Gas Retail Rate Design. In a move toward equalizing rates of return between customer classes, the Oregon PUC authorized Northwest Natural Gas Co. to increase base rates by...
- capital. The actual RAROC is computed by dividing P&L net of interest charges by value-at-risk from the trading activity. Typical one-year RAROC hurdles are near 25 percent p.a.
- See Shimko, "Derivatives in the Board Room," Public Utilities Fortnightly, June 1, 2002.
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