N-1Application - Redacted
104 passages
1 1.0 INTRODUCTION 2 - 3 In order to reduce costs for customers, Nova Scotia Power Incorporated (NS Power, Company), - 4 pursuant to section 35G of the Public Utilities Act (PUA), hereby applies to the Nova Scotia - 5 Energy Board (Board,...
AI summary Nova Scotia Power Incorporated (NS Power) applies to the Nova Scotia Energy Board for a Financing Order to securitize certain costs and recover them through a Securitization Rider. The application is made under section 35G of the Public Utilities Act, which authorizes the Board to approve such orders and allows for the issuance of Securitized Bonds and the imposition of a Securitized Surcharge.
- 23 each of the prescribed requirements is addressed in this Application. Required Information under Section 3(3) of the Securitization Regulations Relevant Section of the Application (a) A description of the costs the Electric Utility is...
AI summary The document outlines NS Power's application for a financing order to reduce customer costs through securitization. It details the costs to be securitized, financing costs, surcharges for recovery, and a formula-based true-up mechanism for adjustments.
NS Power Application for Financing Order to Reduce Costs for Customers Redacted Required Information under Section 3(3) of the Securitization Regulations Relevant Section of the Application (C) Securitized Surcharges that have been collect...
AI summary NS Power has applied for a financing order to reduce customer costs. The application includes details on securitized surcharges, flexibility in bond terms, and fund allocation methods. These details are outlined in Section 11.0 of the application.
2 This Application arises directly from the securitization framework contemplated during the 3 Company's 2026-2027 General Rate Application (GRA). Within that proceeding, the Board 4 considered extensive evidence concerning the potential u...
AI summary This Application is related to the securitization framework discussed in the 2026-2027 General Rate Application (GRA). The Board previously considered securitization as a method to finance the retirement of thermal generation assets, reduce customer costs, and improve credit metrics for the utility.
NS Power Application for Financing Order to Reduce Costs for Customers Redacted - 1 As detailed within this Application, the proposed securitization satisfies the requirements of the - 2 Securitization Regulations and will provide substant...
AI summary NS Power is requesting a Financing Order from the Board to authorize the securitization of Securitized Costs and Financing Costs, which is expected to reduce customer costs, facilitate the retirement of thermal generation assets, and moderate rate impacts over the recovery period.
1 2.0 SECURITIZED COSTS 2 - 3 Pursuant to the Securitization Regulations, NS Power seeks a Financing Order authorizing the - 4 securitization of certain Securitized Costs and the recovery of those costs, together with associated - 5 Financ...
AI summary NS Power is requesting a Financing Order to securitize $987.5 million in Securitized Costs, including Retired Generation Costs, Unretired Generation Costs, and other eligible expenses, through a Securitized Surcharge collected via a Securitization Rider. The rationale and financial benefits of securitization are detailed in Section 5.0 and Appendix A.
17 Figure 1: Summary of Securitized Costs ($ million) Securitized Costs Eligible Costs Thermal Assets¹ $ 713.0 Thermal Assets Financing Cost Deferral² 27.6 PHP Deferral² 12.2 IESO Deferral² 20.2 Fuel and Purchased Power – Q3 2026 FAM Asset...
AI summary The text presents a summary of securitized costs, including thermal assets, financing cost deferrals, and other eligible costs totaling $987.5 million, with additional financing fees bringing the total securitization bond proceeds to $1,000.0 million. NS Power will reclassify the thermal asset balance to the Securitization Regulatory Asset.
22 2.1 Thermal Assets - 24 NS Power seeks to securitize $740.6 million, consisting of the unrecovered net book value of - 25 thermal generation assets within the scope of the DDA as at December 31, 2025, together with - 26 deferred financi...
AI summary NS Power is seeking to securitize $740.6 million, which includes the unrecovered net book value of thermal generation assets as of December 31, 2025, and deferred financing costs from May 1, 2026, to November 30, 2026, calculated at a 6.59% WACC. This approach aligns with the 2026-2027 GRA and excludes costs already recovered through customer rates to avoid duplication.
NS Power Application for Financing Order to Reduce Costs for Customers Redacted - 1 The DDA Assets proposed for securitization include the Point Aconi Generating Station, Trenton - 2 Units 5 and 6, Trenton Common Assets, Point Tupper Marin...
AI summary NS Power is applying for a financing order to securitize the unrecovered net book value of several DDA Assets, including the Point Aconi Generating Station and various other facilities. The application aims to reduce costs for customers.
- 8 The unrecovered net book value of the thermal generation assets and the associated deferred - 9 financing costs constitute Unretired Generation Costs within the meaning of the Securitization - 10 Regulations and, accordingly, constitut...
AI summary The text discusses the transfer of $713.0 million in unrecovered net book value of thermal generation assets from Property, Plant and Equipment to a Securitization Regulatory Asset, as part of a securitization process under the Securitization Regulations. This is described as Unretired Generation Costs and Securitized Costs that are eligible for securitization.
16 2.2 Fuel and Purchased Power - 18 The Company is proposing to securitize $214.5 million of fuel and purchased power costs. This - 19 amount consists of $149.6 million in forecast under-recovered fuel and purchased power costs as
AI summary The Company is proposing to securitize $214.5 million in fuel and purchased power costs, which includes $149.6 million in forecast under-recovered costs. This initiative aims to address financial shortfalls related to fuel and power expenses.
3.2 Ongoing Financing Costs 2 1 - 3 Ongoing Financing Costs means Financing Costs incurred after the issuance of the Securitized - 4 Bonds. Ongoing Financing Costs include, but are not limited to, servicing fees, trustee fees and - 5 expen...
AI summary This section defines Ongoing Financing Costs as expenses incurred after the issuance of Securitized Bonds, including servicing fees, trustee fees, audit costs, and reserve fund replenishment. NS Power provides an estimate of these costs in Figure 4.
29 value implications of the proposed Securitized Surcharge are discussed further in Section 5.0.
AI summary The text references the value implications of the proposed Securitized Surcharge, which are discussed in Section 5.0 of the document.
7 Figure 5: Summary of Securitization Analysis (Partially Confidential) Traditional Recovery Securitization 22 23 The total 2027 revenue requirement associated with the Securitized Costs of Fuel and Purchased 24 Power described in Section...
AI summary The document discusses the 2027 revenue requirement associated with securitization, splitting it into two components: under-recovered fuel and purchased power costs as of September 30, 2026, and prepayment of future fuel and purchased power costs. The split is proportional to their respective shares of the total securitized costs.
5 6.4 IESO-NS Deferral 6 - 7 The total 2027 revenue requirement associated with the securitization of the IESO-NS Deferral is - 8 allocated to customer classes based on each class's forecast 2027 share of sales. This methodology - 9 is con...
AI summary The text discusses the allocation of the 2027 revenue requirement from the securitization of the IESO-NS Deferral to customer classes based on their forecasted share of sales. It references Appendix H for detailed allocation information.
1 7.0 CALCULATION OF SECURITIZATION RIDER BY CUSTOMER CLASS 2 - 3 The Securitization Rider for each customer class is expressed in cents per kilowatt-hour (\phi/kWh). - 4 The rider is calculated by dividing the class-specific revenue requi...
AI summary The document outlines the calculation of the Securitization Rider by customer class, expressed in cents per kilowatt-hour. The rider is calculated using class-specific revenue requirements divided by the class's 2027 forecast annual sales. Appendices D, F, G-1, and G-2 provide relevant data and tariff amendments, with specific mentions of pending applications affecting certain tariff classes.
1 8.0 RATE IMPACT 2 - 3 The four securitization components have an estimated total revenue requirement of approximately - 4 $67.2 million in 2027. Recovery of the portion allocated to the FAM customer classes, totaling - 5 approximately $6...
AI summary The estimated total revenue requirement for the four securitization components is approximately $67.2 million in 2027, with an average rate increase of 3.3 percent for FAM customer classes. Appendix E provides detailed impacts on class revenues for each component.
11 Figure 6: Impact of the Securitization Rider on FAM customer class revenues in 2027 Increases in Customer Class Revenues in 2027 Securitization Rider Customer Class Thermal Assets (%) Fuel & Purchased Power (%) PHP Deferral (%) IESO NS...
AI summary Figure 6 illustrates the impact of the Securitization Rider on FAM customer class revenues in 2027, showing percentage increases across various customer classes, with the highest increase observed in the Municipal class at 5.6%.
2 Figure 7 below illustrates the Securitization Rider for Below the Line (BTL) customer class in 3 2027. 4
AI summary Figure 7 illustrates the Securitization Rider for Below the Line (BTL) customer class in 2027.
5 Figure 7: Securitization Rider for Below the Line (BTL) customer class in 2027 2027 Securitization Rider (c/kWh) Customer Class Thermal Assets Fuel & Purchased Power PHP Deferral IESO NS Deferral Total GEN.REPL./LOAD FOLL. 0.310 - 0.005...
AI summary Figure 7 presents the securitization rider rates for different customer classes in 2027, including components such as thermal assets, fuel and purchased power, and various deferrals. The rates vary across customer classes, with the highest rate for the BUTU class and the lowest for the REAL TIME PRICING class.
1 Year 2 2 • The BA will consist solely of BA1 , which reconciles the over-collection or under-collection 3 of Securitized Surcharges from Year 1.
AI summary In Year 2, the Balancing Adjustment (BA) will be composed solely of BA1, which reconciles the over-collection or under-collection of Securitized Surcharges from Year 1.
