerns about normalization periods and fairness. The Board supports the staff's recommendation for cost allocation purposes.

10.6.2 Direction – Allocation of Bad Debt Expense Bad debt expense must be directly allocated to specific customer rate classifications based on their respective contribution to historical write-offs. For historical test year filers, an av...

AI summary The document outlines the allocation of bad debt expense to specific customer rate classifications based on historical write-offs. It specifies the use of average bad debt data from 2002–2004 for historical test year filers and 2003–2005 for future test year filers, excluding extraordinary bad debt. Pro rata allocation is recommended for new rate classifications without historical data.

11.5.3.1 Background From a distribution system perspective, LDG service includes a commitment by the distributor to have sufficient conductor and transformation capacity available to meet the load displacement customer's total load require...

AI summary The document outlines the background and methodology for determining distribution rates for LDG (Load Displacement Generation) customers. It emphasizes using cost-based rate information from similar customers and highlights the need to consider additional savings or costs through separate charges or credits. Stakeholders are advised to provide best-efforts estimates and note concerns about data reliability.

Filing Step 2) Identify Items for Inclusion in Additional LDG Credit or Charge Unit Cost Calculation Further adjustments to the above initial unit costs must be considered by a distributor. The intent is to capture any unique distribution...

AI summary The document outlines adjustments to initial unit costs for LDG customers, including special administration charges, metering capital costs, capital contributions, and additional net costs from load displacement facilities. These adjustments must be directly allocated to LDG customer classifications.

11.5.8.2 Direction - Optional Modeling In Run 3, an interested distributor has the option of modeling appropriate unit costs for merchant generation in place in the 2006 EDR test year. This will be required for a specific distributor under...

AI summary In Run 3, a distributor may model unit costs for merchant generation in the 2006 EDR test year, as required by a prior Board decision. The Filing Summary must explain the approach, supporting data, and any cost allocation methods used that differ from the current Report.

2026 COST OF SERVICE STUDY ANALYSIS R E F E R E N C E G U I D E EXHIBIT COMPARISON OF REVENUE TO EXPENSE RATIOS 1 FUNCTIONALIZATION OF AVERAGE RATE BASE 2 INITIAL CLASSIFICATION OF AVERAGE RATE BASE 2A FINAL CLASSIFICATION OF AVERAGE RATE...

AI summary The document outlines the structure and content of the 2026 Cost of Service Study Analysis Reference Guide, including various exhibits and analyses related to revenue, expenses, rate base classifications, and distribution costs.

NOVA SCOTIA POWER INC. SUMMARY OF REVENUE TO EXPENSE RECOVERY RATIOS 2023 2026 CUSTOMER CLASS PROPOSED PROPOSED ( 1) DOMESTIC 97.63 97.18 ( 2) SMALL GENERAL 97.14 103.50 ( 3) GENERAL 105.00 104.38 ( 4) LARGE GENERAL 104.01 104.38 ( 5) SMAL...

AI summary Nova Scotia Power Inc. provides a summary of revenue to expense recovery ratios for different customer classes in 2023 and 2026. The ratios show variations across classes, with some classes showing a decrease and others an increase in the proposed recovery ratios.

FOR THE YEAR ENDING DECEMBER 31, 2026 (IN THOUSANDS OF DOLLARS) (1) TOTAL EXPENSES (2) PROD. EXPENSES (3) TRANS. EXPENSES (4) DIST. EXPENSES (5) RETAIL EXPENSES (6) DIRECT EXPENSES (7) ALLOCATION FACTOR (73) PREFERRED DIVIDENDS (74) CORPOR...

AI summary The document presents a financial summary for the year ending December 31, 2026, detailing various expense categories including operating expenses, non-operating revenue, and profit/loss. It outlines expenses related to production, transmission, distribution, retail, and direct costs, along with allocation factors.

NOVA SCOTIA POWER INC. ALLOCATION OF OPERATING EXPENSES (1) TOTAL COMPANY (2) DOMESTIC (3) SMALL GENERAL (4) GENERAL (5) GENERAL LARGE (6) SMALL INDUSTRIAL (7) MEDIUM INDUSTRIAL (8) LARGE INDUSTRIAL (9) PHP (10) MUNICIPAL (11) UNMETERED (1...

AI summary The document presents a detailed breakdown of Nova Scotia Power Inc.'s operating expenses across various categories and customer segments, including grants, interest, taxes, revenue, and adjustments related to demand and allocation factors.

NOVA SCOTIA POWER INC. (1) TOTAL COMPANY (2) DOMESTIC (3) SMALL GENERAL (4) GENERAL (5) GENERAL LARGE (6) SMALL INDUSTRIAL (7) MEDIUM INDUSTRIAL (8) LARGE INDUSTRIAL (9) PHP (10) MUNICIPAL (11) UNMETERED (12) ALLOCATION FACTOR (49) (50) OP...

AI summary The document presents a detailed financial breakdown for Nova Scotia Power Inc., including operating expenses, depreciation, taxes, and revenue. It includes various line items and allocations across different categories and customer segments. The data is structured in a table with multiple columns and rows, and some entries reference external documents and exhibits.

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14) (15) (16) (17) (18) REVENUE TO COST RATIOS STORM COSTS STORM REVENUE NON-FUEL NON-FUEL DISTRIBUTION TRANSMISSION (HV) TRANSMISSION (EHV) GRAND TOTAL GRAND TOTAL COSTS REVENUE(1)...

AI summary The text presents a detailed table showing revenue to cost ratios for various customer classes, including domestic, general, industrial, and municipal, alongside storm costs and revenues. It outlines distribution and transmission costs and revenues, with some entries marked as 'NA' for certain categories.

CLASS : SMALL GENERAL CLASS : SMALL GENERAL RATE BASE COSTS (Source Exh 6) (Source Exh. 3) Variable Fuel Operating Capital Fixed Return Total Total Cost Units Sold Demand Unit Cost Energy Customer Generation (1) Usage (Energy) $51,988 $25,...

AI summary The document presents a detailed breakdown of costs and revenues related to energy generation, transmission, distribution, and retail operations. It includes various cost components such as fuel, operating, capital, and fixed return, along with unit costs and total costs for different segments of the energy system.

CLASS : GENERAL RATE BASE COSTS (Source Exh 6) (Source Exh. 3) Variable Fixed Unit Cost Fuel Operating Capital Return Total Total Cost Units Sold Demand Energy Customer Generation (1) Usage (Energy) $325,478 $157,616 $16,053 $23,257 $11,42...

AI summary The document presents a detailed breakdown of costs associated with energy generation, transmission, distribution, and retail operations. It includes various line items such as fuel, operating, capital, and return costs, along with unit costs and total costs for different segments of the electricity system.

CLASS : UNMETERED CLASS : UNMETERED RATE BASE COSTS (Source Exh 6) Variable Fixed Unit Cost Fuel Operating Capital Return Total Total Cost Units Sold Demand Energy Customer Generation (1) Usage (Energy) $11,324 $5,518 $548 $809 $397 $1,755...

AI summary The document presents a detailed breakdown of costs for the 'UNMETERED' class, including generation, transmission/distribution, and retail costs. It includes various cost categories such as fuel, operating, capital, return, and total costs, along with unit costs and quantities sold. The data is organized in a tabular format with multiple rows and columns representing different cost components.

CLASS : TOTAL COMPANY RATE BASE Variable Fuel Operating Capital Fixed Return Total Total Cost Units Sold Demand Unit Cost Energy Customer Generation (1) Usage (Energy) $1,537,126 $741,930.774 $75,193 $109,836 $53,952 $238,982 $980,913 10,5...

AI summary This document presents a detailed breakdown of the Total Company's financial and operational data, including generation, transmission, distribution, and retail components. It outlines various cost categories, revenue, and unit costs, providing a comprehensive overview of the company's operations for regulatory review.

DEVELOPMENT OF ALLOCATION FACTORS (1) TOTAL (2) (3) SMALL (4) (5) GENERAL (6) SMALL (7) MEDIUM (8) LARGE (9) (10) (11) (12) ALLOCATION (21) REVENUE COLLECTED - LESS UNMETERED (22) % RESPONSIBILITY 1,740,665,634 970,271,743 100.00% 55.74% 3...

AI summary The text presents a table discussing the development of allocation factors, including revenue collected, responsibility percentages, average customers, and revenue distribution across various categories such as small, general, medium, and large. The data highlights the distribution of responsibility and revenue across different segments.

FOR THE YEAR ENDING DECEMBER 31, 2026 (1) TOTAL (2) PROD. (3) TRANS. (4) DIST. (5) RETAIL (6) DIRECT (7) (24) CORP. SECRETARY (25) LEGAL SERVICES 0 1,882 11,405 3,161 11,405.2 5,043.0 - 0.373 8,005 3,744 1,753 368 1,062 853 585 78 11,405.2...

AI summary The document presents a detailed breakdown of various departments and their associated costs for the year ending December 31, 2026. It includes figures related to corporate secretary, legal services, external relations, regulatory affairs, finance, procurement, IT, human resources, and generation services.

REVENUE TO EXPENSE COMPARISON (1) TOTAL (2) TOTAL (3) UNIT COST (4) TOTAL (5) (6) (7) (231) POWER PRODUCTION - SOLAR (232) POWER PRODUCTION - LM6000 130.2 643.8 (233) POWER PRODUCTION - BIOMASS (234) POWER PRODUCTION - OTHER GAS TURBINE 6,...

AI summary The document presents a revenue to expense comparison table, highlighting various power production and purchased power expenses, including solar, biomass, gas turbines, and wind. It includes details on demand-side management (DSM) expenses and fuel procurement costs.

NOVA SCOTIA POWER INC. DETAILED LISTING OF C.O.S.S. INPUT INFORMATION FOR THE YEAR ENDING DECEMBER 31, 2026 (IN THOUSANDS OF DOLLARS) (374) (425) RTR PROD 9,075.0 9,075.0 0.000 (426) RTR TRANS 3,476.7 3,476.7 0.000 (427) RTR DIST 6,692.5 6...

AI summary This document provides a detailed listing of Cost of Service Study (COSS) input information for Nova Scotia Power Inc. for the year ending December 31, 2026, including revenue details, rate classes, and late payment charges across different categories.

(IN THOUSANDS OF DOLLARS) (1) TOTAL EXPENSES (2) PROD. EXPENSES (3) TRANS. EXPENSES (4) DIST. EXPENSES (5) RETAIL EXPENSES (6) DIRECT EXPENSES (74) GENERAL PROPERTY 67,944 18,180 12,835 28,324 6,242 2,362 (75) TOTAL DEPRECIATION 300,785 11...

AI summary The document presents a detailed financial summary, including expenses, depreciation, taxes, and non-operating revenues. It outlines various line items such as general property, interest, corporate taxes, and other financial components. The data is organized in a table format, showing figures in thousands of dollars.

DEMAND CLASSIFICATION (1) TOTAL (2) (3) SMALL (4) (5) GENERAL (6) SMALL (7) MEDIUM (8) LARGE (9) (9) (10) (11) ALLOCATION (16) TOTAL TRANSMISSION 158,791.15 102,209 5,419 28,120 3,214 2,947 3,390 5,762 4,771 2,199 760 (17) (18) DISTRIBUTIO...

AI summary The text presents a detailed breakdown of demand classification, including various categories such as transmission, distribution, operating and maintenance costs, depreciation, interest, taxes, and revenue. It includes figures for different demand classes and associated expenses and revenues, with references to exhibits and other documents.

CLASS : PHP CLASS : PHP RATE BASE COSTS (Source Exh 6) (Source Exh. 3) Variable Fuel Operating Capital Fixed Return Total Total Cost Units Sold Demand Unit Cost Energy Customer Generation (1) Usage (Energy) $43,157 $19,199 $2,111 $3,263 $1...

AI summary This document presents a detailed breakdown of costs and revenue for the Power House Program (PHP) in Nova Scotia, including generation, transmission/distribution, and retail components. It includes figures for fuel, operating, capital, and fixed return costs, as well as total costs and unit costs per kilowatt-hour.

REVENUE ANALYSIS FOR THE YEAR ENDING DECEMBER 31, 2027 (IN THOUSANDS OF DOLLARS) (1)

AI summary The document provides a revenue analysis for the year ending December 31, 2027, with data presented in thousands of dollars. However, the content is incomplete and lacks specific details about the revenue figures or analysis.

NOVA SCOTIA POWER INC. DEVELOPMENT OF ALLOCATION FACTORS EXPENSES EXPENSES EXPENSES EXPENSES EXPENSES EXPENSES ALLOCATOR (1) LABOUR O&M excluding HR, IT, PR, OTHER and direct 201,366 87,716 22,048 57,505 34,097 - (2) % RESPONSIBILITY 100.0...

AI summary The document presents a table detailing the allocation of expenses for Nova Scotia Power Inc., including labor, revenue requirement, net plant in service, insurance premiums, and compliance reporting across various categories such as production, transmission, distribution, and retail.

REDACTED 2026-2027 GRA U-4 Attachment 2 Page 93 of 99 NOVA SCOTIA POWER INC. DETAILED LISTING OF C.O.S.S. INPUT INFORMATION FOR THE YEAR ENDING DECEMBER 31, 2027 (IN THOUSANDS OF DOLLARS) (075) TOTAL DEVENUE OF ATL DATE OF ACCES EXPORT SAL...

AI summary The document provides a detailed listing of C.O.S.S. input information for Nova Scotia Power Inc. for the year ending December 31, 2027, including a line item for export sales totaling $1,960,026.

ƉƉĞŶĚŝdžϭͲ/K^ŬĞƚĐŚ:͘͘zĂƚĞƐ͕W͘ŶŐ͘ ^ŝŶĐĞƚŚĞĞĂƌůLJϭϵϴϬ͛Ɛ͕:͘͘zĂƚĞƐ͕W͘ŶŐ͘ŚĂƐĚĞǀĞůŽƉĞĚĂǁŝĚĞƌĂŶŐĞŽĨĞdžƉĞƌŝĞŶĐĞŝŶƐƚƌƵĐƚƵƌĂů͕ŚĞĂǀLJ ĐŝǀŝůĂŶĚŵƵůƚŝͲĚŝƐĐŝƉůŝŶĂƌLJĞŶŐŝŶĞĞƌŝŶŐƉƌŽũĞĐƚƐĞŶĐŽŵƉĂƐƐŝŶŐĐŽŶĐĞƉƚĚĞǀĞůŽƉŵĞŶƚ͕ĚĞƐŝŐŶ͕ĐŽŶƐƚƌƵĐƚŝŽŶ ƉůĂŶŶŝŶŐĂŶĚƐƵƉĞƌǀŝƐ...

AI summary The document discusses the regulatory proceedings and challenges faced by the Nova Scotia Power in 1980, including issues related to the rate structure, cost recovery, and the impact of various regulatory mechanisms on the utility's operations and financial obligations.

Nova Scotia Power Determination of Revenue Responsibilities by Rate Class May 2025 1 Apportionment of the revenue requirement; exclusive of the FAM, DSM and Storm Cost Recovery Riders (SCRR); among the rate classes is done through the Cost...

AI summary The document outlines the methodology for apportioning revenue requirements among rate classes in Nova Scotia Power's determination of revenue responsibilities by rate class for May 2025. It describes the three categories of customers (ATL, BTL, and Miscellaneous) and the steps involved in calculating revenue increases, including adjusting revenue to align with R/C ratios and eliminating surpluses.

REDACTED 1 For the purposes of providing this response, NS Power has updated the 2026-2027 cost of service 23 resulting customer-related factors do not fall 24 below zero. Only the Primary Customer 25 category from column (3) in Exh 3g was...

AI summary NS Power has updated the 2026-2027 cost of service study, adjusting customer-related factors and providing attachments with detailed information on class costs, revenue to cost ratios, and the R/C ratio setting process.

Nova Scotia Power Determination of Revenue Responsibilities by Rate Class May 2025 - Assign the above shortfall to the ATL classes by applying the following revenue allocation process corresponding to steps 1 through 5 in columns I to R. -...

AI summary The document outlines a process for allocating revenue responsibilities among different rate classes by adjusting revenue levels to align with specific revenue-to-cost (R/C) ratios. Adjustments are made to address shortfalls and surpluses, ensuring that all rate classes fall within a defined R/C ratio range, with specific adjustments for the PHP and Municipal classes.

Summary Unnamed: 0 NOVA SCOTIA POWER, INC. Unnamed: 2 Unnamed: 3 Unnamed: 4 Unnamed: 5 Unnamed: 6 Unnamed: 7 Unnamed: 8 Unnamed: 9 Unnamed: 10 Unnamed: 11 Unnamed: 12 Unnamed: 13 Unnamed: 14 Unnamed: 15 Unnamed: 16 Unnamed: 17 Unnamed: 18...

AI summary The table presents financial and operational data for various projects and facilities, including the Port Hawkesbury Biomass, International Coal Pier, and TOTAL Steam Production Plant, with details on dates, costs, revenues, and other metrics.

NON-CONFIDENTIAL 1 Undertaking U-16: 2 3 To advise why preferred share dividend amounts cannot be excluded from the regulated 4 financial statements or why they're not being excluded. 5 6 Response U-16: 7 8 In the Board's decision in relat...

AI summary The response to Undertaking U-16 explains that preferred share dividend amounts are not excluded from regulated financial statements because they are related to a Board-approved capital item (BESS Project) and not unregulated activities. This is in contrast to Part VI.1 tax deductions, which were excluded due to unregulated transactions with Emera.

and the amount by which the amount determined under subpara- graph (a)(i) or (ii), as the case may be, exceeds $15 million. (9) Subsection 127(10.3) of the Act is replaced by the following: Shared limit — associated CCPCs (10.3) If all of...

