At the end of this course, the learner will be able to:
- Understand the basics of utility rate setting.
- Understand of Financial Statements for regulated utility companies.
- Have the knowledge, skills, and tools that guide regulated utility rate making including choosing test year for revenue requirement.
- Gain understanding of how rate base is developed.
- Understand how a mock rate case is developed and the use of sample adjustments.
- Demonstrate how to calculate rate base, revenue requirement, and rate design for regulated utility.
- Demonstrate an appropriate knowledge of operating expenses, trackers, depreciation and taxes related to regulated utility rate making
- Understand how to question and review for Income Statements.
- Understand the capital structure of a utility, including the weighted average cost of capital, rate of return, and return on equity.
- Understand how cost of capital, rate of return and return on equity relate to the revenue requirement and how Wall Street views a company. (not sure where that is on the agenda)
- Understand the consumer perspective on the regulated utility finance.
- Understand Cost Allocation methods.
- Understand the different rate designs for the regulated utility.
- Understand the Performance Based Ratemaking.