Eskom Transmission: Workshop on Incentive-Based Regulation

March 1 - 3, 2005
Johannesburg, South Africa

Utility professionals studied the design and implementation of incentive regulation mechanisms as well as the basic properties of rate-of-return, price cap, revenue cap, and various hybrid regulatory mechanisms during this course. Course topics also included determinants of revenue requirements such as capital carrying costs, depreciation, and operating costs; benchmarking techniques and their relative advantages and shortcomings; determination of the regulated asset base going forward through optimizing network configurations; weighed average costs of capital determination; and different rate design/pricing methods to meet various regulatory objectives such as deficiency or cost-reflectiveness.

PURC and Quantum America specifically designed this course for the staff of Eskom Transmission and other Eskom divisions. Forty-five staff members were in attendance.


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