NAC704.9704. Implementation of substantive programs using equity adder methodology for cost recovery.

To remove financial disincentives that discourage a public utility which purchases natural gas for resale from planning and implementing substantive conservation and energy efficiency programs, a gas utility may implement substantive conservation and energy efficiency programs using an equity adder methodology for cost recovery. In an application pursuant to NRS 704.110 to recover the costs to implement its conservation and energy efficiency plan, the gas utility must calculate its revenue requirements for program costs, as set forth in NAC 704.9714, to include them in the rate base using the most recently authorized return on equity plus 5 percent.

     (Added to NAC by Pub. Utilities Comm’n by R095-08, eff. 9-29-2008)