AI summary The text amends subsection 127(10.3) of the Act to introduce a shared limit for associated Canadian-controlled private corporations (CCPCs) and provides a revenue election for a single CCPC. This amendment allows associated CCPCs to allocate an expenditure limit among themselves, subject to certain conditions, and permits a single CCPC to elect its expenditure limit as if it were an eligible Canadian public corporation.

partnership or trust in which the corporation held an interest, and (ii) may include reasonable adjustments to reflect the annual revenue of the group as that of a single economic entity. (10) Section 127 of the Act is amended by renumberi...

AI summary The text outlines an amendment to Section 127 of the Act, introducing a formula to calculate the expenditure limit for eligible Canadian public corporations (ECPC), based on their annual revenue over a three-year period, with adjustments for consolidated groups.

for the year under subsection 93.4(2) by the corporation or by a partnership of which the corporation is a member (or of which the corporation is deemed to be a member under subsection 93.1(3)), (A) the portion of the FABI amount (within t...

AI summary The text discusses amendments to subsection 129(4) of the Act, specifically adding definitions related to the inclusion of income or loss from a source that is a property. It outlines conditions under which such income or loss is included or excluded, particularly in relation to active business operations.

an election that allows ment sans l’autorisation du ministre du Revenu national; electing members of a closely related group to treat certain supplies made between them as having been made for nil d) apporter des modifications techniques à...

AI summary The text outlines various provisions related to tax adjustments and reporting requirements for financial institutions, including allowing nil consideration for supplies within closely related groups, modifying income thresholds, and extending assessment periods under the imported taxable supply rules.

e, décrit the Income Tax Regulations, but excluding any au sous-alinéa d)(vii) de la catégorie 43.1 de l’an- equipment that is part of a system that extracts fos- nexe II du Règlement de l’impôt sur le revenu, à sil fuel for sale, l’exclus...

AI summary The text outlines modifications to the Income Tax Act and other legislation, specifically under Section 36, which includes exclusions for certain equipment such as fossil fuel extraction systems, concentrated solar energy equipment, and small modular nuclear reactors. These exclusions are defined in the Income Tax Regulations.

his sec- 127.47 (1) Les définitions qui suivent s’appliquent au tion. présent article. at-risk amount has the meaning assigned by subsection commanditaire S’entend au sens du paragraphe 96(2.4) 96(2.2). (fraction à risques) compte non tenu...

AI summary This text defines key terms related to financial provisions and legal structures, including 'at-risk amount' and 'clean economy allocation provision,' within the context of regulatory or legal proceedings.

Act is replaced by (2) Le paragraphe 227(7.1) de la même loi est rem- the following: placé par ce qui suit : Application for determination Demande de détermination (7.1) Where, on application under subsection (6.1) or (7.1) Si, après étude...

AI summary This text amends a legal provision regarding the process for determining the entitlement of a person to a payment made under Part XIII. It outlines the Minister's responsibility to review applications and determine the amount payable, if any, with due diligence and notify the applicant accordingly.

ncome Tax Act Loi de l’impôt sur le revenu Sections 65-66 Articles 65-66 (A) the Department of Employment and Social (A) du ministère de l’Emploi et du Développe- Development, the Department of Health or the ment social, du ministère de la...

AI summary The text discusses amendments to the Income Tax Act, specifically sections 65-66, which relate to the administration and enforcement of the Canadian Dental Care Plan under the Department of Health Act. It outlines the involvement of various government departments in the implementation of dental services for individuals.

ave come into (2) Le paragraphe (1) est réputé être entré en vi- force on January 1, 2022. gueur le 1er janvier 2022. 88 (1) The portion of Class 41 in Schedule II to 88 (1) Le passage de la catégorie 41 de l’annexe II the Regulations afte...

AI summary This text outlines a regulatory change related to Class 41 in Schedule II of the Regulations, effective January 1, 2022. It specifies that the portion of Class 41 following the heading 'Class 41' and preceding paragraph (a) has been replaced.

ave come into (2) Le paragraphe (1) est réputé être entré en vi- force on January 1, 2022. gueur le 1er janvier 2022. 89 (1) The portion of Class 41.1 in Schedule II to 89 (1) Le passage de la catégorie 41.1 de l’annexe the Regulations aft...

AI summary The text discusses a regulatory change to Class 41.1 in Schedule II of the Regulations, replacing a portion of the classification related to oil sands property. The amendment took effect on January 1, 2022.

ng a rate of exchange that is acceptable to en appliquant un taux de change que le ministre estime the Minister. acceptable. Short fiscal year — global revenue threshold Exercice court — seuil de revenu global 5 For the purposes of this Ac...

AI summary This text outlines provisions related to the calculation of a global revenue threshold for a short fiscal year and the continuity of a consolidated group under the relevant Act. The threshold is calculated using a formula that accounts for the number of days in the fiscal year, and the continuity of a consolidated group is defined based on the consistency of the ultimate parent entity.

médias sociaux; d) sources visées par règlement. Interpretation — revenue exclusion Exclusion du revenu (2) For the purpose of the definition social media ser- (2) Pour l’application de la définition de revenu prove- vices revenue in subse...

AI summary This section defines the exclusion of revenue from social media services for tax purposes. It specifies that certain types of revenue, as outlined in specific paragraphs of the legislation, are not included in the definition of social media services revenue.

saire du revenu, nommé au titre de l’article 25 de la Loi prise) sur l’Agence du revenu du Canada. (Commissioner) Commissioner means, except in sections 39, 105 and fonctionnaire Personne qui est ou a été employée par Sa 122, the Commissio...

AI summary The text defines the term 'Commissioner' under the Canada Revenue Agency Act and references the Fall Economic Statement Implementation Act, 2023, specifically Part 2 concerning the Digital Services Tax Act and Section 96.

services numériques Enactment of Act Édiction de la loi Section 96 Article 96 is deemed to be an amount that is payable by the person paiement ou en règlement d’une somme à payer en appli- at that time under this Act. In addition, Part II...

AI summary This text discusses the legal provisions related to the payment of charges under an Act, stating that such charges are deemed payable and that certain regulations do not apply to these charges. It also mentions the extinguishment of debts upon full payment.

sur cette obligation la somme qui serait par ailleurs rem- boursable et en aviser la personne. Restriction — unfulfilled filing requirements Restriction — non-respect des exigences de production 62 The Minister must not, in respect of a pe...

AI summary The text outlines a restriction on refunding or applying amounts under the Act until all required filings are submitted to the Minister. This applies to individuals and includes filings under various tax and regulatory acts.

Limitation period restarted Reprise du délai de prescription (6) The limitation period referred to in subsection (5) for (6) Le délai de prescription recommence à courir — et the collection of a tax debt of a person restarts (and ends, pre...

AI summary The limitation period for collecting a tax debt restarts on any day before it would otherwise end if the taxpayer acknowledges the debt, a refund is applied, the Minister commences collection action, or assesses another person related to the debt.

ments avec les créanciers des compagnies ou de la Loi sur la médiation en matière d’endettement agricole. Assessment before collection Cotisation avant recouvrement (10) The Minister may not take any collection action un- (10) Le ministre...

AI summary The text outlines regulations regarding the assessment and postponement of collection actions by the Minister under the Act, ensuring that collection measures are not taken until an amount has been assessed, and allowing for postponement of collection actions in cases of disputes.

services numériques Enactment of Act Édiction de la loi Section 96 Article 96 (a) to set out, as the amount payable by the debtor, a) d’une part, d’indiquer, comme montant payable par the total of amounts payable by the debtor without le d...

AI summary This text discusses the requirements for setting out the amount payable by a debtor, including the total amount and the rate of interest applicable to separate amounts payable to the Receiver General for Canada, without detailing specific rates or periods.

application de la présente loi n’est pas un texte réglemen- purposes of the Statutory Instruments Act. taire au sens de la Loi sur les textes réglementaires. Coming into force Entrée en vigueur (2) Subsection (1) comes into force on the da...

AI summary The text discusses the coming into force of a provision, which is set by order of the Governor in Council, not earlier than January 1, 2024. The Governor in Council must consider the intent of a 2021 statement on a two-pillar solution to address tax challenges from digitalization and Canada's preference for a multilateral approach.

e Act is replaced by the 105 (1) L’article 263.02 de la même loi est rempla- following: cé par ce qui suit : Restriction on rebate Restriction 263.02 A rebate under this Part shall not be paid to a 263.02 Le montant d’un remboursement prév...

AI summary This section amends the restriction on rebate payments, requiring that all required tax and other returns be filed with the Minister before a rebate can be issued under this Part.

aph (a) is replaced by the fol- même loi précédant l’alinéa a) est remplacé par lowing: ce qui suit : Re-appropriation of amounts Réaffectation de montants (2) If a particular amount was appropriated to an (2) Lorsqu’un montant est affecté...

AI summary The text outlines the re-appropriation of funds under various Acts, allowing the Minister to transfer amounts or parts of them from one payable amount to another, depending on the circumstances and the Acts involved.

123 (1) L’article 45 de la Loi sur la taxe sur cer- Act is replaced by the following: tains biens de luxe est remplacé par ce qui suit : Restriction on rebate Restriction — remboursements 45 A rebate under this Subdivision is not to be pai...

AI summary This section of the legislation modifies Article 45 to restrict rebates under the Luxury Goods Tax Act, requiring individuals to file all necessary returns with the Minister before receiving a rebate.

he Act is replaced by 126 (1) Le paragraphe 57(6) de la même loi est the following: remplacé par ce qui suit : Restriction — rebate of net tax Restriction — remboursement de la taxe nette (6) A rebate under subsection (4) is not to be paid...

AI summary The text discusses the replacement of a section of an Act, specifically modifying the rebate rules under subsection (4) by requiring individuals to file all required tax returns before receiving a rebate.

rence de cinq millions de dollars par licence, d’un amount of $5 million per licence, and tiers des droits visés à l’alinéa 160b) de la Loi, (ii) in any other case, be sufficient to ensure pay- (ii) sinon, garantir le paiement, jusqu’à con...

AI summary The text outlines a duty of $5 million per licence under the Act, applicable in cases where the amount of duty referred to in paragraph 160(b) is not covered by other means. This provision came into effect on April 1, 2023.

- million in 2027. This is calculated prior to adjusting for the $9 million of OM&G expense, which - has been removed from NS Power's revenue requirement per the terms of the GRA consensus - agreement reached with customer representatives.

AI summary The text discusses a revenue requirement adjustment for NS Power, noting a calculation of millions in 2027 before accounting for a $9 million OM&G expense removed per the GRA consensus agreement with customer representatives.

PARTIALLY CONFIDENTIAL MWh1 2024 Q2 2024 Q3 2024 Q4 2025 Q1 Surplus Energy NALCOR Bilateral Purchase Total MW Purchase Cost of Energy (in $ Million CAD) 2024 Q2 2024 Q3 2024 Q4 2025 Q1 Surplus Energy (EAA) NALCOR Bilateral Purchase Total E...

AI summary The document presents a table with financial data related to surplus energy and purchase costs from 2024 Q2 to 2025 Q1, including depreciation costs, financing costs, and total net benefits. The data shows fluctuations in financing costs and net benefits over time.

REDACTED 1 Undertaking U-25: 2 3 To advise how the numbers that are identified in Figure 2 of the Q1 2025 Maritime Links 4 Benefits Report confirm that Nova Scotia Power met the test to include the Maritime Link 5 Projects in rate base. 6...

AI summary The response addresses Undertaking U-25, which asks how the numbers in Figure 2 of the Q1 2025 Maritime Links Benefits Report confirm that Nova Scotia Power met the test to include the Maritime Link Projects in rate base. NS Power realized benefits from surplus and bilateral market energy, confirming it met the regulatory test. This is supported by paragraph 405 of the Board's February 3, 2023 Decision on the Company's 2023-2024 GRA (M10431).

DATE FILED: April 7, 2026 Page 3 of 28 1 2.0 COMPLIANCE FILING COMPONENTS 2 3 In addition to the information specifically addressed below and in the GRA decision, NS Power is 4 providing the following updated documents in support of this c...

AI summary This compliance filing by NS Power includes updated documents such as appendices, attachments, and financial statements to support the filing. The documents cover various components like OATT rates, distribution tariff calculations, and financial data related to earnings, balance sheets, and capital costs.

FO-13 – Average Rate Base – Deferred Charges and Credits 1  RB-01 – Plant In Service Continuity Schedule 2  RB 02-16 – Rate Base Table 3  DA-02 - Accumulated Reserve for Depreciation 4  DA-03 – Amortization Expense 5  OR-01 – Proof of...

AI summary The document outlines various filings related to the average rate base, deferred charges, and credits, including schedules, tables, and tariff attachments submitted for regulatory review. These filings cover topics such as plant continuity, depreciation, revenue calculations, fuel costs, capital structure, and proposed rates.

1 3.0 REVISIONS TO REVENUE REQUIREMENT 2 3 3.1 OM&G Reduction 4 5 The NSEB determined in section 3.3.1.1 of the GRA decision that there should be a reduction of 6 $8 million in each of the two test years (in addition to the $9 million OM&G...

AI summary The Nova Scotia Energy Board (NSEB) mandated reductions in Operating, Maintenance, and General (OM&G) expenses for NS Power Inc. (NS Power) in the context of revenue requirement calculations for 2026 and 2027. These reductions, totaling $8 million per year, were applied to specific departments and resulted in a decrease in revenue requirement by $144,859 in 2026 and $149,204 in 2027. The Board also confirmed limits on executive compensation recoverable in rates.

5 3.5 Addition of Maritime Link Transmission Assets to Rate Base 6 7 At paragraphs 374-375 of the GRA decision, the Board noted that NS Power met the test for 8 inclusion of the Maritime Link transmission projects in rate base, and that in...

AI summary The Nova Scotia Energy Board (NSEB) has approved the addition of Maritime Link transmission assets to the rate base, effective on a go-forward basis. The inclusion is based on the net book value of these assets as of the date of the Board's Order. NS Power proposed adding these assets to the Property, Plant & Equipment (PP&E) balance as of January 1, 2026, with changes reflected in various schedules for the calculation of the 2026 rate base and revenue requirement.

28 1 3.9 Amendments Arising from GRA IR Process 2 3 In CA IR-1, IG IR-1, and Renewall IR-7, NS Power advised that it would address specific items 4 as part of the GRA compliance filing. 5 6 CA IR-1 contained the following response from NS...

AI summary The document discusses amendments to the interruptible credit for PHP, resulting in a reduction of annual credits by approximately $0.9 million in 2026 and $0.8 million in 2027. The correction of the power factor from 1.02 to 10.6 in 2027 partially offsets this reduction by $0.2 million, leading to a net reduction of $0.6 million in 2027. These changes will slightly affect the costs of service for other rate classes once redistributed in the COSS.

1 3.10.1 Fuel Adjustment Mechanism (FAM) Tariff - 2 On December 18, 2025, NS Power applied for approval to extend the existing FAM Actual - 3 Adjustment (AA) and Balance Adjustment (BA) riders on an interim basis. The FAM BA rider - 4 (M11...

AI summary NS Power applied for an interim extension of the Fuel Adjustment Mechanism (FAM) Actual Adjustment (AA) and Balance Adjustment (BA) riders in December 2025. The Board approved the continuation of these riders until further order. The FAM Tariff in the compliance filing removes the AA rider amounts related to the Maritime Link FLG and retains the BA rider for collecting $117 million on behalf of Invest Nova Scotia. Unmetered rates were corrected in the filing.

25 3.10.5 Storm Cost Recovery Rider (SCRR) - 26 At section 4.2 of the GRA decision the NSEB approved the proposed continuation of the Storm - 27 Rider pilot for the GRA test period with the change to include the added symmetrical component...

AI summary The document discusses the continuation of the Storm Cost Recovery Rider (SCRR) pilot under the General Rate Adjustment (GRA) decision, with modifications to include a symmetrical component. The 2026 and 2027 SCRR rider values are set to zero, and the 'Rates for 2025' table has been removed from the SCRR Tariff.

1 3.11 Rate Changes 2 - 3 Standardized filing FO-9 includes the revenue requirement and rate increase breakdown. For ease - 4 of reference, that information is provided below. The standardized filing FO-9 in the GRA referred - 5 to three f...

AI summary The document references the Standardized filing FO-9 in the GRA, which includes revenue requirement and rate increase breakdown, and refers to three figures in the Application (11-1, 14-2 and 14-3).

8 Category 2026 ($ Million) 2027 ($ Million) Fuel & Purchased Power 916.8 916.6 OM&G 343.7 349.8 Demand Side Management Expense 63.8 63.8 Depreciation and Accretion 282.1 300.8 Taxes (including grants-in-lieu of property taxes) 29.6 55.9 R...

AI summary The table presents financial figures for various categories in 2026 and 2027, including fuel and purchased power, OM&G, demand side management expense, depreciation, taxes, regulatory amortization, interest expenses, return on equity, revenue requirement, and other revenue sources.

3.2.11 Grid Sales Revenue Revenue from power exports net of any transmission tariffs and losses. This includes Renewable Energy Credits arising out of the sale of renewable energy in the New England market.

AI summary This section discusses Grid Sales Revenue, which includes revenue from power exports after accounting for transmission tariffs and losses, as well as Renewable Energy Credits from renewable energy sales in the New England market.

417300 REG GRID SALES REVENUE 503200 REG NATURAL GAS REVENUE 503250 REG NATURAL GAS REVENUE FX 503300 REG WIND RECEIVABLES PURCHASED POWER 503350 REG WIND RECEIVABLES FUEL FOR GENERATION 535850 MISC REVENUE These revenues will offset FAM-e...

