Hawaii PUC: Leo Asuncion
Commissioner
“The focus for us right now is cost containment of the companies. Are the costs justifiable to us that eventually the ratepayer needs to pay in base rates?”
Commission Watch
Hawaii PUC: Jay Griffin
Chair
“Early in my term, I was at a backyard barbecue with a friend and he pulled out his electricity bill in front of the whole crowd and asked me to explain all the line items.”
2016 Annual Rate Case Survey
It is often said that ratemaking is as much art as science.
It is the process of setting a return on equity that is fair to both shareholders and consumers that demonstrates the art and science practiced by regulators. One case reported here provides a good glimpse at the entire range of issues put before regulators: a decision by the Michigan Public Service Commission setting electric rates for Consumers Energy Company.
Modernizing PURPA
Should FERC rewrite rules or let states make reforms?
Idaho has a problem with PURPA. So does North Carolina, and other states in between. Utilities have complaints too. Consider industry groups like EEI, representing investor-owned companies, NRECA, representing co-ops, and even NARUC, representing state utility regulators. Each has proposed new rules to fix PURPA, a longtime favorite of enviros. And don’t forget Berkshire Hathaway.
It's a Five-Minute World
New rule would align price settlements with real-time dispatch.
A misalignment of scheduling and price settlement opens the door to mischief.
Response to Radford Re: EPSA Complaints at FERC on Ohio Contracts
A response to the ‘Following FERC’ column by Bruce Radford in our April 2016 issue.
The PUCO was not, and never will be, in a position to ensure terms of PPAs meet requirements of FPA.
FERC v. Ohio
Will the Feds weigh in on the great Buckeye brawl?
Ohio ratepayers could prosper if natural gas prices rise in the next few years, boosting revenues when the utilities resell into PJM markets.
The Long and Short of Grid Congestion
FTRs make hedging possible, but can PJM ensure full funding without playing favorites?
Financial traders believe PJM’s proposal discriminates since they are more likely to hold counter-flow FTRs.
The Price is Right?
Demand response on appeal before the U.S. Supreme Court.
It could well be that demand response results in a more stable pricing environment that seems less risky to investors.
Equity Returns: ‘Allowed’ vs. Earned
Understanding how PUC rate case findings differ from a utility’s financial reports.
(November 2015) Setting an allowed return on equity has consistently proven to be the most contentious and subjective part of a rate case proceeding.