• Information Technology
  • Human Resources
  • Careers
  • Giving
  • Library
  • Bookstore
  • Active Living
  • Continuing Education
  • Go Dinos
  • UCalgary Maps
  • UCalgary Directory
  • Academic Calendar
My UCalgary
Webmail
D2L
ARCHIBUS
IRISS
  • Faculty of Arts
  • Cumming School of Medicine
  • Faculty of Environmental Design
  • Faculty of Graduate Studies
  • Haskayne School of Business
  • Faculty of Kinesiology
  • Faculty of Law
  • Faculty of Nursing
  • Faculty of Nursing (Qatar)
  • Schulich School of Engineering
  • Faculty of Science
  • Faculty of Social Work
  • Faculty of Veterinary Medicine
  • Werklund School of Education
  • Information TechnologiesIT
  • Human ResourcesHR
  • Careers
  • Giving
  • Library
  • Bookstore
  • Active Living
  • Continuing Education
  • Go Dinos
  • UCalgary Maps
  • UCalgary Directory
  • Academic Calendar
  • Libraries and Cultural Resources
View Item 
  •   PRISM Home
  • School of Public Policy
  • Master of Public Policy Capstone Projects
  • View Item
  •   PRISM Home
  • School of Public Policy
  • Master of Public Policy Capstone Projects
  • View Item
JavaScript is disabled for your browser. Some features of this site may not work without it.

The Regulatory Compact and the Treatment of Stranded Assets

Thumbnail
Download
Daljevic, Marko.pdf (1.999Mb)
Download Record
Download to EndNote/RefMan (RIS)
Download to BibTex
Advisor
Church, Jeffery
Author
Daljevic, Marko
Accessioned
2016-10-07T16:18:40Z
Available
2016-10-07T16:18:40Z
Issued
2016-09
Type
report
Metadata
Show full item record

Abstract
This paper explores how transaction cost economics supports the regulatory compact and can provide guidance on the proper regulatory treatment of stranded assets. Stranded assets are regulated assets that are no longer used for utility service, but have not been fully depreciated. Traditional rate regulation has limited the amount of stranded asset risk exposure to utilities and pipeline companies. However, recent regulatory decisions in Canada have signaled that regulators may alter the way that they treat stranded costs, based on their interpretation of the Calgary Stores Block Supreme Court of Canada decision. Such a change, shifting the risk of stranded assets entirely to shareholders, could result in a major increase in business risk for utilities and energy infrastructure companies, increased rates for services and underinvestment in the industry. An analysis of transaction cost economics illuminates the importance of the regulatory compact, supporting the conclusion that prudently incurred stranded asset costs should be allowed full recovery. The paper ultimately provides policy recommendations for a legislative amendment supported by the economic theory of contracts entrenched in the implicit regulatory compact affecting utilities, regulators and ratepayers.
Refereed
Yes
Citation
Daljevic, Marko. (2016). The Regulatory Compact and the Treatment of Stranded Assets ( Unpublished master's thesis). University of Calgary, Calgary, AB.
Department
The School of Public Policy
Faculty
Faculty of Graduate Studies
Institution
University of Calgary
Doi
http://dx.doi.org/10.11575/PRISM/30048
Uri
http://hdl.handle.net/1880/51697
Collections
  • Graduate Capstones
  • Master of Public Policy Capstone Projects

Browse

All of PRISMCommunities & CollectionsBy Issue DateAuthorsTitlesSubjectsThis CollectionBy Issue DateAuthorsTitlesSubjects

My Account

LoginRegister

Download Results

Statistics

Most Popular ItemsStatistics by CountryMost Popular Authors

  • Email
  • SMS
  • 403.220.8895
  • Live Chat

Energize: The Campaign for Eyes High

Privacy Policy
Website feedback

University of Calgary
2500 University Drive NW
Calgary, AB T2N 1N4
CANADA

Copyright © 2017