Designing profitable rate options using area- and time-specific costs: Central Power and Light Company, TC3629 project results. Final report

This study describes the use of area and time specific (ATS) costs to evaluate and develop voluntary rate options to decrease Central Power and Light`s (CP&L) rates and increase margin. The ATS costing methodology, initially developed and implemented by Pacific Gas and Electric Company, is applied to CP&L`s Laredo area, providing the important detailed costing information necessary for the evaluation of CP&L`s margin in Laredo over different time periods. CP&L is one of four utilities in the United States that have developed a full set of ATS costs. CP&L is the first utility to apply these costs to develop profitable rate options. Copyright © 1994 Electric Power Research Institute.