Rules to govern rates.

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  • (1) The commission may, by rule or order, adopt any method of rate regulation that is:
    • (a) consistent with this title;
    • (b) in the public interest; and
    • (c) just and reasonable.
  • (2) In accordance with Subsection (1), a method of rate regulation may include:
    • (a) rate designs utilizing:
      • (i) volumetric rate components;
      • (ii) demand rate components;
      • (iii) fixed rate components; and
      • (iv) variable rate components;
    • (b) rate stabilization methods;
    • (c) decoupling methods;
    • (d) incentive-based mechanisms; and
    • (e) other components, methods, or mechanisms approved by the commission.




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