Richard Sedano, principal and US programs director, discussed approaches to decoupling during a workshop at the Minnesota Public Utilities Commission. Decoupling, or revenue regulation, is a tool that can address the utility throughput incentive—it breaks the link between sales volume and utility revenues. Mr. Sedano defines decoupling, both what it is and is not, discusses the reasons a state may pursue decoupling, and shares the design principles a commission should consider when designing a decoupling mechanism. Decoupling is advantageous because it stabilizes utility revenue, allows the utility to focus on the costs it can control, accommodates aggressive energy efficiency programs, and can delay general rate cases and their associated expense.