Expert Evidence in Cost of Capital

Concentric was engaged by a Canadian energy consortium to prepare expert evidence in the jurisdictional regulator’s 2024 cost of capital proceeding. This proceeding involved a review of the return on equity (ROE) formula used by the regulator for all regulated electric and gas utilities in the province. The proceeding also reviewed other issues, including the costs of long-term and short-term debt, the allowed return on deferral and variance accounts, and whether revisions to the deemed capital structure could be considered in this proceeding or in individual rate applications filed by the regulated utilities.