AI summary The document outlines various revenue streams, including grid sales, natural gas, wind receivables, and miscellaneous revenue, which are intended to offset FAM-eligible fuel and purchased-power costs.

ce Adjustment (Refund)/Recovery Rate – BA' and the 'Actual Sales' for the current period. Base Cost of Fuel Component – BCF: is the Base Cost of Fuel per kWh (¢/kWh) included in NS Power's rates. Business Day: is any day other than a Satur...

AI summary This section defines key terms and components used in the General Rate Application (GRA) process, including the Base Cost of Fuel Component (BCF), Fuel Adjustment Mechanism (FAM), and Compliance Filing. It outlines how fuel costs are recovered and how export sales are accounted for in NS Power's rate structure.

3.2 Allowable Fuel and Purchased-Power Costs This section of the POA provides a framework for the fuel and purchased-power costs eligible for recovery through the FAM. Those costs will include allowable fuel expenses plus purchased-power e...

AI summary This section outlines the framework for allowable fuel and purchased-power costs eligible for recovery through the Fuel Adjustment Mechanism (FAM), including normal, recurring expenses and adjustments for discrepancies in fuel quantities. These costs are subject to audit and approval by the Nova Scotia Utility and Review Board.

3.2.11 Grid Sales Revenue Revenue from power exports net of any transmission tariffs and losses. This includes Renewable Energy Credits arising out of the sale of renewable energy in the New England market.

AI summary This section discusses grid sales revenue, which includes revenue from power exports after accounting for transmission tariffs and losses, as well as Renewable Energy Credits from sales in the New England market.

3.2.13 Miscellaneous Revenue and Recoveries Page 20 of 33 Revenues from joint partnerships in wind farms (including the cost of NS Power's ownership which is applied to purchased power) and any other fuel-related miscellaneous revenues. Th...

AI summary This section outlines miscellaneous revenues, including steam sales to Port Hawkesbury Paper and Trenton Generating station, and revenues from joint partnerships in wind farms. These revenues are recorded in specific accounts related to power exports, natural gas resales, and other fuel-related activities.

3.2.17 GHG Emission Compliance Program Costs - The cost of emission allowances (Fund cCredits) under the Nova Scotia Cap-and- Trade program and GHG Output Based Pricing System (OBPS) emissions compliance programs. - Transaction fees for pu...

AI summary The text outlines the costs associated with GHG emission compliance programs, specifically the Nova Scotia Cap-and-Trade program and the GHG Output Based Pricing System (OBPS), including the costs of emission allowances and transaction fees for their purchase or sale.

5.0 AUDIT AND OVERSIGHT The amounts charged through the FAM shall be subject to periodic audit to assure completeness and accuracy and to assure fuel and purchased power costs were incurred reasonably and prudently. The results of any audi...

AI summary The Fuel Adjustment Mechanism (FAM) amounts are subject to periodic audit to ensure accuracy and reasonableness of fuel and purchased power costs. Audit results may influence future FAM hearings, adjustments to existing balances, or General Rate Cases, based on findings.

tion Costs: That portion of GRLF Revenue represented by the $5/MWh adder of that tariff. GRLF Requirements: The energy requirement of the Generation and Load Following (GRLF) Rate, including losses. Net Generation by Fuel Type: a financial...

AI summary The text defines various financial and operational terms related to fuel adjustment mechanisms, generation and load following rates, and balancing account balances. It describes how fuel costs are tracked, adjusted, and recovered through mechanisms such as the Fuel Adjustment Mechanism (FAM), and outlines the components of the Balancing Account (BA).

ADJUSTMENTS Subject to NS Power making application for recovery of costs through the Storm Cost Recovery Rider (SCRR), this Rider will provide for recovery of actual Level 3 and Level 4 storm costs as defined in the Company's Emergency Ser...

AI summary The Storm Cost Recovery Rider (SCRR) allows NS Power to recover actual Level 3 and Level 4 storm costs exceeding those included in its revenue requirement, as approved by the Nova Scotia Energy Board. Any underspend is tracked until a $2.5 million threshold or three consecutive years, after which it is returned to customers. Eligible storm costs are capped at 2% of annual forecast retail revenues.

REDACTED (CONFIDENTIAL INFORMATION REMOVED) REDACTED 2026-2027 GRA Compliance Filing - SR-01 Attachment 2 Page 1 of 100 NOVA SCOTIA POWER INC. 2026 COST OF SERVICE STUDY ANALYSIS REFERENCE GUIDE EXHIBIT

AI summary This document is a 2026 Cost of Service Study Analysis Reference Guide from Nova Scotia Power Inc., part of a compliance filing for the GRA (likely the Greenhouse Gas Reduction Act) and includes an exhibit. It outlines the structure and content of the study.

COMPARISON OF REVENUE TO EXPENSE RATIOS 1 FUNCTIONALIZATION OF AVERAGE RATE BASE 2 INITIAL CLASSIFICATION OF AVERAGE RATE BASE 2A FINAL CLASSIFICATION OF AVERAGE RATE BASE 2B ALLOCATION OF AVERAGE RATE BASE 3 ALLOCATION OF AVERAGE DISTRIBU...

AI summary The document outlines various sections related to the analysis of revenue and expense ratios, functionalization of rate bases, classification and allocation of investments in distribution infrastructure, and the breakdown of operating expenses. It includes detailed sections on transmission, distribution, customer service, credit services, depreciation, and storm-related expenses.

-6,244 0 0 0 0 0 -6,244 0 0 (33) DEF. CR. - Other -29,365 0 0 16,077 -16,077 0 -13,288 -16,077 0 (34) DEF. CR. - COST OF REMOVAL LIABILITY (COR) 10,587 0 0 -5,796 5,796 0 4,791 5,796 0 (35) CONTRACT RECEIVABLE 0 93,310 0 0 0 0 0 93,310 0 (...

AI summary The text presents a series of financial line items and balances, including deferred credits, cost of removal liability, contract receivables, and subtotals related to generation and transmission functions. The data appears to be part of a financial statement or regulatory filing.

-0 0 0 0 0 0 -0 0 0 (57) SUB-TOTAL 0 0 0 0 0 0 0 0 0 (58) (59) Transmission - HV 0 0 0 0 0 0 0 0 0 REDACTED (CONFIDENTIAL INFORMATION REMOVED) REDACTED 2026-2027 GRA Compliance Filing - SR-01 Attachment 2 Page 8 of 100 EXHIBIT 2B PAGE 2 of...

AI summary This document is a redacted portion of a compliance filing related to the Greenhouse Gas Reduction Act (GRA) for the year ending December 31, 2026. It includes a classification of average rate base for Nova Scotia Power Inc. and appears to be part of a regulatory proceeding.

RETAIL FUNCTION 206,880 159,476 10,726 21,149 2,247 2,741 4,151 4,120 0 773 1,498 (40) (41) TOTAL CUSTOMER 986,728 856,005 50,339 47,671 2,301 7,755 4,583 4,214 2 787 13,069 (42) (43) TOTAL AVE. RATE BASE $5,563,003 $3,597,678 $206,225 $92...

AI summary The text presents a table showing the allocation of average distribution rate base for Nova Scotia Power Inc. for the year ending December 31, 2026, with various line items and totals listed in thousands of dollars. The information is part of a redacted compliance filing under the Greenhouse Gas Reduction Act (GRA).

0 7 (67) SMART METER OPERATIONS CENTER (SMOC) - 27 (68) METER SERVICES - FIELD 1 24 (69) ELECTRICAL WIRING INSPECTION - FIELD 2 77 (70) REVENUE OPS ADMIN - - (71) CREDIT SERVICES - - (72) BAD DEBT EXPENSE 2 84 (73) MARKETING & SALES - - (7...

AI summary The text lists various operational and financial categories with associated numbers, including revenue operations, credit services, bad debt expenses, and customer service totals, providing an overview of different departments and their financial contributions.

ABOVE-THE- BELOW-THE- LINE RATE LINE RATE TOTAL CLASSES CLASSES (1) OPERERATION & MAINTENANCE (2) DIRECT 22,328 723 23,051 (3) NON-DIRECT 13,882 450 14,331 (4) (5) TOTAL OPER. & MAINT. 36,210 1,173 37,383 (6) DEPRECIATION (7) DIRECT 25,397...

AI summary The text presents a financial breakdown of operational and maintenance costs, depreciation, taxes, interest, and retained earnings, categorized into above-the-line and below-the-line line rate classes. It includes figures for direct and non-direct costs, corporate tax, regulatory amortization, grants, and interest totals.

0 - (23) REG. AFFAIRS - ADVOCACY EXPENSE 132 132 0 - (24) GRANTS IN LIEU OF TAXES 9,019 9,019 0 - (25) Depreciation: (26) TRANSMISSION 25,397 25,397 0 - (27) GENERAL PROPERTY 10,436 10,436 0 - (28) (29) INTEREST NET OF AFUDC 23,683 23,683...

AI summary The text presents financial data related to regulatory affairs, depreciation, interest, taxes, and revenue for a transmission system. It includes line items such as advocacy expenses, grants in lieu of taxes, and corporate taxes, with totals provided for the period.

0 0 6,250.7 (17) INTEREST NET OF AFUDC 5,138 0 0 5,137.9 (18) (19) PREFERRED DIVIDENDS 0 0 0 - (20) CORPORATE TAXES -384 0 0 (384.4) (21) Non-Operating Revenue: (22) LATE PAYMENT CHARGE (5,743.1) 0 0 (5,743.1) (23) CONNECTION CHARGES AND M...

AI summary The text presents a financial summary, including interest, preferred dividends, corporate taxes, and various non-operating revenues and expenses. It includes line items such as late payment charges, connection charges, and retail sales. The total retail revenue and total net expenses are also listed.

0 0 0 0 0 0 0 0 0 0 0 P-14 (23) CORPORATE TAXES -1,862 -1,196 -61 -331 -38 -34 -44 -68 -56 -26 -9 P-14 (24) Non-Operating Revenue: (25) STEAM AND ASH SALES -1,293 -830 -43 -231 -26 -24 -30 -47 -39 -18 -6 O-8 (26) OTHER REVENUE -868 -557 -2...

AI summary The text presents a financial summary with various line items including corporate taxes, non-operating revenue from steam and ash sales, and other revenue. It also includes return (profit/loss), interrider demand adjustment, allocation of interrider demand adjustment, ELI 2P-RTP demand adjustment, and allocation of ELI 2P-RTP demand adjustment with associated figures and codes.

-42 -64 -53 -25 -8 P-15B (9) Non-Operating Revenue: (10) FCR DEFERRAL 0 0 0 0 0 0 0 0 0 0 0 P-15B (11) OTHER REVENUE -277 -178 -9 -49 -6 -5 -6 -10 -8 -4 -1 O-9B (12) RETURN (PROFIT/LOSS) 33,529 21,540 1,100 5,967 680 611 786 1,220 1,005 46...

AI summary The text presents financial data related to non-operating revenue, including FCR deferral, other revenue, and return (profit/loss) for various periods. It also includes total figures for EHV, transmission, and distribution, along with operating and maintenance costs and advocacy expenses.

0 P-18B (55) Non-Operating Revenue: (56) FCR DEFERRAL 0 0 0 0 0 0 0 0 0 0 0 P-18B (57) OTHER REVENUE 0 0 0 0 0 0 0 0 0 0 0 O-12B (58) RETURN (PROFIT/LOSS) 0 0 0 0 0 0 0 0 0 0 0 P-18B (59) (60) TOTAL - EHV 0 0 0 0 0 0 0 0 0 0 0 (61) (62) TO...

AI summary The document presents a table showing non-operating revenue, fuel-cost-recovery deferral, and other revenue, with all values listed as zero, followed by a section on total energy with monetary figures. The exhibit is part of a compliance filing related to GRA and is redacted for confidentiality.

($7.638) ($0.764) ($8.402) (14) Priority Interruption Demand Adjustment Calculation (15) (16) Sum of Monthly Demands in KVAs (at the Meter) 727,660 (17) Int Credit Amount - PHP 555.795 REDACTED (CONFIDENTIAL INFORMATION REMOVED) REDACTED 2...

AI summary The document contains a rate class disaggregation analysis by functional areas for Nova Scotia Power Inc. for the year ending December 31, 2026. It includes financial figures and calculations related to demand adjustments and exhibits a portion of a compliance filing under the Greenhouse Gas Emissions Regulations.

ist. (Customer) 39,613 0 2,458 3,632 1,393 7,482 7,482 329,312 $22.721 (16) Total Distribution 79,659 0 3,156 7,501 2,801 13,458 13,458 $7.978 - $22.721 (17) Total Transmission/Distribution $110,933 $0 $4,340 $9,691 $3,900 $17,931 $17,931...

AI summary The text presents a table with various financial and operational metrics, including customer counts, costs, and revenue figures. It includes rows for distribution, transmission, and customer-related costs, as well as unit costs and marketing expenses. The data appears to be part of a regulatory proceeding related to utility operations and financial reporting.

. (Customer) 95 0 3 9 3 15 15 434 $34.864 (16) Total Distribution 11,313 0 304 1,089 398 1,790 1,789.93 $1.541 - $34.864 (17) Total Transmission/Distribution $46,001 $0 $1,606 $3,517 $1,617 $6,740 $6,740 $5.840 - $34.864 (18) kW.h Sold 697...

AI summary The text presents a table with financial and operational data related to distribution, transmission, and customer activities, including costs, quantities, and revenue figures. It includes entries such as kW.h sold, unit costs, customer-related expenses, and marketing costs.

(26) Unit Cost ($/month) $9,832.726 $9,832.726 $9,832.726 $4.148 8.893 $25.375 (27) TOTAL $170,894 $59,748 $8,585 $7,012 $6,009 $21,605 $81,353 (28) Unit Cost (cents/kW.h) 7.371 1.059 0.865 0.741 2.665 10.037 REDACTED (CONFIDENTIAL INFORMA...

AI summary This document presents a rate class disaggregation analysis for Nova Scotia Power Inc. for the year ending December 31, 2026, including unit costs and total figures for various categories, as part of a compliance filing related to the Greenhouse Gas Emissions Regulations.

RATE CLASS DISAGGREGATION ANALYSIS FOR THE YEAR ENDING DECEMBER 31, 2026 CLASS : UNMETERED RATE BASE COSTS (Source Exh 6) Variable Fixed Unit Cost Fuel Operating Capital Return Total Total Cost Units Sold Demand Energy Customer Generation...

AI summary The document presents a rate class disaggregation analysis for the year ending December 31, 2026, focusing on the 'Unmetered' rate class. It details variable and fixed costs, including fuel, operating, capital, and return costs, along with unit costs and energy requirements for generation, transmission, and distribution.

0 13,257 0 0 13,257 13,257 6,478,208 0.000 0.000 $2.046 (24) Total Retail $206,880 $0 $22,722 $11,432 $7,274 $41,428 41,428 6,478,208 0 - $6.395 (25) Total Customers x 12 months 6,478,208 6,478,208 6,478,208 (26) Unit Cost ($/month) $3.508...

AI summary This document contains financial data and unit cost information related to a regulatory proceeding, including total retail figures, customer counts, and unit costs. Specific details are redacted, and the context suggests compliance with the Greenhouse Gas Emissions Regulations (GRA) for the 2026-2027 period.

325 0 95 1,243 P-1 (39) UNDERGROUND LINES 814 683 38 58 4 7 6 3 0 1 13 P-1 (40) LINE TRANSFORMERS 0 0 0 0 0 0 0 0 0 0 0 D-1 (41) METERS 11,487 8,715 1,016 949 33 145 59 51 42 1 477 P-6 (42) COMMUNICATIONS 0 0 0 0 0 0 0 0 0 0 0 D-2A (43) ST...

AI summary The text presents a table of distribution costs categorized by items such as underground lines, line transformers, meters, and street lighting, with associated figures for different years and categories. It also references a redacted 2026-2027 GRA Compliance Filing.

(3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14) (15) (16) (17) (18) REVENUE TO COST RATIOS STORM COSTS STORM REVENUE

AI summary The text presents tables related to revenue to cost ratios, storm costs, and storm revenue, likely providing financial data analysis for a regulatory proceeding in Nova Scotia.

TO COST RATIOS STORM COSTS STORM REVENUE

AI summary The text presents three financial categories: 'TO COST RATIOS', 'STORM COSTS', and 'STORM REVENUE', which likely relate to cost analysis, storm-related expenses, and revenue generated from storm-related activities or events.

1 1 2 (21) TOTAL NA NA NA NA NA 24,748 NA NA 0 NA NA 251 14,899 10,100 24,999 15,094 10,232.6 25,327 REDACTED (CONFIDENTIAL INFORMATION REMOVED) REDACTED 2026-2027 GRA Compliance Filing - SR-01 Attachment 2 Page 60 of 100 EXHIBIT 7 NOVA SC...

AI summary This exhibit presents a revenue analysis for Nova Scotia Power Inc. for the year ending December 31, 2026, detailing revenue by different rate classes, including domestic, general, industrial, and others, with totals provided in thousands of dollars.

4) % RESPONSIBILITY 100.00% 81.47% 5.48% 6.40% 0.45% 0.86% 0.65% 0.68% 0.59% 0.05% 3.36% C-3 (15) CUSTOMER SECONDARY 539,613 488,926 27,443 11,240 0 2,102 0 0 0 0 9,903 (16) % RESPONSIBILITY 100.00% 90.61% 5.09% 2.08% 0.00% 0.39% 0.00% 0.0...

AI summary The text presents a series of tables with percentages of responsibility and numerical data related to customer bills and revenue collected, with some entries marked as confidential. These tables appear to be part of a regulatory proceeding involving financial and operational metrics.

