Utility performance, investment versus dividends, rate of return incentives
Generally speaking, regulatory commissions and courts are not anxious to substitute their judgement for that of utility management. A recent example where state regulators found it prudent to gingerly cross the line can be seen in a recent case involving Indianapolis Power and Light Company.
Federal income tax treatment has nothing to do with pricing sale of electricity to utility or customer.
Advocates for net metering argue that if the electricity delivered by the customer to the utility is credited at the full retail rate, the amount is not taxable, but if credited at less than the full retail rate, such as under a feed-in tariff or a value of solar tariff, the IRS might count the credited amount as taxable income. A tax expert fills us in on the other side of the story.
Annual formula rate is working to stabilize distribution ratemaking.
Ross Hemphill and Val Jensen
A lot has been said of alternative ratemaking approaches. The clearest, most direct path is what has been happening in Illinois, a success by any reasonable measure for a distribution utility.
Should We Follow U.K.’s Lead?
Leonard Hyman and William Tilles
British price cap regulation quickly became the international gold standard for regulation. It looked so simple. But if the purpose was to provide a dramatically different and less expensive electricity experience, it failed.
An innovative approach to targeted retail aggregation.
Michael Strong and Mark Pruitt
No state has had the same initial success with municipal aggregation as Illinois, where more than 650 local governments enrolled 70 percent of residential consumers into municipal aggregation contracts. The pathway forward in Illinois provides a model to help get programs off the ground in all retail choice states.
The rule works in the direction of more regulation to hamper innovation and counteracts incentives the rule creates.
FERC made a mistake in Order 745 and should change the pricing rule.
Time-varying rates is an effective way to satisfy customer demands.
Chris King & Bonnie Datta
In the 21st century economy pivoted on customer choice, opt-in is the path to tread in the provision of time varying rates to electricity customers.
A forward-looking solution to rate reform, for when solar costs hit bottom.
Why keep rate design shackled to the ways of the past, especially at the dawn of a solar revolution?
Why a residential demand rate developed 40 years ago is increasingly relevant today.
Leland Snook and Meghan Grabel
Why not design a rate that allocates the higher system cost to customers based on their actual energy demand?
How project developers form their bidding strategies – and what it means for prices and the industry.
Greer Mackebee, Justin Bowersock, and James Stack
Want to find out what utilities seek when collecting bids for wind and solar projects? Read on.