Utility Finance Basics

December 11-12, 2023 | Live Streaming Online

A Program

Click Here to register $1195

If you are unable to attend at the scheduled date and time, we make recordings available to all registrants for three business days after the event

Utilities are natural monopoly service providers; however, they are subject to distinctive economic and regulatory requirements. Unique from competitive service providers, utility tariff rates and cost recovery mechanisms are subject to specific principles and differing levels of regulatory oversight. This introductory class introduces the underlying financial concepts for both gas and electric power utilities (some elements will not apply to municipalities and cooperatives).

The goal of EUCI’s Utility Finance Basics course is to provide a working knowledge of the fundamentals of finance in a regulated utility environment that can be applied in the real world. The content will help to understand the concepts of:

  • Capital recovery
  • Strategic planning
  • Regulatory environment
  • Cost recovery mechanisms

Enroll now to master regulated environment essentials and apply real-world utility finance concepts effectively.

Learning Objectives

  • Identify and describe utility financial basic concepts like types of ownership, regulation, and the fundamentals of both Electric and Gas Power Markets
  • Discuss financial strategies for utility business success
  • Analyze the utility ratemaking process, including cost of service and rate design
  • Examine utility investment strategies and cost recovery mechanisms in practice
  • Define the key financial components of the electric utility business
  • Introduce important utility financial policies and reporting requirements
  • Assess Capital Planning Considerations
  • Study special circumstance situations in utility finance like weather events and the impact of major liabilities



9:00 a.m. – 4:00 p.m. Central Time

Short breaks will be taken throughout the course (30 minutes total)

Course Introduction: Background and Overview of Utility Finance

  • Public Utility Concept Development
  • Industry Organization and Participants
  • Types of Ownership
  • Introduction to Regulations
  • Trends in Regulation (and Deregulation)
  • Regulatory Oversight by Sector and Participant
  • Price Regulation of a Monopolistic Enterprise

Essential Financial Strategies of the Utility Business

  • Strategic Investment
  • Investment Prudency
  • Timely Recovery

Utility Finance and Ratemaking

  • Ratemaking Process
  • Recovery Mechanisms

Utility Investment and Cost Recovery

  • Base Rates
  • Formula Rates
  • Adjustment Clauses
  • Trackers
  • Riders
  • Deferrals
  • Decoupling
  • Demand Response

Financial Components of the Utility Business

  • The Key Financial Elements
    • Rate Base
    • Income Statement
    • Working Capital
    • Regulatory Asset/Liabilities
    • Revenue Requirement
    • Return on Equity
  • GAAP for Utility
  • FERC Uniform System of Accounts
  • Utility Reporting Requirements

Major Utility Financial Policies and Reporting  

  • Utility PP&E Cycle
  • Capitalization Policy
  • Continuing Property Records
  • Depreciation/Retirement/Regulatory Assets
  • Tax and Deferred
  • ITCs and PTCs
  • RECs
  • Costs of Using and Maintaining the Utility Plant
  • Salaries and Wages
  • Property and Other Taxes
  • Regulatory Asset/Liability Accounting
  • Other Expenses
  • Disallowance of Certain Expenses
  • Inflation Reduction Act



9:00 a.m. – 12:00 p.m. Central Time

Short breaks will be taken throughout the course (15 minutes total)

Cost of Service and Rate Design

  • Rate Base
  • Income Statement
  • Cash Working Capital
  • ROE
  • Capital Structure
  • Test Period and Methodology
  • Cost of Service and Revenue Requirement
  • Principles of Rate Design

Electric and Gas Power Markets

  • PPAs with Power Providers
  • Day-Ahead and Real-Time Markets
  • Hedging & Weather
  • Case Study: Texas 2021 Winter Storm

Capital Planning Considerations

  • Joint Ownership
  • LCOE & NPV
  • Price Impact

A Year in the Utility Finance Department

  • Monthly, Quarterly, and Yearly Accounting Cycle
  • Budgeting & Forecasting
  • Strategic Planning
  • Rate Case?
  • Supply Chain and AP/AR
  • Treasury
  • SEC Reporting

Major Events and Special Situations in Utility Finance

  • Major Weather Events
  • Impact of Major Liabilities
  • Case Study: PG&E Bankruptcy
  • Case Study: Enron

Recap and Course Conclusion


Ben Rosenberg, Solutions Architect – Financial Forecasting Programs, NextEra Energy Transmission and Florida Power & Light

Ben Rosenberg has worked with over a dozen US electric and gas utilities during his career. He currently serves as a solutions architect with NextEra Energy Resources, supporting the financial forecasting programs at NextEra Energy Transmission and Florida Power & Light. Prior to working at NextEra, Ben was the Senior Financial Forecast Analyst at Portland General Electric. Previously he worked as a consultant at Utilities International, leading projects implementing various financial forecasting programs and solutions.

Prior to working in the utilities industry, Ben held positions at the medical record software company Epic as an implementation consultant and the alternative investment fund Aurora Investment Management in the investment research team. He holds an MBA in Finance from the University of Notre Dame and a Bachelor’s of Science in Economics from DePaul University.