Regulation and consumer class actions can complement, duplicate, or oppose each other, depending, among others, on the leanings of regulatory objective functions towards the industry or consumers. In particular, pro-consumer regulators would like to see consumers benefit from class actions while...

This paper considers methods of price structure regulation of electricity transmission in the context of an independent transmission company (TRANSCO). The focus is on two-part tariffs where the variable part would reflect congestion charges (and ancillary services) while the fixed part would...

The first half of this paper overviews traditional methods of rate-making--embedded and marginal cost pricing--and four recent alternatives--automatic rate adjustments, profit-sharing, tariff menus, and the Vogelsang-Finsinger convergence mechanism--that have come to challenge them. The authors...

Over the last 20 years, incentives in general and price caps in particular have breathed new life into public utility regulation. Price caps successfully combine incentives for cost reduction with incentives for more efficient pricing. These properties also facilitate opening public utility...