For purposes of this subchapter, the following definitions
apply:
(1) Petitioner--The entity that files the petition
or appeal.
(2) Protested rate--The rate demanded by the seller.
(3) Cash Basis calculation of cost of service--A calculation
of the revenue requirement to which a seller is entitled to cover
all cash needs, including debt obligations as they come due. Basic
revenue requirement components considered under the cash basis generally
include operation and maintenance expense, debt service requirements,
and capital expenditures which are not debt financed. Other cash revenue
requirements should be considered where applicable. Basic revenue
requirement components under the cash basis do not include depreciation.
(4) Utility Basis calculation of cost of service--A
calculation of the revenue requirement to which a seller is entitled
which includes a return on investment over and above operating costs.
Basic revenue requirement components considered under the utility
basis generally include operation and maintenance expense, depreciation,
and return on investment.
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