GNERC - What does GNERC stand for? The Free Dictionary
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The tariffs have been updated according to the new methodology adopted by GNERC
in August 2017, which is based on international best practice and represents a hybrid method of AeA@"cost plusAeA@" and AeA@"incentive basedAeA@" methodologies, where revenue is determined based on a companyAeA@'s Regulatory Asset Base (RAB).
WACC is used by GNERC
to guarantee licensed companies a reasonable return on investment and incentivize cost reduction.
New tariffs are set so as to cover th e capital and operating expenditures for the year 2016 and deliver a margin pre-determined by GNERC