Rate Design and Customer Classification Sample Clauses

Rate Design and Customer Classification a. In the formulation of a rate and fee design plan, a clear and distinct understanding of NBU’s overall goals and objectives shall serve as the foundation for the development of options since rate and fee design enables the utility to meet its service pricing objectives. Pricing objectives will include, as applicable: • COS recovery; • revenue stability; • affordability; • equity; • ease of administration; • regional competitive position; • conservation; and • economic development. The Professional shall discuss with NBU staff the potential rate design alternatives that meet NBU’s pricing goals and objectives. From these discussions, the Professional shall develop defensible rate structures that are reflective of industry accepted practices and procedures and rate regulations within the State of Texas, equitably balancing the recovery of revenue between fixed and variable rates.
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