GE says 'we must rethink' utility regulation

GE is advocating a new business model for utility regulation, one that relies on a multi-year revenue plan that provides incentives for reducing costs.
The report released Wednesday, Results-Based Regulation: A Modern Approach to a Modern Grid, says that the current model impedes a utility’s ability to recover fixed costs and discourages much-needed capital investment.
Most utilities "operate under a regulatory model set in the first half of the last century,” said David Malkin, director of Government Affairs and Policy for GE’s Digital Energy business. “If we wish to build out a modern grid—one that meets these challenges and delivers long-term value to consumers—then we must rethink how utilities are currently regulated