5 Year 3 and Subsequent Years - 6 The BA will consist of: - 7 o BA1 , which reconciles the over-collection or under-collection of Securitized 8 Surcharges from Year 2; and - 9 o BA2 , which reconciles the over-collection or under-collectio...
AI summary The Balancing Adjustment (BA) for Year 3 and subsequent years includes BA1, which reconciles over-collection or under-collection of Securitized Surcharges from Year 2, and BA2, which reconciles over-collection or under-collection related to the collection or refund of Year 1's BA1 amount.
11 - 12 This process will continue annually to ensure that all variances associated with both the Securitized - 13 Surcharge and prior BA are fully reconciled over time. Figure 9 below illustrates the annual - 14 reconciliation timeline:
AI summary The text discusses an annual process to reconcile variances associated with the Securitized Surcharge and prior Balancing Adjustment (BA) over time, with Figure 9 illustrating the annual reconciliation timeline.
16 Figure 9: Annual Reconciliation Timeline Year 1 Year 2 Year 3 and Beyond Forecast Collection of Securitized Surcharge in Year 1 - [SS] Forecast collection of Securitized Surcharge in Year 2 – [SS] Forecast collection of Securitized Surc...
AI summary The document outlines a timeline for the annual reconciliation of securitized surcharges, detailing forecast collection and over/under-collection across multiple years. It references the Balancing Adjustment (BA) mechanism for reconciliation purposes, as outlined in section 3(3)(f) of the relevant legislation.
NS Power Application for Financing Order to Reduce Costs for Customers Redacted - any difference between estimated Ongoing Financing Costs financed by Securitized Bonds and the actual Ongoing Financing Costs incurred by the Company or an A...
AI summary The document outlines the calculation of Balancing Adjustments (BA) and BA riders in relation to Securitized Surcharges and Financing Orders, including formulas for determining BA(t), BA1(t), BA2(t), and the BA rider based on forecast sales and reconciliation amounts.
1 11.0 OVERVIEW OF SECURITIZATION TRANSACTION 2 3 The Securitized Bonds will be issued by a bankruptcy-remote limited partnership (LP) to be 4 formed by NS Power, the general partner of which will be a special purpose corporation wholly 5...
AI summary The document outlines the securitization transaction structure, where NS Power will issue Securitized Bonds through a bankruptcy-remote limited partnership. The LP will acquire the Securitized Property and issue bonds secured by that property, with proceeds used to repay NS Power's traditional debt, resulting in customer savings.
6 11.1 Creation of Securitized Property 7 8 Upon issuance of the Financing Order, Securitized Property shall be created in favour of NS 9 Power, consisting of all rights and interests under the Financing Order, including the right to 10 im...
AI summary The text outlines the creation of Securitized Property in favor of Nova Scotia Power upon the issuance of the Financing Order, including the rights to impose, bill, charge, collect, and receive the Securitized Surcharge and to obtain periodic adjustments.
13 11.2 Transfer of Securitized Property 14 15 NS Power proposes to sell, assign and transfer to the LP (acting through its general partner) all of 16 NS Power's right, title and interest in, to and under the Securitized Property, pursuant...
AI summary NS Power proposes to transfer its Securitized Property to LP through a sale agreement, which will take place after the Financing Order becomes effective and the transfer documents are executed and delivered. The LP will issue limited partnership units in exchange for the Securitized Property.
NS Power Application for Financing Order to Reduce Costs for Customers Redacted 1 which will constitute value received for, and the fair equivalent value of, the Securitized Property 2 for the purposes of section 16(c) of the Securitizatio...
AI summary NS Power is applying for a financing order to securitize certain assets, transferring ownership of the Securitized Property under the Securitization Regulations. The transfer is absolute, and NS Power will retain only limited rights as a servicer and limited partner. This process is consistent with regulatory provisions and will not be affected by various financial or legal factors.
18 11.3 Loan of Bond Proceeds 19 20 The advance of Securitized Bond proceeds by the LP to NS Power will be made under a loan 21 agreement that is separate from, and does not form part of the consideration for, the sale of the 22 Securitize...
AI summary The document outlines the terms of a loan agreement for the advance of Securitized Bond proceeds by the LP to NS Power, emphasizing that the loan is separate from the sale of the Securitized Property and that NS Power's obligations are general and not secured by the Securitized Property.
14 11.5 Servicer and Successor Servicer 15 - 16 NS Power will serve as the initial servicer, responsible for billing, collecting, and remitting the - 17 Securitized Surcharge, filing true-up adjustments, and performing other administrative...
AI summary NS Power is designated as the initial servicer for the Securitized Surcharge, with responsibilities including billing, collection, and administrative duties. A successor servicer may be appointed if NS Power is unable or unwilling to continue, to ensure uninterrupted collection for bondholders.
22 11.6 Priority of Payments - 24 Securitized Surcharge collections remitted to the LP or the indenture trustee are expected to be - 25 applied generally in the following order of priority, subject to the terms of the definitive transactio...
AI summary This section outlines the priority of payments for Securitized Surcharge collections, specifying that funds are applied in a defined order: Ongoing Financing Costs, interest on Securitized Bonds, principal on Securitized Bonds, replenishment of reserve accounts, and finally the release of any surplus.
10 11.7 Flexibility in Bond Terms 11 - 12 Pursuant to section 3(3)(g) of the Securitization Regulations, NS Power requests flexibility be - 13 afforded to it in establishing the terms and conditions of the Securitized Bonds, including but...
AI summary NS Power is requesting flexibility in bond terms under the Securitization Regulations, allowing for adjustments in repayment schedules, interest rates, and financing costs, provided the transaction remains aligned with prevailing interest rates and delivers quantifiable net present value benefits to customers.
21 11.8 Indemnity Agreement - 23 An essential part of the securitization transaction is the provision of an Indemnity Agreement by - 24 the Government of Nova Scotia. This is required by credit rating agencies because the security - 25 for...
AI summary The Indemnity Agreement provided by the Government of Nova Scotia is essential for the securitization transaction, as required by credit rating agencies to ensure bondholder protection in case of regulatory changes that could impact bond repayment.
1 13.0 IMPACT ON THE DECARBONIZATION DEFERRAL ACCOUNT (DDA) 2 3 As described in Section 2.1, the proposed securitization applies to $740.6 million of unrecovered 4 net book value and deferred financing costs associated with thermal generat...
AI summary The document discusses the impact of securitization on the Decarbonization Deferral Account (DDA), noting that it would reduce the DDA balance significantly but still require recovery of decommissioning and sustaining capital costs. NS Power argues the DDA remains important for transparent and cost-effective recovery of thermal generation asset retirement costs.
1 14.0 RELIEF SOUGHT 2 3 Pursuant to section 35G of the PUA, NS Power respectfully requests that the Board issue a 4 Financing Order, to take effect immediately upon issuance by the Board of its decision in this 5 matter, that is consisten...
AI summary NS Power is requesting the Board to issue a Financing Order under the Public Utilities Act, allowing for the interim approval of the Securitized Surcharge and its implementation via a Securitization Rider effective January 1, 2027. The request includes the allocation of the surcharge and a process to adjust it after a regulatory review.
23 Financing Order Requirements Under Section 5(1) Application Reference (a) The amount and a breakdown by category of Securitized Costs to be financed using Securitized Bonds and a finding that recovery of those costs is just and reasonab...
AI summary The text outlines financing order requirements under Section 5(1), specifically addressing the amount and breakdown of Securitized Costs to be financed via Securitized Bonds, with a requirement to determine if recovery is just and reasonable for customers.
8 2.1 Proposed Solution to Address FAM AA/BA Balance 9 NS Power is proposing to securitize the outstanding FAM AA/BA balance and recover the 10 associated costs over a 30-year period, rather than recovering the full balance in 2027. The 11...
AI summary NS Power proposes to securitize the outstanding FAM AA/BA balance and recover the associated costs over a 30-year period instead of in 2027. This approach includes both the current unrecovered balance and forecasted under-recovery to provide additional protection.
17 Power balance would result in an average rate increase of approximately 0.7 percent in 2027. 19 Figure 2 – Percentage increase in class revenues due to securitization of fuel and purchased 20 power balance 2027 FAM Riders – Percentage I...
AI summary The text discusses a projected average rate increase of approximately 0.7 percent in 2027 due to a power balance, as well as a table showing the percentage increase in class revenues due to the securitization of fuel and purchased power balance.
Appendix C: 2027 FAM AA/BA 2027 FAM Riders – Percentage Increase Customer Class AA BA FAM AA/BA Fuel & Purchased Power Securitization Rider Total Large General 0.0 0.0 0.0 1.6 1.6 Small Industrial 0.0 0.0 0.0 0.9 0.9 Medium Industrial 0.0...
AI summary This section outlines the repayment of $117 million to Invest Nova Scotia, likely related to a financial agreement or investment. The table presents the percentage increases for various customer classes under the 2027 FAM AA/BA riders, with the Fuel & Purchased Power Securitization Rider being the only non-zero value.
2026 Securitization Rider Application Appendix C Page 9 of 14 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Appendix C: 2027 FAM AA/BA 1 Item 1 in [Figure 5](#page-60-1) is September 30, 2025 BCF Balance amount with interest and can be found...
AI summary This appendix provides detailed breakdowns of the 2027 Fuel Adjustment Mechanism (FAM) Affordable Access/Bill Adjustment (AA/BA) rider, including balances, under-recoveries, interest calculations, and collections for specific time periods, referencing Attachment 1 for data.
2026 Securitization Rider Application Appendix C Page 10 of 14 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Appendix C: 2027 FAM AA/BA - 1 Item 11 in [Figure 5](#page-60-1) is the 2026 actual beginning of year BA amount, and can be found in...
