English, Article edition: A Rate Design to Increase Efficiency and Reduce Revenue Requirements Boonin, David Magnus

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Bookmark: http://trove.nla.gov.au/version/10175
Physical Description
  • article
Language
  • English

Edition details

Title
  • A Rate Design to Increase Efficiency and Reduce Revenue Requirements
Author
  • Boonin, David Magnus
Physical Description
  • article
Notes
  • One decoupling approach, a Straight Fixed Variable (SFV) rate design, is a rational way to recover fixed and variable costs because it aligns pricing with variable and fixed cost causation, thereby removing the utility's profit sensitivity to reduced sales. The problem with SFV is that it reduces the variable charge to short-term variable cost, leading to overconsumption. Revenue-neutral energy efficiency "feebates" combining fees and rebates offer an economic incentive for consumer energy efficiency.
  • RePEc:eee:jelect:v:22:y:2009:i:4:p:68-78
Language
  • English
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