A close look at the effect of the dividend tax cut reveals a disappointing investor reaction.

 

While some predicted a very significant increase in price for utilities if dividend taxes were reduced, the actual price change data show a rather different picture.

How to benchmark return on equity (ROE) and depreciation expense in utility rate cases.

 

 

Interviews by

What next? That seems to be the question on every utility executive's mind. After two years of stomach-wrenching ratings downgrades, agonizing downward valuations, embarrassing accounting scandals, skyrocketing gas prices, and positively stubborn mild weather, or the "perfect storm," as many have called it, many believe the worst is now over.

But will the the recovery be worth the wait?

Seemingly eco-friendly definitions can prevent adoption of renewable portfolio standards.

Business & Money

The application of FASB Statement No. 13 can result in unforeseen changes to the financial statements and, in turn, financial ratios of a utility.

 

Commission Watch

Why FERC must yield to bankruptcy law.

 

How will regulators react if the current trickle of bankruptcies within the debt-laden merchant power sector should suddenly become a torrent? Will they encourage the necessary restrcturing of debt, or will they stand in the way?

Benchmarks

Four factors could lead to further shockwaves.

 

The Northeast transmission grid has suffered a right cross to the jaw, but it could be followed by an uppercut of price spikes and volatility in generation markets by next summer.

In the wake of August's Northeast blackout, most experts agree that the transmission system in the Northeast has deficiencies.

Perspective

FERC should consider a two-part tariff to boost transmission investment.

 

Transmission, rather than generation, is generally the constraint preventing customers from getting the power they desire.

People

New Positions:

The Pennsylvania Public Utility Commission (PUC) appointed Thomas A. Leach to a two-year term on its Consumers Advisory Council. Leach is the business manager and financial secretary of Local Union 126, International Brotherhood of Electrical Workers.

Frontlines

The blackout could doom deregulation, but why treat reliability and reform as either-or?

Driving west near Cleveland on the Ohio Turnpike back in August, a few days after the big blackout, I saw what looked like a small helicopter hovering up ahead, about 25 feet from the top of a transmission tower.

Was this a prank? Had terrorists struck? Or was it the local TV news station, just trying to get a closer look?