Title :
The Impact of WACC Calculation in the Price Cap Regulation Results: The Colombian Case
Author :
Fonseca, Sandra S.
Author_Institution :
regulatory and energy sector Consultant, Carrera 6 # 57-11 Apt 901, Bogotá Colombia, Tel: 0571-2117173/0573166923393. email: sandrastellacol@gmail.com
Abstract :
The risk of applying price cap regulation on distribution systems where the institutional and industrial structure is still weak is discussed. It has been found that there is a huge impact on end user´s tariffs for a tariff-setting period after increases from 9% to 16.04% on discount rates used to calculate the rate base on Colombian Discos are introduced.
Keywords :
power distribution economics; power distribution planning; Colombian Discos; distribution systems; power system planning; price cap regulation; weighted average cost of capital; Costs; Economic indicators; Monopoly; Power engineering and energy; Power generation economics; Power markets; Power system economics; Power system planning; Privatization; Productivity; CREG: Comisión de Regulación de EnergÃ\xada y Gas en Colombia; Disco´s incentives; Power system economics; power system planning;
Conference_Titel :
Power Engineering Society General Meeting, 2007. IEEE
Conference_Location :
Tampa, FL
Print_ISBN :
1-4244-1296-X
Electronic_ISBN :
1932-5517
DOI :
10.1109/PES.2007.386038