5) % RESPONSIBILITY 100.00% 90.35% 5.20% 2.13% 0.00% 0.40% 0.03% 0.01% 0.00% 0.00% 1.88% C-7 (26) NUMBER OF BILLIS 472,080 199,098 130,997 243 20,815 2,222 414 12 - 118,279 (27) % RESPONSIBILITY 100.00% 0.00% 42.17% 27.75% 0.05% 4.41% 0.47...

AI summary The text contains tables with percentages of responsibility and numbers of bills across various categories, along with revenue figures and wiring inspection cost allocators. Some entries are redacted due to confidentiality.

OINCIDENT LINE COIN. PEAK COINCIDENT SALES LOSSES REQUIREMENT DMD. (KW) FACTOR DMD. (KW) LOSSES DMD. (KW) L/D FACTOR ( 1) DOMESTIC 327,490 7.98% 353,638 763,048 87.6% 668,458 9.28% 730,459 65.07% ( 2) SMALL GENERAL 24,363 7.94% 26,296 50,4...

AI summary The text provides a detailed breakdown of electricity demand, losses, and requirement factors across various customer categories in Nova Scotia, including domestic, industrial, and municipal sectors, along with a sub-total summary of the data.

% -0.09% 7.82% 2.43% 4.22% REDACTED (CONFIDENTIAL INFORMATION REMOVED) REDACTED 2026-2027 GRA Compliance Filing - SR-01 Attachment 2 Page 88 of 100 EXHIBIT 10 NOVA SCOTIA POWER INC. REVENUE TO EXPENSE COMPARISON FOR THE YEAR ENDING DECEMBE...

AI summary The document presents a revenue to expense comparison for Nova Scotia Power Inc. for the year ending December 31, 2026, showing a variance of -0.8% in total operating expenses compared to the CA IR-001 standard.

8,575 0 (243) GEN-RELATED TRANS ASSETS 3,169.0 3,169 0 (244) (245) TOTAL GENERATION 99,533.7 (246) REDACTED (CONFIDENTIAL INFORMATION REMOVED) REDACTED 2026-2027 GRA Compliance Filing - SR-01 Attachment 2 Page 94 of 100 NOVA SCOTIA POWER I...

AI summary The text presents a detailed listing of C.O.S.S. input information for Nova Scotia Power Inc. for the year ending December 31, 2026. It includes financial figures related to generation-related transactions and total generation costs.

1,825,306.19 1,825,306.19 1,825,306.19 $37,511 (352) (0.000) #REF! #REF! (353) EXPORT SALES - (354) FX Interest (355) (356) FX COST REVENUE OF BTL RATE CLASSES Var (357) SHORE POWER PROD 19.116 19.116 0.000 (358) SHORE POWER TRANS - - 0.00...

AI summary The text presents a financial table with various line items, including shore power, generation replacement, and ELIADC, with associated costs and revenues across different categories such as production, transmission, distribution, and retail. Some entries show variances and include numerical values, while others are marked as zero or not applicable.

0.000 (390) RTR TRANS 3,400.180 3,400.180 0.000 (391) RTR DIST 6,673.861 6,673.861 0.000 (392) RTR RETAIL 737.648 19,835.4 737.648 19,835.4 0.000 (393) Total 24,694.546 (0.000) 24,694.546 24,694.5 0.000 0.0 (394) (395) TOTAL REVENUE OF BTL...

AI summary The text presents a table with various revenue and cost entries, including line items such as 'RTR', 'DIST', 'RETAIL', and 'ELIADC', along with numerical values and some references to programs and systems like 'OATT' and 'EBS'. The data seems to be related to regulatory financial reporting.

Line # AVERAGE RATE BASE RATE BASE RATE BASE 2025 2026 (515) REVENUE TO COSS RATIO (2023 COSS) (516) DOMESTIC 97.630 (517) SMALL GENERAL 97.140 (518) GENERAL 105.000 (519) LARGE GENERAL 104.010 (520) SMALL INDUSTRIAL 99.660 (521) MEDIUM IN...

AI summary The text presents data on average rate base and billed revenue for different customer classes in 2024, including the number of bills and revenue figures for residential, general, industrial, and municipal customers.

COMPARISON OF REVENUE TO EXPENSE RATIOS 1 FUNCTIONALIZATION OF AVERAGE RATE BASE 2 INITIAL CLASSIFICATION OF AVERAGE RATE BASE 2A FINAL CLASSIFICATION OF AVERAGE RATE BASE 2B ALLOCATION OF AVERAGE RATE BASE 3 ALLOCATION OF AVERAGE DISTRIBU...

AI summary The document outlines various sections related to the analysis and allocation of revenue, expenses, and rate bases within a regulatory proceeding. It includes topics such as the classification and allocation of average rate bases, operating expenses, and storm-related expenses and revenue.

6C ALLOCATION OF DEPRECIATION EXPENSES 6D STORM EXPENSES AND REVENUE 6E REVENUE ANALYSIS 7 DEVELOPMENT OF ALLOCATION FACTORS 8A & 8B & 8C SALES, GENERATION AND DEMAND ANALYSIS 9A DETERMINATION OF CLASS NON-COIN. KW DEMAND BY VOLTAGE LEVEL...

AI summary The document presents a summary of revenue to expense recovery ratios for different customer classes in 2026 and 2027, showing proposed rates. Domestic customers have a slightly lower ratio compared to other classes, while most industrial and general classes have similar ratios.

27 (71) ELECTRICAL WIRING INSPECTION - FIELD 2 88 (72) REVENUE OPS ADMIN - - (73) CREDIT SERVICES - - (74) BAD DEBT EXPENSE 2 95 (75) MARKETING & SALES - - (76) METER SERVICES - INSPECTORS - - (77) TOTAL CUSTOMER SERVICE 9 557 REDACTED (CO...

AI summary The text contains a list of financial and operational categories, including revenue operations, credit services, bad debt expense, marketing and sales, meter services, and total customer service, along with associated costs. It also mentions a redacted compliance filing related to GRA for the period 2026-2027.

EREST NET 154,226 64,106 29,258 51,096 4,136 5,630 (78) PREFERRED DIVIDENDS 0 0 0 0 0 0 (79) CORPORATE TAXES 10,114 4,204 1,919 3,351 271 369 (80) (81) TOTAL EXPENSES $1,765,210 $1,226,710 $117,864 $281,294 $52,682 $86,660 (82) (83) NON-OP...

AI summary The text presents financial data including net earnings, preferred dividends, corporate taxes, and total expenses. It also includes non-operating revenue items such as late payment charges, connection charges, NSF fees, and others. These figures provide insight into the financial operations and revenue streams of the entity.

ABOVE-THE- BELOW-THE- LINE RATE LINE RATE TOTAL CLASSES CLASSES (1) OPERERATION & MAINTENANCE (2) DIRECT 20,472 960 21,432 (3) NON-DIRECT 14,284 670 14,954 (4) (5) TOTAL OPER. & MAINT. 34,756 1,631 36,387 (6) DEPRECIATION (7) DIRECT 28,741...

AI summary The text presents a financial breakdown of operational and maintenance costs, depreciation, taxes, interest, and retained earnings, categorized into above-the-line and below-the-line line items. The total amount is reported as $165,253.

- (18) REG. AFFAIRS - ADVOCACY EXPENSE 1,344.8 648 697 - (18) GRANTS IN LIEU OF TAXES 21,162 10,198 10,964 - (19) Depreciation: (20) STEAM 48,024 23,144 24,881 - (21) HYDRO 16,631 8,015 8,616 - (22) WIND 12,844 6,190 6,654 - (23) LM6000 7,...

AI summary The text presents a financial summary of a regulatory proceeding, including advocacy expenses, grants, depreciation across various energy sources, interest, taxes, non-operating revenue, and total generation costs. It outlines a range of financial figures and categories relevant to the proceeding.

(30) Streetlights: (31) OPERATING & MAINT. 831 0 0 0 0 0 0 0 0 0 831 EXH 6A (32) GRANTS IN LIEU OF TAXES 318 0 0 0 0 0 0 0 0 0 318 P-9A (33) Depreciation 4,757 0 0 0 0 0 0 0 0 0 4,757 EXH 6D (34) INTEREST NET OF AFUDC 912 0 0 0 0 0 0 0 0 0...

AI summary The text provides a detailed breakdown of various financial and operational figures related to streetlights, including operating and maintenance costs, depreciation, interest, taxes, and returns. These figures are listed with corresponding numbers and references to exhibits and pages.

451 290 P-17 (21) PREFERRED DIVIDENDS 0 0 0 0 0 0 0 0 0 0 0 P-17 (22) CORPORATE TAXES 2,430 1,277 88 533 86 62 101 164 71 30 19 P-17 (23) Non-Operating Revenue: (24) EXPORT SALES 0 - - - - - - - - - - See BCF File (25) STEAM AND ASH SALES...

AI summary The text presents financial data, including preferred dividends, corporate taxes, non-operating revenue from export sales, steam and ash sales, and other revenue. It also includes return figures and total generation numbers, with some entries referencing external files or orders.

RATE CLASS DISAGGREGATION ANALYSIS FOR THE YEAR ENDING DECEMBER 31, 2027 CLASS : GENERAL RATE BASE COSTS (Source Exh 6) (Source Exh. 3) Variable Fixed Unit Cost Fuel Operating Capital Return Total Total Cost Units Sold Demand Energy Custom...

AI summary This document presents a rate class disaggregation analysis for the year ending December 31, 2027, focusing on the General rate class. It details various costs, including fuel, operating, capital, return, and total costs, along with units sold, demand, and energy metrics for generation, reliability, and total generation.

RATE CLASS DISAGGREGATION ANALYSIS FOR THE YEAR ENDING DECEMBER 31, 2027 CLASS : MEDIUM INDUSTRIAL RATE BASE COSTS (Source Exh 6) (Source Exh. 3) Variable Fixed Unit Cost Fuel Operating Capital Return Total Total Cost Units Sold Demand Ene...

AI summary This document provides a rate class disaggregation analysis for the Medium Industrial class as of December 31, 2027, detailing rate base, costs, and unit costs associated with generation, including energy and reliability components.

t. (Customer) 3 0 0 0 0 0 0 12 $36.538 (16) Total Distribution 3 0 0 0 0 0 0 $0.000 - $36.538 (17) Total Transmission/Distribution $34,860 $0 $1,031 $2,500 $1,212 $4,743 $4,743 $2.150 - $36.538 (18) kW.h Sold 0 304,283 304,283 304,283 304,...

AI summary The text presents a detailed breakdown of financial data related to distribution, transmission, and customer accounts, including costs, revenues, and other financial metrics. The data includes figures for kW.h sold, unit costs, and various customer-related charges and credits.

RATE CLASS DISAGGREGATION ANALYSIS FOR THE YEAR ENDING DECEMBER 31, 2027 CLASS : UNMETERED RATE BASE COSTS (Source Exh 6) Variable Fixed Unit Cost Fuel Operating Capital Return Total Total Cost Units Sold Demand Energy Customer Generation...

AI summary This document provides a rate class disaggregation analysis for the year ending December 31, 2027, focusing on the 'Unmetered' rate class. It includes details on variable and fixed costs, unit costs, and energy and demand metrics for generation, transmission, and distribution.

0 (10) UNMETERED 487 0 487 (11) TOTAL $10,009 $2,373 $7,636 ALLOCATION FACTOR C-6 C-8 REDACTED (CONFIDENTIAL INFORMATION REMOVED) REDACTED 2026-2027 GRA Compliance Filing - SR-01 Attachment 3 Page 56 of 102 EXHIBIT 6C NOVA SCOTIA POWER INC...

AI summary The document presents an allocation of credit services expenses for Nova Scotia Power Inc. for the year ending December 31, 2027, with detailed breakdowns of bad debt expenses across different customer categories.

NA NA - NA NA 0 NA NA 0 0 0 0 0 0 0 (19) OATT NA NA 1.000 NA NA - NA NA 0 NA NA 1 1 1 1 1 1 1 (20) SUB-TOTAL 1 0 1 1 1 3 1 1 3 (21) TOTAL NA NA NA NA NA 21,518 NA NA 0 NA NA 230 11,449 10,300 21,749 12,147 10,928.6 23,076 REDACTED (CONFIDE...

AI summary The document presents a revenue analysis for Nova Scotia Power Inc. for the year ending December 31, 2027, with data in thousands of dollars. It includes a table with financial figures and references to a compliance filing related to the 2026-2027 GRA.

ING DECEMBER 31, 2027 (IN THOUSANDS OF DOLLARS) (1) REVENUE (1) ELECTRIC REVENUE (2) FULLY ALLOCATED RATE CLASSES (ATL) (3) DOMESTIC $1,104,896 (4) SMALL GENERAL 72,613 (5) GENERAL 356,486 (6) LARGE GENERAL 47,930 (7) SMALL INDUSTRIAL 40,9...

AI summary The document presents a revenue breakdown for electric services in Nova Scotia as of December 31, 2027, categorized by rate classes and sources, with a total electric revenue of $1,932,209,000.

D. TRANS. DIST. RETAIL DIRECT EXPENSES EXPENSES EXPENSES EXPENSES EXPENSES EXPENSES ALLOCATOR (1) LABOUR O&M excluding HR, IT, PR, OTHER and direct 201,262 87,649 22,398 57,115 34,100 - (2) % RESPONSIBILITY 100.00% 43.55% 11.13% 28.38% 16....

AI summary The document presents a detailed breakdown of various expense categories, including labour, revenue requirement, and insurance premiums, with percentages of responsibility allocated across different segments. It includes figures related to net plant in service and compliance reporting, along with footnotes for reference.

768,786 1,456,468 88.5% 1,288,936 7.03% 1,379,531 74.90% (12) SHORE POWER (13) GEN.REPL./LOAD FOLL. (14) PHP (15) BUTU (16) REAL TIME PRICING (17) EBS/RTR (17) SUB-TOTAL 59,080 17.2% 60,466 88,885 344.3% 62,412 15.26% 64,564 0.00% (18) TOT...

AI summary The document contains a table with data on sales, generation, and demand analysis for September 2027, including percentages and figures related to various categories and subtotals. The text is part of a compliance filing under the Greenhouse Gas Reduction Act (GRA).

2.39% -0.77% 4.38% 2.43% 4.22% (10) OCTOBER 3.33% 5.09% 3.94% 3.11% 0.28% 4.98% 2.94% -0.48% 5.09% 2.43% 4.22% (11) NOVEMBER 5.66% 7.57% 6.11% 5.07% 1.48% 7.43% 4.84% 0.52% 7.57% 2.43% 4.22% (12) DECEMBER 8.60% 10.19% 8.41% 7.13% 2.75% 10....

AI summary The document presents a revenue to expense comparison for Nova Scotia Power Inc. for the year ending December 31, 2027, including various percentages and figures related to different months and an annual average. The data includes percentages and financial figures, though much of the content is redacted.

89,972.5 (232) BUTU CAPACITY CREDIT 393.0 (233) OTHER OVERHEAD EXPENSES 7,886.5 6,978.0 908.6 System Planniing and ECI (234) CURRENT YEAR INCENTIVE PLAN PAYOUT 0 (235) DSM EXPENSES - Demand-related ATL Classes 923,250.7 923,250.7 0.0 (236)...

AI summary This document excerpt presents a detailed breakdown of financial and operational expenses, including capacity credit, overhead expenses, DSM expenses categorized by ATL classes, and depreciation and accretion for various energy generation sources such as steam, hydro, wind, and solar. It includes figures related to the Fuel Cost Recovery (FCR) deferral and grants in lieu of taxes.

Line # AVERAGE RATE BASE RATE BASE RATE BASE 2026 2027 (343) DIRECT FAM-related EXPENSES (344) FUEL 55,224.498 (345) PURCHASES - OTHER THAN BIOMASS AND WIND 91.136 (346) PURCHASES - BIOMASS 69.363 (347) MARITIME LINK 661.974 (348) PURCHASE...

AI summary The text presents a table detailing various expenses and revenue figures related to the rate base for 2026 and 2027, including fuel costs, purchases from different energy sources, and revenue from different customer classes. This data is likely used for regulatory proceedings related to rate-setting and cost recovery.

160.2 100.0% (462) Historic Class (463) Weighted Ave Test Y Rev 1,709.4 (464) RETAIL SALES - DOMESTIC 54.3 3.2% (465) RETAIL SALES - SMALL GENERAL 0.0 0.0% (466) RETAIL SALES - GENERAL 880.7 51.5% (467) RETAIL SALES - GENERAL LARGE 120.3 7...

AI summary The text presents a detailed breakdown of retail sales across various customer classes, including domestic, small general, general, large industrial, and municipal, along with other revenue streams such as electric wiring inspection, pole services, and steam and ash sales. It also includes a line item for AMI opt-out charge and other revenue, providing insight into the financial structure of the electricity business segment.

Line # AVERAGE RATE BASE RATE BASE RATE BASE 2026 2027 (531) REVENUE TO COSS RATIO (2026 COSS) (532) DOMESTIC 97.159 (533) SMALL GENERAL 103.603 (534) GENERAL 104.375 (535) LARGE GENERAL 104.375 (536) SMALL INDUSTRIAL 104.375 (537) MEDIUM...

AI summary This document provides data on the average rate base and revenue to cost of service study (COSS) ratio for different customer classes in 2026 and 2027, along with the number of bills and billed revenue for 2024 across various customer segments.

nd-related Total related related Total related related Total Energy-related Demand-related Total Energy-related Demand-related Total Total Exchange payments) Export Revenues fuels Exchange costs and Unbalanced Relative Share and Balanced c...

