National Association of Utility Regulatory Commissioners

As the Fukushima-Daiichi crisis unfolds, the U.S. DOE’s Blue Ribbon Commission is preparing its initial recommendations on how America should deal with its commercial nuclear waste. Early indicators suggest it will endorse the so-called fedcorp model—creating an independent federal corporation, similar to TVA. But a fedcorp structure, by itself, won’t resolve the spent-fuel dilemma. Success will require a strong mandate, consistent funding—and a totally new approach to siting and management.

How risky are utility investments today? Regulators have always faced this question when setting the return component of rates under traditional rate base/rate of return regulation. With major industry restructuring looming, risk issues have become proportionately more important and complex. California regulators, for example, have increased the return for the state's electric utilities to account for investor worries over the pace of restructuring in the "Blue Book" proceeding.