Stranded investment, prices and privacy factor in FERC rulings
Journal Article
·
· Energy Daily
OSTI ID:39424
The Federal Energy Regulatory Commission upheld its rejection of United Illuminating Co.`s bid to recover stranded investment costs. Since UI has no wholesale customers, it is a matter best left to state regulators, FERC said. UI`s stranded investment recovery plan was part of the company`s transmission access tariff, which provides for open access transmission service at cost-based rates. FERC ordered UI to delete the stranded investment provisions, saying UI was trying to recover in its wholesale transmission rates the costs of generation facility investments that were incurred to provide service to retail customers that leave its system, reasoning that UI was seeking protection from what may be legitimate retail franchise competition, which is a state matter. UI, however, said deleting the stranded investment provision would preclude it from arguing in an individual rate filling under the transmission tariff that stranded investment costs should be borne by the wheeling customer.
- OSTI ID:
- 39424
- Journal Information:
- Energy Daily, Journal Name: Energy Daily Journal Issue: 135 Vol. 21; ISSN 0364-5274; ISSN ENDADJ
- Country of Publication:
- United States
- Language:
- English
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