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Annual ROE Survey: Austerity Savings

Volatile economic conditions push regulators in new directions.

Fortnightly Magazine - November 2009

amounts to approximately 3.6 percent of non-fuel operation and maintenance costs and emphasized that the company’s management will be responsible for determining how best to achieve the $60 million revenue requirement reduction while maintaining reliability, service quality, and safety [Re Consolidated Edison Co. of New York, Inc., Cases 08-E-0539, 08-M-0618, Apr. 24, 2009 (N.Y.P.S.C.); See also Central Hudson Gas & Electric Corp., 274 PUR4th 257 (N.Y.P.S.C. 2009) where the PSC also discussed macroeconomic conditions that may be used as a basis for requiring the so-called austerity adjustments to a company’s revenue requirements ].

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