AI summary This section of the 2026 Securitization Rider Application Appendix C outlines the calculation of the 2027 Fuel Adjustment Mechanism (FAM) Affordable Access/Bill Adjustment (AA/BA) amounts. It references specific line items in Attachment 1 and explains how various components, including interest and balances, are aggregated to determine the final 2027 BA amount.
9 Customer class 10 [Figure 7](#page-64-1) below presents the proposed collection of the 2027 revenue requirement associated with 11 the securitization of Fuel and Purchased Power balance. The total 2027 revenue requirement of 12 approxima...
AI summary The text discusses the proposed 2027 revenue requirement of approximately $14.1 million related to the securitization of Fuel and Purchased Power balance, including both the existing balance as of September 30, 2026, and the forecasted balance expected from October 1, 2026, to December 31, 2027.
1 Figure 7 – Proposed 2027 Collection through Securitization Rider for Fuel and Purchased 2 Power Balance by Customer class Customer class AA ($ Million) BA ($ Million) Collection through Securitization Rider for Fuel and Purchased Power i...
AI summary Figure 7 presents the proposed 2027 collection through securitization rider for fuel and purchased power balance by customer class, showing different amounts across various categories, with the total collection amount being $14.1 million.
2026 Securitization Rider Application Appendix C Page 13 of 14 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Appendix C: 2027 FAM AA/BA - 1 For the 2027 AA and BA calculations, the 2026 revenue-to-cost (R/C) ratio is applied to customer - 2...
AI summary This section outlines the methodology for calculating the 2027 Fuel Adjustment Mechanism (FAM) Affordable Access/Bill Adjustment (AA/BA), including the application of the 2026 revenue-to-cost ratio, allocation of fuel costs by customer class, deduction of base rate recoveries, and apportionment of interest adjustments and non-fuel-related costs based on rate base shares.
2026 Securitization Rider Application Appendix C Page 14 of 14 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Appendix C: 2027 FAM AA/BA - 1 NS Power is proposing to securitize the outstanding OATT MEUs FAM AA/BA balance and - 2 recover the a...
AI summary NS Power is proposing to securitize the outstanding OATT MEUs FAM AA/BA balance and recover the associated costs over a 30-year period instead of in 2027. The 2027 revenue requirement includes both the balance as of September 30, 2026, and the forecast balance expected through December 31, 2027.
9 10 Figure 9 – OATT MEUs Collection for Securitization of Fuel and Purchased Power Balance 11 in 2027 Collection for Securitization of Purchased Power Balance Fuel and in 2027 ($) OATT MEUs Annual Monthly Antigonish 257,580 21,465 Berwick...
AI summary This section presents a table showing the OATT MEUs collection for the securitization of fuel and purchased power balance in 2027, including annual and monthly figures for various locations. A confidential attachment related to the 2026 Securitization Rider Application is also mentioned.
REDACTED 2026 Securitization Rider Application Appendix C Attachment 2 Page 1 of 8 REDACTED (CONFIDENTIAL INFORMATION REMOVED) FAM Rate Classes (ATL) Oct 2025-Sept 2026 GWh Energy Requirement Actual Fuel Costs Recovered Fuel Costs Recovere...
AI summary The table presents detailed financial data for the Fuel Adjustment Mechanism (FAM) across various rate classes in Nova Scotia for the period October 2025 to September 2026. It includes figures for energy requirements, actual and recovered fuel costs, variance, and the FAM AA rider in cents per kWh for 2027.
BUTU Capacity Credit Calc. Installed Capacity Capacity Credit Approved Contract Demands (kWs) FAM-related Demand Charge Gross Demand Payment Net Demand payment bfr Credits Capacity Credit Ellershouse Imports 23,500 20.5% 7,549 $1.456 Total...
AI summary This document presents a capacity credit calculation table for Ellershouse Imports, showing installed capacity, capacity credit percentage, approved contract demands, and a net demand payment of -$70,272. It is part of a redacted 2026 Securitization Rider Application Appendix C Attachment 2.
REDACTED 2026 Securitization Rider Application Appendix C Attachment 2 Page 8 of 8 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Annual Peak of ATL Annual Energy Requirement of ATL 2,481,214 21,735,437,100 20,325,436,463 20,325,436,463 94% S...
AI summary The document presents detailed financial and operational data related to the 2026 Securitization Rider Application, including rate base calculations, plant costs, and generation-related assets. It includes tables with figures for various plants and their associated costs, as well as classifications for rate base components.
APPLICABILITY The Securitization Cost Recovery Rider (SECRR) is non-bypassable, is imposed on, and is part of, all customer bills, and shall be collected in accordance with a Financing Order issued pursuant to section 35G of the Public Uti...
AI summary The Securitization Cost Recovery Rider (SECRR) is a non-bypassable charge applied to all customer bills from NS Power, regardless of whether customers switch to alternative suppliers. It is enforced under a Financing Order from the Public Utilities Act.
PURPOSE The purpose of the SECRR is to provide for the recovery of the Securitized Surcharge approved by the Board in accordance with a Financing Order issued pursuant to section 35G of the Public Utilities Act.
AI summary The SECRR aims to recover the Securitized Surcharge approved by the Board under a Financing Order issued under section 35G of the Public Utilities Act.
ADJUSTMENTS Subject to NS Power making application for recovery through the SECRR, recoverable amounts shall be limited to those approved by the Board in a Financing Order. The SECRR shall include: - a class-specific Securitized Surcharge...
AI summary The document outlines the structure and purpose of the Securitization Cost Recovery Rider (SECRR), including the Securitized Surcharge (SS) and Balancing Adjustment (BA), which are designed to recover financing and securitization costs from customer classes based on approved methodologies and effective from January 1, 2027.
CALCULATION OF THE SECRR The monthly amount calculated under each applicable rate schedule shall be increased or decreased by the SECRR, expressed in cents per kilowatt-hour (¢/kWh), as follows: SECRR = SS + BA Where: BA = BA_1 + BA_2 and:...
AI summary The SECRR (Securitization Cost Recovery Rider) is calculated using SS and BA, which includes BA1 and BA2. BA1 accounts for over or under-collection of surcharges, while BA2 adjusts for prior year BA1 amounts. The calculation uses actual and forecast billing data, with annual updates based on the True-Up Mechanism approved by the Board.
Securitization Cost Recovery Rider Rates for 2027 Securitization Cost Recovery Rider Customer Class SS (¢/kWh) BA1 (¢/kWh) BA2 (¢/kWh) SECRR (¢/kWh) Domestic Service, Domestic Service Time-of Day, Domestic Service Time-of-Use, Domestic 0.6...
AI summary The document outlines the Securitization Cost Recovery Rider (SECRR) rates for 2027, detailing the rates for various customer classes. These rates are effective from January 1, 2027, and are structured to recover costs associated with securitization.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits in cents per kilowatt-hour that apply to the Tariff for the current rate year, in addition to the energy charge.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits applicable to the Tariff for the current rate year, in addition to the energy charge, shown in the rider.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits applicable to the Tariff for the current rate year, in cents per kilowatt-hour, which apply in addition to the energy charge.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits in cents per kilowatt-hour that apply to the Tariff for the current rate year, in addition to the energy charge.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits in cents per kilowatt-hour that apply to the Tariff for the current rate year, in addition to the energy charge.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits in cents per kilowatt-hour applicable to the Tariff for the current rate year, in addition to the energy charge.
2026 Securitization Rider Application Appendix G-1 (Redline) Page 24 of 86 REDACTED (CONFIDENTIAL INFORMATION REMOVED) GENERAL TARIFF Page 2 of 3 Rate Code 11 Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) app...
AI summary This document outlines the application for a 2026 Securitization Rider, specifying that Securitization Cost Recovery charges or credits, as detailed in the Securitization Cost Recovery Rider, will apply in addition to the energy charge for the current rate year.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits applicable to the Tariff for the current rate year, in cents per kilowatt-hour, which are applied in addition to the energy charge.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits in cents per kilowatt-hour applicable to the Tariff for the current rate year, in addition to the energy charge.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits in cents per kilowatt-hour that apply to the Tariff for the current rate year, in addition to the energy charge.
2026 Securitization Rider Application Appendix G-1 (Redline) Page 38 of 86 REDACTED (CONFIDENTIAL INFORMATION REMOVED) LARGE GENERAL TARIFF Page 2 of 2 (2,000 kVA or 1,800 kW and over) Rate Code 12 Securitization Cost Recovery charges or c...
AI summary The document outlines the application of Securitization Cost Recovery charges or credits in cents per kilowatt-hour for the 2026 rate year, as part of the Securitization Rider, which applies in addition to the energy charge for large general tariff customers.
2026 Securitization Rider Application Appendix G-1 (Redline) Page 40 of 86 REDACTED (CONFIDENTIAL INFORMATION REMOVED) SMALL INDUSTRIAL TARIFF Page 2 of 2 (up to 249 kVA or 224 kW) Rate Code 21 Securitization Cost Recovery charges or credi...
AI summary This section of the 2026 Securitization Rider Application discusses the application of Securitization Cost Recovery charges or credits to the Small Industrial Tariff (Rate Code 21), which are applied in addition to the energy charge for customers with up to 249 kVA or 224 kW.
2026 Securitization Rider Application Appendix G-1 (Redline) Page 42 of 86 REDACTED (CONFIDENTIAL INFORMATION REMOVED) MEDIUM INDUSTRIAL TARIFF Page 2 of 2 (250 kVA or 225 kW to 1,999 kVA or 1,799 kW) Rate Code 22 Securitization Cost Recov...
