PUC Considers Alternative Utility Ratemaking for Energy Reliability and Conservation

As we discussed in our blog on January 8, 2016, the Pennsylvania Public Utility puc_sealCommission (PUC) today, March 3, 2016, hosted a Harrisburg hearing to gather information from a diverse group of experts regarding alternative ratemaking methodologies, as part of ongoing discussions about how to best maintain safe and reliable energy infrastructure while also encouraging utilities to push forward with more aggressive energy efficiency and conservation programs.

The panels involved in today’s hearing reflected perspectives from experts in alternative ratemaking, energy efficiency, consumer organizations, industrial customers and utilities. The agenda and full list of panelists is found on the Commission’s website.

The hearing focused on several issues concerning alternative rate design, including:

  • Whether revenue decoupling or other similar rate mechanisms encourage utilities to better implement energy efficiency and conservation programs;
  • Whether such rate mechanisms are just and reasonable and in the public interest; and
  • Whether the benefits of implementing such rate mechanisms outweigh any costs associated with implementing the rate mechanisms.

In addition to the testimony presented today, the Commission also will review written comments regarding alternative ratemaking, which must be received no later than March 16, 2016.  All documents related to the hearing, including the testimony and presentations submitted by the witnesses who testified today, are available on the Commission’s website.

The Commissioners thanked those who testified today, along with those parties who plan to submit additional comments and testimony, as the PUC continues to explore this issue.

Desire more specific assistance regarding ratemaking, utility costs, renewable energy projects, or energy law, contact attorney Jeffrey A. Franklin at Prince Law Offices, P.C.

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