In a presentation at annual meeting of the National Association of Regulatory Utility Commissioners, Jim Lazar draws on the RAP publication “Smart Rate Design for a Smart Future” to outline the key principles of equitable rate design. These include allowing customers to connect to the grid for no more than the cost of connecting to the grid, pricing power supply and grid services based on the quantity used and the time they are used, and providing fair compensation for customers supplying power to the grid. Best practices encourage time-of-use rates, critical peak pricing, and the value of solar tariff. Rate design following these principles and best practices can help states meet up to half of their obligations under the Clean Power Plan.