AI summary This section of the 2026 Securitization Rider Application outlines the application of Securitization Cost Recovery charges or credits to the Medium Industrial Tariff Rate Code 22, which applies in addition to the energy charge for the current rate year.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits applicable to the Tariff in cents per kilowatt-hour for the current rate year, in addition to the energy charge.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits in cents per kilowatt-hour that apply to the Tariff for the current rate year, in addition to the energy charge.
2026 Securitization Rider Application Appendix G-1 (Redline) Page 52 of 86 REDACTED (CONFIDENTIAL INFORMATION REMOVED) UNMETERED SERVICE RATES Page 1 of 12 Rate Code 41 Note: rates listed under 2026 shall be effective upon the date of the...
AI summary This document outlines the 2026 Securitization Rider Application Appendix G-1, which includes redacted information. It specifies that service rates under 2026 will be effective upon the Board's Order, while rates under 2027 will take effect on January 1, 2027.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits in cents per kilowatt-hour applicable to the Tariff for the current rate year, in addition to the energy charge.
(a) Continuous Burning – Operating Only Number of kWh per per month ($) Rate Code Bulb Length Bulbs per Unit month 2026 2027 Other 117 72 4 486 74.47 79.07 118 24 2 66 10.11 10.74 119 48 4 364 55.78 59.22 120 96 2 254 38.92 41.33 150 96 4...
AI summary The document presents tables detailing electricity usage and associated costs for different rate codes under Continuous Burning and Photocell Operation categories, with data provided for the years 2026 and 2027. The information is part of a securitization rider application and includes redacted confidential details.
Nova Scotia Power Incorporated Distribution Tariff 2026 Securitization Rider Application Appendix G-1 (Redline) Page 65 of 86
AI summary The document is a redline version of Appendix G-1 from the 2026 Securitization Rider Application by Nova Scotia Power Incorporated, focusing on the distribution tariff.
2026 Securitization Rider Application Appendix G-1 (Redline) Page 74 of 86 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Nova Scotia Power Distribution Tariff Page 9 of 10 APPENDIX A: DISTRIBUTION TARIFF RATE SCHEDULES
AI summary The document is a redacted section of an application for a 2026 Securitization Rider, focusing on the Nova Scotia Power Distribution Tariff. It includes Appendix A, which outlines Distribution Tariff Rate Schedules, though specific details are confidential and removed.
(a) Operating, Maintenance, and Capital (full charge) kWh per per month ($) Rate Code Watts month 2026 2027 Other 100 100 43 10.44 11.17 101 125 52 11.31 12.07 2026 Securitization Rider Application Appendix G-1 (Redline) Page 79 of 86 REDA...
AI summary The text provides a table detailing operating, maintenance, and capital costs associated with different rate codes, including kWh per month and associated monthly costs for 2026 and 2027. The section is part of a securitization rider application and contains redacted confidential information.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits in cents per kilowatt-hour that apply to the Tariff for the current rate year, in addition to the energy charge.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits in cents per kilowatt-hour that apply to the Tariff for the current rate year, in addition to the energy charge.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, in addition to the energy charge.
LARGE GENERAL TARIFF Page 2 of 2 (2,000 kVA or 1,800 kW and over) Rate Code 12 Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cos...
AI summary The document outlines the application of Securitization Cost Recovery charges or credits in cents per kilowatt-hour for the Large General Tariff, applicable to Rate Code 12 in the current rate year, as specified in the Securitization Cost Recovery Rider.
SMALL INDUSTRIAL TARIFF Page 2 of 2 (up to 249 kVA or 224 kW) Rate Code 21 Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Re...
AI summary The document outlines the application of Securitization Cost Recovery charges or credits in cents per kilowatt-hour for the Small Industrial Tariff, Rate Code 21, which are applied in addition to the energy charge as part of the current rate year.
MEDIUM INDUSTRIAL TARIFF Page 2 of 2 (250 kVA or 225 kW to 1,999 kVA or 1,799 kW) Rate Code 22 Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Se...
AI summary The document outlines the application of Securitization Cost Recovery charges or credits in cents per kilowatt-hour for Rate Code 22 under the Medium Industrial Tariff, which applies in addition to the energy charge.
vider : NS Power. Securitization Cost Recovery Charges : Costs of Securitization that NS Power is entitled to recover from RtR Customers in accordance with the Securitization Cost Recovery Rider. Transmission Services : The services obtain...
AI summary This section defines key terms related to transmission services, securitization cost recovery charges, and wholesale customers within the context of Nova Scotia Power's operations and regulatory framework.
cents per kilowatt-hour Interim Energy Charge During a Critical Peak Event Non-critical Peak Hours Effective upon the date of the Board's Order n/a 18.324 1 M12499 – Board Decision, 325286, page 5. October 28, 2025. 2026 Securitization Rid...
AI summary The document provides a table showing the interim energy charge during a Critical Peak Event and Non-critical Peak Hours, with a rate of 18.324 cents per kilowatt-hour. It also references a Board Decision (M12499) dated October 28, 2025, and is part of a 2026 Securitization Rider Application Appendix.
Interim Energy Charge (Non cents per winter Period) kilowatt-hour April 1 through October 31 (all hours) Effective upon the date of the Board's Order 18.324 1 M12499 – Board Decision, 325286, page 5. October 28, 2025. 2026 Securitization R...
AI summary The document outlines the interim energy charge for the non-winter period, effective from April 1 to October 31, set at 18.324 cents per kilowatt-hour upon the date of the Board's Order. It also references a Board Decision (M12499) from October 28, 2025, and is part of the 2026 Securitization Rider Application Appendix G-2 (Clean).
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits in cents per kilowatt-hour applicable to the Tariff for the current rate year, which are applied in addition to the energy charge.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits in cents per kilowatt-hour applicable to the Tariff for the current rate year, in addition to the energy charge.
cents per kilowatt-hour Interim Energy Charge During a For the first 200 For all Critical Peak kilowatt-hours per additional Event month 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 contains a table with energy charge rates and references a Board Decision (M12499) from October 28, 2025, related to a 2026 Securitization Rider Application. The table outlines interim energy charges, including rates for different kilowatt-hour thresholds and Critical Peak Events.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits in cents per kilowatt-hour applicable to the Tariff for the current rate year, in addition to the energy charge.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits in cents per kilowatt-hour applicable to the Tariff for the current rate year, in addition to the energy charge.
2026 Securitization Rider Application Appendix G-2 (Clean) Page 24 of 87 REDACTED (CONFIDENTIAL INFORMATION REMOVED) GENERAL TARIFF Page 2 of 3 Rate Code 11 Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) appli...
AI summary This section outlines the application of Securitization Cost Recovery charges or credits in cents per kilowatt-hour as part of the Tariff for the current rate year, as specified in the Securitization Cost Recovery Rider, which applies in addition to the energy charge.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits in cents per kilowatt-hour that apply to the Tariff for the current rate year, in addition to the energy charge.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits in cents per kilowatt-hour applicable to the Tariff for the current rate year, in addition to the energy charge.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits in cents per kilowatt-hour that apply to the Tariff for the current rate year, in addition to the energy charge.
2026 Securitization Rider Application Appendix G-2 (Clean) Page 38 of 87 REDACTED (CONFIDENTIAL INFORMATION REMOVED) LARGE GENERAL TARIFF Page 2 of 2 (2,000 kVA or 1,800 kW and over) Rate Code 12 Securitization Cost Recovery charges or cre...
AI summary This section of the 2026 Securitization Rider Application outlines the application of Securitization Cost Recovery charges or credits to the Tariff for the current rate year, specifically for large general tariff customers with a capacity of 2,000 kVA or 1,800 kW and over.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits in cents per kilowatt-hour that apply to the Tariff for the current rate year, in addition to the energy charge.
2026 Securitization Rider Application Appendix G-2 (Clean) Page 42 of 87 REDACTED (CONFIDENTIAL INFORMATION REMOVED) MEDIUM INDUSTRIAL TARIFF Page 2 of 2 (250 kVA or 225 kW to 1,999 kVA or 1,799 kW) Rate Code 22 Securitization Cost Recover...
AI summary This document outlines the application for a 2026 Securitization Rider, detailing how Securitization Cost Recovery charges or credits are applied to the Medium Industrial Tariff Rate Code 22, in addition to the energy charge for the current rate year.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits in cents per kilowatt-hour that apply to the Tariff for the current rate year, in addition to the energy charge.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits in cents per kilowatt-hour that apply to the Tariff for the current rate year, in addition to the energy charge.
2026 Securitization Rider Application Appendix G-2 (Clean) Page 68 of 87 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Nova Scotia Power Distribution Tariff Page 3 of 10 Retail Supplier : This term has the same meaning as under the Act. Reta...
AI summary The document outlines definitions related to the Nova Scotia Power Distribution Tariff, including terms such as Retail Supplier, Retail Customer, RtR Customer, and Transmission System. It also discusses cost recovery mechanisms such as Storm Cost Recovery Charges and Securitization Cost Recovery Charges.
SECURITIZATION COST RECOVERY RIDER Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cost Recovery Rider, shall apply, in addition t...
AI summary The Securitization Cost Recovery Rider outlines charges or credits applicable to the Tariff for the current rate year, in cents per kilowatt-hour, which are applied in addition to the energy charge.
LARGE GENERAL TARIFF Page 2 of 2 (2,000 kVA or 1,800 kW and over) Rate Code 12 Securitization Cost Recovery charges or credits (in cents per kilowatt-hour) applicable to the Tariff for the current rate year, shown in the Securitization Cos...
