Nova Scotia Power’s (NSPI) had total earnings of $22.8m for the second quarter 2009, when compared to $31.0m posted for the same period of 2008. The Fuel Adjustment Mechanism was implemented on January 1, 2009 and decreases the impact of volatile fuel costs, including the valuation of the natural gas receivable on NSPI’s earnings.
Bangor Hydro Electric has contributed $5.3m to consolidated net earnings in the second quarter of 2009, when compared to $4.5m posted for the same period in 2008. The increase in earnings was due to the stronger US dollar.
The company’s other operations contributed $10.0m to net earnings in the second quarter of 2009, when compared to $7.4m for the same period in 2008.
Presently Brunswick Pipeline is in service and commenced shipping gas in mid July. The company has entered into agreements to purchase: Bayside Power in Saint John; a 9.9% interest in Algonquin Power Income Fund with the option to invest a further 5% within the next two years; and a 50% interest in the California assets of Sierra Pacific. Emera has also made a small investment in Atlantic Hydrogen.
Excluding the effect of mark-to-market accounting related to a long-term contract at the Bear Swamp generating facility, net earnings from other operations were $9.2m in the second quarter of 2009 when compared to $4.1m for the same period in 2008. This increase relates primarily to increased capitalization of financing costs (AFUDC) during construction of the Brunswick Pipeline, partially offset by increased interest expense on short-term debt.
