Leveraging Market Dynamics to Become More Dynamic

In today's utility market, developing pricing strategies that recognize and embrace market dynamics, and the economics of competition while avoiding regulatoryd isputes is imperative. With the factors that influence retail rates in flux, traditional approaches to cost allocation and rate-making are changing. R. W. Beck is helping our clients on both fronts.

Our thorough knowledge of the current market dynamics, helps our clients understand the factors that influence retail rate setting and how they can best maneuver in the changing environment. Retail rates can be seriously impacted by factors such as the heavy levels of new investment, technological breakthroughs, government mandates, wholesale power deregulation and advanced metering. Each of these factors place different pressures on rates, so knowing exactly how the mix of factors affectsyour business is a prerequisite to retail rate setting.

The effect of these changes is that traditional approaches to cost allocation andrate-making are decidedly less traditional. Today, rates need to consider a hostof elements that previously had marginal impact. Demand response, risk responsibility, competition, marketing, customer service and social responsibilities all require a great deal of attention in the rate-making process. We apply specialized insight gained from decades of experience to help you to discern the impacts of these factors and determine the blend that works best for you.

Contact:
Tim Corrigan
Executive Vice President, Energy
PH 303.299.5328
email