AI summary The text outlines the application of Securitization Cost Recovery charges or credits in cents per kilowatt-hour for large general tariff customers with a capacity of 2,000 kVA or 1,800 kW and over, as specified in the Securitization Cost Recovery Rider.
ost Recovery Charges : Costs of Securitization that NS Power is entitled to recover from RtR Customers in accordance with the Securitization Cost Recovery Rider. Transmission Provider : NS Power. Transmission Services : The services obtain...
AI summary The text defines key terms related to the Nova Scotia Power Distribution Tariff, including Ost Recovery Charges, Transmission Provider, Transmission Services, Transmission System, and Wholesale Customer. These definitions outline the responsibilities and rights of NS Power and its customers under the tariff.
Dear Vivek Sood: In order to manage sharp increases to electricity costs for Nova Scotians, the Government of Nova Scotia has continued its engagement with Nova Scotia Power and other relevant stakeholders to develop an approach that would...
AI summary The Government of Nova Scotia is engaging with Nova Scotia Power and stakeholders to develop a financing order for securitization of prematurely retired coal assets. The process involves enacting regulations under the Public Utilities Act and providing a provincial indemnity to secure favorable credit ratings for bonds issued to securitize costs.
N-3Transcript of Technical Conference held October 15, 2026
24 passages
NOVA SCOTIA ENERGY BOARD IN THE MATTER OF: THE PUBLIC UTILITIES ACT - and - IN THE MATTER OF: THE FINANCING ORDERS AND SECURITIZED BONDS REGULATIONS - and - IN THE MATTER OF: AN APPLICATION by NOVA SCOTIA POWER INCORPORATED for approval of...
AI summary This proceeding involves Nova Scotia Power's application for a financing order to securitize $1 billion in costs collected via a Securitization Cost Recovery Rider, under the Public Utilities Act and related regulations.
bviously the formal process - that's been outlined by the Board but, as has been the - case leading up to this and as will continue to be the - case, from our perspective, if there are questions or - discussions that any of you think would...
AI summary The speaker emphasizes the Board's formal process and encourages open communication beyond the Hearing Order. A decision on the application is expected within 60 days, with a financing order likely to include conditions related to securitization and customer benefits based on bond yields.
ORTING INC. CERTIFIED COURT REPORTERS MS. RUBIN: Blake, sorry to interject. - You're really choppy. You're kind of going in and out and - I don't know if it's you're leaning back or turning back - around, but if you could position yourself...
AI summary The speaker discusses the financing order issued by the Board, which sets parameters for bond yields when going to market. Once assets transfer or bonds are issued, the financing order becomes irrevocable. The 60-day period is mentioned for decision-making, with the possibility of interim approval of the securitization rider.
terim - basis. So what those rate impacts that flow from the - securitization may be for customers would be approved on a - I'll stop looking at the camera. - So it's anticipated that the Board - INTERNATIONAL REPORTING INC. CERTIFIED COUR...
AI summary The speaker discusses the interim approval of rate impacts from securitization by the Board, allowing for a further regulatory process to determine the final split of the securitized surcharge among customer classes. The process is compared to past regulatory proceedings, such as the 500 million LFG filing, but notes that the current situation involves only one applicant.
he $500 million FLG - piece, was disappointed that after they had agreed with it - occurring, in the subsequent process something arose that - they did not anticipate whatsoever. So we have to make - sure that this is the process to deal w...
AI summary The discussion focuses on concerns about the securitization process and the allocation of funds, emphasizing the need to avoid disputes over how funds are distributed to different customer classes. The speaker highlights the importance of addressing these issues within the current proceeding to prevent future conflicts.
ery - tight timelines that the Board's working under here. - INTERNATIONAL REPORTING INC. CERTIFIED COURT REPORTERS MS. RUBIN: We can send it - immediately. - MR. WILLIAMS: Okay. Any other - questions on what was intended to be the intro?...
AI summary The discussion focuses on the securitization of costs, including thermal assets and PHP deferral, as part of a bond transaction. The timeline for the financing transaction is highlighted, with deferred financing costs considered from May to November 2025. This is related to the General Rate Application and the GRA decision.
e it facilitates the potential - transition of PHP to an above-the-line tariff that can - provide increased contribution towards fixed costs for - customers on a go-forward basis and assists in the - introduction of PHP's wind resource to...
AI summary The text discusses the securitization transaction involving the transition of the Public Health Program (PHP) to an above-the-line tariff, which would help cover fixed costs and integrate PHP's wind resource into the Nova Scotia grid. The International Energy Services Organization (IESO) deferral is also mentioned, with costs totaling $20.2 million. The IESO is described as a long-lived organization supporting energy transition goals.
ar? Including FAM the FAM costs. - MR. FLEMMING: So Libby, I'll start, - and then maybe some folks in the room have something that - they want to add that and I do have some more detailed - fuel costs as well in the upcoming page here. - B...
AI summary The discussion revolves around the costs associated with the FAM and the IESO deferral balance, emphasizing the need to distribute these costs over current and future customers. The speaker highlights the long-term value of the energy transition and the securitization transaction, while a question is raised about the discrepancy between the IESO deferral balance and the submitted budget.
oximate rate increase - of about seven to eight percent for an average across all - customer classes. - Securitization of unexpected fuel - balances has been employed in other jurisdictions and in - Nova Scotia previously. So that was with...
AI summary The text discusses the securitization of fuel costs, including a $500 million fuel balance from a previous proceeding, and argues that securitization allows for cost-effective recovery of these costs, benefiting both current and future customers and supporting Nova Scotia Power's credit ratings.
d number and in terms of market - INTERNATIONAL REPORTING INC. CERTIFIED COURT REPORTERS interest, was there any discussion of other round numbers, - say, 900 million? Is there any practical sort of - considerations with going with a diffe...
AI summary The discussion revolves around the securitization of costs and the potential impact on customer rates. The participants consider a $1 billion cap as optimal for customer benefit and explore the feasibility of using a lower round number. There is also a question about the analysis behind the IR process and a discrepancy in the timing of cost recovery, with one participant noting a potential seven to eight percent rate increase if securitization is not used.
lion. - MR. ROSCOE: Okay. That's 149, not - the 214. Okay. - MR. WILLIAMS: That's right. - So I that helps put all this into - context and then we're talking about big numbers here. - If these components are not included in securitization,...
AI summary The discussion highlights concerns about the potential for a significant rate increase if unrecovered fuel costs are not included in securitization. The speaker emphasizes the policy implications of including fuel costs and the impact on customers, noting recent government announcements that underscore the importance of this decision.
crease really jeopardizes that policy objective, I - think. - So sorry. That was a bit of a - sidetrack, but Craig. - MR. FLEMMING: Yeah, so thank you. - So Daniel, I was going to start by - I was going to start my response the same way Bl...
AI summary The discussion centers on the potential rate increase of approximately 7 to 8 percent, with adjustments based on the balance of $150 million and expected under-recovery of about 2 percent. The conversation also touches on the role of the FAM and securitization in managing these financial aspects.
u know, costs previous costs - incurred, so having that amortized over a long period at a - good interest rate is of benefit to those customers - switching. - Where we bristle at the suggestion - that now precedent has been set about finan...
AI summary The discussion highlights concerns about amortizing past fuel costs over long periods at favorable interest rates, and the potential negative impact of securitization on ratepayers. There is a disagreement over the inclusion of future fuel costs in the rate adjustment process, with one party arguing it may be inefficient and costly.
ese types of balances that we need to deal with, - and we're certainly recognizing that it's not in - customers' best interests to have those types of balances, - and not in anyone's best interest. - And so I think ultimately that's the -...
AI summary The discussion revolves around the management of financial balances, particularly the FAM (Financial Accountability Mechanism) and securitization assets. There is a concern about how prepayment amounts are worded in the Application and their impact on reducing the FAM balance, which is a regulatory asset.
l be less debt in Nova Scotia Power itself. - From an accounting perspective, Nova - Scotia Power will consolidate the limited partnership, but - the credit rating agencies will exclude the billion - dollars of securitization debt when the...
AI summary The discussion focuses on the financial structure and accounting considerations for Nova Scotia Power, including the consolidation of a limited partnership, the exclusion of securitization debt by credit rating agencies, and the establishment of a capital reserve account for credit enhancement purposes.
ext slide, so we - have up front financing costs. We also do have some - ongoing financing costs. - Again, some of these would be similar - to what we've seen in other proceedings. So the allotted - fees, this limited partnership will requ...
AI summary The text outlines financing and tax considerations related to a limited partnership structure, including upfront and ongoing financing costs, servicing fees, and income tax implications. These costs include audit fees, rating agency fees, and administrative expenses, with servicing fees calculated as 0.05% of a billion-dollar bond issuance. Income tax is discussed in relation to the return of capital and customer savings.
- on the equity component, so there's no income to pay tax - on in the securitization structure. - The last thing I wanted to highlight - here. We don't have any income tax in year one costs, and - so that's because although the limited pa...
AI summary The discussion focuses on the tax implications of a limited partnership structure in the context of a securitization transaction. It explains that while the limited partnership may generate taxable income, Nova Scotia Power intends to shelter this income using existing tax attributes, thereby deferring tax collection until a combined entity basis is applied.
the transaction. The bond - is a 30-year mortgage style bond, so very similar to how a - mortgage would work. You pay more interest in the early - years and a lower amount of principal and as your - principal decreases, so does your intere...
