The Case Study of Compensation Mechanism for Electric Power Universal Service

Owing to the enormous sums of universal service fund, more and more countries begin to take different measures to compensate for the power enterprises that join the universal service programs. The most common way of compensation is the cost compensation mechanism. Usually a cost econometric model is established to calculate the universal service costs of each enterprise. The efforts are attempted here to work out some methods of qualitative measurements for universal service compensation, and the formulas are given respectively. A case in XX Province shows the feasibility of raising the universal service compensation fund and the practicality of the compensation methods.