IPA specialises in providing regulatory economics advice, with a wealth of experience in both the principles of regulations and their practical application. Our areas of expertise include economic regulation, efficiency and benchmarking, and cost of capital.
- Economic Regulation
IPA advises governments, national sector regulators and utility companies on price control and tariff methodologies. This includes the design of generation pricing mechanisms for markets where competition is limited or absent, cost reflective network access tariffs and equitable retail tariffs.
- Efficiency and Benchmarking
IPA maintains an extensive international cost and performance database that is used to assist national sector regulators and utility companies in assessing efficiency through a range of bottom up and top down benchmarking techniques.
- Cost of Capital
IPA has extensive experience advising on cost of capital issues. Cost of capital is vital in issues such as the viability of an investment project and in setting companies’ revenues as part of a price review.