AI summary The text discusses a 30-year mortgage-style bond and its impact on the net present value of revenue requirements under different interest rates. It also outlines assumptions about the recovery of deferred depreciation and financing costs if securitization does not proceed, including an annual depreciation expense of $26.8 million.
that that - will be in 2028 through adjusted general rates and then - the IESO deferral assumed recovery in 2027, beginning in - 2027 through an IESO rider. - And so looking at all of that and so - comparing the 30-year securitization mort...
AI summary The discussion focuses on the financial implications of securitization, comparing a 30-year securitization mortgage-style bond with a scenario where assets are recovered over a 13-year period. The analysis shows a $265.6 million net present value decrease in customer payments, or an increase in customer benefits, representing a 21% savings.
ost benefit from an - NPV and revenue requirements perspective and, as you can - see there, every one of these components, including them, - provides a reduced revenue requirement to customers on a - net present value basis with the inclus...
AI summary The discussion outlines a structure where Nova Scotia Power forms a limited partnership to securitize regulatory assets, issuing bonds and loaning proceeds to Nova Scotia Power. This approach is designed to defer taxes and avoid adverse consequences for customers. Revenue requirements and NPV are considered, with the FAM cost reducing revenue requirements by over $20 million.
uld then use that money to pay bondholders. - The other pieces of the cashflow here - INTERNATIONAL REPORTING INC. CERTIFIED COURT REPORTERS relate to the intercompany loan, and so Nova Scotia Power - would pay interest to the limited part...
AI summary The discussion centers on the securitization process, focusing on the allocation of financing and ongoing costs to different components, and the treatment of revenue requirements for thermal assets using existing methodologies, including the 2027 total system coincident load factor and the 3 CP methodology for cost allocation.
n't have a slide for it, but - the last item I'll discuss is oh, there's another - question. Rebekah? - MS. POWELL: Thanks, Mike. I have - just a quick question on the last slide because it - connects with Attachment Appendix H, where ELID...
AI summary The discussion centers on the classification of ELID as a below-the-line customer until an approved above-the-line tariff is in place, as well as the approval of securitization riders on an interim basis with potential revisions later. The application includes cost-of-service information and tariff details for future review.
e - Application that the rider itself as well the red lines or - black lines for the tariffs. - James? - MR. MacDUFF: Yeah. And just to - follow up on that, Blake, like if there was like, you - know, a change to the amount of securitizatio...
AI summary The discussion revolves around the potential adjustment of a securitization rider based on the Board's approval amount, with considerations on whether the rider should be recalculated or applied as is, and whether true-up adjustments would occur as part of a final decision.
- representation of the true-up. - For those of you familiar with the FAM - process, very similar to the FAM process regarding the - components of the true-up, there's instead of calling - it AA and BA, though, we have it called BA-1 and B...
AI summary The discussion revolves around the securitization surcharge and the true-up process, with emphasis on the timing and structure of filings, particularly the November 1st filing. The true-up is compared to the FAM process, with components referred to as BA-1 and BA-2. The conversation also considers the impact of regulatory decisions on rate adjustments.
104035NSEB (NSPI) IR 1 to 41
28 passages
NOVA SCOTIA ENERGY BOARD IN THE MATTER OF: THE PUBLIC UTILITIES ACT - and - IN THE MATTER OF: THE FINANCING ORDERS AND SECURITIZED BONDS REGULATIONS -and- IN THE MATTER OF: AN APPLICATION by NOVA SCOTIA POWER INCORPORATED for approval of a...
AI summary Nova Scotia Power Inc. has applied for a Financing Order to securitize $1 billion in costs through a Securitization Cost Recovery Rider. The Nova Scotia Energy Board has issued an information request to Blake Williams, VP, Legal and Regulatory at Nova Scotia Power Inc., seeking responses by October 29, 2026.
- 3 the main impacts of accounting for the transaction as applied for would be: Debit Securitization Regulatory Asset $ 1,000,000,000 Credit Thermal assets $ 740,600,000 FAM $ 214,500,000 PHP Deferral $ 12,200,000 IESO Deferral $ 20,200,00...
AI summary The text outlines the financial impacts of accounting for a transaction involving a securitization regulatory asset, thermal assets, FAM, PHP Deferral, IESO Deferral, and financing costs. It includes a detailed breakdown of debits and credits across various accounts, such as Investment in LP, Cash, and Loan Payable to LP, as well as the impact on Old debt and Retained Earnings.
Request IR-2: - On pg. 8 of its application, NS Power stated: "While NS Power originally contemplated during the 2026-2027 GRA that the proposed securitization might require two separate bond issuances, angling analysis and discussions wit...
AI summary NS Power's application discusses its revised plan for securitization, indicating that discussions with financial advisors suggest sufficient market interest to support a single bond issuance for the full amount proposed, rather than two separate issuances as initially contemplated.
11 [Emphasis added] - a) What ongoing analysis was taking place and how did this analysis inform NS Power's view that market interest is expected to support the full amount requested in the application? - b) What information or advice did...
AI summary The questions focus on NS Power's financing strategy, specifically the rationale for requesting a $1 billion bond issuance, the basis for expecting sufficient market interest, and how this compares to a previous $500 million issuance. The questions also address the legal framework under the Securitization Regulations and the implications of not fully utilizing the requested amount.
25 Request IR-5: 26 Page 12 of the application presents Figure 12: Unrecovered Net Book Value of the Thermal 27 Assets as of December 31, 2025, and financing. Please provide an updated version of this table 28 using the forecasted values a...
AI summary The document requests an updated version of Figure 12, which shows the unrecovered net book value of thermal assets and financing, using forecasted values as of December 31, 2026, under the assumption that securitization does not occur.
31 Request IR-6: 32 NS Power proposes to "…securitize $214.5 million of fuel and purchased power costs. This 33 amount consists of $149.6 million in forecast under-recovered fuel and purchased power costs - 1 as at September 30, 2026, alon...
AI summary NS Power proposes to securitize $214.5 million in fuel and purchased power costs, including $149.6 million in under-recovered costs as of September 30, 2026, and a $64.9 million prepayment. Questions are raised about the appropriateness of spreading these costs over 30 years, the benefits to future ratepayers, the final balance of under-recovery, and the rationale for the additional $23.2 million prepayment.
15 Request IR-7: 14 26 - 16 On pp. 14 and 15 of its application, NS Power proposes that any difference between the forecast 17 balances and actual balances of the PHP Deferral and IESO Deferral be applied as adjustments 18 to the $64.9 mil...
AI summary NS Power proposes adjusting the $64.9 million FAM prepayment based on differences between forecast and actual balances of the PHP and IESO Deferrals, with offsets recorded to the Securitization Regulatory Asset and addressed through the Formula-based True-up Mechanism and Balancing Adjustment mechanism.
27 Request IR-8: - 28 Section 2.3 of the application addresses the PHP Deferral account. NS Power says the "…PHP 29 Deferral account was approved by the Board during the 2026-2027 GRA to address uncertainty 30 associated with the treatment...
AI summary The document discusses the PHP Deferral account and its approval by the Board during the 2026-2027 GRA. It requests confirmation regarding the forecast amount, the ELID tariff application, and how deviations from GRA assumptions will be handled in Securitized Costs.
8 Request IR-9: - 9 On pg. 16 of its application, NS Power stated: "As noted in the 2025 DDA Annual Report - 10 proceeding, while expanding the scope of a securitization transaction has the potential to increase - 11 customer benefits, pra...
AI summary NS Power's application mentions practical considerations in expanding a securitization transaction, including transaction size, financing costs, and certainty required by credit rating agencies and bond investors. The request asks for a detailed explanation of these considerations.
23 Request IR-10: - 24 a) How were the Upfront Financing Costs in Figure 3 of the application and the Ongoing 25 Financing Costs in Figure 4 of the application estimated? Please provide any available 26 back-up documentation. - 27 b) Pleas...
AI summary The request seeks clarification on the estimation of upfront and ongoing financing costs, as well as the rationale for including road show and marketing expenses in the Securitization rather than Operating expenses.
31 Request IR-11: - 32 a) Are there penalties associated with the early repayment of the ~$600,000,000 of debt that 33 currently funds the assets proposed to be securitized? - 34 b) If so, - 1 i) How much will the penalties be? - 2 ii) Hav...
AI summary The proceeding raises questions about potential penalties for early repayment of a $600 million debt related to securitization, and whether these penalties have been considered in the NPV analysis.
4 Request IR-12: - 5 On p. 15 of its application, with respect to the inclusion of Fuel and Purchased Power costs, the 6 PHP Deferral and the IESO Deferral in the transaction, NS Power states that "[t]he proposed 7 securitization is consis...
AI summary The document requests an explanation of how the Fuel and Purchased Power costs, PHP Deferral, and IESO Deferral in the current application align with the securitization approach discussed in the 2026-2027 GRA, which focused on the securitization of DDA assets that will become stranded.
1 Request IR-14: - 2 On p. 17 of its application, NS Power noted that, if not securitized, the September 2026 FAM - 3 balance would need to be collected through the existing FAM process resulting in an increase of - 4 about 7 8%. - 5 a) Wh...
AI summary The document outlines a series of questions regarding the securitization of the Fuel Adjustment Mechanism (FAM) balance by NS Power, including potential rate increases, customer impact, deferral of balances, and comparisons with other jurisdictions. It also asks about the scope of securitization and future rate adjustments.
32 Request IR-15: 33 With respect to the 0.5 percent or $5 million capital reserve: - 1 a) Page 22 states that this level is customary for utilities undertaking securitization in the 2 United States. Please identify the utilities applying...
