Client Stories
How MCR Helped an Electric Utility Develop and Implement a New Cost of Service Model
Public Service Company of New Mexico (PNM) faced a number of challenges with its cost of service model. Intervenors struggled to understand the model during rate cases, slowing down the regulatory process. PNM needed a new cost of service model to meet the utility’s internal needs and make the regulatory process more efficient.
How MCR Helped a Southern IOU Develop a Green Energy Tariff as Part of Securing Renewable Load
A Southern vertically integrated electric company was signing a power purchase agreement (PPA) to secure renewable load. As part of that process, they wanted to know whether a specific tariff for renewable energy would be acceptable to both customers and regulators, and whether it made business sense for the company to pursue for this renewable load. The company needed help investigating green tariff options. Having used MCR to conduct other research and analysis projects, they called on MCR to research and propose suggestions for a green tariff.
Helping a large gas utility implement COST™ to allow in-house development of cost of service and rate design
A large gas utility serving over 750,000 customers wanted to purchase a study to run scenarios in house. They also had a desire to be able to run scenarios in two other jurisdictions for rate cases. The utility engaged MCR to develop the Cost of Service Tool (COST™) to enable the utility to run these scenarios in-house. Ultimately the client wanted to run the model in future proceedings for their rate proceedings and special studies.
Helping a water conglomerate utilize COST™ to achieve budget forecasts in multiple territories
A large water company needed a Cost of Service model to provide full details over 20 jurisdictions and to easily expand when additional properties were acquired. The utility engaged MCR to provide a solution allowing for a single model to be used throughout the company’s 20+ jurisdictions.
Helping an investor-owned electric utility implement COST™ to achieve greater cost transparency
An investor-owned utility was involved in a complex rate case involving significant shifts in rate structure across all classes. The initial Cost of Service filing was prepared using a database tool that provided output without the underlying logic. The utility engaged MCR to provide a solution allowing for robust, error-free modeling of the Cost of Service while providing third parties the access they were promised via the rate order.
Helping a multi-district water utility calculate revenue requirements through implementation of an integrated regulatory analysis system
A water utility with multiple districts wanted a tool to calculate revenue requirements and develop the standard filing requirement reports for one of their states. The utility turned to MCR to address their problem.
Helping Arizona Public Service Company implement MCR’s Cost of Service Tool to achieve greater cost transparency
APS began their search for a new cost of service model in 2017 at the end of a general rate case proceeding. Due to substantial scrutiny of APS’ filing, commission staff and intervenors sought more transparency on the logic, which APS’ existing tool had buried in proprietary code. As part of the final rate order, APS agreed to implement a more transparent cost of service model and engaged MCR to quickly roll out a solution.
Assisting Citizens Electric and Wellsboro Electric analyze their internal processes in preparation for customer choice in Pennsylvania for their customers
The Pennsylvania Public Utilities Commission exempted Citizens’ Electric and Wellsboro Electric (the Companies) from having to implement an electronic data interchange (EDI) system associated with customer choice until certain conditions were met. Taking a proactive stance, the Companies asked MCR to facilitate a review of their processes and help solicit bids for a third party vendor to implement the new EDI solution.
Assisting an investor owned utility provide reasonable rate options to its industrial customers
In anticipation of a general rate case and a need to review rate alternatives with their large customers, a large electric utility requested MCR provide an overview of current rate alternatives, regulatory approvals, and an assessment of the utility’s rate menu for large customers.
Assisting an investor owned utility meet stipulation requirements for filing a future general rate case
An investor owned utility in the Southwest needed to meet the requirements of a Stipulation resolving its last rate case before filing a future rate case. The Stipulation required the design of rates and cost allocation mechanisms for certain large commercial and industrial customers. Needing an outside expert to lead and facilitate the process, the company asked MCR for assistance.
Supporting Duquesne Light Company to design, file and implement energy efficiency programs to meet its Pennsylvania Act 129 obligations
Duquesne Light Company needed to develop cost effective plans that will reduce electricity consumption across their service territory by 1 percent by 2011 and 3% by 2013. In order to meet these requirements Duquesne Light selected MCR to design and file an energy efficiency plan.
Helping a natural gas utility in the Southeast achieve its rate adjustment goals and prepare its staff for work on future proceedings
A natural gas utility in the Southeast, facing a revenue shortfall, was considering a regulatory proceeding to adjust rates and other terms of service before the state regulator. With the objectives of achieving a desired regulatory outcome and building on the existing skills and experience of its internal regulatory staff, the company asked MCR for assistance.