Virginia Tentative about Electric Restructuring

Fortnightly Magazine - December 1995
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The Virginia State Corporation Commission (SCC) has initiated an investigation of electric industry restructuring and emerging competition. The SCC stressed that Virginia is not saddled with high-cost power, and that larger electric utilities in the state currently provide service at rates "significantly below" the national average. Nevertheless, the SCC concluded that a formal investigation was necessary to determine whether regulatory improvements might result in reliable service at lower costs for state consumers. Noting a wide difference of opinion over issues such as PoolCos, retail wheeling, stranded-cost recovery, and performance-based ratemaking, the SCC added that the presumed potential benefits of restructuring may not be quantifiable with any real degree of precision. Re Restructuring of and Competition in the Electric Utility Industry, Case No. PUE950089, Sept. 18, 1995 (Va.S.C.C.).


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