Smart Rates to Ensure Fair Compensation

Rate design—the framework utilities and regulators use to set prices for the reliable provision of electricity and energy services—influences consumption and investment decisions across the full range of resource choices: energy efficiency, demand response, and traditional and distributed generation. Prices must reflect the true economic costs of providing energy services, which reflect other market and non-market values, such as environmental performance, resource capabilities, and fluctuations in supply and demand over time.

We help utility regulators apply well-established principles to design smarter rates that maximize the value of technology innovations, open up new markets, and accommodate the distribution and diversification of customer-sited generation resources.

Our Focus

Our experts help regulators weigh the benefits, costs, and net value of energy system resources on both sides of the meter, and design rate structures that ensure fair compensation for all who provide energy supply and services. As utility regulators apply the principles that have evolved over a century of regulation to local conditions in their jurisdictions, we advise them to ensure forward-looking rates that maximize the value of investment decisions by both the utility and customers and benefit society overall.

From the Knowledge Center

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Presentation June 4, 2020

Electric Cost Allocation for a New Era: Technical Topics

By Jim Lazar, Paul Chernick, Mark LeBel Read now
Policy Brief May 31, 2020

Designing Power Markets to Maximize the Effectiveness of Carbon Pricing

By Max Dupuy, Frederick Weston, Camille Kadoch, Richard Cowart Read now
Presentation May 27, 2020

Decoupling in the Time of COVID-19

By Janine Migden-Ostrander Read now
Presentation May 27, 2020

Evolving Frameworks for Regulation, Revenue and Rate Design

By Mark LeBel Read now
Presentation May 21, 2020

Next Generation Performance-Based Regulation for Carbon

By David Littell Read now
Policy Brief May 21, 2020

Cooperative Governance

By Mahesh Patankar, Frederick Weston, Joni Sliger, Robert Lieberman, Priyanka Shendage Read now
Report

Equity in the energy transition: Who pays and who benefits?

By Louise Sunderland, Andreas Jahn, Michael Hogan, Jan Rosenow, Richard Cowart Read now
Policy Brief May 13, 2020

Metrics to Measure the Effectiveness of Electric Vehicle Grid Integration

By David Littell, Jessica Shipley, Megan O’Reilly Read now
Presentation May 8, 2020

Quantifying and Maximizing the Value of Distributed Energy Resources

By John Shenot Read now
Report April 29, 2020

Energy Infrastructure: Sources of Inequities and Policy Solutions for Improving Community Health and Wellbeing

By Nancy Seidman, Alice Napoleon, Kathryn Maddux, Christopher James, Dara Torre, Donna Brutkoski, Janine Migden-Ostrander, Ken Colburn, Jamie Hall, Jennifer Kallay, Max Chang, Philip Eash-Gates, Denise Harlow, Meg Power Read now
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