Jun

11

Utility Ratemaking – How Investor-Owned Utilities Make Money (US) – Virtual (Jun 11)

The Western Energy Institute provides a primer on key regulatory and ratemaking fundamentals to all participants in our Gas Utility Fundamentals + Insights (GUFI) and Electric Utility Fundamentals + Insights (EUFI) courses. The ratemaking courses provide an overview of how companies set their revenue requirement, allocate costs to customers, and determine their tariff structures. WEI provides courses in US Cost-of-Service ratemaking, Canadian Cost-of-Service, Performance-Based Rates, and Publicly-Owned Utility ratemaking.

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General Details

  • Program Chair(s)
  • Eric Christenson, Director of Program Curriculum + Engagement

    • Program Location
    • Virtual Event
    • No travel required. All agenda times are in Pacific time. Instructions to access the virtual event will be provided to the attendee before the program.
    • Who Should Attend
    • All employees at energy companies and service company employees working on utility projects benefit from understanding how customer rates are set.

  • Registration Options
  • Complimentary registration for this webinar is provided to previous participants in any of WEI’s Utility Fundamentals + Insights courses. If you do not see the Complimentary Ticket after initiating your registration, please contact Eric Christenson.

    Member: $99 USD
    Non-Member: $199 USD

    Registration includes two-hour webinar course on utility ratemaking and license/access to one digital copy of the associated workbook.

  • General Cancellation Policy
  • Not Applicable
  • Participation Policy
  • Western Energy Institute programs and events are open to energy companies (including gas production and electric generation, gas and electric transmission and gas and electric distribution utilities). Select programs and events are open to energy industry product and service suppliers. Programs and events are closed to all media representatives and to the general public.
  • For more information contact Eric Christenson, Director of Program Curriculum + Engagement at (971) 303-2118.

Agenda

All session times are listed in Pacific time.

Tuesday, June 11, 2024

9:45 AM - 10:00 AM

Virtual Help Desk + Technology Check

The room will open early with optional time for participants to get familiar with the virtual platform, test their audio and webcam, or ask questions about the agenda before we begin.

9:45 AM - 10:00 AM

Virtual Help Desk + Technology Check

The room will open early with optional time for participants to get familiar with the virtual platform, test their audio and webcam, or ask questions about the agenda before we begin.

10:00 AM - 10:30 AM

State Regulators

– Types of energy companies
– Role of regulator for local distribution utilities
– Commission structures

10:00 AM - 10:30 AM

State Regulators

– Types of energy companies
– Role of regulator for local distribution utilities
– Commission structures

10:30 AM - 11:00 AM

Building the Revenue Requirement

– Cost-of-Service ratemaking model
– Capital and O&M accounting
– Calculating return on investment
– Weighted average cost of capital

10:30 AM - 11:00 AM

Building the Revenue Requirement

– Cost-of-Service ratemaking model
– Capital and O&M accounting
– Calculating return on investment
– Weighted average cost of capital

11:00 AM - 11:30 AM

Cost Allocation

– Customer rate classes
– Matching costs with revenues
– Unique customer groups

11:00 AM - 11:30 AM

Cost Allocation

– Customer rate classes
– Matching costs with revenues
– Unique customer groups

11:30 AM - 11:50 AM

Rate Design

– Fixed and variable costs
– Tiered and time-of-use rates
– Industrial demand charges

11:30 AM - 11:50 AM

Rate Design

– Fixed and variable costs
– Tiered and time-of-use rates
– Industrial demand charges

11:50 AM - 12:00 PM

Wrap-Up + Close

We review the course materials and answer any questions.

11:50 AM - 12:00 PM

Wrap-Up + Close

We review the course materials and answer any questions.