Books Order Form

Performance-Based Ratemaking: Theory and Practice

By Dr. Michael R. Schmidt Order $89.00 -- Paperback, 300 pages. ISBN#: 0-910325-82-0

Many states have instituted some form of performance-based ratemaking (PBR) for utilities. In this all-new publication, Dr. Schmidt presents an exhaustive study of PBR, providing you not only with the policy aspects of the subject, but also with the mechanics of designing and implementing this important regulatory tool. Performance-Based Ratemaking provides the roadmap for prospering in the increasingly competitive retail energy markets. Discover the challenges and opportunities associated with PBR-- including the significant benefits for investors, regulators, and customers. Discover the important differences between traditional rate regulations and the variations of PBR being implemented. Learn from the regulatory mistakes of the past -- and the significant successes with PBR in the telecommunications industry. Witness the potential effect of PBR on the value of an energy utility in this merger-mad market. See how to get regulatory buy-in to the benefits of PBR and get an update on how commissions are ruling on this issue. AVAILABILITY: This title usually ships within 1 to 2 weeks. View Table of Contents Table of Contents I. Introduction Performance-Based Ratemaking       Scope of this Study The Nature of the Supply of Electricity and Natural Gas The Regulatory Process Regulatory Inefficiency A Regulatory Solution A Competitive Solution Sliding-scale plans Historical Service at Cost Plans Recent Service-at-Cost Plans History has taught us well III. PBR Design Revenue Requirement Indexing versus Rate Indexing The PBR Formula The Escalation Factor The Productivity Factor The Stretch Factor The Z Factor The Dead-band Non-recurring expenses Performance Indicators Earnings Sharing Benchmarking Putting it all Together The True-up IV. Regulatory Issues Associated with PBR Regulatory Issues Rate Design Issues Communications with Regulators A Regulatory Vision of the Future Lessons Learned from the Telephone Industry Telephone PBR Experience in California Telephone PBR Experience in other States Electric and Natural Gas Utility Applications in California Selected Electric and Natural Gas Utility Applications in Other States FERC Order 2000 VI. International Applications of PBR Europe Takes the Lean Britain Norway The Netherlands VII. A New Direction in Performance-Based Ratemaking Industry Restructuring A Framework for a New PBR VIII. Financial Implications of PBR Risk The Cost of Equity Capital and the Impact of PBR The Impact of PBR on a Utility's Bond Rating Implications of PBR on Utility Valuation IX. Conclusions Appendix A: SCE PBR Mid-Term Review: Customer Satisfaction Measurement Appendix B: A Survey of Performance-Based Regulation of Electric Utilities in the United States Appendix C: Letter to the Chief Executives of the PES Distribution Businesses Information and Incentives Project Subject Index

Public Utilities Reports 8229 Boone Boulevard, Suite 400, Vienna, VA 22182-2623
Voice: (703) 847-7720 Toll Free: (800) 368-5001 FAX: (703) 847-0683
Copyright © 2008 PUR Inc.
Email: pur@pur.com