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Friday, May 8, 2020 | History

3 edition of Electric utility ratemaking found in the catalog.

Electric utility ratemaking

United States. Congress. House. Committee on Interstate and Foreign Commerce. Subcommittee on Oversight and Investigations.

Electric utility ratemaking

hearing before the Subcommittee on Oversight and Investigations of the Committee on Interstate and Foreign Commerce, House of Representatives, Ninety-fifth Congress, first session, on review of a case study, Henderson, Nev., July 1, 1977

by United States. Congress. House. Committee on Interstate and Foreign Commerce. Subcommittee on Oversight and Investigations.

  • 183 Want to read
  • 3 Currently reading

Published by U.S. Govt. Print. Off. in Washington .
Written in English

    Subjects:
  • Electric utilities -- Nevada -- Rates

  • Edition Notes

    Includes bibliographical references

    SeriesSerial - House, Committee on Interstate and Foreign Commerce ; no. 95-57
    The Physical Object
    Paginationiii, 86 p. ;
    Number of Pages86
    ID Numbers
    Open LibraryOL17990441M

    Alternative Ratemaking Methodologies Order. Tentative Order - Alternative Ratemaking Methodologies from the Public Meeting of March 2, at Docket No. M Secretarial Letter - Granting an extensionof time to file Comments and Reply Comments to Tentative Order on Alternative Ratemaking Methodologies. Comments are now due by and Reply Comments are due . Get this from a library! A consumer's guide to the economics of electric utility ratemaking. [James I Sturgeon; Illinois Office of Consumer Services.; United States. Department of Energy. Division of Utility Regulatory Assistance.; Mid-America Economics Institute.] -- This guide deals primarily with the economics of electric utilities, although certain legal and organizational aspects of.

    Other Ratemaking Processes (Cont.) of Utility Self-Implemented rates. reconciled after approval of final rates. Special Contracts. Individually approved by the Commission. TIER ratemaking. Simple mechanism used for rural co-ops.   Your electric utility is offering a rebate to switch to a more efficient electric heat pump water heater. It could save you money by heating water at .

    Principles of Public Utility Rates instance, regulation should allow a fairrate ofreturn, but not guaran~ or protect a regulatee against mismanagement or adverse busine~l conditions. Sound rate relationships are essential to the attainment~" these desirable ends, but criteria are required to judge whether, ari~'.   Next, the paper explores the ratemaking process and concludes that it is imbued with false precision, and that so-called subsidies between ratepayers are a feature, and not a flaw, of utility rates. For IOUs, competition in the business of electricity distribution is unusual but not by: 2.


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Electric utility ratemaking by United States. Congress. House. Committee on Interstate and Foreign Commerce. Subcommittee on Oversight and Investigations. Download PDF EPUB FB2

This book explains how the traditional rate-setting process is commonly done for energy utilities. This book includes a discussion of revenue requirement, rate base, cost of capital, expenses, revenues, rate-making objectives, cost of service studies, rate design, the rate case process, tariff policies, metering, service quality and other types of cases affecting rates/5(4).

A guide to FERC electric utility ratemaking Unknown Binding – January 1, by Michael E Small (Author) See all formats and editions Hide other formats and editions.

The Amazon Book Review Author interviews, book reviews, editors' picks, and more. Read it now. Enter your mobile number or email address below and we'll send you a link to Author: Michael E Small. FERC's exercise of its ratemaking jurisdiction over electric utilities under the Electric utility ratemaking book Power Act.' The book, consisting of almost ninety pages of text and an additional seventy-five pages of appendices and indices, provides a quick and imminently readable access to the FERC's jurisprudence on virtually all areas of electric utility ratemaking.

Briefing Book Kansas Legislative Research Department N-2 Electric Utility Regulation and Ratemaking 3 states. Opponents stated the resolution was unnecessary as rate reductions would be realized through a pending merger of Westar and KCP&L. The resolution passed the Senate Committee of the Whole but died in the House Committee on.

Briefing Book Kansas Legislative Research Department Utilities and Energy M-3 Electric Utility Regulation and Ratemaking 3 states. Opponents stated the resolution was unnecessary as rate reductions would be realized through a pending merger of Westar and KCP&L.

The resolution passed the Senate Committee of. This book is very useful for its thorough survey of issues and cases pertinent to Electric utility ratemaking book utility rate filings at the Federal Energy Regulatory Commission (FERC).

As the author states, the book provides a step-by-step analysis of the statutory provisions, regulations and case law that are pertinent to the establishment of electric utility sales and transmission rates. producer was limited to only the largest users and subject to tight limitations.

