Since 2006, the natural gas department at Quantum has been working on the tariff review of two natural gas distribution companies from Rio de Janeiro: CEG and CEG Rio, operated by the Spanish group Gas Natural.
These distribution companies have a total of 720.000 customers and a 3,700-km distribution network.
The project involves the tariff calculation, the load profile analysis, benchmarking of operating expenses, and comprehensive support throughout the process.
The team is jointly developing a tariff model which allows to run both distribution companies either together or separately. This model is the first of its kind having a two-part tariff design tool; in addition to a regulatory financial model to verify the consistency between the regulatory cost of capital rate and the discount rate of the company’s cash flow.
The model is particularly distinct since it has a smart logic as regards investment projects and matrices for multidimensional data management which are price sensitive. |