Explainer Episode 49 - Utility Rate Modeling
Regulatory Transparency Project's Fourth Branch Podcast
Regulatory Transparency Project's Fourth Branch Podcast
Energy consumers continue to see rising rates, but how do regulators decide the rate that consumers pay? In this episode, James Coleman and Mark Ellis explain the relationship between federal and state regulators and utility companies, the financing models behind regulated rates, and the incentives created by these models. What are the implications of state-regulated projects? How do utility companies respond, and what are the risks? What is the impact on consumers? In this episode, experts address these questions and more.
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As always, the Federalist Society takes no position on particular legal or public policy issues; all expressions of opinion are those of the speaker.
Professor of Law, University of Minnesota Law School
Professor James W. Coleman is a scholar of energy law. He specializes in North American energy infrastructure, transport, and trade. He is also a nonresident senior fellow at the American Enterprise Institute focused on energy policy.
Professor Coleman has testified before Congress on steps to speed up energy infrastructure permits. He also worked with a team of experts as part of Alberta's Royalty Review to revise the Canadian province's management of its vast oil and gas resources.
Before joining Minnesota, Professor Coleman taught at Southern Methodist University's Dedman School of Law, the University of Calgary’s law and business schools, and Harvard Law School. Earlier, he practiced environmental and appellate law at Sidley Austin in Washington, D.C., and clerked for the Honorable Steven M. Colloton of the U.S. Court of Appeals for the Eighth Circuit.
Professor Coleman received two degrees from Harvard University—a J.D. (cum laude) and B.A. in biology (magna cum laude with highest honors in the field). As a result of his undergraduate thesis on butterfly genetics, which required fieldwork in Central Asia, a species of lycaenid butterfly was named after him—Agrodiaetus ripartii colemani.
Independent Consultant
Mark E. Ellis is a former utility executive now working as an independent consultant and testifying expert in finance and economics in utility regulatory proceedings. Before establishing his own consultancy, Mark led the strategy function at Sempra Energy (parent of San Diego Gas &Electric and Southern California Gas) for fifteen years. Previously, he worked as a consultant in McKinsey’s energy practice, in international project development for ExxonMobil, and in industrial demand-side management for Southern California Edison. He has an MS from MIT’s Technology and Policy Program, where he focused on utility policy and conducted research in the MIT Energy Lab, and a BS in mechanical engineering from Harvard.