Economic Analysis
With our expertise in crafting power and utilities-specific forecasts, you can make confident decisions backed by solid insights. Our financial analysis provides the essential foundation for this confidence.
Our industry experience leads to insightful analysis:
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Long-range forecasting is an essential step in providing future reliable services. We work with your team to develop 5, 10, 15, and 20-year forecasts based on current industry trends. Forecasting will give your organization financial and operational options and leverage in negotiations.
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Long-range planning will detail the timing and amount of future rate increases, project funding, and borrowing needs. Forecasts will help position your organization for the best possible financial ratings and lowest possible borrowing costs.
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We perform competitive analysis projects for existing broadband utilities seeking to expand their services and transition from cable providers.
For cooperatives and municipalities considering broadband services, we prepare financial analysis, business plans, service pricing, and cost of ownership studies to determine the feasibility of providing services.
Currently, there are many grant programs available to fund broadband expansion. But, once the grant funds are spent, the cost of ownership must be funded. Preparing a feasibility study before deciding to build out broadband services is prudent.
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We provide performance benchmarking studies that measure financial and operational performance and identify strengths and improvement opportunities. Benchmarking is essential to planning and implementing short- and long-term strategies.
Benchmarks are based on industry standards, including those of bond rating agencies', and tailored to your organization. The project deliverables include dashboards for presentation to Boards and management and training to your team on the use of the benchmarking model.
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Our team has deep experience in analyzing billings under joint power plant ownership contracts, including the major area of dispute - cost allocations between joint owners.
We conduct engagements by evaluating charges by plant operators compared to language in joint ownership agreements.
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We developed industry benchmarks for an electric utility to use in their evaluation of financial performance and goals for employees. The benchmarks were based on industry peer comparables in key areas.
The project included developing policies and procedures for gathering data to develop the benchmarks from utility financial information. We also developed online dashboards for more concise reporting to management and the oversight Board.
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A Midwest cooperative wished to expand its broadband services in a competitive market. We evaluated the competitive cost structure of broadband services and made recommendations for pricing and marketing of managed network services. We also evaluated business processes and marketing approaches, making recommendations for efficiencies and greater outreach.
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California municipal electric utilities - We prepared a cost model for two utilities to evaluate joint costs for outsourced electric distribution maintenance as an aid in their contract negotiations.
The study included a forecast of cost increases coupled with increased service needs.
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We prepared a 15-year funding plan for an electric and water utilities capital plan. The funding sources included earnings, debt, grants, and rate increases.
The plan forecasted the timing of rate increases based on customer load trends coupled with increased electric and water supply needs.
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Recent projects include a review of joint power plant billings by the plant operator to minority unit owners. We evaluated cost allocations, direct billings, and decommissioning cost charges for accuracy and adherence to management ownership agreements to supply information in a billing dispute. The process included providing depositions on our analysis.
Recent experience
Recent project summaries of helping clients to a successful solution
Related Services >
Rate Studies
Litigation
Accounting Advisory
Services Overview
Rate Studies
Cost of service studies for electric, gas, solid waste, telecommunications, wastewater, and water services
Innovative rate designs
Tailored rate models
Accounting Advisory
FERC and RUS accounting applications
System migration assistance for work order and continuing property records
New accounting standards impacts
Business process solutions for work order accounting
Regulatory
Expert testimony on rate and accounting issues
Economic analysis support
Intervenor support
Local oversight rate study support
Litigation
Expert testimony in arbitration and litigation
Economic analysis
Legal team deposition support
Economic Analysis
Forecasting and financial planning
Feasibility and competitive analysis studies
Performance benchmarking
Cost allocation reviews
Training
On-line courses in FERC and RUS accounting, rates, and financial evaluation
On-site training for your team in industry best practices in accounting, rates, and management