Cost-of-service (acquisition) adjustments for purchased utility assets

Journal Article · Thu Oct 31 04:00:00 EST 1985 · Public Util. Fortn.; (United States)

OSTI ID:6494709

Nixon, M

Cases cited show that regulatory commissions are not entirely opposed to including purchased utility assets in rate base at a value greater than original cost. Although skeptical of transfers of property between utilities, commissions will grant acquisition adjustments where the purchasing utility can show actual and distinct benefits to all affected ratepayers. But where distinct benefits are not proven, recovery of expenses may be denied along with adjustment of rate base. And finally, a utility that acquires new service territory along with purchased assets may be held to a higher standard in proving that a purchase results in benefits to ratepayers.

• OSTI ID: 6494709
• Journal Information: Public Util. Fortn.; (United States), Journal Name: Public Util. Fortn.; (United States) Vol. 116:9; ISSN PUFNA
• Country of Publication: United States
• Language: English

Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
290200* -- Energy Planning & Policy-- Economics & Sociology
293000 -- Energy Planning & Policy-- Policy
Legislation
& Regulation
DATA
FINANCIAL DATA
INFORMATION
PUBLIC UTILITIES
RATE STRUCTURE
REGULATIONS