AI summary The text presents a detailed breakdown of energy-related and demand-related figures, including rate classes, revenue, costs, and shares for different segments such as residential and small general. The data includes metrics like export revenues, fuel costs, and relative shares, indicating a comprehensive financial and operational analysis of energy distribution.

45.3% 100.0% 54.7% 45.3% 100.0% 54.7% 45.3% 100.0% 54.7% 45.3% 100.0% 30 Non-FAM Rate Classes 31 BUTU 100.00% 32 GRLF 100.00% 33 1P - RTP 100.00% 34 ELIADC 100.00% 35 Shore Power EBS /RSS 37 Total Below-the-line 178,670 0.3% 159,281,443 0....

AI summary The text presents a table with percentages and financial figures related to rate classes and cost data. It includes entries such as 'Non-FAM Rate Classes' and 'Total Below-the-line' with associated monetary values and percentages, indicating a focus on financial and regulatory accounting details.

$ 58,575 $ 58,575 $ - $ - $ (32,068) $ 32,068 $ - $ 26,506 $ 32,068 $ - Total Generation Plant $ 2,091,705 $ 2,091,705 $ - $ - $ (1,145,168) $ 1,145,168 $ - $ 946,537 $ 1,145,168 $ - General Property Plant -generation-related $ 144,056.3 $...

AI summary The document provides financial data related to generation plant costs and rate base factors, including figures for total generation plant, general property plant, and applicable rate base factors. The text also references a compliance filing related to the Greenhouse Gas Emissions Regulations (GRA) for the period 2026-2027.

15 $7,564,672 $30,871,211 $13,394 $0 $0 $0 $30,884,605 $32,279,658 3.7% $32,117,707 9.013 $7,514,672 $23,369,933 $30,884,605 2.109 6.558 8.667 $30,948,722 -$64,117 -0.2% 18 General Demand 104.71% 1,195,401 17.629% 2,335,071,503 21.85% 2,16...

AI summary The text presents financial data and figures related to various categories, including demand, large general, and other unspecified categories, with percentages, monetary values, and other metrics. The data appears to be part of a regulatory proceeding involving cost analysis and financial reporting.

BIOMASS $654,243.31 $539,350.66 $593,637.56 $163,612.69 $526,263.03 $542,666.69 $662,418.59 $685,684.74 $550,770.49 $165,356.29 $590,805.11 $591,848.15 $6,266,657 Energy Domestic $397,717 $309,956 $325,242 $81,477 $232,141 $237,004 $292,41...

AI summary The document provides financial data related to various energy sectors, including biomass, domestic, and industrial categories, with detailed figures for different periods and categories. It outlines expenditures and revenues across multiple segments within the energy industry.

w the Line 122.4 37.5 - - - 37.5 94.4 - - 94.4 36 LED SL Capital Costs 37 Total In Province Electric Revenue 1,671.0 1,862.8 17.0 60.2 - 1,940.0 1,932.2 16.7 59.5 2,008.5 38 39 Exports 40 41 Total Electric Revenue $1,671.0 $1,862.8 $17.0 $...

AI summary The text presents financial data related to electric revenue and capital costs, including figures for 2026-2027. It includes details on total in-province electric revenue, exports, and total electric revenue. Notes indicate that forecasts are for rate application purposes only and may have rounding differences.

w the Line 122.4 37.5 - - - 37.5 94.4 - - 94.4 36 LED SL Capital Costs 37 Total In Province Electric Revenue 1,671.0 1,878.4 17.0 60.2 - 1,955.6 1,914.8 16.7 59.5 1,991.0 38 39 Exports 40 41 Total Electric Revenue $1,671.0 $1,878.4 $17.0 $...

AI summary The document contains financial data related to electric revenue and compliance filings for the 2026-2027 General Rate Adjustment (GRA) period. It includes figures for in-province electric revenue, exports, and total electric revenue, along with notes on rounding differences and the submission of various attachments as part of the GRA compliance filing.

CRITERIA OF A SOUND RATE STRUCTURE - 1. The related, "practical" attributes of simplicity, understandability, public acceptability, and feasibility of application. - 2. Freedom from controversies as to proper interpretation. - 3. Effective...

AI summary The document outlines eight criteria for a sound rate structure, emphasizing simplicity, revenue stability, fairness, and efficiency. It references James Bonbright's principles and legal precedents, including the Public Utilities Act and statutory interpretation requirements. The criteria are used to assess current applications under Nova Scotia regulatory frameworks.

[37] The terms of the settlement agreement are set out in a schedule to the agreement and provide as follows: GRA Element Settlement Terms Cost of Service ("COS") a) The COS as set out in the Draft GRA will be included in the 2026-2027 GRA...

AI summary The settlement agreement outlines terms for the 2026-2027 GRA, including the inclusion of the Cost of Service and MEU Treatment. The agreement specifies that the Minimum System methodology will be subject to a future proceeding, and data regarding PHP's use of the High Voltage transmission system will be collected and disclosed. The apportionment of assessment costs from the Maritime Link remains open for future determination.

3.2.1 Base Cost of Fuel [46] Fuel and purchased power costs comprise the largest portion of NS Power's revenue requirement. During the two-year test period, NS Power has forecast those costs to be $918.6 million for 2026 and $918.4 million...

AI summary NS Power's application for new Base Cost of Fuel (BCF) amounts for 2026 and 2027 is under review. The proposed BCF adjustments aim to smooth rate increases for each rate class during the 2026-2027 GRA period, resulting in over-collection in 2026 and under-collection in 2027. Board Counsel engaged Bates White to review the application, and NS Power applied for an extension of the AA/BA riders on an interim basis.

2024. In March 2025, following receipt of the Sulphur Dioxide ("SO2") Certificate of Variance ("CoV"), the forecast was rerun. The results of the March 2025 run were used in the September 2025 filing. NSPI's decision to use the October 29,...

AI summary The document discusses NSPI's use of October 29, 2024 commodity price forecasts in its rate filings, acknowledging that while updated forecasts could be optimal, using the current forecasts is reasonable due to the Settlement Agreement. Some changes in commodity prices have been observed, but no major changes require an update to the rates.

3.2.1.1 Findings [57] The Board notes that NS Power's proposed BCF was deemed acceptable to customer representatives who signed the settlement agreement. The Board also notes Bates White's statements that, although the commodity prices and...

AI summary The Board accepts NS Power's proposed Base Cost of Fuel (BCF) as reasonable, despite dated commodity prices and load forecasts. It directs NS Power to adjust its revenue requirement for 2026 and 2027 based on updated FLG interest and principal amounts. The Board also acknowledges concerns from REI about forecast accuracy and expects NS Power to improve its forecasting practices.

at the expense of future customers. The self-interest of some parties to the agreement in deferring costs to future customers is understandable, but it does create intergenerational inequity concerns. [185] As identified in NS Power's resp...

AI summary The text discusses adjustments to net salvage rates affecting NS Power's revenue requirement and potential rate increases. It highlights intergenerational inequity concerns and the impact of depreciation adjustments on credit ratings and ratepayer costs. The uncertainty surrounding asset securitization within the DDA is also mentioned.

percent. A higher return in this analysis is going to dramatically quite dramatically overstate the revenue requirement related to this difference that you're seeing in the difference on rate base. The starting point of the analysis again...

AI summary The analysis is criticized for using incorrect data points, including a lower depreciation rate (2% vs. NSP's 3.37%), incorrect growth rates, and an inaccurate composite remaining life, leading to overstatement of revenue requirements and misleading conclusions about Nova Scotia Power's rate base and ALG/ELG procedures.

s production plant accounts. Therefore, for the purposes of the current GRA, the Board also approves the settlement agreement adjustments to net salvage rates for NS Power's production plant accounts. [272] The Board also finds that the us...

AI summary The Board approves adjustments to net salvage rates for NS Power's production plant accounts and finds that the ALG depreciation method is more reasonable and equitable than ELG. Adopting ALG and Mr. Madsen's asset service life recommendations would reduce depreciation rates by $45 million, lowering customer rates by 2% but negatively impacting NS Power's FFO:Debt metrics.

.e., by July 1, 2026, instead of January 1, 2026), would reduce the savings for NS Power and ratepayers realized over the two-year test period by one quarter (i.e., $22.5 million in reduced savings). [306] NS Power also confirmed that it h...

AI summary NS Power's proposed securitization timeline may be delayed due to new information received, and the Province has expressed concerns about the value of coal plant assets that would be securitized, suggesting the amount should be reduced.

- Finally, the MEUs would also like to take the opportunity provided by the closing submissions to reiterate their support for NS Power's efforts to securitize approximately $700 million of assets in the Decarbonization Deferral Account ("...

AI summary Multiple stakeholders, including the MEUs, Small Business Advocate, Consumer Advocate, and PHP, support the securitization of approximately $700 million in thermal assets held in the DDA. They argue that securitization will reduce costs for ratepayers and significantly lower the revenue requirement for NS Power. The GRA and Settlement Agreement highlight securitization as a critical component for achieving cost savings.

3.5.1.3 EIFEL Deferral [330] NS Power has requested the ability to create a regulatory deferral to allow it to recover an incremental tax expense if an exemption is not enacted by the Document: 328719 Government of Canada with respect to a...

AI summary NS Power requested a regulatory deferral to recover an incremental tax expense related to the EIFEL provision, which limits excessive interest and financing expenses. The exemption for regulated utilities was proposed but not yet enacted. A deferral of about $7.5 million over 2026-2027 was agreed upon if the exemption is not granted. Doane Grant Thornton supported the deferral as reasonable.

ssets within the scope of the Decarbonization Deferral Account, and that were excluded from NS Power's revenue requirement in this application because it anticipated these assets would be securitized.

AI summary The Board orders that assets within the scope of the Decarbonization Deferral Account, which were excluded from NS Power's revenue requirement due to anticipated securitization, are now included.

cents per kilowatt-hour Interim Energy Charge During a Critical Peak Event For the first 200 kilowatt-hours per month For all additional kilowatt-hours Effective upon the date of the Board's Order n/a 18.919 17.112 1 M12499 – Board Decisio...

AI summary The document outlines an interim energy charge structure, with different rates during critical peak events and for varying levels of kilowatt-hour consumption. It references a Board Decision (M12499) dated October 28, 2025, which is effective upon the date of the Board's Order.

SCHEDULE 2: REACTIVE SUPPLY AND VOLTAGE CONTROL FROM GENERATION SOURCES SERVICE In order to maintain transmission voltages on the Transmission Provider's transmission facilities within acceptable limits, generation facilities (in the Opera...

AI summary Schedule 2 outlines the provision of Reactive Supply and Voltage Control from Generation Sources Service to maintain transmission voltages within acceptable limits. The service is provided by the Transmission Provider or an Operating Area operator, with charges based on established rates and passed through to the Transmission Customer.

SCHEDULE 5: OPERATING RESERVE – SPINNING RESERVE SERVICE Spinning Reserve Service is needed to serve load immediately in the event of a system contingency. Spinning Reserve Service may be provided by generating units that are on-line and l...

AI summary Spinning Reserve Service is required to ensure load is served during system contingencies. It is provided by on-line generating units operating below maximum output. The Transmission Provider must offer this service when serving load within its Operating Area, and the Transmission Customer must either purchase it or arrange alternatives. Monthly charges are outlined, with costs passed through if the Operating Area operator provides the service.

SCHEDULE 9: REAL POWER LOSS FACTORS For Point-to-Point service, the Transmission Provider will seasonally calculate loss factors to be used on a path-by-path basis. For each season, winter and summer, the power flow models used to calculat...

AI summary Schedule 9 outlines the methodology for calculating real power loss factors for Point-to-Point and Network Service, including seasonal and annual loss factors, and the application of locational loss factors for new generation. It also describes the rate for Network Integration Transmission Service and the formula for transmission congestion charges.

ADJUSTMENTS Subject to NS Power making application for recovery of costs through the Storm Cost Recovery Rider (SCRR), this Rider will provide for recovery of actual Level 3 and Level 4 storm costs as defined in the Company's Emergency Ser...

AI summary The Storm Cost Recovery Rider (SCRR) allows NS Power to recover actual Level 3 and Level 4 storm costs, subject to approval by the Nova Scotia Energy Board (NSEB). If actual costs exceed or are below the approved amount, specific recovery and return procedures apply. SCRR costs include preparation, response, and restoration expenses, and are allocated based on the Company's Cost of Service Study.

Wholesale Market Backup/Top-up Service Tariff (BUTU). - 2. For ATL and BUTU classes the following costs and credits - a. NS Power's plant fuel costs - b. costs of biofuels of purchased biomass generation - c. non-firm imports costs - d. ex...

AI summary The Wholesale Market Backup/Top-up Service Tariff (BUTU) outlines how various costs and credits, including fuel costs and import costs, are classified and allocated to different classes based on their energy contribution and load factors. The allocation method ensures alignment with revenue from approved rates using a revenue-to-cost ratio.

3.2.13 Miscellaneous Revenue and Recoveries Revenues from joint partnerships in wind farms (including the cost of NS Power's ownership which is applied to purchased power) and any other fuel-related miscellaneous revenues. These revenues i...

AI summary This section outlines miscellaneous revenue sources, including revenues from joint partnerships in wind farms and steam sales at the Trenton Generating station, as well as power exports and natural gas resales.

417300 REG GRID SALES REVENUE 503200 REG NATURAL GAS REVENUE 503250 REG NATURAL GAS REVENUE FX 503300 REG WIND RECEIVABLES PURCHASED POWER 503350 REG WIND RECEIVABLES FUEL FOR GENERATION 535850 MISC REVENUE These revenues will offset FAM-e...

AI summary The document lists various revenue categories and notes that these revenues will offset FAM-eligible fuel and purchased-power costs, indicating a financial mechanism related to cost recovery.

3.2.17 GHG Emission Compliance Program Costs - The cost of Fund Credits under the Nova Scotia GHG Output Based Pricing System (OBPS) emissions compliance programs. - Transaction fees for purposes of purchasing GHG OBPS Fund Credits). Costs...

AI summary This section outlines the costs associated with GHG emission compliance programs, specifically the cost of Fund Credits under Nova Scotia's OBPS and transaction fees for purchasing these credits. These costs are recorded in account 503400 REG EMISSION ALLOWANCE EXPENSE in NS Power's Chart of Accounts.

5.0 AUDIT AND OVERSIGHT The amounts charged through the FAM shall be subject to periodic audit to assure completeness and accuracy and to assure fuel and purchased power costs were incurred reasonably and prudently. The results of any audi...

AI summary The Fuel Adjustment Mechanism (FAM) amounts are subject to periodic audits to ensure accuracy and prudence in fuel and purchased power costs. Audit results will be considered in subsequent FAM hearings or General Rate Cases, with the Board potentially adjusting existing balances or recovered amounts as necessary.

the 'Actual Sales' for the current period. Effective: May 1, 2026 Page 29 of 33 Base Cost of Fuel Component – BCF: is the Base Cost of Fuel per kWh (¢/kWh) included in NS Power's rates. Business Day: is any day other than a Saturday, Sunda...

AI summary This section defines key terms related to NS Power's rate applications and fuel adjustment mechanisms, including the Base Cost of Fuel Component, Compliance Filing, Estimated Sales, Export Sales Costs and Recoveries, and the General Rate Application for the 2026-2027 period.

stomers up to $90 million over the 2026-2027 period, and which will be facilitated by an application to the Board for a financing order under section 35G of the Public Utilities Act, once proclaimed. As previously described, the process th...

AI summary NS Power requests the Board to initiate a GRA matter and process to implement a proposed rate agreement, which would take effect by January 1, 2026. The GRA is expected to reduce costs due to regulatory efficiencies and has been supported by customer representatives without the need for further evidence submission.

PRELIMINARY ISSUES LIST The following issues will be dealt with in the public hearing on Nova Scotia Power Incorporated's (NS Power) 2026-2027 General Rate Application (Matter M12451) which is set to begin Wednesday, January 7, 2026: - 1....

AI summary The preliminary issues list outlines key topics for the public hearing on NS Power's 2026-2027 General Rate Application. These include fuel and purchased power costs, capital structure, rate design, depreciation studies, cybersecurity impacts, and climate change adaptation. The proceeding will address regulatory compliance, cost recovery, and the impact of various operational and financial factors on rate-setting.

Comment While operating, maintenance, and general costs form part of the revenue requirement that has been agreed to by all customer representatives and is what the Board is being asked to approve, the wording of this issue appears to have...

AI summary The comment argues that while operating, maintenance, and general costs are part of the revenue requirement, the specific mention of pensions, executive compensation, and expenses shared with affiliates, taken from the 2013-2014 GRA, is outdated and irrelevant to the current GRA and should not be emphasized in this proceeding.

Comment The Line Loss Study included in the GRA is the study that was developed as part of the Cost of Service Study consultative process that included all customer representatives, as well as Board counsel, Board counsel consultants, and...

AI summary NS Power references the Line Loss Study included in the GRA, developed during a consultative process involving customer representatives and Board staff over a year. They argue the GRA outcomes are supported and do not require further evidence in the hearing.

Comment NS Power understands and appreciates that the Board may have questions to ensure a full understanding of the proposed securitization; however, it is important to note that the GRA is not seeking approval of the financing order that...

AI summary NS Power clarifies that the General Rate Application (GRA) does not seek approval for a financing order related to securitization, which would require a separate proceeding. It assumes securitization may occur but acknowledges it might not by January 1, 2025. NS Power believes this issue does not require further evidence in the current hearing.

Collaborative and Consultative Processes NS Power noted that its Line Loss Study and its Cost-of-Service Study were undertaken through collaborative processes. These studies have an impact on NS Power's revenue requirement and how costs ar...

