Return on Equity: How Regulators Doled Out The Dollars

Deck: 

Results of the annual Survey of Energy Utility Rate Proceedings.

Fortnightly Magazine - December 2001
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Results of the annual Survey of Energy Utility Rate Proceedings.

Report - Economic Impact of Covid 19 on Utilities

The results of our annual survey of authorized rates of return on common equity for state-regulated energy utilities show a continued reliance on traditional cost-of-service ratemaking in many states. At the same time the results also show that rate case filings do not dominate the field of economic regulation the way they might have in times of higher rates of inflation and prior to the advent of price cap regulation and market restructuring programs.

Nevertheless, the issue of the appropriate level of "profit" to include in the rates of a regulated electric and natural gas companies continues to figure prominently for those engaged in the task of retail ratemaking.

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