January 4, 2024
As agreed in our General Rate Application Settlement Agreement with customer representatives and as approved by the Nova Scotia Utility and Review Board (NSUARB), Nova Scotia Power has initiated the process of undertaking a new Cost of Service Study (COSS).
What is a Cost of Service Study?
A COSS is a process used by a utility to look at the costs incurred by the utility to provide service to customers and divide those costs among customer groups to develop rates.
We have different rates for residential, commercial, and industrial customers. This means a different rate per kilowatt hour of electricity. A full list is available here.
The COSS will analyze the costs to provide service for each of our customer groups. The results will be used to allocate costs among customer groups and to develop future rates.
More information is available here.
Why are you applying for a Cost of Service Study?
A COSS is important to ensure the equitable allocation of costs and how they’re distributed among customer groups. By comparing the cost to provide service—including maintaining and operating the grid and updating infrastructure—with revenues, we can make informed and equitable rate recommendations.
Our last COSS proceeding was completed in 2013–2014 and much has changed since then, including the development of the competitive market, continued electrification, and the clean energy transition, which includes significant integration of renewable energy, the addition of gas-fired generation, the need to phase out coal-fired generation, and the use of grid-scale batteries. Our COSS was most recently reviewed in our last rate application, and we are now working to update our COSS.
As part of this process, we are providing the opportunity for stakeholder engagement. More information is available here.