Joe Bergstein: Yes, sure. Hey Paul, it’s Joe. So, first focusing on what drove the outperformance in 2023. As we noted, we achieved $75 million in savings compared to the $50 million to $60 million target that we had coming into the year. It was really driven by acceleration of some of the initiatives from 2024. When we started the TMO process, we have initiative owners for all these projects that will deliver these savings and we’ve set milestones and KPIs for all of them. And so what we saw bringing that rigor to the process has actually allowed us to accelerate in some areas, which gives us confidence in achieving the $120 million to $130 million next year and the $175 million overall. As we talked about — as Vince talked about in his remarks, focused on the Utility of the Future and ensuring affordability for customers is key.
And so from that perspective, we’ll continue to look to get more efficient as we go through the plan. But where we are today is we’re still holding that $175 million — at least $175 million as we said. What I can say is the growth that we’re talking about here and extending that into 2027 doesn’t rely on further efficiencies. So, to the extent that we’re successful in identifying more of that would be upside to the current plan.
Paul Zimbardo: Okay, great. Very clear. And then on the rate case timing strategy, I know Vince listed a bunch of factors. But one of them wasn’t about how rate cases go for peers. Just curious how important is that as you think through the process, how the — especially in Pennsylvania, just given a lot of the rate cases as Durgesh was mentioning, how important is that to kind of assess your own plan?
Vince Sorgi: Yes. Well, clearly, because we have no rate cases in 2024 across the board, we’re able to assess the regulatory environment and the outcomes that our peers are getting. As we know, not every company gets the same outcome even under the same jurisdiction, so it wouldn’t totally impact our decision. But clearly, it’s something we will keep an eye on and feed into our decision-making. And again, the fact that we don’t have anything for the — certainly the rest of this year and likely the first one will be down in Kentucky sometime in 2025. I feel pretty good about our timing that we have in the plan right now.
Paul Zimbardo: Okay, great. Thanks and nicely done last year.
Joe Bergstein: Thank you.
Vince Sorgi: Great. Thanks.
Operator: [Operator Instructions] The next question comes from Anthony Crowdell with Mizuho. Please go ahead.
Anthony Crowdell: Hey good morning guys. Congrats on a good quarter. Just a couple of quick ones. One up to follow-up from Angie’s question. What’s this load growth forecast you’re assuming for 2024?
Joe Bergstein: Hey Anthony, it’s Joe. We’re assuming 50 basis points load growth throughout our planning horizon.
Anthony Crowdell: Great. And then if I could jump on Durgesh’s question, in Pennsylvania, you’re filing the DSIC, and I think you’re looking to raise the cap you talked about it. Just curious — again, I’m not saying that it’s — I’m here to say it doesn’t get approved. But if you don’t get approval, does that increase the frequency of the rate filing, or you believe you have other offsets that you could still stay out in Pennsylvania a little longer?
Vince Sorgi: Yes, it’s the latter, Anthony. We have some modest value in the plan coming from the DSIC filing. I think the real benefit is it would enable us to stay out longer in Pennsylvania and make the investments that we had talked about. But yes, to your point, if for some reason that, that request does not get approved, we’re comfortable we can manage that and still maintain the growth targets that we’ve talked about.
Anthony Crowdell: Great. And then just lastly on Slide 17. I appreciate the detail on the — you don’t have any near-term financing. Just in 2026, you see the capital funding, you also have the Electric Utility funding there. On those maturities, do you think you’ll retire those vehicles — those financing vehicles? Do you think you just roll over that? I’m just curious on what your plan is on those financing vehicles?
Joe Bergstein: Yes, Anthony, we’ll have to assess that as we get closer. Obviously, where interest rates are will play a big role in what we do there. So, I think it’s a little early to tell on how we’ll treat those. Our assumption is that we refi them.
Anthony Crowdell: Great. Thanks so much Vince. Talk to you guys soon.
Vince Sorgi: Take care Anthony. Go Rangers.
Operator: The next question comes from David Paz with Wolfe. Please go ahead.
Vince Sorgi: Hey David. Good morning.
David Paz: Good morning. Can you hear me?
Joe Bergstein: Yes.
David Paz: Okay, great. Thank you. Just actually following up on the previous question. FFO-to-debt, in particular, where are you in that 16% to 18% currently? And where kind of — how does that — what’s the profile of that over the course of your plan?
Joe Bergstein: Yes, I would just say we’re comfortably in that 16% to 18% range. We — in the early part of the plan, we continue to have integration cost for Rhode Island that obviously are — impact the credit metric and those roll away. And then you see the CapEx increase later in the plan. So, we feel really good about where we are within that range and kind of operate comfortably around the midpoint.
David Paz: Perfect. Thank you. And then just — I don’t know if you touched on this, but what are your opportunities — or what opportunities do you see from the pending offshore wind solicitations? More transmission? What do you have in your plan, if anything? Just any color you can provide, that would be great.
