The “Perfect Storm” or the “New Normal”? Meeting the Challenges of Maintaining Financial Viability
In light of current economic hardships, utility managers in California as well as the rest of the country must be proactive in understanding and addressing the financial difficulties that their utility, their customers, and other governmental agencies are facing. Adapting to these new economic forces includes developing and implementing appropriate rate structures, preparing insightful financial plans, and planning for future capital needs, especially asset replacement costs. This paper outlines current financial and economic conditions and projections that utility managers are now facing and recommendations for meeting those challenges.
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Document Type: Research Article
Publication date: 2012-01-01
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