Abstract
As the electric power industry is opened to forces of competition, increased attention must be focused to develop products and services that deliver good value to customers and to identify customer segments that are profitable to serve. This primer introduces the concept of profitability analysis and its application to the electric power industry. The primer recognizes that some segments of the business will remain monopolistic and subject to regulations, while other segments will become competitive. The primer also recognizes that customer profitability is critically dependent on a host of related issues such as how internal costs are allocated to various functions and how revenues are collected and allocated. Copyright © 1996 Electric Power Research Institute.
| Original language | English |
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| Publisher | Electric Power Research Institute |
| Place of Publication | Palo Alto, CA |
| Publication status | Published - Jun 1996 |