Fortnightly Magazine - December 2000
PUCs have yet to factor in higher risk for deregulation.
(December, 2000) Here are the results of our annual survey of authorized rates of return on common equity (ROE) for state-regulated energy utilities. This year's survey covers ROE determinations by state regulatory commissions during the period Oct. 1, 1999 through Sept. 30, 2000.
The challenge for Congress, FERC, and the new administration.
[T]he Commission believes that real rate relief for California electricity consumers will be fully realized in the State when sufficient new generation and transmission resources can be attracted and built and better demand-side management responses can be prompted. Only competitive markets will do these things. We believe it would be a mistake to revert to the kind of rate regulation that contributed to the decline in investment that clouds California's energy future today.
How gas supply and price disruptions now outweigh Big earnings potential plus an energy-related focus are prerequisites when AEP and Cinergy sort through investment projects.
Their numbers remain small, but investors in energy technology say California's energy crisis this summer may be a boon.
Why power prices may have hit a new plateau, and what it all means.