AI summary NS Power conducted collaborative studies impacting revenue and cost allocation, which the Board commends but clarifies do not prevent parties from challenging study findings in proceedings. Effective consultative processes may reduce controversy in related Board decisions.

that matter. NS Power said its forecast investment in the GRA test period is consistent with the current plan and further review of the plan itself as part of the GRA would create redundant processes. The Board accepts that the potential f...

AI summary NS Power argues its investment forecast aligns with current plans, while the Board acknowledges concerns about redundant processes. The Board revises the Final Issues List to focus on reliability and investments, noting that NS Power's revenue forecast predates a cybersecurity attack (M12273). The Board emphasizes the proceeding cannot ignore significant issues like the cyber attack's impact on cost accuracy.

Request IR-5: Please provide the same information requested in IR-3 and IR4 based on the Average Life Group procedure. Please separately state all assumptions made in the derivation of the Average Life Group amounts, including but not limi...

AI summary Request IR-5 asks for information similar to IR-3 and IR-4, based on the Average Life Group procedure. It requires explicit assumptions about reserve surplus/deficiency and changes made by Gannett Fleming in deriving Average Life Group amounts.

Request IR-26: - Reference: N-6 2026-2027 GRA Direct Evidence Appendix 7C Page 23-24 of 58 - Per N-6, (Appendix 7C), page 23-24 of 58, we understand that there has been increases in - expenses (such as labour and contract expense) from 202...

AI summary The text requests clarification on increased expenses for thermal plants due to changes in retirement assumptions for Trenton Unit 5 and Lingan Unit 2, as well as increased running hours. It asks why retirement assumptions changed and whether the cost increases are permanent or one-time.

Request IR-29: - Reference: N-6 2026-2027 GRA Direct Evidence Appendix 7C Page 25-26 of 58 - Per N-6, (Appendix 7C), page 25-26 of 58, we understand that materials, water and chemicals - expenses have increased from 2024 compliance restate...

AI summary The request seeks explanations for increased costs of materials, water, and chemicals at Tufts Cove and combustion turbines, citing higher prices and usage. It references N-6, Appendix 7C, pages 25-26, and asks for justification for these costs.

Request IR-92: - Reference: RB -02-16- Attachment 1 - In the reconciliation of revenue requirement to statement of earnings, please explain why - noncurrent pension interest, AFUDC, FAM, and FCR interest are adjustments required to - reven...

AI summary The text requests an explanation for why noncurrent pension interest, AFUDC, FAM, and FCR interest are adjustments in the reconciliation of revenue requirement to the statement of earnings. The focus is on clarifying the rationale for these financial adjustments within a regulatory proceeding.

Small Industrial Tariff (and any others) are lower for usage beyond the first 200 kilowatt-hours per month. Explain how rates that decrease as monthly consumption increases reflects cost causation. - b. For general and industrial rate clas...

AI summary The document requests explanations on how decreasing rates for higher consumption align with cost causation, revenue allocation between energy and demand charges, and identification of COSS sections detailing revenue requirements. It also asks for Excel files with calculations. The Company is required to provide detailed breakdowns of its tariff structures and cost reporting.

Request IR-12: - Reference: Exhibit N-3 GRA Direct Evidence, Section 1.4 Reliability and System Strength - On page 11 NS Power notes that over 65 community meetings were held throughout Nova Scotia - to discuss reliability and understand c...

AI summary Request IR-12 seeks information on NS Power's community engagement for reliability planning, VoLL data improvements, customer satisfaction metrics, reliability investments, revenue requirements, and cost recovery methods for the Reliability Intertie project. It references prior board matters and requests data validation, including outage numbers and reliability calculation methodologies.

Request IR-36: - Reference: Exhibit N-3 GRA Direct Evidence, Section 2.2 FAM Treatment - a) Please reconcile the forecast total FAM balance owing from customers at the end of 2025 of approximately $94 million (from the August 2025 monthly...

AI summary The document requests clarification on the Fuel Adjustment Mechanism (FAM) balance, incorporation of receivables into BCF amounts, and confirmation of NS Power's intention to file a FAM AA/BA application by Q4 2025, along with its implications.

Request IR-47: - Reference: Exhibit N-3 GRA Direct Evidence, Section 1.5.6 NSEISO Transition, p.75, Exhibit N-6 Appendix 7A - a) Please provide a breakdown of the $1.6 million in costs removed from NS Power's revenue requirement for 2026 a...

AI summary The document requests a breakdown of costs removed from NS Power's revenue requirement for 2026 and 2027 due to the transition of responsibilities to the Nova Scotia Independent Energy System Operator, as well as NS Power's assessment of the likelihood of the transition dates for phase one and phase two.

Request IR-60: - Reference: Exhibit N-6(ii), Corporate Office of Secretary and General Counsel - With respect to the reasons given for the following significant projected increases for 2026 over 2024 actuals: - a) Consulting and Ext Legal...

AI summary The document requests explanations for projected cost increases in consulting, legal audit, and insurance, including delays in CRA litigation, cost breakdowns, and a cost/benefit analysis. It references NS Power's Tax Court of Canada appeal and Board Order M10431.

REVENUE REQUIREMENT Request IR-124: - Reference: Exhibit N-3, 11.2 Revenue Requirement Categories - Please reproduce Figure 11-1 with additional columns to show the revenue breakdown for each - of 2023, 2024, and 2025.

AI summary The request (IR-124) asks to reproduce Figure 11-1 from Exhibit N-3, adding columns for revenue breakdowns in 2023, 2024, and 2025 under the Revenue Requirement Categories section.

Request IR-125: - Reference: Exhibit N-3, 11.2 Revenue Requirement Categories, p.75 and Exhibit N-6(ii) - In the NSIESO's application for its revenue requirement for the year ending March 31, 2026, it - estimated that 23 employees would be...

AI summary The document requests detailed information on employee transfers from NS Power to the NSIESO in 2025 and 2026, including the number of employees, cost categories, and the timing of the transfers. It also asks about salary deferrals, the financial implications, and the reasons for discrepancies in forecasts.

Request IR-126: - Reference: Exhibit N-3 GRA Direct Evidence, 11.2 Revenue Requirement Categories, p. 74 - NS Power requests the ability to create a deferral to allow it to recover the incremental tax expense of approximately $7.0 million...

AI summary NS Power is requesting the ability to defer an incremental tax expense of approximately $7.0 million if the EIFEL exemption is not enacted. The request is tied to the GRA test year forecast and raises questions about conditions for deferral and potential offsets from other tax-related items.

Request IR-143: - Reference: Exhibit N-3 GRA Direct Evidence, Section 13.5 DSM Rider - On page 82, NS Power stated: - NS Power is not proposing changes to the DSM rider amounts for 2026 or 2027. However, NS Power is proposing changes to ho...

AI summary NS Power is not proposing changes to the DSM rider amounts for 2026 or 2027 but is seeking to alter the Balance Adjustment (BA) calculation method. The request includes questions about illustrative examples, justification for the BA change, confirmation of DSM expenses, and whether specific DSM initiatives were requested from EOne.

REGULATIONS Request IR-152: - Reference: PR-03 Attachment 01c - Attachment 01c shows NS Power's proposed increases to its Schedule of Charges (Regulation - 7.1). Those proposed increases cover a wide range, some around 6%, while other are...

AI summary The document requests specific justifications for NS Power's proposed rate increases (ranging from 6% to 50%) under Regulation 7.1 and seeks clarification on differing charges for items a) and e) for customers with remote connect-enabled meters.

amount NS Power will be applying to recover in the FAM AA/BA? If not, 1 2025 M12451 1 2 (b) When does NS Power expect to file for approval and what regulatory timeline does NS Power contemplate to enable this to take place? 3 4 (c) Does NS...

AI summary The text outlines several regulatory inquiries related to NS Power's application for cost recovery, specifically focusing on securitization, the timing of filings, and the method of cost recovery through a rider versus base rates. It also asks about the rate impact and treatment of securitization costs for retail customers.

______________ DATE UND# DESCRIPTION REQUESTED OF FOR DUE DATE January 9, 2026 U-16 To advise why the preferred share dividend amounts (labelled as related to Part VI.1 tax) cannot be excluded from the regulated financial statements or why...

AI summary The document outlines several requests made to Nova Scotia Power Inc. (NSPI) by the Board and Board Counsel, covering topics such as the treatment of preferred share dividends in financial statements, the EIFEL exemption, disconnection numbers, and the impact of new employee positions on revenue requirements.

28 B. Depreciation 19 27 29 34 41 46 30 In the negotiation of the Settlement Agreement, Nova Scotia Power agreed to measures that 31 reduced its depreciation and accretion expenses by approximately $20 million dollars a year in 32 each of...

AI summary Nova Scotia Power reduced depreciation expenses by $20M annually via the Settlement Agreement. The Board Counsel's expert, Dustin Madsen, recommended replacing Nova Scotia Power's ELG method with ALG to avoid overcollection. Nova Scotia Power defended ELG, citing long-term revenue benefits. The Consumer Advocate urged a stakeholder review before future GRA submissions.

22 Conclusion 23 24 As has been noted several times in these submissions, the Consumer Advocate supports the 25 outcomes of the GRA, which are based on the Settlement Agreement to which the Consumer 26 Advocate is a party. However, it must...

AI summary The Consumer Advocate supports the GRA outcomes based on the Settlement Agreement but highlights uncertainties around securitization of Nova Scotia Power's thermal assets and Port Hawkesbury Paper's inclusion as an above-the-line customer. These uncertainties could affect revenue requirements and future rate approvals.

, page 102, line 19 to page 103, line 2. MCINNES COOPER Page 5 January 30, 2026 result in better alignment of NS Power COSS with the methodologies generally approved in other Canadian jurisdictions. Other refinements to the treatment of ge...

AI summary The text discusses refining NS Power's Cost of Service Study (COSS) to align with Canadian methodologies, including reclassifying radial transmission costs as generation-related and adjusting transmission costs to 100% demand. It also addresses demand-side management (DSM) rider weighting based on customer class benefits and emphasizes a consultative process focused on cost causation.

of existing rates. 14 To the extent that existing rates are not sufficient to meet NS Power's revenue requirements, it remains NS Power's obligation to bring forward GRAs in a timely manner. The use of securitization to achieve cost saving...

AI summary The document discusses the importance of securitization as a cost-saving measure in the General Rate Application (GRA), noting its significance in the Consensus Agreement. It emphasizes that securitization should be pursued to achieve cost savings for ratepayers, and that deferring new rates until securitization is completed is necessary to avoid undermining these efforts.

- 32. NS Power's extended period without delivering a depreciation study raises a material issue as to whether NS Power obtained higher-than-appropriate returns because of these delays, particularly considering the concerns noted respectin...

AI summary The Department criticizes NS Power for delaying the submission of depreciation studies, arguing that this may have resulted in excessive returns to the utility and higher rates for ratepayers. The Department emphasizes that regulatory requirements, including coal phase-out by 2030, should have been reflected in asset valuations, and that depreciation studies should be updated in line with industry benchmarks and regulatory best practices.

1) Support for proposed Securitization The Industrial Group has consistently supported securitization of NSPI's thermal assets, now contained within the Decarbonization Deferral Account (" DDA "). The evidence filed to date confirms that t...

AI summary The Industrial Group supports the securitization of NSPI's thermal assets within the Decarbonization Deferral Account (DDA), citing potential ratepayer savings of approximately $85 million over 2026–2027. This approach was also supported by customer representatives during the GRA negotiation process, as it aligns with decarbonization objectives and addresses the impracticality of traditional depreciation methods.

nergy Economics, (Synapse evidence) Page 3 at lines 4-11, (PDF 5 of 21) 1 allocation under a COSS that used the Basic Customer Method deems the domestic class 2 to require a 6% increase 4 . 3 Based on Ms. Palmer's Table 2. 2026 Class Reven...

AI summary The document discusses the impact of different revenue allocation methods on various customer classes. It highlights that under the Basic Customer Method, the domestic class would see a 2% reduction in revenue increases, while the general and small industrial classes would see increases of 5.2% and 4.7%, respectively. The analysis considers the impact of distribution system costs and credits applied to customer classes.

6. In fact, this is precisely what Ms. Palmer ultimately recommends in both her evidence and her testimony. 10 & lt;sup>6 Transcript, page 185, line 15 to page 188, line 15. & lt;sup>7 Exhibit N-37, Synapse evidence, page 13, lines 4-11. &...

AI summary The MEUs argue that rejecting the Consensus Agreement would not be just and reasonable, as it already increases rates and faces existing cost pressures from prior Board decisions. They support NS Power's plan to securitize $700 million in the Decarbonization Deferral Account (DDA) to lower customer costs. Ms. Palmer's recommendations align with the Consensus Agreement terms.

1.0 INTRODUCTION AND OVERVIEW In this proceeding, Nova Scotia Power (NS Power, Company)seeks approval from the Nova Scotia Energy Board (NSEB or Board) of its revenue requirements and associated rate adjustments for the 2026 and 2027 test...

AI summary Nova Scotia Power (NSP) seeks approval for 1.8% and 2.4% annual rate increases in 2026 and 2027, with higher residential increases and industrial decreases. A Settlement Agreement, supported by advocates and stakeholders, outlines collaborative cost-of-service study outcomes. The agreement balances rate adjustments and reflects consensus-building efforts.

r panel at pages 604-612 of the transcript, in particular, as it related to considerations of the FAM balance, how it will be dealt with, and the potential layering effect of it in the context of the proposed rates in this GRA. The fact th...

AI summary The text references a discussion regarding the FAM balance and its potential layering effect in the context of proposed rates within the GRA. It also cites a previous decision by the NSUARB from 2008.

Exhibit N-40, Opening Statement of NS Power. N-32 Evidence – Cleary page 6 lines 4-5; N-37, Evidence - Synapse Evidence page 18, lines 1-3; N-35, Evidence - Bates White, page 14, lines 11-16. 1 was a consideration of the parties is evident...

AI summary NS Power outlines its OM&G expense forecasts for 2026 and 2027, citing a 18% share of its revenue requirement. It notes a $24 million increase over the 2024-2026 period, with a $5.7 million reduction due to a labour vacancy adjustment. A ScottMadden benchmarking study supports the reasonableness of its costs compared to peer utilities.

N-27, NSEB IR-72 Attachment 1, ScottMadden Report, PDF page 6 of 87. 1 of NS Power's forecast OM&G costs in this GRA. In addition, NS Power has developed the 2 OM&G forecast through multiple levels of review and agreed to a further $9 mill...

AI summary NS Power has developed an OM&G forecast with input from customer representatives and agreed to reduce costs by $9 million annually. The inclusion of Maritime Link Transmission Assets in rate base was deferred by the Board until NS Power can demonstrate that wheeling tariff revenue and economic value from Nalcor surplus energy meet specific cost thresholds.

quantity of market-based energy available from NLH. Exhibit N-90, Undertaking 24 re-filed Jan 29, 2026. via the Maritime Link exceeded the costs of the related transmission assets. The data provided in responses to Undertaking 25, further...

AI summary The document discusses the inclusion of the Maritime Link related transmission projects in rate base, confirming that NS Power has met the required regulatory test. It also outlines NS Power's request for approval of new Base Cost of Fuel (BCF) amounts for FAM customers in 2026 and 2027, along with projected rate changes and the role of the Board Counsel Consultant, Bates White, in supporting these proposals.

DATE FILED: January 30, 2026 Page 17 of 55 Exhibit N- 7(i). 1 (8) Reducing the Net Salvage Rate for Account 365.00 - Distribution Overhead 2 percent).28 Conductors and Devices from (30 percent) to (26 3 4 This reduction is a departure from...

AI summary The document discusses a reduction in the Net Salvage Rate for Distribution Overhead, agreed upon by the parties to achieve a comprehensive settlement and reduce customer costs. This adjustment impacts NS Power's depreciation expense, revenue requirement, and credit metrics. Expert evidence from Dustin Madsen of Emrydia Consulting highlights the use of ALG and ELG procedures for depreciation calculations and recommends revisions to service lives of certain accounts.

3.4.3 Rate Base Impacts of ALG vs ELG A critical aspect of the choice between the ALG and ELG procedure is the overall impact on customers. Mr. Wiedmayer gave evidence that the ELG procedure lowers rate base which lowers the return receive...

AI summary Mr. Wiedmayer argues that the ELG procedure reduces the rate base, lowering long-term revenue requirements for customers. He criticizes Mr. Madsen for not addressing ALG's impact on rate base, noting that using ALG over 30 years would have increased the rate base. He also disputes Madsen's claim that ALG reduces depreciation expense by 10%, stating this ignores the combined effect of depreciation and return on rate base.

DATE FILED: January 30, 2026 Page 27 of 55 1 2 3 change…Ultimately though, it is likely fair to conclude that out of all the options available, securitization would be the "least-bad" option.48 4 The evidence of Board Counsel Consultant, P...

AI summary The text discusses the potential consequences of not approving NSPI's rate increases and securitization plan, highlighting risks such as failing financial tests, credit downgrades, and missing financial targets. Testimony from Pelino Colaiacovo of MPA emphasizes the importance of securitization to avoid these outcomes.

3.7.2 Outcome of PHP remaining below-the-line One of the concerns raised during the hearing was the potential impact on the GRA if PHP does not ultimately take service under an above-the-line tariff in 2027, and what alternative arrangemen...

AI summary The document discusses concerns about PHP remaining below-the-line in 2027, potential impacts on the GRA, and NS Power's assurance of alternative tariff arrangements. If PHP avoids the ELIDT, the ELIADC Tariff would serve as a baseline, with projected deferral and fuel balance amounts. The criticality of a deferral mechanism is emphasized due to uncertainty and the Goose Harbour Lake wind project's impact.

