Gas distribution cost of service study

For a Mid-Atlantic municipal gas utility, Brattle developed a cost of service rate design model that incorporated updated standards for revenue adequacy based on achieving an improved bond rating, and which reflected a 10-year weather normalization test year. This was needed because recent warming trends were causing too much sales volume to be forecasted for winter demand. The cost of service rates were also used to justify a proposed shift in rate design towards higher fixed charges.