AI summary The request IR-15 inquires about the 0.5 percent or $5 million capital reserve, asking for examples of utilities in the U.S. using similar securitization fees, whether this is industry standard, and how NS Power estimated this figure to cover temporary collection shortfalls.
16 Request IR-17: - 17 On pg. 23 of its application, NS Power states that the "requested Financing Order would include 18 a Formula-based True-up Mechanism to provide for periodic adjustments to the Securitized 19 Surcharge to correct any...
AI summary NS Power's application proposes a Formula-based True-up Mechanism to adjust the Securitized Surcharge periodically. The Board is requesting clarification on the definition of 'periodic adjustments' and whether they occur annually on November 1st or under other circumstances.
16 Request IR-20: 17 On p. 33 of the application, at lines 9-11, when discussing a Future Reconciliation and Process 18 Proposal, NS Power states there will be a calculation about: 19 (iii) approved deposits to, or withdrawals from, any re...
AI summary The document raises questions about reserve accounts mentioned in NS Power's Future Reconciliation and Process Proposal, specifically regarding their purpose, management, and impact on the Securitized Surcharge.
26 Request IR-21: 27 Section 9.0 of the application provides a brief summary of future reconciliation process proposed to be filed on November 1st 28 annually. 29 a) Assuming a securitization of $1 billion and other category amounts used f...
AI summary The text discusses a request for a sample spreadsheet or flowchart illustrating the annual reconciliation process for a $1 billion securitization, including how various items will be addressed by NS Power, assuming no change in cost allocation among classes.
- 2 a) Has the sale agreement with respect to all of NS Power's right, title and interest in, to and 3 under the Securitized Property discussed in section 11.2 of the application been finalized. - 4 i) If so, please provide a copy.
AI summary The document inquires whether the sale agreement related to NS Power's right, title, and interest in the Securitized Property, as discussed in section 11.2 of the application, has been finalized and requests a copy if it has.
14 Request IR-28: 15 Section 11.7 of the application discusses the proposed flexibility in bond terms. This section says 16 (in the technical conference at pp. 10-12 of the transcript, NS Power also addressed flexibility): Pursuant to sect...
AI summary NS Power is requesting flexibility in the terms and conditions of Securitized Bonds under Section 3(3)(g) of the Securitization Regulations. It argues that the issuance should proceed as long as it reflects prevailing interest rates and provides quantifiable net present value benefits to customers. The Board is asked whether a threshold for these benefits should be included in the Financing Order and where the 'bookend' for the transaction's justness should be placed.
33 Request IR-29: - 34 Section 11.8 of the application addresses the requirement of an indemnity agreement from the - 35 Province of Nova Scotia to proceed with securitization. The letter from Deputy Minister Kelliann - 36 Dean dated Octob...
AI summary The document discusses Section 11.8 of an application related to an indemnity agreement from the Province of Nova Scotia for securitization. A letter from Deputy Minister Kelliann Dean dated October 8, 2026, is noted as not a commitment to provide the indemnity. The question asks when NS Power anticipates a definitive answer from the Province.
4 Request IR-30: - 5 On pg. 44 of its application, NS Power addresses Accounting and Tax Treatment. - 6 a) Does NS Power propose to prepare new accounting policies to address the accounting 7 matters resulting from the securitization trans...
AI summary The document outlines a regulatory request (IR-30) directed at NS Power, asking whether new accounting policies will be prepared to address the accounting and tax treatment of a securitization transaction, and clarifying the consolidation status of the LP and the impact of the securitization on total taxes.
18 Request IR-31: - 19 Using a $900 million figure as an alternative scenario for a securitized bond issuance (about equal 20 to excluding FAM prepaid balances, the PHP deferral and the IESO deferral): - 21 a) Please provide an NPV calcula...
AI summary The document requests an NPV calculation for a $900 million securitized bond issuance and asks for rate increases by customer class in 2027, including the general rate increase, securitization surcharge, IESO rider, forecasted Demand Side Management rider increase, and other anticipated rate impacts.
28 Request IR-32: - 29 During the technical conference, NS Power noted that it was unsure if the securitized bond term 30 could be set lower than 30 years and noted it would follow-up. - 31 a) Has NS Power inquired about this potential wit...
AI summary NS Power is uncertain about whether the securitized bond term can be set lower than 30 years and has asked for NPV calculations for 25 and 20-year terms, keeping other assumptions unchanged.
1 Request IR-33: - 2 On pg. 66 of the technical conference transcript, NS Power stated that rating agencies would omit 3 the securitized bonds in their calculations of credit metrics. - 4 a) Has NS Power confirmed this with credit rating a...
AI summary NS Power claims that credit rating agencies will omit securitized bonds from credit metric calculations. The request asks whether NS Power has confirmed this with the agencies and if there is a risk that the agencies may not omit the bonds.
14 Request IR-35: - 15 On pdf page 73 of the technical conference transcript, NS Power explained that the forecast 16 interest rate was set based on guidance from its financial advisors. On pdf page 45 of the 17 transcript it was explained...
AI summary The text discusses a regulatory inquiry (Request IR-35) regarding NS Power's interest rate for securitization, including whether financial advisors recommended the rate, if it reflects a ratepayer-backed bond issuance, and if they provided rate ranges for different securitization amounts.
5 Request IR-37: - 6 Appendix B appears to be missing a worksheet labeled as TABLE that is used to present the 7 values in the cells D123 to F140. - 8 a) Are the range of rates presented in the table in worksheet 'NPV Analysis Securitizati...
AI summary The text refers to a missing worksheet in Appendix B and asks whether the range of rates in a specific table reflects the interest rates recommended by financial advisors for a securitized bond issuance.
18 Request IR-39: 19 Please provide the total cost of securitization that customers will incur over the 30-year period. 20
AI summary The request seeks the total cost of securitization that customers will incur over a 30-year period, highlighting a focus on financial implications for customers related to securitization.
21 Request IR-40: - 22 If the securitization of the proposed costs proceeds, does NS Power expect it to have an effect 23 on NS Power's remaining borrowing costs (as new debt is issued)? - 24 a) If so, is NS Power able to provide an estima...
AI summary The text raises a question about whether the securitization of proposed costs will affect NS Power's remaining borrowing costs and whether an estimate of this impact can be provided.
104048IG (NSPI) IR 1 to 34
25 passages
- 8 (b) Please provide a version of Appendix D with this alternative securitization 9 scenario. - 10 (c) Please explain and quantify any financial or capital-market implications of 11 issuing approximately $750 million rather than $1 billi...
AI summary The text requests detailed financial and market analysis regarding the issuance of securitized bonds, including implications of varying issuance sizes, investor demand, credit ratings, interest rates, and cost comparisons between different scenarios.
- 2 Reference: N-1, Application, Appendix H, '2027 Securitization Rider Therm' tab, cells D4 - 3 F4 & N-92, SR-01 Attachment 3, page 7 of 102 & Exhibit N-92 from M12451, SR-01 - 4 Attachment 3, page 7 of 102. - 5 Preamble: The System Load...
AI summary The document requests an explanation and reconciliation of changes in the system load factor and demand/energy classification between the 2026/27 GRA Compliance Filing and the current Application. It also asks about the impact of securitization of thermal assets on these calculations and requests revised appendices in Excel format using the updated load factor.
17 Request IR-7: 18 Reference: N-1, Application, page 17, lines 20-23 Furthermore, if the Unrecovered Fuel Costs are not securitized, they will need to be collected through the existing FAM process, which, for only those costs up to the en...
AI summary The text discusses the potential impact of not securitizing Unrecovered Fuel Costs, which could lead to significant rate increases of 7 to 8% for customers in 2027 if recovered through the existing FAM process. The request asks for workpapers and a breakdown of rate increases by customer class, as well as recovery proposals if the Financing Order is not approved.
14 Request IR-8: 15 Reference: N-1, Application, page 13, lines 8-16 and lines 22-28. "NS Power's Q3 Forecast includes a forecast Fuel Adjustment Mechanism (FAM) under-recovery of $41.7 million, before interest, in Q4 2026 and 2027. The $6...
AI summary The document raises questions about Nova Scotia Power Inc.'s (NSPI) justification for an additional $23.2 million prepayment under the Fuel Adjustment Mechanism (FAM), its basis for determining the size of the buffer, and whether the amount was influenced by the desire to reach a $1 billion securitization issuance. It also requests details on the financial benefits of the round-number issuance and the role of financial advisors.
24 Request IR-9: 25 Reference: N-1, Application, page 13, line 17. "The inclusion of the additional $23.2 million prepayment…provides a buffer against fuel cost volatility…The application of this additional balance to the FAM will assist i...
AI summary The text discusses a request for clarification regarding NSPI's use of a $23.2 million prepayment as a buffer against fuel cost volatility, asking about its impact on customers, financial benefits, and its role in reconciling forecast-to-actual variances from multiple sources.
17 Request IR-10: - 18 Reference: N-1, Appendix C, Figure 3 (pg. 6) and Figure 5 (pg. 8) - 19 Preamble: Figures 3 and 5 show that no collections through AA riders have occurred 20 to FAM balances for 2026 (January to September). - 21 (a) P...
AI summary The request asks for an explanation of the basis for deferring recovery and the applicable Board approval, as well as a breakdown by customer class of the effect on securitization balances for 2026, including deferred collections and additional interest.
13 Request IR-12: - 14 For the proposed recovery of the $149.6 million under-recovered fuel balance, allocated using 15 customer classes' shares of balances as of September 30, 2026, please explain how the closure 16 of a large industrial...
AI summary The text contains several requests for clarification regarding fuel balance recovery and an Excel attachment explanation. It asks how changes in large industrial customers would affect fuel balance recovery and seeks an instructional explanation of an Excel file related to AA/BA balances and securitization rider fuel.
