Public utility regulation and national energy policy

Technical Report · Mon Sep 01 04:00:00 EDT 1980

DOI:https://doi.org/10.2172/6705612· OSTI ID:6705612

Navarro, P.

The linkage between Public Utility Commission (PUC) regulation, the deteriorating financial health of the electric utility industry, and implementation of national energy policy, particularly the reduction of foreign petroleum consumption in the utility sector is examined. The role of the Nation's utilities in the pursuit of national energy policy goals and postulates a linkage between PUC regulation, the poor financial health of the utility industry, and the current and prospective failure to displace foreign petroleum in the utility sector is discussed. A brief history of PUC regulation is provided. The concept of regulatory climate and how the financial community has developed a system of ranking regulatory climate in the various State jurisdictions are explained. The existing evidence on the hypothesis that the cost of capital to a utility increases and its availability is reduced as regulatory climate grows more unfavorable from an investor's point of view is analyzed. The implications of this cost of capital effect on the electric utilities and collaterally on national energy policy and electric ratepayers are explained. Finally various State, regional and Federal regulatory responses to problems associated with PUC regulation are examined.

• Research Organization: Harvard Univ., Cambridge, MA (USA). John Fitzgerald Kennedy School of Government
• DOE Contract Number: AC01-80PE70278
• OSTI ID: 6705612
• Report Number(s): DOE/PE/70278-T1
• Country of Publication: United States
• Language: English

Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
293000 -- Energy Planning & Policy-- Policy
Legislation
& Regulation
296000* -- Energy Planning & Policy-- Electric Power
CAPITAL
ECONOMICS
ELECTRIC UTILITIES
ENERGY CONSUMPTION
ENERGY POLICY
FINANCING
FUEL CONSUMPTION
FUEL OILS
FUELS
GOVERNMENT POLICIES
IMPORTS
LIQUID FUELS
NORTH AMERICA
OILS
ORGANIC COMPOUNDS
OTHER ORGANIC COMPOUNDS
PETROLEUM PRODUCTS
PUBLIC UTILITIES
REGULATIONS
USA