Premium
Recovery of Investment Allowed
Publication year - 1986
Publication title -
journal ‐ american water works association
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.466
H-Index - 74
eISSN - 1551-8833
pISSN - 0003-150X
DOI - 10.1002/j.1551-8833.1986.tb02757.x
Subject(s) - commission , discretion , investment (military) , appeal , public investment , service (business) , business , public service , state (computer science) , finance , economics , public administration , law , political science , public fund , marketing , politics , computer science , algorithm
The Court of Appeals of New York concluded that a public service commission had not abused its discretion in allowing a utility full recovery for an investment in an abandoned storage facility. The public service commission had approved a rate increase for Consolidated Edison, allowing the utility to write off the investment as an extraordinary expense to be amortized over eight years. An appellate division had confirmed the public service commission determination but, in an appeal, the state attorney had argued that the commission's policy of using the prudent investment approach was faulty.