Public Advocate v. Philadelphia Gas Commission , 161 Pa. Commw. 428 ( 1994 )

COLINS, Judge,

concurring and dissenting.

I must respectfully disagree with the conclusion of the majority that the $201,951,000 of net equity reflected on the City’s balance sheet cannot be concluded to have come directly from the City’s own funding. These capital assets are owned by the City, because PGW is owned by the City.

To analogize this to a private utility proceeding, the rate base of PGW is approximately $202,000,000. Therefore, the $18,000,000 payment would represent a little less than a nine percent rate of return on the utility’s investment. Such a rate cannot be said to be arbitrary or unreasonable per se.

I concur with the remainder of the scholarly opinion of the majority.