capital asset pricing model (CAPM)
FERC lifted MISO transmission owners’ base return on equity from 9.88% to 10.02% and allowed them to add a third calculation model into the mix.
FERC adopted a new methodology for calculating return on equity rates for transmission owners and applied it to two MISO proceedings.
FERC’s request for comments on transmission incentives produced splits between transmission owners and load interests, as well as calls for new policies.
FERC moved to apply its proposed new methodology for calculating transmission owners’ return on equity rates to dockets in MISO and the South.
FERC signaled a major change in how it sets transmission owners' return on equity rates; no longer relying solely on the discounted cash flow model.
Want more? Advanced Search