Duff & Phelps Credit Rating Co. has released a report advising that a properly structured plan for securitization of stranded utility investment should address third-party credit risk.
order, TRANSLink is required to refile its tariff as a MISO/SPP schedule. Like any other business, TRANSLink would prefer its own tariff. Nonetheless, we hope the FERC's acknowledgement of the need to attract investment capital to the transmission business will be reflected in an adequate return on capital and meaningful encouragement of product and service creativity.
In summary, the lesson learned is simple. When told their job is to maintain reliability at lowest cost to captive retail consumers, transmission employees will do that job and do it well. However, if the same employees are challenged to maintain the reliability of the regional grid, to look for investment and operating opportunities that increase regional throughput and to reduce commodity costs-while also producing fair returns to shareholders-they will do those jobs, and do them well! It is time for the industry and regulators to give them a chance.
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