Full Title: ong-Term Planning among Regulated Natural Gas Utilities A Review of State Requirements
Author(s): Kiera Zitelman
Publisher(s): U.S. Department of Energy, National Association of Regulatory Commissioners
Publication Date: May 30, 2025
Full Text: Download Resource
Description (excerpt):
State policymakers generally delegate the evaluation of proposed utility investments in energy resources and infrastructure to appointed or elected public utility commissions. Legislatures and governors reserve the authority to set state-wide energy policy goals, mandates for the use of in-state resources, equity and public engagement goals, economic development priorities, and others.
Across the U.S., state utility regulators are responsible for ensuring that utilities provide safe, affordable, and reliable energy at just and reasonable rates. Regulated utilities are granted the opportunity to earn a rate of return on expenditures on used and useful assets, as determined by state utility regulators (public service commissions, public utility commissions, or similar bodies in every U.S. state, territory, and the District of Columbia) in adjudicated proceedings. State utility regulators specifically examine proposed utility investments in new infrastructure, repair or replacement of existing infrastructure, and procurement of energy sources to determine which costs qualify as prudent and are therefore allowable to be passed along to customers for payment through rates and bills.