The electric industry was also vertically integrated as a monopoly. The generation side of the house was 1 The links appearing in this handbook were accessed during September through November Most likely, they. The ratemaking principle of Gradualism is applied when electric utilities adjust rates in smaller increments over time to avoid dramatic rate increases all at once.

Utility margins should be included in fixed charges whenever possible, so that variations in weather or conservation do not adversely impact utility margins.

“Utility Ratemaking” is the name of the process that public utilities must go through, by law, to set the rates or prices that they will charge their customers.

The government is better able to regulate public utilities via the ratemaking process, by conducting and investigating rate cases with the state Public Utilities Commission.

ratemaking formula 6 Basic COS Components: Rate Base and Rate of Return The Rate Base is the net amount of investment, funded by investors, in utility plant and other assets devoted to the rendering of utility service upon which a reasonable rate of return may be earned The Rate of Return is the percentage rate which the commission.

If a utility has a capital structure of 50% debt, as regulators encourage, then: rr rd + re. Where: rd = return on debt and re = return on equity. So if the utility is allowed an 8% overall rate of return and obtains debt for 5% (rd), its return on equity will be 11% (re).

If the allowed rr is raised to 9%, then the re will be 13%. 7 TRADITIONAL RATEMAKING PROCESS n Determination of Revenue Requirement n Total Revenues necessary to recover prudent investment, to recov er reasonable and necessary costs, and to earn a fair profit n Driven by actual or projected costs n Allocation of Costs to Customers n Generally based on usage n Cost causer pays balanced by social/economic issues n Establishment of Actual Rates to.

Cost of Service Ratemaking Regulation Status of Michigan Electric Utilities •8 Investor-Owned Electric Utilities (regulated by MPSC) •9 Cooperative Electric Utilities –3 rate-regulated by MPSC –6 member-regulated Dr. James C. Bonbright in his book “Principles of Public Utility Rates” (), which is often quoted by rate.

Basic ratemaking components Steps in calculating rates The rate approval process. In most cases providing utility service functions better as a monopoly (more efficient provision of service) ›Basic ratemaking concepts have been shaped and molded over the last years.

The original Rate Case Handbook was first published in The handbook served as a valuable resource for energy and utility practitioners. Just as before, the updated guidebook is well laid out and manages to make complex information easy to digest.

Includes discussion of multi-year rate plans and other forms of performance-based ratemaking, revenue decoupling, formula rates, forward test years, and capital cost trackers.

Utility Strategy Proposal Planning – Students break into teams to craft proposed utility strategies for dealing with issues raised by the course. Wednesday, July Basic Ratemaking Geoff Werner, FCAS, MAAA and Claudine Modlin, FCAS, MAAA Willis Towers Watson This text outlines basic property/casualty insurance ratemaking concepts and techniques.

It is intended to be a single educational text to prepare actuarial candidates practicing around the world for basic ratemaking. Performance-Based Ratemaking for Electric Utilities: Review of Plans and Analysis of Economic and Resource- Planning Issues Volume I.

Publication Type. Finally, we look at the interaction among PBR and utility-sponsored energy efficiency programs and the restructuring of the industry's generation segment. Year of Publication. Keywords. Public Utility Commission of Texas (PUCT) to analyze alternative ratemaking mechanisms adopted by other states and to provide a report thereon to the legislature by Janu The bill reflects concerns that electric transmission and distribution (T&D) costs are increasingFile Size: KB.

Ratemaking is a two-step process. Commission staff - a group of accountants, economists, financial analysts, and engineers - reviews the utility's books and records. Commission staff has the ability to submit requests for additional data or information to the utility and the utility must respond to these requests.

the Commission. • For ratemaking purposes, the income statement summarizes: (1) the funds collected by the utility from its customers; (2) the company’s spending and its use of resources in providing service to customers; and, (3) the company’s net operating earnings.

• The income statement includes: – Operating Revenues – Operating Expenses.Each of the seven chapters addresses a particular facet of public-utility ratemaking. Chapter One contains a discussion of the evolution of the public-utility concept, as well as the legal and economic justification for public utilities.

The second chapter sets forth an analytical economic model which provides the basis for the next four chapters.Electric utilities are monopoly service providers and therefore subject to unique financial requirements and regulations.

Unlike competitive service providers, rates charged and cost recovery mechanisms are subject to unique principles and differing levels of regulatory oversight ranging from self-regulation in the case of electric cooperatives to local board or council regulation in the case.