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 cashflow.
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. |