Figure 3-1 – S&P Global North American Regulated Utilities Ratings Distribution And so sir, when we look at this table, you'll see generally in the middle of that table, there's a rating, triple B minus, and a rating double B plus. And if...

AI summary The text discusses Nova Scotia Power's (NSP) credit ratings, noting its standalone double B plus (non-investment grade) rating versus the triple B minus (investment grade) rating with Emera. It highlights NSP's reliance on a CREUE exemption until 2028 and argues that maintaining the current investment grade is imprudent. The NSUARB is tasked with determining a just revenue requirement for NSP's financial health.

11 NS Power's response: - 12 The GRA process began with the fulsome Cost-of-Service-Study (COSS) process initiated in - 13 December of 2023 and this aspect of the GRA continues today with these submissions. NS Power - 14 also engaged subst...

AI summary NS Power defended its GRA process, emphasizing that it was thorough and involved extensive consultation with customer representatives, leading to significant customer savings. It refuted claims that the process was rushed or led to higher costs, citing a Settlement Agreement and savings of approximately $60 million. The Liberal Caucus criticized the utility's approach to rate applications and highlighted its forecasting capabilities.

39 added in original] 1 This return must be in addition to NSPI's prudent and proper operating 2 expenses of providing the services. Section 45(2) states: 3 45(2) Such return shall be in addition to such expenses as the Board may 4 allow a...

AI summary The text discusses the importance of recovering prudent and proper operating expenses for NSPI, emphasizing the need for a fair return on rate base to ensure service sustainability. It references the regulatory compact and mentions the Board's decisions, including M04972 and M10431, highlighting the role of the Department of Energy in recent proceedings.

5 PHP notes: 6 If NS Power's proposed rates were, in fact, approved effective January 1, 2026, the 7 costs of the assets to be securitized would have been removed from the revenue 8 requirements used to establish NS Power's new general rat...

AI summary NS Power proposes deferring securitization costs from January 1, 2026, despite new rates being effective later. Customers argue this would overcharge them. NS Power defends the deferral, citing prior rate caps, unrecovered costs, and the FAM safeguard. Five reasons are provided, including unreliable retroactive cost attribution and existing rate underperformance.

13 5.3 Treatment of PHP and the PHP Deferral 14 - 15 The PHP Deferral account is a targeted and necessary mechanism to address potential revenue 16 variances arising from differences between the Board-approved tariff(s) under which PHP wil...

AI summary The PHP Deferral account addresses revenue variances between Board-approved tariffs and GRA COSS assumptions. The CA raises concerns about PHP's status and potential $18M charges to other customers if PHP remains BTL. The IG objects to the deferral capturing unreasonable costs, while NS Power argues it is necessary and does not expand costs.

The Board held its public hearing from January 7 to 9, 12 and 13, 2026. Written closing submissions were completed on February 6, 2026. The Board also received many letters of comment from customers. [7] The general rate application contem...

AI summary The Nova Scotia Utility and Review Board held a public hearing for a general rate application, which included a proposal for securitization of coal plant and thermal-related assets. NS Power requested a securitization deferral to defer financing costs and depreciation expenses related to retiring these assets, estimating potential customer savings of about $90 million over 2026 and 2027 if securitization had occurred earlier.

n s. 42(1) which states: - 42 (1) Every public utility shall be entitled to earn annually such return as the Board deems just and reasonable on the rate base as fixed and determined by the Board. … - 23 The concept of a utility securing a...

AI summary The document outlines the legal framework under which public utilities in Nova Scotia are entitled to earn a just and reasonable return on their rate base as determined by the Board. It emphasizes the Board's responsibility to ensure that rates are sufficient to produce this return while preventing extravagance in capital and operating expenditures.

CRITERIA OF A SOUND RATE STRUCTURE - 1. The related, "practical" attributes of simplicity, understandability, public acceptability, and feasibility of application. - 2. Freedom from controversies as to proper interpretation. - 3. Effective...

AI summary The document outlines seven criteria for a sound rate structure, emphasizing simplicity, revenue stability, fairness, and efficiency. It references James Bonbright's principles and cites legal precedents, including the Public Utilities Act and the Supreme Court of Canada's Vavilov decision, to guide regulatory assessment.

[37] The terms of the settlement agreement are set out in a schedule to the agreement and provide as follows: GRA Element Settlement Terms GRA Element Settlement Terms underspend to customers will be changed from $5 million to $2.5 million...

AI summary The settlement agreement modifies the underspend to customers from $5 million to $2.5 million. It retains an overall return on equity of 9% for rate setting purposes and maintains an earnings band of 8.75% to 9.25%.

3.2.1 Base Cost of Fuel [46] Fuel and purchased power costs comprise the largest portion of NS Power's revenue requirement. During the two-year test period, NS Power has forecast those costs to be $918.6 million for 2026 and $918.4 million...

AI summary NS Power is seeking approval for new Base Cost of Fuel (BCF) amounts of $927.3 million for 2026 and $850.9 million for 2027, which would result in rate smoothing by over-collecting fuel costs in 2026 and under-collecting in 2027. Board Counsel engaged Bates White to review NS Power's fuel and purchased power costs, including the BCF and commodity price forecasts. NS Power also applied for an extension of the existing AA/BA riders on an interim basis, which was granted in Matter M12640.

update to the rates, which could potentially negatively impact the nature and status of the Settlement Agreement reached by the parties in this proceeding. [Emphasis added] [Exhibit N-35, pp. 14-15] [53] In reviewing NS Power's load foreca...

AI summary The text discusses the use of the September 2024 GRA Forecast in NSPI's rate updates and its potential impact on the Settlement Agreement. Bates White notes that while using the 2025 Load Forecast would be optimal, updating rates could negatively affect the Settlement Agreement, and no major changes were observed between the 2024 and 2025 forecasts.

lysis and change the variables to reflect what Nova Scotia Power actually has invested, there is no crossover point between the ALG and ELG procedures in the next between now and 2050. There's not. If you increase that growth rate to three...

AI summary The analysis discusses the lack of a crossover point between ALG and ELG procedures over the next several decades, even with adjusted growth rates. It also notes that while Mr. Madsen disputes the timing of the crossover point, the Board finds the difference in revenue requirements between ALG and ELG to be immaterial.

3.5.1.2 Present Application [291] In this application, NS Power indicated its future intent to ask for the securitization of $704 million of the unrecovered net book value of thermal assets within the scope of the DDA ($500 million in 2025...

AI summary NS Power seeks a securitization deferral to defer depreciation and financing costs of thermal assets until securitization legislation is enacted. The application does not request immediate securitization approval, but aims to defer costs until the process can proceed. Initial savings estimates were reduced from $90 million to $85 million.

- Finally, the MEUs would also like to take the opportunity provided by the closing submissions to reiterate their support for NS Power's efforts to securitize approximately $700 million of assets in the Decarbonization Deferral Account ("...

AI summary Multiple stakeholders, including MEUs, the Small Business Advocate, the Consumer Advocate, and the Industrial Group, support the securitization of approximately $700 million in thermal assets held in the Decarbonization Deferral Account (DDA) as part of the General Rate Application (GRA). This approach is expected to yield significant cost savings for ratepayers, with estimates of $85 million over 2026–2027.

3.5.1.4.1 Findings [349] NS Power requests a PHP Deferral account to track any variances in revenue between that which would occur based on the assumptions in the GRA cost-ofservice study treating PHP as an ATL customer versus that which r...

AI summary NS Power requests a PHP Deferral account to track revenue variances based on different tariff scenarios for PHP. The deferral account was contemplated in the settlement agreement and is approved by the Board. The account will account for variances arising from differences in the PHP tariff, unavailability of the tariff, or unsatisfactory outcomes of the ADC and tariff processes.

[581] The parties to the settlement agreement included the following terms relating to cost-of-service methodology used to determine rates for 2026 and 2027: Cost of Service ("COS") a) The COS as set out in the Draft GRA will be included i...

AI summary The settlement agreement outlines the cost-of-service methodology for 2026 and 2027, including the inclusion of the Draft GRA, the use of the Minimum System methodology in future proceedings, data collection regarding PHP's use of the High Voltage transmission system, and the apportionment of assessment costs from the Maritime Link.

this is kind of a middle route. I've acknowledged it's an approximation and that it will be superior to have Nova Scotia Power's analysis when available. [Transcript, January 13, 2026, pp. 1311-1312] [621] In response to Undertaking U-6, N...

AI summary The document discusses the impact of a peak load carrying capability adjustment on distribution system costs, shifting about $7 million in costs from the residential class to other rate classes, particularly the general service class. The adjustment would reduce proposed rate increases for some classes but increase them for others, with some classes still seeing overall rate reductions.

File No: SM002557-00232 April 23, 2026 Nancy G. Rubin, K.C. Direct Dial: 902.420-3337 [email protected] Delivered by E-mail Crystal Henwood Regulatory Affairs Officer/Clerk Nova Scotia Energy Board 3rd Floor, 1601 Lower Water Stre...

AI summary The Industrial Group (IG) has reviewed NSPI's compliance filing and responses to Board IRs, concluding that NSPI has adequately implemented the Board's Decision and directions. The IG highlights the importance of accurately reflecting the net book value of Maritime Link transmission assets for rate base inclusion, noting that any error in the in-service date could compound annually through the depreciation schedule.

ssets within the scope of the Decarbonization Deferral Account, and that were excluded from NS Power's revenue requirement in this application because it anticipated these assets would be securitized.

AI summary The Board orders that assets within the scope of the Decarbonization Deferral Account, which were excluded from NS Power's revenue requirement due to anticipated securitization, are now included.

11.2 Billing Unless NS Power directs otherwise, the RtR Customer shall be invoiced by the LRS and will pay the LRS for any charges or fees, inclusive of all applicable taxes, owing by the RtR Customer to NS Power under this Distribution Ta...

AI summary This section outlines the billing responsibilities of the RtR Customer under the Distribution Tariff, including charges for distribution system access, demand-side management, storm costs, and other approved items. The RtR Customer agrees to pay the LRS for these charges and waives claims against NS Power related to billing by the LRS.

ADJUSTMENTS Subject to NS Power making application for recovery of costs through the Storm Cost Recovery Rider (SCRR), this Rider will provide for recovery of actual Level 3 and Level 4 storm costs as defined in the Company's Emergency Ser...

AI summary The Storm Cost Recovery Rider (SCRR) allows NS Power to recover actual Level 3 and Level 4 storm costs from customers, subject to approval by the Nova Scotia Energy Board. If actual costs are below the approved amount, the difference is tracked and returned to customers under certain conditions. The Rider includes specific cost categories and recovery mechanisms based on customer class and market participation.

1.0 GENERAL DESCRIPTION This document describes the plan for administering Nova Scotia Power Inc.'s (NS Power) Fuel Adjustment Mechanism (FAM), which was approved by the Nova Scotia Utility and Review Board (as of April 1, 2025 referred to...

AI summary This document outlines the administration plan for Nova Scotia Power Inc.'s Fuel Adjustment Mechanism (FAM), approved by the Nova Scotia Energy Board. The FAM allows for the recovery of fuel and purchased power costs, with the Base Cost of Fuel being reset periodically through General Rate Applications or Board orders. Stakeholders can challenge the methodology and forecasts used in the FAM, and the Board will conduct audits of NS Power's FAM accounts.

3.2.13 Miscellaneous Revenue and Recoveries Revenues from joint partnerships in wind farms (including the cost of NS Power's ownership which is applied to purchased power) and any other fuel-related miscellaneous revenues. These revenues i...

AI summary This section outlines miscellaneous revenues from joint partnerships in wind farms, steam sales, and power exports. It includes revenues from NS Power's ownership in wind farms and steam sales at the Trenton Generating station.

417300 REG GRID SALES REVENUE 503200 REG NATURAL GAS REVENUE 503250 REG NATURAL GAS REVENUE FX 503300 REG WIND RECEIVABLES PURCHASED POWER 503350 REG WIND RECEIVABLES FUEL FOR GENERATION 535850 MISC REVENUE These revenues will offset FAM-e...

AI summary The document outlines various revenue categories, including grid sales, natural gas, wind receivables, and miscellaneous revenue. These revenues are intended to offset FAM-eligible fuel and purchased-power costs, highlighting the financial mechanisms in place for cost recovery.

3.2.17 GHG Emission Compliance Program Costs - The cost of Fund Credits under the Nova Scotia GHG Output Based Pricing System (OBPS) emissions compliance programs. - Transaction fees for purposes of purchasing GHG OBPS Fund Credits). Costs...

AI summary The document outlines the costs associated with Fund Credits under Nova Scotia's GHG Output Based Pricing System (OBPS) emissions compliance programs, including transaction fees for purchasing credits. These costs are recorded in account 503400 REG EMISSION ALLOWANCE EXPENSE in NS Power's Chart of Accounts.

3.4 Deferrals Effective: May 1, 2026 Page 20 of 33 During the 2026-2027 GRA Period, NS Power may include prior FAM deferrals for certain rate classes (Large General, Medium Industrial, and Large Industrial) in order to save additional inte...

AI summary During the 2026-2027 GRA Period, NS Power may include prior FAM deferrals for certain rate classes to save additional interest charges by avoiding further deferral to the end of the period.

Audit Process The Board shall provide for the conduct of a Fuel Adjustment Mechanism (FAM) audit during the 2026-2027 GRA Period as it deems appropriate. The Board shall have a qualified independent firm conduct the audit. The audit will a...

AI summary The NSEB requires an independent audit of NS Power's Fuel Adjustment Mechanism (FAM) during the 2026-2027 GRA period, covering financial and management aspects of fuel procurement and recovery, including the FAM formula and actual costs.

the 'Actual Sales' for the current period. Effective: May 1, 2026 Page 29 of 33 Base Cost of Fuel Component – BCF: is the Base Cost of Fuel per kWh (¢/kWh) included in NS Power's rates. Business Day: is any day other than a Saturday, Sunda...

AI summary This section defines key terms related to NS Power's rate application and fuel adjustment mechanism, including the Base Cost of Fuel Component, Compliance Filing, and General Rate Application. It outlines how fuel costs are recovered and how sales are estimated for rate calculations.

OPENING STATEMENT 59 NSP COST OF SERVICE PANEL 1 We know that there is never a good 2 time to request an increase in electricity rates and that 3 even small increases can have big impact on families and 4 businesses. We continue to work wi...

AI summary Nova Scotia Power Inc. acknowledges the difficulty of requesting electricity rate increases and outlines recent efforts with the Province to avoid them, including financial arrangements and projects such as the fuel cost receivable and the Maritime Link Federal Loan Guarantee. The company emphasizes a robust and transparent process involving customer representatives in the General Rate Application.

NSP COST OF SERVICE PANEL 99 Cr-ex, (Mahody) 1 based on cost causation? 14 the changing system, the Path to 2030. What is changing 15 on the system as we phase out coal over time, add more 16 renewables to the system, and how has that impa...

AI summary The document discusses Nova Scotia Power's cost-of-service analysis, including data requests, modelling exercises, stakeholder engagement, and a Settlement Agreement. The process involved reviewing historic 2023 data and addressing concerns about future revenue requirements.

NSP COST OF SERVICE PANEL 107 Cr-ex, (Mahody) 1 material to the Application. I believe every aspect that 2 is or I would view as material was included and 3 described in the filing itself. So I don't believe the 4 filing would have been mi...

AI summary The speaker asserts that all material information was included in the filing and suggests that the Settlement Agreement should have been filed as part of the Application. The discussion refers to the draft GRA and mentions a future proceeding related to the minimum system methodology after the 2026/2027 test period.

BY MR. MAHODY: Q. So N-37, page 20 in the PDF, line 16. Here Ms. Palmer has identified additional Cost- of-Service Study methods that she thinks should be reviewed as part of whatever future process occurs, and she lists out the three area...

AI summary Nova Scotia Power's representative discusses the Settlement Agreement, which identifies the Minimum System as a standalone matter for consideration in 2026. The representative notes that while parties are free to take positions in future cost-of-service matters, there is an expectation to avoid repeating the same extensive process undertaken recently, though the Minimum System may require further review.

1 Q. And in Item B, there are three 2 factors that are referenced, the PHP's firm load at 8 3 megawatts at the three coincident peaks, and then a couple 4 of other factors. Can you confirm that all of those 5 factors are the represented fo...

AI summary The text discusses Nova Scotia Power's (NSP) application for a deferral account related to potential revenue variances arising from the Pooled Hydro Program (PHP). The company is seeking approval for the deferral account in its tariff application, but not for the specific assumptions used in the PHP treatment. The discussion also references the Settlement Agreement and its inclusion in the application.

1 Column 2 to the RC ratios at the end, that is set out in 2 the middle box there that we see, "Steps and assignment of 3 revenue responsibilities"? 4 A. (Willett) That's correct. If 5 maybe it would be helpful to walk through some of the...

AI summary The discussion revolves around the process of applying uniform rate increases to address a revenue shortfall of $166 million, ensuring that revenue collection stays within the 95 to 105 percent band. The approach used is similar to past General Rate Applications, with a specific step involving the PHP being directly assigned at 105 percent.

NSP DEPRECIATION PANEL 205 In-ch, (Clarke) 1 been conducting depreciation studies for utility companies 2 since our firm's inception in 1915. We also prepare cost 3 of-service allocation and rate design studies, rate of 4 return studies, l...

AI summary Gannett Fleming has been conducting depreciation studies for utility companies since 1915 and prepared the 2023 Depreciation Study for Nova Scotia Power, which was filed with the Board as Appendix 8A of the Application. The study has no revisions and is being adopted as sworn evidence.