14 Request IR-15: 15 Reference: N-1, Application, page 14, lines 9-13; and Appendix A, tab "2 - PHP Deferral." "The balance of the Port Hawkesbury Paper (PHP) Deferral account, forecast to be $12.2 million as of December 31, 2026, is propo...
AI summary The document discusses the proposed securitization of the Port Hawkesbury Paper (PHP) Deferral account, which is forecast to be $12.2 million as of December 31, 2026. It also requests clarification on why the 'Fuel' variance, totaling $3.6 million, is excluded from the deferral and securitization process, while interest is applied only to the 'Non-fuel' variance.
14 Request IR-17: 15 Reference: N-1, Application, page 14, lines 21-25. "[A]ny difference between the forecast balance of $12.2 million and the actual PHP Deferral account balance at December 31, 2026 be applied as an adjustment to the $64...
AI summary The text discusses the adjustment of the Fuel Adjustment Mechanism (FAM) prepayment based on the forecast and actual balance of the PHP Deferral account by December 31, 2026. It requests an explanation of how discrepancies would be applied through the Balancing Adjustment (BA) mechanism, including customer class impacts and timing, and why the adjustment is applied to the FAM prepayment rather than the PHP Deferral account itself.
8 Request IR-18: - 9 Reference: N-1, Application, page 31, Figure 7: Securitization Rider for Below the Line 10 (BTL) customer class in 2027. - 11 Preamble: Figure 7, lists the Extra Large Industrial Dispatchable ("ELID") rate class as 12...
AI summary The text requests an explanation of why the ELID rate class is classified as Below-the-Line for the 2027 Securitization Rider, why it lacks a Fuel & Purchased Power rider despite future costs, and why certain costs should not be charged to the ELID class if incurred while it is taking service.
2 Reference: Matter M12661, ELID Application - 3 (a) Please confirm whether any of the matters in dispute in the ELID 4 application affect, or are expected to affect, the amount of the PHP Deferral 5 balance, the $12.2 million forecast bal...
AI summary The document contains questions related to the ELID application, specifically concerning the impact of disputed matters on deferred balances, the calculation of securitization balances, the basis for recovery of deferred costs, and a request for NPV analysis of different recovery timelines.
21 Request IR-20: - 22 Reference: N-1, Application, page 15, lines 3-8; and Appendix A, tab "3 NSIESO - 23 Deferral." "The balance of the Nova Scotia Independent Energy System Operator (IESO-NS) Deferral account, forecast to be approximate...
AI summary The document discusses the proposed securitization of a $20.2 million IESO-NS Deferral account balance, including questions about the impact of a potential Board determination, the breakdown of the deferral balance by month, consideration of under-spend from 2025-2026, and the rationale for requiring ratepayers to pay accrued interest at 6.59%.
21 REASONS FOR INCLUSION AS SECURITIZED COSTS - 22 Request IR-21: - 23 Reference: N-1, Application, Section 2.5, pages 15 18; - 24 Preamble: NSPI discusses its rationale for including the proposed costs in the 25 securitization transaction...
AI summary Nova Scotia Power Inc. (NSPI) outlines 21 reasons for including certain costs in a securitization transaction, emphasizing lower financing costs, intergenerational cost sharing, rate stability, and support for the Province's energy transition. The request references sections of an application and asks for an explanation of relevant utility rate-setting principles, including Bonbright's principles and cost causation.
1 intergenerational equity, the matching of costs and benefits, and the used 2 and useful principle. 3 (b) For each component of the proposed securitization (thermal assets and 4 associated financing costs, under-recovered fuel and purchas...
AI summary The text requests an explanation of how the proposed securitization and 30-year recovery period align with principles of intergenerational equity, cost-benefit matching, and the nature of costs, benefits, and responsible customers for various components of the securitization.
10 Request IR-22: - 11 Reference: N-1, Application, Section 6.4, page 28, lines 7-10; and M13007, IESO-NS (IG) - 12 IR-1, Attachment 1 (Illustrative NS Power Bill Impact Model). "The total 2027 revenue requirement associated with the secur...
AI summary The document discusses the allocation methodology for the IESO-NS Deferral securitization revenue requirement, referencing the illustrative NS Power Bill Impact Model. It requests NSPI to confirm agreement with the fee recovery calculation and clarify IESO-NS's current responsibilities.
12 Reference: N-1 Application, page 21, Figure 4 and page 22, lines 4-13 "NS Power proposes an annual servicing fee of 0.05 percent of the initial principal amount of the Securitized Bonds to cover costs and expenses in servicing the Secur...
AI summary NS Power proposes a 0.05% annual servicing fee on Securitized Bonds to cover costs of servicing, which includes billing and collecting the Securitized Surcharge. The Board is asked to confirm if these functions overlap with current activities, whether the fee is justified, and how it will be accounted for in future GRAs.
1 NET PRESENT VALUE - 2 Request IR-26: - 3 Reference: N-1, Application, Section 5.0, page 25, Figure 5. - 4 Preamble: Figure 5 shows Eligible Costs of $1,040,567,763 under "Traditional - 5 Recovery" and $1,000,000,000 under "Securitization...
AI summary The text requests clarification on the Net Present Value (NPV) of customer benefits in a rate proceeding, specifically regarding the inclusion of financing costs for a FAM prepayment, recovery periods for different cost components, and the breakdown of NPV attributable to each component.
7 Reference: N-1, Confidential Appendix B (Net Present Value Calculations). - 8 (a) Please provide, in Excel format, a version of Appendix B, for with and 9 without securitization benefits, that splits the NPV customer savings 10 benefits...
AI summary The text requests detailed explanations and modifications to Appendix B of a regulatory proceeding, focusing on securitization benefits, recovery periods, income tax assumptions, and cost deferrals. It asks for Excel versions of the appendix with and without securitization benefits, different recovery periods, and explanations of tax-related assumptions.
2 Request IR-28: - 3 (a) Absent securitization, please identify the recovery period NSPI would 4 expect to seek for each of: (i) the thermal asset balance; (ii) existing 5 unrecovered fuel and purchased power costs; (iii) forecast fuel and...
AI summary The request asks NSPI to identify recovery periods for various cost components, explain how these periods were determined, and provide financial impacts. It also asks for quantification of credit metric effects and supporting materials for credit-rating benefits from proposed securitization.
20 Reference: N-1, Confidential Appendix B, "NPV Analysis - Securitization" tab, NPV 21 Sensitivity & Section 5.0, pages 24–25 - 22 (a) Please provide the resulting annual revenue requirements and customer-23 class Securitization Riders (i...
AI summary The text requests detailed information on the financial implications of securitization under different bond interest rates and repayment periods. It specifically asks for revenue requirements, customer-class rider impacts, and NPV customer savings under various scenarios, including 6.50% and 7.00% interest rates, and repayment periods of 20 and 25 years.
7 Request IR-30: - 8 Reference: N-1, Application, page 14, lines 21-25 (PHP Deferral); page 15, lines 17-21 - 9 (IESO-NS Deferral); page 20, lines 15-21 (Upfront Financing Costs); page 26, lines 3-6 - 10 (Financing Costs allocation); page...
AI summary The document discusses the allocation methodologies for various deferrals and financing costs, including PHP Deferral, IESO-NS Deferral, and Upfront Financing Costs, and their application to the FAM prepayment. It requests confirmation that the described allocation methods are accurate.
11 Request IR-31: - 12 Reference: N-1, Application, page 29; Appendix D, tab "2027 With Securitization"; - 13 Appendix H. - 14 "Securitization Rider (¢/kWh) = [Revenue Requirement / Forecast Sales] x 15 100." - 16 Appendix H (tabs "2027 Se...
AI summary The text requests confirmation and reconciliation of the 2027 Securitization Rider calculations for Large Industrial and Medium Industrial rate classes, referencing specific appendices and figures for verification.
1 FUTURE RECONCILIATION PROPOSAL - 2 Request IR-32: - 3 Reference: N-1, Application, Section 9.0, page 33. Preamble: NSPI proposes a Formula-based True-up Mechanism and notes it will annually calculate the required Securitized Surcharge re...
AI summary NSPI proposes a Formula-based True-up Mechanism to annually calculate the required Securitized Surcharge revenue based on forecast financing costs, reserve account activity, and earnings. The mechanism includes provisions for reviewing adjustments and addressing scenarios where fuel costs are lower than forecast, as well as handling potential reductions in IESO Deferral balance costs.
8 Request IR-33: 9 Reference: N-1, Application, page 36, Section 9.0. "BA1(t) = Approved Securitized Surcharge (t-1) - Actual Securitized Surcharge Collections (t-1) ± Other Reconciliation Amounts" and "BA2(t) = Approved BA1 (t-1) - Actual...
AI summary The text outlines a regulatory inquiry (Request IR-33) regarding the Balancing Adjustment (BA) formulas and mechanisms, including their application on a customer-class basis, interest treatment, handling of customer changes, and responsibility for Securitized Costs after departure from the NSPI system.
7 Request IR-34: - 8 Reference: M12451 Board GRA Decision, March 25, 2026, paragraphs 157–189 and 268– - 9 269. - 10 Preamble: The Board's 2026–2027 GRA decision identifies substantial uncertainty - 11 concerning hydroelectric refurbishmen...
AI summary The request IR-34 asks NSPI to provide forecasts of hydro-related expenditures from 2027–2031, assess the use of securitization for financing these costs, and compare securitization with an alternative that prioritizes hydro-related costs over other balances.