WEC - Utilities: Regulatory Environment COVID-19 And Taxes - Location Matters

Never has the geographic location of an investor’s utility selection been more important. The changes taking place will greatly impact utility shareholder performance over the next several years. Regulatory oversight will be critical in how utilities deal with the financial impacts of the COVID-19 outbreak and the ramifications on utilities of a substantial decline in consumption, a delay in accounts receivable collections, and the impact of future tax increases.

Demand Destruction, Cash Flow Issues

The coronavirus pandemic has triggered a macroeconomic shock that is unparalleled in peacetime. In a report issued by the International Energy