Course Overview:

“The course aims to provide an overview of basic introduction to rate setting by exploring explore specific approaches to rate setting – and the analysis of each – in depth; explores rate and subsidy design and applicable strategies, and where applicable illustrate on application of the practices and strategies”

Course Outcomes

The expected course outcomes are:
a) Skills in calculating rates and analyzing utility financial information is enhanced
b) Techniques in cost of service and demand profiling improved
c) Key principles of subsidy design learned
d) Transitional strategies for cost-recovery Learned
e) Approaches for rate and tariff settings benchmarked
f) Networking of course participants Enhanced
g) Application learnt practices and approaches Enhance
h) Communication with peer experts improved

Topics

The course will cover the following topics:
a)The process of Rate Setting
b)Approaches to Rate Settings
o Cash-Need Approach
o Rate of Return Approach & Analysis
o Price Cap Approach & Analysis
o Revenue Cap Approach and Analysis
c)Rate and Subsidy Design Strategies