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<br />Sector Survey on Cost Control (PPSSCC). Among the task force's conclusions IS one <br /> <br />which sta tes: <br /> <br />The DOE (Ed. Of which the PMA's are a part) is not <br />efficiently pricing surplus electricity (Ed. Surplus to project <br />needs) sold from federal hydroelectric projects consistent <br />with sound business principles (President's Private Sector <br />Survey on Cost Control, 1983, p. 42). <br /> <br />Part of that conclusion was based on the task force's finding that: <br /> <br />Repayment studies are not an appropriate measure of current <br />revenue adequacy, and even if they were, financial experts <br />could reasonably debate the manner, assumptions and criteria <br />for their preparation . . . (PPSSCC, 1983, p. 45). <br /> <br />One of the power repayment studies' assumptions the task force criticized, <br /> <br />" <br /> <br />although not referring to it by name, was the ultimate development concept. The <br /> <br />task force stated: <br /> <br />The repayment studies are based on concepts no longer <br />accepted in business and commerce of attempting to forecast <br />financial performance over the entire life cycle of the <br />business enterprise, which in the case of the PMA's requires <br />forecasting costs and revenues for 50 or more years into the <br />future (PPSSCC, 1983, p. 43). <br /> <br />This and other repayment study policies, said the task force, has caused the DOE to <br /> <br />be: <br /> <br />. . . not effective in recovering the costs of producing <br />electricity from federal hydroelectric projects and the <br />repayment of Treasury's capital investment is seriously <br />delinquent (PPSSCC, 1983, p. 45). <br /> <br />After reaching the previous conclusions, the task force made a number of <br /> <br />recommendations, some of which were aimed at eliminating use of the power <br /> <br />repayment study, and thus the ultimate development concept, in the PMA's rate- <br /> <br />-8- <br />