Moving toward more ratemaking incentives

Journal Article · Tue Dec 01 04:00:00 EST 1992 · Electricity Journal; (United States)

DOI:https://doi.org/10.1016/1040-6190(92)90109-K· OSTI ID:7128698

Brew, J W

Adaptive, responsive and innovative management will be required for utilities to navigate successfully the challenges and uncertainties facing the electric industry in the 1990s. Regulatory schemes riddled with inconsistent and contradictory signals will impede the best-intentioned efforts of utility managers to develop and implement integrated resource plans. Effective reform in this area requires regulators to undertake a thorough review of incentives provided by the rate-setting process, an willingness to entertain alternative approaches and risks, and shifting the rewards of ratemaking to better utility earnings with management's performance and ratepayer interests. This article highlights a number of alternative rate-setting approaches that the New York Public Service Commission has adopted or considered in recent years. 16 refs.

• OSTI ID: 7128698
• Journal Information: Electricity Journal; (United States), Journal Name: Electricity Journal; (United States) Vol. 5:10; ISSN ELEJE4; ISSN 1040-6190
• Country of Publication: United States
• Language: English

Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
296000* -- Energy Planning & Policy-- Electric Power
99 GENERAL AND MISCELLANEOUS
990100 -- Management
ECONOMIC ANALYSIS
ECONOMICS
ELECTRIC POWER INDUSTRY
ELECTRIC UTILITIES
FINANCIAL INCENTIVES
INDUSTRY
MANAGEMENT
PERFORMANCE
PLANNING
PUBLIC UTILITIES
RATE STRUCTURE
REGULATIONS