NSP DEPRECIATION PANEL 217 Cr-ex, (MacAdam) 1 rates. 2 Nova Scotia Power's view, though, is 3 that it has made assumptions, made concessions in the 4 Settlement Agreement to reduce costs on the assumption, 5 though, that securitization wou...

AI summary Nova Scotia Power Inc. (NSPI) states that the delay in securitization has caused a significant financial impact, with an estimated $18 million cost in the first quarter of 2026. There is uncertainty about whether this cost accounts for depreciation and financing costs collected through 2025 rates.

NSP DEPRECIATION PANEL 219 Cr-ex, (MacAdam) 1 some portion of those depreciation and financing costs, 2 but there's other areas of the business not just the 3 depreciation and financing costs associated with those 4 assets, but depreciatio...

AI summary Nova Scotia Power is unable to recover all of its depreciation and financing costs, including those related to OM and GP assets, leading to a significant financial impact. The discussion highlights the challenges in allocating unrecovered costs and the potential material effect on revenue if deferrals are not accounted for.

NSP DEPRECIATION PANEL 221 Cr-ex, (MacAdam) 1 service and we look at the total revenue that Nova Scotia 2 Power forecasts for 2026, it's clear that the company 3 doesn't have or doesn't expect to have their revenue to 4 cover its cost of s...

AI summary The discussion revolves around Nova Scotia Power's projected revenue shortfall in 2026 and the proposed deferral of costs. The questioner seeks a percentage-based estimate of under-collection, but the response indicates that while assumptions can be made, the company primarily considers the total cost-of-service basis for decision-making.

NSP DEPRECIATION PANEL 223 Cr-ex, (MacAdam) cost of service in 2026. Q. Would you be prepared to provide that pro rata estimate? A. (Flemming) Just one moment, please, Ms. MacAdam. Q. Sure. [2:30:00] A. (Williams) Just before we respond ab...

AI summary The discussion revolves around the cost of service in 2026 and the need to ensure that assumptions made in the Consensus Agreement are retained, particularly regarding revenue requirements and cost recovery during the test period. Nova Scotia Power emphasizes that the securitization costs are not within their control and that they are not seeking full recovery of lost fixed costs.

NSP DEPRECIATION PANEL 227 Cr-ex, (MacAdam) 1 us at this point, but it's not not trying to dance 2 around the question. It's just a matter of the fact that 3 those are true costs, and if we had an approved revenue 4 requirement that includ...

AI summary The speaker discusses the challenges of providing definitive figures for financing and depreciation due to the current rate cap and delayed securitization. They emphasize the need to fully fund the '26 and '27 test period, acknowledging limitations in control over rate timing and securitization.

NSP DEPRECIATION PANEL 235 Cr-ex, (MacAdam) 1 THE CHAIR: Right. You're asking the 2 Board to once it approves the deferral, to 3 retroactively include costs that you've already incurred. 4 MR. FLEMMING: Asking the Board, yes, 5 to let us d...

AI summary The discussion revolves around the deferral of financing costs for Nova Scotia Power, with concerns about retroactively including these costs after they have already been incurred. There is a focus on the timing of rate approvals and securitization, and how these factors impact the recovery of costs over time.

NSP DEPRECIATION PANEL 311 Questions, (Murphy) 1 impact on revenue requirements. Do you recall that? 2 A. (Flemming) Yes, I do. 3 My question is, I wonder if you Q. 4 could just tell me, for the first three items, I think the 5 response to...

AI summary The discussion centers on the impact of removing certain costs from depreciation expense on revenue requirements and average rate increases. The response estimates a 0.5% one-time rate change for the first three items and approximately 1% for all eight items, on a pretax basis.

NSP DEPRECIATION PANEL 357 Questions, (Chair) 1 absolutely we would see a reduction in depreciation 2 expense, but that would be offset by increased financing 3 costs. 4 Mr. Wiedmayer, I believe your firm has 5 run some models around the t...

AI summary The discussion centers on the financial implications of switching from the Equal Life Group to the Average Life Group depreciation method. While the switch would reduce depreciation expense, it would also lower the rate base and impact the revenue requirement, requiring a pro forma adjustment to accurately reflect the long-term effects.

NSP DEPRECIATION PANEL 359 Questions, (Chair) 1 impact of his recommendations. Meaning that the rate base 2 would be much higher today had the Average Life Group 3 procedure been in effect in Nova Scotia for the past 30 4 years. 5 So, in e...

AI summary The discussion centers on the impact of using the Average Life Group (ALG) procedure versus the Equal Life Group (ELG) procedure on the rate base and revenue requirement. The speaker argues that using ALG would lead to a higher rate base and increased revenue requirement for customers over time, while ELG would result in a lower revenue requirement.

NSP DEPRECIATION PANEL 365 Questions, (Chair) 1 A. (Wiedmayer) Yes, so we're looking 2 at the total impact of on the revenue requirement 3 between the Equal Life Group procedure and the Average 4 Life Group procedure. So there's really two...

AI summary The discussion focuses on the impact of different depreciation calculation procedures (Equal Life Group vs. Average Life Group) on Nova Scotia Power's revenue requirement and rate base. The Average Life Group method results in a 10% lower depreciation expense, leading to a $35 million reduction in the first year, with cumulative effects growing over time.

NSP COST OF CAPITAL PANEL 409 Cr-ex, (Mahody) 1 Trenton Unit 5 two boiler feed and, ultimately, down at 2 the bottom of paragraph 7, the Board indicates: 3 4 5 6 7 8 These extra costs were calculated at $1,141,261.58. The Board finds that...

AI summary The Board found Nova Scotia Power imprudent in incurring extra costs of approximately $1.1 million, which will be disallowed and credited to customers in the FAM. This amount is a small fraction of the $1.7 billion in FAM costs incurred by Nova Scotia Power over the 2022 and 2023 audit period.

NSP COST OF CAPITAL PANEL 529 Questions, (Deveau) 1 looking at, and –– yeah. 2 (Williams) I know. A. 3 Q. And then the finial one in terms 4 of support by the Province, and there are other examples, 5 but in the and I can bring it up if yo...

AI summary The discussion centers on a variance provided by the Province of Nova Scotia to Nova Scotia Power Inc. (NSPI) in March 2025, which deferred emissions compliance and resulted in a $160 million reduction in revenue requirements. The question raised is whether this variance indicates the Province's support for NSPI's transition to cleaner fuels.

1 A. (Williams) I don't believe there 2 would be any costs related to that in the GRA. 3 Q. Okay. So you're saying it's an 4 additional cost beyond what's in the GRA. 5 A. (Willett) Yeah, additional 6 revenue requirement in order to admini...

AI summary The discussion revolves around the deferral account and its purpose to capture revenue differences between below-the-line and above-the-line tariffs, specifically in the context of PHP and the ELIADC. The conversation also addresses the timing of tariff approval and its impact on deferral costs.

- of the year. Do you recall that? 1 A. (Williams) I recall a discussion. INTERNATIONAL REPORTING INC. CERTIFIED COURT REPORTERS 1 the Chair's question there. Your proposal, though, is to 2 defer those costs from January 1, not from the da...

AI summary The discussion centers on the deferral of costs from January 1 rather than the implementation date of new rates, and the possibility of securitization of certain assets. If securitization is not possible, NS Power would include these assets in its rate base and adjust its revenue requirement accordingly.

1 A. (Williams) So I think I think 2 we knew of the potential for that, Mr. Mahody. I think, 3 as we've discussed, there's been many different avenues 4 that we have pursued to try to reduce costs and the 5 potential for a rate increase as...

AI summary The discussion centers on the company's awareness of potential rate increases and the steps taken to address them, including cost-reduction efforts and customer consultations. The company was preparing a Depreciation Study as per the Board's directive but delayed filing a rate case until further discussions with customers were completed.

1 increase from the perspective of what its impact is on the 2 credit metrics that you're referring to, Morrison Park has 3 made the comment that you may be able to trim some of that 4 revenue requirement without impacting the credit metri...

AI summary The discussion centers on the potential impact of trimming the revenue requirement on credit metrics, with Morrison Park suggesting it may be possible without negatively affecting credit ratings. Nova Scotia Power emphasizes that the application is not aimed at improving credit metrics but rather at presenting a cost of service.

place. 1 Q. I suppose it will be up to the 2 Board to determine whether or not Morrison Park, in their 3 37 pages of evidence, has answered the right question or 4 not, but let me focus in on 5 A. (Williams) Just to be clear, 6 sorry, Mr....

AI summary The discussion revolves around the Board's determination of whether Morrison Park's evidence addresses the correct question, with a focus on the revenue requirement being tied to the cost of service rather than credit metrics. Nova Scotia Power's credit rating is noted as non-investment grade, making it challenging to assess the impact of changes to the revenue requirement on credit metrics.

1 would be above our current range right now, above 13 2 percent, where Nova Scotia Power was has been 3 traditionally, or in the current range. 4 And the other thing that I would say 5 is that the credit rating agencies don't look at sole...

AI summary The discussion addresses the FFO-to-debt ratio of Nova Scotia Power in the context of revenue requirements and credit ratings, noting that credit rating agencies consider both quantitative and qualitative factors beyond just credit metrics.

INTERNATIONAL REPORTING INC. CERTIFIED COURT REPORTERS 1 The $9 million OM&G reduction in each of 2026 and 2027, 2 and an additional $1 million reduction in our GRA deferral 3 expense, amortization expense. 4 Q. Okay. And let me just focus...

AI summary The discussion focuses on a $9 million reduction in OM&G costs for 2026 and 2027, as well as a $1 million reduction in GRA deferral expense. The witness confirms the reductions are consistent across both years and clarifies that the changes are intended to be permanent, though the impact on revenue requirement is uncertain.

narrative that would assist with our views, in terms of what our views on what that impact may be and what it may mean. I mean, I think going back to the discussion we had prior earlier this morning, Mr. Mahody, about the precarious nature...

AI summary The discussion centers on the potential impact of trimming the revenue requirement on credit metrics and credit ratings, with concerns raised about adverse effects on customers' best interests. The speaker references Morrison Park's evidence suggesting there may be room to trim the revenue requirement to maintain credit metrics, but expresses reservations about this approach.

1 in general. I don't know which ones of those would 2 actually be assigned to Lingnan 2 itself, but the one that 3 was for 299,000 was labelled a 2025/20256 capacity 4 requirement. 5 A. (MacIntosh) Correct. 6 Q. So I guess I'm just you kn...

AI summary The discussion revolves around the discrepancy between the $18 million projected in the GRA for the Lingnan 2 project in 2026 and the $300,000 allocated in the ACE Plan. The GRA included a capital forecast for a major refurbishment, but the timing has been moved to 2027, affecting rate calculations.

it as if we had –– if those periods were similar to the 1 period that we are now in where we do have the benefit of 5 A. (Williams) Just because you have 6 one party making that determination as to whether they 7 want to proceed, see it as...

AI summary The text discusses the conditions under which Nova Scotia Power would consider making an application based on overspending or underspending thresholds. It mentions a materiality threshold of 2.5 million dollars and the retention of underspend funds until this threshold is reached.

A. (Williams) Yes, there was a form of a GRA that would have had the components for discussion included, but it was, as you indicated, provided as a draft. 1 Q. And are you able to tell me when 2 that would have been provided to ratepayer...

AI summary The discussion revolves around the timeline for providing a draft GRA and the handling of revenue variances in the Settlement Agreement. Nova Scotia Power indicates that any future General Rate Application for 2028 is yet to be determined and would depend on circumstances at that time.

NSP GENERAL/REGULATORY PANEL 1007 Questions, (Chair) 1 of the General Rate Application is significantly larger or 2 significantly lower, you know, that has the ability to not 3 reflect the company's actual cost of service. And I know 4 tha...

AI summary The discussion centers on the potential discrepancy between the revenue requirement in a General Rate Application and the actual cost of service, with concerns that it may not accurately reflect the company's costs and could be material to both customers and Nova Scotia Power's bottom line.

INTERNATIONAL REPORTING INC. CERTIFIED COURT REPORTERS 1 there. But since I was it was my comment, I guess I'll 2 weigh in. 3 When I was speaking to the materiality 4 of it, I recognize your point about certainly a variation 5 would someth...

AI summary The discussion revolves around the inclusion of certain costs in the revenue requirement, with a focus on operating costs incurred in 2024 and 2025, and clarification that these costs are not included in the revenue requirement for 2026 or 2027.

NSP GENERAL/REGULATORY PANEL 1009 Questions, (Chair) 1 A. (Williams) Correct. But my point 2 was that it was not in revenue requirement in '23 or '24, 3 either, so 4 Yeah. And in terms of the Q. 5 discussion that we had last time at the Ge...

AI summary The discussion revolves around Nova Scotia Power's (NSP) position on when to include costs in revenue requirements, emphasizing the importance of aligning costs with actual service expenses and avoiding unnecessary recovery from customers. NSP argues that setting revenue requirements too far in advance may lead to mismatched costs and customer charges.

1 that is that would have been removed, yes. 2 Q. The 22 would have been removed. 3 And, in fact, you actually said 19 actually moved. 4 A. Nineteen (19) is the actual 5 number, yes. 6 Q. That's the actual number. But 7 the forecast number...

AI summary The discussion centers on the removal of 22 employees from a company, with 19 moving to system planning and 3 to control. The question raised is whether the ratepayers will still be responsible for the costs of these employees as part of the revenue requirement for the Nova Scotia Independent System Operator.

LIST OF EXHIBITS EXHIBIT NO. DESCRIPTION PAGE NO. 2 3 4 5 6 including labour, materials, contracts, pension costs, insurance, membership dues, subscription costs, office supplies, travel and meals expense. 7 And then we'll go to the next p...

AI summary The document includes a list of exhibits related to Nova Scotia Power's revenue requirement calculations. It outlines procedures performed to assess the reasonableness and accuracy of the calculations, including the review of forecasting methodologies and internal consistency of financial schedules from the September 2025 filing.

DOANE GRANT THORNTON PANEL 1103 Questions, (Deveau) 1 Scotia Power. 2 Okay. And is that sort of is Q. 3 that included in what you mean by the third bullet there, 4 "reviewing the filing for internal consistency"? 5 A. (Brown) Yeah. So thro...

AI summary The discussion revolves around the review process of an application, focusing on internal consistency and forecasting methodology. The reviewer confirmed that consistency checks were performed across supporting schedules, and that assumptions provided by Nova Scotia Power were accepted as factual without independent verification.

DOANE GRANT THORNTON PANEL 1105 Questions, (Deveau) 1 prepared to accept their assumption as fact. 15 including Nova Scotia Power's responses to our 16 interrogatories, and we found nothing to be inconsistent 17 throughout the information...

AI summary The text discusses the acceptance of assumptions in revenue requirement calculations and references the EIFEL deferral. It includes a question and answer exchange regarding these topics and mentions the involvement of certified court reporters.

In-ch, (Mahody) 1 DUSTIN MADSEN, Solemnly Affirmed: 2 EXAMINATION ON QUALIFICATIONS BY MR. MAHODY 3 Q. Mr. Madsen, could we begin by 4 confirming that you filed evidence in this matter that's 5 been marked as Exhibit N-34? 6 Confirmed. A....

AI summary Dustin Madsen, President of Emrydia Consulting Corporation, outlines his professional qualifications and experience, including his work in regulatory finance, consulting for regulated entities, and teaching in the field of accounting and regulatory finance.

INTERNATIONAL REPORTING INC. CERTIFIED COURT REPORTERS if you add new assets into the account and you have a growth rate that exceeds the rate of inflation, then generally speaking, what you're also going to see is an increase in depreciat...

AI summary The discussion centers on the impact of depreciation methods on the rate base and overall financing costs, with a recommendation that the Board evaluate which method best recovers asset costs over time and consider its broader financial implications.

Questions, (Chair) 1 then used the growth rate that I've seen for Nova Scotia 2 Power over the last three years, which has been averaging 3 roughly 3 percent since close to 2024, the rate of growth 4 in that cost increases quite significan...

AI summary The discussion highlights concerns about the growth rate of Nova Scotia Power's costs, the impact of income tax on revenue calculations, and discrepancies in depreciation rates between the ELG and ALG procedures. It also notes that using net present value analysis reveals a significant financial disadvantage to the ELG procedure.

Questions, (Chair) 1 this whole issue. It's clearly been a preoccupation for 2 the Board ever since Mr. Madsen's report was filed. 3 [4:30:04] Looking at it very narrowly, the $23 4 million change in 2026 and the $24 million change in 2027...

AI summary The discussion revolves around a potential change in revenue requirements, with a focus on the financial impact of a proposed adjustment. The Chair questions the accuracy of the figures, suggesting a larger impact than initially reported, and notes that additional changes and amendments complicate the prediction of outcomes.

PALMER 1321 1 likely more efficient for us to just add that to our 2 undertaking and we can provide the information that 3 Mr. Murphy is looking for. 4 MEMBER MURPHY: That'll work. 5 THE CHAIR: Okay. 6 PALMER: Thank you. MS. 7 THE CHAIR: S...

AI summary The discussion centers on providing revised versions of tables from Ms. Palmer's evidence to include the RC ratio and class revenue increases using a specific load capacity factor. There is also a discussion about the Regulatory Assistance Projects Manual and differing views on its purpose, particularly regarding cost allocation methods and their impact on energy pricing.

INTERNATIONAL REPORTING INC. CERTIFIED COURT REPORTERS not being asked to approve securitization as part of this proceeding, but I think MEMBER DEVEAU: You've asked us to create the deferral? MR. WILLIAMS: Correct. MEMBER DEVEAU: Right. MR...

AI summary The discussion revolves around the deferral of securitization and its implications on revenue requirements. The speaker explains that a determination is needed regarding the deferral and the assumptions related to securitization being appropriate and reasonable.